Tennessee Partners Launch ‘Second-Life’ Battery Storage Project as Electric Vehicle Adoption Grows
June 20, 2022

Nissan, Middle Tennessee Electric, UT-Oak Ridge Innovation Institute, Tennessee State University and Seven States Power Corp. Announce Innovative Battery Storage Project

 

FRANKLIN, Tennessee – June 16, 2022 – Nissan, Middle Tennessee Electric, the University of Tennessee-Oak Ridge Innovation Institute, Tennessee State University and Seven States Power Corporation are teaming up to launch an innovative second-life battery storage project.

The rapid transition to electric vehicles and the escalating need for energy storage is driving demand for innovative approaches to repurposing used electric vehicle (EV) batteries to enhance the resilience of America’s electric grid. This partnership seeks to build a solution that can be helpful locally and modeled globally.

Used battery packs from Nissan ’s all-electric LEAF – the first mass-produced EV in the U.S. – will be used to construct two Battery Energy Storage Systems (BESS) at Nissan America’s headquarters in Franklin, Tenn. The retrieved packs will undergo testing and be assembled in modular, scalable storage systems. The BESS systems will provide supplemental power supply and peak demand shaving* for Nissan’s facilities and support the Middle Tennessee electric grid.

This project will repurpose Nissan’s used EV batteries, giving them a “second life” as a BESS for the Nissan electrical system. The group will also research how to best reduce energy usage, improve battery life, optimize energy distribution within the system and into the grid, house and scale the packs and system, in addition, make it easy and safe for consumers to connect to the electric grid.

The project leverages a circular process model. Batteries lose capacity to fully charge over time. When EV batteries reach that point, the battery’s performance is no longer ideal for use in the vehicle and the battery is replaced. These used batteries have an opportunity to be repurposed in other long-life applications.

The partners have built a strong, cross-collaborative team to assist in the implementation, assess performance and discover potential market applications. The University of Tennessee and Oak Ridge National Laboratory’s UT-Oak Ridge Innovation Institute will lead the research aspect of the project with Tom Zawodzinski , University of Tennessee Knoxville-Oak Ridge National Laboratory’s Governor’s Chair for Electrical Energy Conversion and Storage heading the effort. Middle Tennessee Electric , the utility provider for Nissan’s U.S. headquarters, will assist in integrating the battery storage unit into the electric grid and assess electric system impacts. Seven States Power Corporation will provide expert utility insights, consistent with its mission to design, develop, and deploy next generation technology for local power companies in the Tennessee Valley. Tennessee State University ’s College of Engineering will support this project by providing opportunities to develop diverse workforce and support environmental justice initiatives.

In addition to repurposing EV batteries, the partners will explore how best to package the battery cells to improve the ease of maintenance and to test the functionality and connectivity of control systems and building maintenance systems.

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*Peak demand shaving is the proactive management of expected spikes in energy demand. By reducing or “shaving” peak energy demand in day-to-day operations, energy can be produced more efficiently and at lower costs to the end user.

 

PARTNER QUOTES FOLLOW:

“Nissan has a long history in electrification and battery development, which we have applied to the Tennessee-built Nissan LEAF and the all-new Ariya coming in the fall. Partnering on projects like these play a critical role in driving our Ambition 2030 vision and carbon neutrality goals in the U.S.”  Kent O’Hara , President, Nissan 4R Energy U.S.

“MTE is appreciative of the collaboration with Nissan, and others, on this vital research that will positively impact the evolution of the electric grid. Distributed energy resources, such as second life batteries, will continue to support the steps MTE is taking toward smart grid investments.” Brad Gibson , Chief Cooperative Business Officer at Middle Tennessee Electric.

Seven States Power Corporation is excited to lend its technical expertise to find innovative ways to design, develop, and deploy battery technology in a way that benefits all stakeholders. Second life battery technology is one great example of how our region can lead the nation in technology and advanced manufacturing in the years to come.” Betsey Kirk McCall, President & CEO of Seven States Power Corporation

“Through the UT-Oak Ridge Innovation Institute, we’re able to bring together world-renowned scientists and engineers from UT and Oak Ridge National Laboratory like Tom Zawodzinski, our UT-ORNL governor’s chair in Electrical Energy Storage, to work with Nissan and other industry leaders to develop innovative, practical solutions.” Joan Bienvenue , Executive Director and Vice-Provost, University of Tennessee-Oak Ridge Innovation Institute

“This project provides an exciting opportunity to pull together a multi-disciplinary team of scientists and engineers to engage in a technically challenging, system-level problem with real-world outcomes. At both UT Knoxville and Oak Ridge National Laboratory, we draw from areas as diverse as electrical engineering, materials science and chemical sciences and engineering, to help provide guiding principles to realize maximum performance while maintaining safe operation.  On top of that we hope to use this as a springboard for developing an educated and diverse workforce in Tennessee and to begin to identify with our partners’ relevant areas of environmental justice impact.” Thomas Zawodzinski , UT-Oak Ridge National Laboratory Governor’s Chair in Electrical Energy Storage, University of Tennessee Knoxville

“As the EV battery industry moves to deploy second life battery technologies, it is key that we prepare an inclusive, technically capable workforce that is equipped with the knowledge and technical ability to enter industry. Tennessee State University’s College of Engineering is excited for this opportunity to create educational programs to aid in diverse workforce development for future environmental, electrical, and mechanical engineers.  Additionally, Tennessee State University has a commitment to environmental justice and is prepared to provide technical support to communities in need.” Andrea Resch Gardiner , Assistant Professor of Civil Engineering, Tennessee State University

 

PLEASE NOTE: Above is an image of Nissan’s Circular Process that is referred to in this release. This diagram was taken from the “ Nissan Motor Corporation Sustainability Report 2021 ” located at https://www.nissan-global.com/EN/SUSTAINABILITY/LIBRARY/SR/2021/

By Jessica Bradshaw June 25, 2025
Seven States Power Corporation’s Board Chairman, Jeff Dykes, and President & CEO, Betsey Kirk McCall, met with Congressional leaders earlier this summer as part of a strategic initiative to advance funding to install technologies that make power more efficient, reliable, and abundant. Dykes and McCall sought to amplify the need for greater federal support to Tennessee Valley LPCs for increasing America’s energy infrastructure during a time where creative options are needed against the backdrop of unprecedented growth. A primary objective of the trip was to listen to legislators’ areas of focus and educate the leaders on how Seven States supports the Valley through times of transition. Many LPCs have voiced concerns over the volume of requests they are receiving to supply energy to data centers. Dykes and McCall emphasized the opportunities Investment Tax Credits (ITC) and alternative financing provide for accelerating large-scale projects that can supply this growing demand for energy. To date, more than 1200 data centers are in development across the U.S. that will consume an estimated 149.6 -239.3 TWH annually. That represents the equivalent of 15-25 large nuclear plants running continuously to supply the need. Dykes and McCall stressed how cooperatives like Seven States can leverage funding models that alleviate the capital outlays for and accelerate construction of projects that can accommodate the expected growth in the Valley over the next decade from these data centers. “It will take LPCs, TVA, communities, companies, and developers working together on such projects to meet the need and keep the lights on,” said Dykes. “We understand that these data centers represent an opportunity for investment in the region. These dollars will improve communities and attract high quality economic development prospects. We want to ensure our member LPCs and TVA are supported and prepared to deliver this opportunity to the Valley,” said McCall. Dykes and McCall also underscored that Seven States was created by LPCs, in partnership with TVA, as a strategic solution to TVA’s debt ceiling limitations—without amending the TVA Act. From 2007 to 2013, Seven States became the first —and remains the only— LPC-led organization to successfully negotiate a sale/leaseback agreement with TVA to co-own a utility-scale generation asset: the Southaven 800MW Combined Cycle Gas Plant. This makes Seven States uniquely qualified as an in-Valley solution to finance and co-own generation assets with TVA.  “Seven States was created for moments like this. We often serve as the designer or developer, deploying capital and project management expertise to build reliable or advanced energy infrastructure on behalf of LPCs. This allows LPCs to avoid the burden of raising capital or navigating complex regulatory issues,” said McCall. Another key focus of the trip was to share project updates on the $439 million in funding secured earlier this year through the U.S. Department of Agriculture’s New ERA program. Dykes and McCall outlined how this investment will be used to deliver 250MWs of additional power—aligning with national priorities on energy dominance and security. While in Washington, the team also met directly with USDA officials to provide a progress report on the project. “We are at a pivotal moment where federal partnerships can accelerate the progress our members are already making,” McCall said. “Our goal is to ensure their contributions—and their challenges—are clearly understood as Congress shapes the future of energy policy.” More recently, McCall was also in the area conducting meetings during President Trump’s One Big Beautiful Bill event where Zach Stewart of Sequachee Valley Electric Cooperative was among those recognized for their service to the nation in the energy industry. McCall was on site as the new Rural Utilities Services Administrator at USDA, Karl Elmshaeuser, was announced. McCall met with Christopher McClean, former Acting RUS Administrator as part of a series of meetings to further map project details related to the $439 million awarded to Seven States by USDA. By engaging directly with lawmakers and federal agencies, Dykes and McCall are working to ensure that regulatory frameworks reflect on-the-ground realities. These Washington outreach efforts reinforce Seven States’ commitment to building an energy system that is affordable, reliable, and future-focused. Dykes and McCall expect continued conversations throughout the year as the Valley’s energy future takes shape.
By Jessica Bradshaw June 25, 2025
Seven States recently had the privilege of partnering with the Chattanooga Area Food Bank to provide consulting support for energy efficiency upgrades at their main distribution facility. Serving 20 counties across Southeast Tennessee and Northwest Georgia, the Food Bank distributed over 15 million pounds of food last year—equivalent to more than 12 million meals for families in need. With such a vital and energy-intensive operation, improving energy performance means more resources can go directly toward feeding the region. Our team conducted a comprehensive energy assessment, identifying key opportunities to reduce utility costs through more efficient lighting, refrigeration, and HVAC systems. These recommendations are expected to cut energy use by up to 25%, translating into substantial cost savings over time. By optimizing energy performance, the Chattanooga Area Food Bank can reinvest those savings into expanding food access, enhancing logistics, and continuing their mission to eliminate hunger and promote healthier communities.  This collaboration not only underscores the connection between energy efficiency and social good, but also highlights how thoughtful upgrades can deliver lasting value for mission-driven organizations. We're proud to support the Food Bank’s critical work and look forward to seeing the positive ripple effects of this project across the communities they serve.
June 19, 2025
Leading Forked Deer Electric Cooperative as General Manager & CEO, Jeff Newman has firsthand knowledge of how vital technology is to the Valley and what a difference it has made in his community. “In our footprint, two of the most critical technology developments were broadband expansion and system automation. Bringing our system up-to-date has been a top priority, and that started with implementing SCADA across the network—a process that’s still ongoing. SCADA has already made a significant difference by improving our ability to detect and respond to outages quickly, which greatly reduces downtime for our members. On the broadband side, we now serve over 6,800 folks, which represents a substantial portion of our total meters. In a rural area like ours, access to high-speed internet isn’t just a convenience, it’s a necessity. It’s been a game changer, and the revenue from broadband has helped stabilize our electric rates by offsetting the need for larger increases. So, these technology developments haven’t just modernized our infrastructure—they’ve directly improved quality of life and economic resilience for the people we serve.” As the Valley continues to evolve and technology changes, Jeff views Seven States as a trusted partner that can help LPCs find the best fit for their community. “The biggest thing for us, as a rural utility, was having someone to help us get connected with the right people—whether that’s suppliers, vendors, or experts. We really leaned on Seven States for that support because, honestly, we didn’t even know where to begin. Every utility is different, and there’s no one-size-fits-all solution. You have to do what makes sense for your system and your community. A cookie-cutter approach just doesn’t work in this industry, and Seven States knows how to tailor a project or service to fit your exact needs.” Jeff’s advice to GMs who want to bring innovation to their communities is to stay open to progress by listening, learning, and ensuring new ideas truly serve the needs of the ratepayers. “I don’t take credit for the changes we’ve made, but progress happens when you don’t stand in its way. It’s important to evaluate new ideas carefully, make sure they align with your system’s needs, and support what makes sense. The key is to always consider what’s best for your LPC or co-op—and not become an obstacle to improvement.” ###
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