TVA continues to provide OMB data on potential privatization

The Tennessee Valley Authority (TVA) is continuing to provide the U.S. Office of Management and Budget (OMB) with information to help the Obama administration review into whether the federally-owned utility should be privatized.

During the spring of 2013, TVA leaders learned that the administration was examining the option of selling the federally-owned utility. Taking TVA private is an issue that tends to surface every few years on the national stage.

Sen. Lamar Alexander (R-Tenn.) has publicly said that selling TVA is a bad idea and mere discussion of taking it private has hurt the utility bond value.

“We are working through the process,” TVA President and CEO Bill Johnson said during a Nov. 18 conference call on TVA’s 2013 fiscal year, which ended Sept. 30. When asked, Johnson speculated that he expects the process might take three-to-six months.

The CEO expects that the federal government will issue some sort of report with a recommendation on whether TVA should be taken private. TVA has no control over that issue, Johnson said.

About Wayne Barber 4201 Articles
Wayne Barber, Chief Analyst for the GenerationHub, has been covering power generation, energy and natural resources issues at national publications for more than 20 years. Prior to joining PennWell he was editor of Generation Markets Week at SNL Financial for nine years. He has also worked as a business journalist at both McGraw-Hill and Financial Times Energy. Wayne also worked as a newspaper reporter for several years. During his career has visited nuclear reactors and coal mines as well as coal and natural gas power plants. Wayne can be reached at wayneb@pennwell.com.