Policy Statement
As an industry association representing the full solar value chain in Tennessee, TenneSEIA is committed to actively engaging in the policy development process that shapes our state’s energy future.
We advocate for policies that foster a competitive, private-sector-driven environment that supports investment, innovation, and job creation. Our core focus is on increasing end-user demand for solar energy while expanding Tennessee’s solar manufacturing and project development base.
Through strategic public-private partnerships, TenneSEIA is dedicated to advancing solar as a mainstream energy source in Tennessee. We work to clearly communicate the economic, environmental, and workforce benefits of the industry, helping decision-makers understand the full potential of solar growth across the state.
Key Reports & Resources
Below is a selection of important reports and reference materials related to solar energy development, land use, and policy in Tennessee.
State & Policy Reports
Tennessee Advisory Commission on Intergovernmental Relations (TACIR)
Managing Solar Energy Development to Balance Private Property Rights and Consumer Protection with the Protection of Land and Communities – Commission Report (September 2023)
http://tenneseiasolar.com/wp-content/uploads/2024/04/2023_Solar-TACIR-Report.pdf
Research & Industry Analysis
University of Tennessee Institute of Agriculture
EVALUATING POTENTIAL LAND USE OF UTILITY-SCALE
PHOTOVOLTAICS (SOLAR PANELS) ON FARMLAND IN TENNESSEE
Local Government & Planning Resources
- Model Tennessee Solar Zoning Ordinance – Final (4833-3498-8020, 9)
- TenneSEIA Decommissioning Bill FAQ (4855-1852-5729, 6)
Explore More
These resources are intended to support policymakers, developers, landowners, and stakeholders working to responsibly grow solar energy in Tennessee.
For additional information, updates, or member-exclusive materials, please contact TenneSEIA or explore our membership opportunities.
TenneSEIA Webinar videos to lean more about the solar and storage market in the Tennessee Valley
Historical Snapshot of Renewable Energy Programs in Tennessee & the TVA Region
This timeline highlights key State of Tennessee and TVA programs that have shaped the development of renewable energy, solar deployment, and distributed generation across the region.
2003–2019 | Generation Partners (GP) & Green Power Providers (GPP) – TVA
The Generation Partners program was created by TVA in 2003 and later evolved into the Green Power Providers (GPP) program, which served residential and small commercial customers. The program ended in 2019.
It provided long-term contracts for the purchase of electricity generated from renewable energy systems at fixed prices over the contract term. Pricing began above retail rates and gradually declined over time to below retail rates.
As of December 2018, the combined GP and GPP programs supported more than 3,500 generating systems with approximately 110 MWDC of installed capacity.
2005 –Present | TVA Dispersed Power Production (DPP) Program
The TVA Dispersed Power Production (DPP) program originated in 1981, following the federal Public Utility Regulatory Policies Act (PURPA) of 1978, which required utilities to provide access for independent power producers. The modern version of the program though was designed following the Energy Policy Act of 2005 In response, TVA formally implemented the Dispersed Power Production program to comply with these federal obligations and create a structured pathway for non-utility generation.
Key Program Features of the DPP program include
- Applies to Qualifying Facilities (QFs) under PURPA
- Includes renewable energy and cogeneration projects such as; Solar, Wind, Biomass and Combined Heat and Power (CHP)
- Facilities can be up to 80 MW in size (depending on eligibility category and configuration)
- Participants may sell some or all generated electricity to TVA
- Compensation is based on TVA’s monthly avoided cost rate
2006–2009 | Tennessee Clean Energy Technology Grant (TN-CET)
The Tennessee Department of Economic and Community Development administered the TN-CET program, which provided 40% of installed costs (up to $75,000) for for-profit businesses investing in renewable energy technologies. This program helped catalyze the early development of Tennessee’s solar market.
2010–2012 | Volunteer State Solar Initiative (VSSI) & Tennessee Solar Institute (TSI)
Funded through federal Recovery Act investments, Tennessee launched the Volunteer State Solar Initiative (VSSI), which included the development of the West Tennessee Solar Farm (5 MWDC) in Haywood County and the Tennessee Solar Institute (TSI).
TSI administered a $23.5 million Solar Opportunity Fund, including:
- Solar Innovation Grant Program
- Solar Installation Grant Program
Key outcomes included:
- 171 solar PV installations funded
- 350+ individuals trained through workforce development programs
- 6 companies receiving technical assistance
- Over 7.2 MWDC of solar capacity deployed
2010 | Green Energy Tax Incentive – State of Tennessee
Tennessee enacted legislation allowing tax-exempt purchases of machinery and equipment used in certified green energy production facilities, including solar energy and certain storage Energy systems. TenneSEIA members have access to a detailed FAQ on the program and the application and details can be found at: https://www.tn.gov/environment/sustainability/funding/green-energy.html
2010–2015 | TVA Renewable Standard Offer (RSO)
The RSO program offered long-term contracts (up to 20 years) with fixed per-kWh pricing for mid-sized renewable energy projects.
As of December 2018, the program included:
- 20 operating facilities
- Over 157 MWDC of installed capacity
2012–2015 | TVA Solar Solutions Initiative (SSI)
The SSI program provided additional financial incentives for solar projects between 50 kW and 1 MW, layered on top of the RSO structure.
As of December 2018:
- 56 operating facilities
- Approximately 43 MWDC of capacity
2013 | Green Energy Property Tax Assessment – State of Tennessee
Tennessee introduced a special ad valorem property tax structure for certified green energy facilities, assessing solar projects at 12.5% of installed cost for property tax purposes.
2015–2017 | TVA Distributed Solar Solutions (DSS)
The DSS program encouraged Local Power Companies (LPCs) within the TVA region to develop distributed solar projects ranging from 50 kW to 5 MW.
2017 | TVA Renewable Energy RFP for Large-Scale Load Growth
TVA issued an RFP to secure new renewable energy resources. As a result, TVA awarded contracts totaling 674 MWac of solar generation, primarily supporting data center growth from companies such as Facebook and Google.
2019 | Flexibility Research Project (FRP) & Renewable Investment Agreement (RIA)
TVA launched two mid-scale programs designed to support commercial and industrial customers pursuing behind-the-meter solutions:
- Flexibility Research Project (FRP) – piloted alternative procurement structures for distributed generation
- Renewable Investment Agreement (RIA) – enabled structured renewable investments for large customers
The FRP program has since concluded, with functions evolving into long-term utility partnerships and self-generation frameworks. Only a few MW of solar was built from this program.
2020–Present | Generation Flexibility Program
Announced in 2020 and implemented beginning in 2021, the Generation Flexibility program allows long-term TVA Local Power Company partners to self-generate up to 5% of load, enabling deployment of up to 2,000 MW of distributed solar across the region. This program is one of the more exciting active solar market opportunities in the Tennessee Valley region but has limited transparency and public information outside of that provided by TenneSEIA.
Below is an update from TVA as of October 2025 on the program.
2021– Unclear present status | TVA Green Connect Program
Launched in 2021, the Green Connect program supports residential solar and storage adoption across the Tennessee Valley.
The program:
- Connects customers with TVA-approved installers through the Quality Contractor Network (QCN)
- Ensures systems meet TVA-developed installation standards in partnership with TenneSEIA and TVPPA
- Provides installer training, incentives, and customer leads
Green Connect officially launched on January 4, 2021, it’s present status is unclear.
2025–Present | TVA Resource Solicitation Cluster (RSC) & Annual RFP Process
TVA’s modern procurement framework introduces a structured, system-wide approach to solar and energy storage acquisition through Resource Solicitation Clusters (RSCs) and annual Request for Proposals (RFPs).
This represents a shift away from “first-come, first-served” interconnection toward coordinated regional planning.
Resource Solicitation Cluster (RSC) Framework
The RSC process is TVA’s primary mechanism for evaluating new solar and battery energy storage systems (BESS) for grid interconnection. Details on the TVA Interconnection process can be found on the TVA OASIS page at: OATI OASIS
Key Features:
- Defined 45-day submission window for developer proposals
- Cluster-based system studies evaluating multiple projects simultaneously
- Shared transmission upgrade costs across participating developers
- Standardized registration process via TVA platforms such as Power Advocate
Annual RFP Process
In parallel with the RSC framework, TVA conducts annual RFPs to procure renewable and storage resources aligned with system needs and load growth.
Registering for Tennessee Valley Authority (TVA) Requests for Proposals (RFPs) via Power Advocate involves setting up a supplier account, requesting access to specific bid events, and submitting proposals through the portal. TVA uses Power Advocate for major solicitations, such as the 2026 Resource Solicitation Cluster. Step-by-Step Registration Process Locate the RFP Link: Visit the TVA Supplier Connections page to find active solicitations or the specific RFP document, which contains a direct link to the Power Advocate event.
This combined structure enables TVA to:
- Improve grid planning and reliability
- Increase transparency in interconnection studies
- Align procurement with long-term regional energy demand
Summary
Across two decades of evolving programs, Tennessee and the TVA region have transitioned from early incentive-based solar adoption to a structured, utility-scale and distributed energy ecosystem.
This progression reflects a maturing market defined by:
- Greater grid integration complexity
- Expanding public-private collaboration
- A shift toward coordinated regional energy planning
Want to know more about the Generation Flexibility Program?
See the three webinars below.
