• Study shows MLGW could save millions on power by leaving TVA

    By: Kirstin Garriss

    Updated:

    MEMPHIS, Tenn. - A new study shows MLGW could save hundreds of millions of dollars a year on power if it leaves its agreement with the Tennessee Valley Authority (TVA).

    Currently, MLGW is TVA’s largest customer representing 11 percent of TVA’s total load.

    Eric Brown with Friends of the Earth said that relationship is costing Memphians every day in their wallets.

    The group commissioned a study by the Brattle Report, which shows MLGW and the city of Memphis could be save as much as $240 to $333 million a year if it terminated its contract with TVA and provided its own power source.

    “It could also be a chance for economic impact as far as jobs if Memphis was able to do its own power supply for the city itself,” said Brown.

    MLGW has an 80-year contract with TVA and the company must provide a five-year notice if they wanted to leave. 

    FOX13 talked with an Oakhaven homeowner who didn't want to share her name or show her face about this study. 


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    She said MLGW needs to find another option, and they need to find one soon.

    “They need to really seriously do something different, this is not working. It’s broken, it’s not working at all,” she said.

    Brown said finding an alternative power source could also provide cleaner energy and less pollution. 

    “We want to make sure Memphis is no longer an energy burden city and look out for the best intentions of Memphis,” said Brown. 

    A spokesperson with MLGW said President J.T. Young has received the study, but he hasn't had a chance to review it. 

    MLGW also conducted its own study reviewing alternative power sources.

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