MEMPHIS, Tennessee — In tonight's Ransom Note: running out the clock.
That's what Memphis Light, Gas and Water (MLGW) President J. Y. Young is doing by asking the utility's board to table any further exploration of leaving the Tennessee Valley Authority (TVA).
For three years, MLGW has seen multiple studies concluding we could save hundreds of millions of dollars by choosing another power source, a possible game changer for a community with some of the highest poverty in the country. But in those three years we've yet to see one competitor bid for the business. Not one.
In the end, we might decide to stay with the TVA, but why the resistance to at least get a bid? My guess is MLGW and TVA know the answer. Instead they're confusing the public, making false comparisons to the winter weather mess in Texas. TVA doesn't tell you Texas chose to build its own power grid so it could ignore federal regulations, the same federal regulations that now govern the TVA or any company that might replace it. and now Texas is paying the price.
Right now MLGW has a rolling five-year contract with TVA, but TVA is pushing hard for a 20-year deal. Before signing away the next two decades, MLGW needs to put its customers first and fully explore all its options.
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