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TVA withdraws Bellefonte Nuclear Plant construction permit after agency kills private acquisition attempt

The Tennessee Valley Authority (TVA) has surrendered its construction permit of the mothballed Bellefonte Nuclear Plant, essentially marking the end of a nearly five-decade long attempt to bring the power plant to life.

The quasi-governmental agency began construction of the power plant in the 1970s, but work on the facility was halted the following decade. After years of standstill, TVA opted to place the dormant twin reactors on public auction in 2016, which led to the facility being purchased by Chattanooga real estate developer Franklin Haney for $111 million.

Over the course of the years that followed, the Tennessee businessman’s attempt to jumpstart the Bellefonte project was derailed when TVA refused to complete the sale over claims that his firm, Nuclear Development, LLC, failed to meet regulatory requirements for the purchase to proceed.

Haney then took TVA to federal court in hopes that the judicial system would find that the agency violated the terms of the purchase agreement. However, his lawsuit was unsuccessful after the court ruled in favor of the federally-owned electric utility, driving a stake through the heart of the deal.

Controversy surrounded the attempted acquisition after Nuclear Development, LLC was said to be courting one of TVA’s largest customers, the City of Memphis, who was reportedly seeking to purchase its power elsewhere.

According to a study conducted by the University of Alabama, the project would have generated $12.6 billion in economic output. In its proposal, Haney’s firm estimated that the project would have created an estimated 12,000 jobs. If the project would have come to fruition, the rural town of Hollywood in Jackson County would have been home to the largest industrial project in state history.

State Sen. Steve Livingston (R-Scottsboro), who has served as the leading proponent for Bellefonte’s development, on Tuesday reacted to TVA’s surrendering of its construction permits for the failed nuclear power plant.

“The news of TVA surrendering the construction permit on the Bellefonte Nuclear Plant is extremely disappointing and a very sad announcement for our area,” said Livingston. “After almost 50 years and rate payers’ dollars in excess of some $9 billion invested in the plant, our hopes of seeing Bellefonte come to fruition have been quelled again. Bellefonte has brought many wonderful families to our corner of Northeast Alabama along with the prospect of some great jobs and the promise of bolstering our local economy.”

Livingston says that efforts to repurpose the plant are underway in hopes that the 1,400-acre property can serve still serve as a source of economic activity for rural North Alabama.

“However, with this most recent announcement, we can choose to view the glass as half full or half empty,” he added. “I see this an opportunity for us in Jackson County to rally around the process of repurposing Bellefonte to bring those great jobs to our area and grow our local economy. Meetings have begun and are being scheduled with TVA to discuss how to repurpose Bellefonte.

The senator is optimistic that the property can serve the interests of the local community and spur economic growth for Jackson County.

Livingston concluded, “I will continue to fight for Jackson County, to strengthen our community and to come up with creative ways to use the Bellefonte property. This is a time for our community to come together to bring something to the Bellefonte property that will materialize and work on our behalf. Now is the time for Jackson County to seize this opportunity for our future.”

Dylan Smith is a staff writer for Yellowhammer News. You can follow him on Twitter @DylanSmithAL

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