Dept. of Economic & Community Development
Matthew Kisber, Commissioner
The American Recovery and Reinvestment Act of 2009
STATE ENERGY PROGRAM
“This energy efficiency funding for states is an important investment in making America more energy independent, creating a cleaner economy and creating more jobs for the 21st century that can’t be outsourced,” said Vice President Joe Biden.
ARRA AMOUNTS
U.S. – $3.1 billion
Tennessee/ECD – $62,482,000
IN THIS SECTION
Overview
Volunteer State Solar Initiative
Key Events
Contact
Tennessee will receive a total of $62,482,000 in funding for the State Energy Program (SEP) throughARRA. ECD’s Energy Policy Office will be administering and overseeing distribution of the funds.
The goals established by the federal government for SEP funds include:
- Increasing energy efficiency to reduce energy costs and consumption for consumers, businesses andgovernment;
- Reducing reliance on imported energy;
- Improving the reliability of electricity and fuel supply and the delivery of energy services; and
-Reducing the impacts of energy production and use on the environment.
SEP Basics
VOLUNTEER STATE SOLAR INITIATIVE
Tennessee will use its SEP funds to establish the Volunteer State Solar Initiative, a comprehensive solar energy and economic development program, focusing on job creation, education, renewable power production, and technology commercialization. Building upon current efforts, this program will stimulate short-term economic growth, while positioning the state to support long-term expansion of the solar industry. Recovery Act funds will enable the state to accelerate national market transformation in a manner that will create jobs and ensure a clean energy future.
The initiative consists of two projects: The Tennessee Solar Institute at the University of Tennessee (UT) and Oak Ridge National Laboratory (ORNL), which will focus on industry partnerships to improve the affordability and efficiency of solar products; and the West Tennessee Solar Farm, a five-megawatt 20-acre power generation facility in Haywood County that will be one of the largest installations in the Southeast and serve as a demonstration tool for education and economic development.
Tennessee has received 40 percent of its total State Energy Program (SEP) Recovery Act funding upon approval by DOE on Sept. 15. The initial 10 percent of total funding was previously available to support planning activities; the remaining 50 percent of funds will be released once the state meets reporting, oversight, and accountability milestones required by the Recovery Act. After demonstrating successful implementation of its plan, the state will receive $31 million in additional funding, for a total of nearly $62.5 million.
The Tennessee Solar Institute
The Tennessee Solar Institute at UT and ORNL will be a center for excellence to spur accelerated growth in Tennessee’s burgeoning solar industry and serve as a crossroads for a wide-range of solar-related activities in the Volunteer State. Among other purposes, the institute will bring together scientists, engineers and technical experts with business leaders, policymakers and industry workers to help speed the improvement and deployment of solar photovoltaic (PV) technology.
Basic research activities will be conducted using state energy funds to be designated to UT and ORNL, outside of the Recovery Act. However, for the purposes of establishing industry relationships and leveraging federal Recovery Act dollars, the institute will create a “Solar Opportunity Fund” to underwrite a series of new innovation and installation grants. Over the next three years, approximately $23.5 million in grants will be distributed to solar-industry firms looking to strengthen or expand their operations as well as businesses looking to install solar-energy generation systems.
“Innovation Grants” will encourage growth of Tennessee's solar industry by providing funds to the state's solar industry firms for technical assistance, facility or process improvements, and workforce development. “Installation Grants” will speed the deployment of solar energy statewide through grants to businesses to fund the purchase and installation of small-scale solar photovoltaic systems.
The West Tennessee Solar Farm
Additionally, Tennessee will use its Recovery Act funds to establish the West Tennessee Solar Farm, a five-megawatt solar array in Haywood County, Tennessee. The Solar Farm will serve as a demonstration site for educational purposes for the public and students to learn about the benefits of renewable energy. It also will be a showcase for a range of commercially available solar techniques and technologies. This program will be primarily administered by UT. Under a preliminary agreement, the federal Tennessee Valley Authority will purchase power generated by the Farm at a renewable energy price. Prior to its development, the Solar Farm will be subject to an environmental review for federally funded projects under the National Energy Policy Act (NEPA).
The farm, to be located at a site along Interstate 40 near the Haywood County industrial megasite, will be Tennessee’s largest solar installation and one of the largest in the Southeast. Demonstrating the zero-carbon production of electricity on a highly visible and significant scale is expected to encourage future renewable-energy interest and investments.
As part of revised plans, the Tennessee Department of Transportation (TDOT) will control the property for the farm in order to develop a pull-through interstate welcome center that will serve as an educational site for the public and students to learn about renewable energy. In addition to its education mission, the farm will serve as a showcase for Tennessee-made solar products and components. Land acquisition and construction will be funded outside the Recovery Act.
According to DOE, the net result of the Volunteer State Solar Initiative will be to advance solar technology, promote the use of renewable energy statewide, lower fossil fuel emissions, decrease the state's dependence on foreign oil, and create green jobs across Tennessee.
Slide deck from 11/19 Public Scoping Meeting
December 4, 2009 -
Deadline for comments in writing regarding the West Tennessee Solar Farm to be incorporated into the draft Environmental Assessment. To submit comments, please contact:
Tameeka Jones
Tennessee Department of Economic and Community Development
312 Rosa L. Parks Ave.
10th Floor
Nashville, TN 37243
Phone: 1-800-342-1340
Email: ecd.energypolicy@tn.gov
Please Note: There will be an additional period for public review and input after the draft Environmental Assessment is released in 2010.
November 19, 2009 - Scoping meeting for the West Tennessee Solar Farm Environmental Assessment in Haywood County; 6:30 p.m.; Haywood County Courthouse, 1 N. Washington, Brownsville, TN 38012. Click here to read more. Click here to view the PowerPoint presentation.
September 15, 2009 - Governor Bredesen announces that DOE has approved funding for the Volunteer State Solar Initiative. Click here to read the press release.Click here to view the final application Tennessee submitted to DOE.
May 13, 2009 – Governor Bredesen holds press conference detailing proposed plans for SEP dollars. Click here for complete coverage.
May 12, 2009 – Tennessee submits proposed plans for SEP dollars to DOE for approval.
March 23, 2009 – Tennessee submits initial application for ARRA funds to DOE with an assurance letter from Governor Bredesen to DOE Secretary Steven Chu. Click here to view the Governor’s letter.
March 12, 2009 – U.S. Government releases SEP funding information. Click here to read more.
For more information please call the State of Tennessee Energy Policy Office at (800) 342-1340 or (615) 741-2994.
