Tennessee Public Utility Commission

Address

502 Deaderick Street, 4th Floor, Nashville, TN 37243

Phone

(615) 770-6851Fax (615) 741-5015

Website

tn.gov ↗

Utility landscape

• Tennessee Valley Authority (TVA) muni

  Wholesale power supplier to 153 local power companies across Tennessee and parts of six surrounding states; does not directly serve retail customers

  TVA is a federal corporation largely exempt from state PUC jurisdiction; its retail rate structures and Integrated Resource Plan decisions are overseen by its Board of Directors and subject to congressional oversight rather than TPUC authority. TVA's 2019 IRP and subsequent amendments have drawn scrutiny over coal retirement timelines and renewable procurement pace.

• Memphis Light, Gas and Water (MLGW) muni

  City of Memphis and portions of Shelby County; provides electric, gas, and water service to approximately 430,000 customers

  MLGW is a municipally owned utility governed by its Board of Commissioners and the Memphis City Council; it is not subject to TPUC rate regulation. The utility's ongoing evaluation of whether to exit its TVA power supply contract in favor of alternative wholesale providers remains a major policy issue, with final resolution still pending after multiple extended study periods.

• Atmos Energy Corporation (Tennessee Division) IOU

  Middle and West Tennessee, including Nashville metro area and surrounding counties; approximately 200,000 natural gas customers

  Atmos Energy is subject to TPUC jurisdiction for its Tennessee natural gas distribution operations. The company has utilized the Tennessee Gas Sustainability Program (GSP) rider mechanism for infrastructure replacement cost recovery between general rate cases, with periodic reviews before the commission.

• Cumberland Electric Membership Corporation (CEMC) coop

  Montgomery, Stewart, Robertson, Cheatham, and Dickson counties in Middle Tennessee; approximately 90,000 members

  As a TVA distributor and electric cooperative, CEMC is governed by its member-elected board and is not subject to TPUC electric rate jurisdiction. It has been active in deploying AMI infrastructure and demand-response programs under TVA's distributor partnership framework.

• Piedmont Natural Gas (Tennessee Operations, now Duke Energy subsidiary) IOU

  East Tennessee, including Knoxville metro and surrounding counties; approximately 135,000 natural gas distribution customers

  Piedmont Natural Gas, acquired by Duke Energy in 2016, operates its Tennessee natural gas distribution system under TPUC jurisdiction. The company has pursued pipeline safety and system modernization capital investments, seeking recovery through rate base adjustments in proceedings before the commission.

• Tennessee American Water (TAWC) IOU

  Hamilton County and surrounding areas in East Tennessee, including Chattanooga service territory; approximately 50,000 water and wastewater customers

  TAWC is regulated by the TPUC for water and wastewater rates. The company has filed for rate relief tied to infrastructure investment under the Water Infrastructure Surcharge (WIS) mechanism and has faced commission scrutiny over capital project justification and rate base prudency.

Key issues

• MLGW TVA Contract Exit Decision: Memphis Light, Gas and Water continues deliberations on whether to terminate its long-standing wholesale power contract with TVA and procure power from alternative suppliers; the decision carries significant rate, reliability, and stranded cost implications and remains unresolved as of mid-2026, with Memphis City Council oversight intensifying.
• Natural Gas Infrastructure Modernization and Cost Recovery: Both Atmos Energy and Piedmont Natural Gas (Duke Energy) are seeking TPUC approval for expanded pipeline replacement and leak detection program cost recovery mechanisms, raising commission questions about the pace of capital deployment, rate impact on low-income customers, and long-term system need given potential demand reduction from electrification trends.
• TVA Integrated Resource Planning and Coal Retirement Timeline: TVA's updated IRP process, expected to produce a revised plan in 2026-2027, is under pressure from environmental advocates and federal climate policy directives to accelerate coal plant retirements and increase renewable and storage procurement, with downstream implications for distributor rates across Tennessee.
• Broadband and Electric Cooperative Service Expansion: Several Tennessee electric cooperatives, leveraging federal USDA ReConnect and BEAD program funding, are aggressively deploying fiber broadband networks; TPUC and legislative attention is focused on ensuring adequate separation of regulated utility operations from unregulated broadband subsidiaries and preventing cross-subsidization.
• Water and Wastewater Rate Adequacy and Consolidation: The TPUC is managing multiple small water and wastewater utility rate cases and consolidation proceedings across rural Tennessee, driven by EPA and TDEC compliance mandates for aging infrastructure; commission staff have flagged systemic underfunding issues among small certificated water utilities.

Upcoming

• 2026-09-15

  Estimated deadline for TPUC commission staff comments in pending Piedmont Natural Gas (Duke Energy Tennessee) rate base and infrastructure surcharge review docket; parties have been ordered to submit supplemental testimony on capital project prudency (date estimated based on procedural schedule).

• 2026-10-07

  Estimated TPUC evidentiary hearing on Tennessee American Water Company general rate case filing, including contested issues related to rate base additions, working capital allowance, and proposed WIS mechanism expansion (date estimated; confirm via TPUC docket calendar).

• 2026-11-18

  Estimated TPUC workshop on small water and wastewater utility consolidation policy, expected to address commission staff's report on financially distressed certificated utilities and potential receivership or acquisition pathways under Tennessee Code Annotated Title 65 (date estimated).

• 2027-01-20

  Estimated release of TVA's revised Integrated Resource Plan update; while TVA is not under TPUC jurisdiction, the IRP will trigger distributor-level rate discussions across Tennessee cooperatives and municipalities and is expected to prompt legislative activity in the 2027 Tennessee General Assembly session (date estimated).