U.S. Sen. Lamar Alexander, R-Tenn., said today there is "no chance" the Tennessee Valley Authority will be sold as proposed by the Obama administration.
"It's not a good idea," Alexander said prior to speaking at the annual meeting of the Better Business Bureau of Greater Chattanooga.
The Office of Management and Budget proposed last month a strategic study of whether the federal government should sell TVA to pay off the utility's nearly $25 billion debt and "help put the nation on a sustainable fiscal path." But Alexander said that selling TVA would result in higher electric rates for both residential and industrial customers in the Valley.
Alexander also expressed confidence in the new TVA leadership to take the utility forward. Bill Johnson, a former CEO for Progress Energy in North Carolina, became CEO of TVA in January.