Tennessee Valley Stops Solar Spending Program

by Marcus Washington

NASHVILLE, Tenn. - The Tennessee Valley Authority has placed a moratorium on a popular program that pays homeowners and businesses that generate electricity from solar energy.

At the height of TVA announcing a moratorium on its solar power program, it is surprising to see so many people interested in making the investment to their property.

"When we first purchased the farm we thought we were going to do everything and very energy efficient," said Tom Trapp who moved to Cedar Hill from New York.

He said he was in shock when he heard the news.

"It's kind of surprising in a state where you've got these major corporations investing billions of dollars into the solar energy that the TVA would walk away from a program that's, I think has been successful."

Under the program, anyone using solar energy to power their home or business, would get a 30 percent tax credit and credit to their electric bill, sometimes hundreds of dollars, for the solar energy generated from the panels.

During a solar energy workshop Saturday morning, Steve Johnson from LightWave Solar Energy said this will be a major hit for the growing business.

"It would slow the market down and all the job growth we've been seeing in the solar industry would revert into layoffs," said Johnson.

TVA said they have currently spent or committed to spending 31 million of the 50 million dollars for the program.

Johnson said he believes the hold could mean millions of dollars lost for the state of Tennessee.

"We can't take advantage of those funds and there is a limited time. So, we can't take advantage of those funds and there is a limited time, so we don't have time to waste. you know the stimulus money has to be used in a couple of years," said Johnson.

Solar panels can be installed in a home within 4 days, and can run anywhere from 15 to 40- thousand dollars.

The TVA said they are working with distributors to revamp the program.

Email: mwashington@newschannel5.com