The cost of building most kinds of power plants has risen since the Tennessee Valley Authority published a draft of its long-term power plan in 2024, according to new estimates the federal utility shared with advisors.
TVA compares the cost to build more than a dozen energy sources, from a nuclear plant to a natural gas plant to solar panels and batteries. The utility measures the overnight capital costs, or what a plant would cost to build without interest, as if it were completed instantly.
The nation’s largest public utility is working on an updated plan for how it may meet rising demand for electricity through 2050. Only two technologies, small modular reactors and wind turbines, saw a reduction in construction cost in the update, according to TVA data.
The estimates do not include tax credits applicable to nuclear and renewable energy sources, and they do not include operating costs. The utility models renewable energy costs after purchase agreements from other utilities, which is how it sources most of its wind and solar energy.
(READ MORE: TVA eligible for valuable tax credit on Alabama hydro plant)