Battery Storage Is Charging Up
January 23, 2023

The Tennessee Valley has an opportunity to lead the nation in battery storage technology .  As its members, the Local Power Companies (LPCs), explore battery storage options, Seven States is the go-to partner to streamline the process, aggregate projects for grant funding, and facilitate a successful deployment. Seven States has broad experience building partnerships to deploy a variety of different storage technologies, including at the US Space and Rocket Center , the University of Memphis , and Nissan’s manufacturing plant in Smyrna, TN.

Through their work with battery storage, LPCs continue to explore how this technology can enhance the reliability, resiliency, affordability, and sustainability of their operations.  For example, battery storage units can be dispatched effectively during valley-fill generation periods and provide high confidence generation for day-ahead programs that complement demand response programs. Reducing the monthly on-peak and all-peak demand can save an LPC more than $10 for each kW reduced. Understanding typical monthly load curves and strategically deploying battery storage units are key to optimizing this untapped opportunity.

Additionally, battery storage allows for end-of-line voltage support and serves as a core generation source for a microgrid. In other parts of the US, battery storage is used to provide ancillary transmission support services.

True to its purpose as a hub for innovation and information sharing, Seven States released two RFIs in 2022 to study the battery storage market. The results revealed two primary approaches to pricing for LPCs: leasing or owning. While leasing costs over the life of the project are expected to be higher than if the LPC purchases the system directly, it allows the LPC to minimize risk.  Direct ownership may yield lower costs; however, the LPC assumes operational risk.

In 2022, the battery storage market experienced unprecedented demand as well as unprecedented supply issues with core materials associated with lithium batteries. Battery prices increased by 7% in 2022, according to a recent Bloomberg report. Several utility battery manufacturers are switching to lithium iron phosphate (LFP) batteries because core materials are available and less expensive. As this transition continues and new battery manufacturing plants open in the US, prices are expected to levelize.

The Inflation Reduction Act of 2022 (IRA) provided new tax incentives for battery storage both by expanding the number of entities who are eligible and by raising the maximum potential savings percentages.

State and local governments (and political subdivisions thereof) are now eligible to receive the investment tax credit (ITC). Standalone battery storage projects are now eligible for ITCs (previously, battery storage was not eligible for the ITC unless it was tied to a solar array). The legislation also raised the maximum ITC rate from 26% to 30% — with some projects now even eligible to receive up to 50% in credit if the project meets additional requirements.

Federal tax incentives and market forces are combining to make battery storage solutions a better bet for LPCs in the Valley. If you want to learn more about battery storage for your LPC, give Seven States a call.

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By Jessica Bradshaw December 15, 2025
Leading Decatur Utilities as General Manager, Ray Hardin strives to ensure their system is prepared for the future with innovative solutions. We asked him to share some of the ways he’s implemented technology in his LPC’s footprint. “Advanced Metering Infrastructure (AMI) has helped us improve efficiency, maintenance, and long-term planning, while providing customers with usage data through the customer portal that enables them to look for ways to reduce their energy consumption and their cost. AMI has also integrated with the Outage Management and GIS Systems to improve outage tracking and reduce system downtime. We’ve also leveraged Demand Voltage Reduction technology to reduce the wholesale cost of electricity to keep customer rates as low as possible. And over several years, we have implemented LED streetlights throughout the City of Decatur, replacing less efficient lighting and saving the city on lighting costs.” Ray knows his LPC is responsible for the present and future of his community’s needs, and he wants his community to know that he strategically evaluates new technology with a long-term vision. “I want our customer to know that through our implementation of AMI, improved communications, Demand Voltage Reduction and other programs, we continue to look for ways to keep our system safe and reliable and provide the best service to our community at the lowest possible rates.” With so much technological advancement in the Valley, Ray encourages fellow leaders to lean on strategic partnerships to help bring about community change and benefits using cost-efficient solutions.  “Don't go it alone! Seven States, TVA and other agencies bring a wealth of resources that can be leveraged to bring innovation to a local community without breaking budgets. For example, Decatur Utilities was able to install two Level 3 Rapid EV Chargers in our community through a partnership with the City of Decatur, TVA, Seven States, and ADECA. It would have been difficult for us to justify the cost of such a project on our own - but through this partnership, the cost was shared while the benefit to our customers and communities is enormous. Seek out those opportunities for shared funding that will benefit your local area and lean on others who have already researched or implement innovative technologies to get their ideas and advice.”
By Jessica Bradshaw December 15, 2025
As Chief Information Officer for North Georgia Electric Membership Corporation (NGEMC), Brian Childers knows how crucial innovative partnerships and technology are in preparing for the grid of the future. Brian’s extensive experience has given him a deep understanding of technological diversity and strategic partnerships. We asked him to share some of the ways their team brought innovation to the North Georgia EMC membership, as well as his experience with Seven States as a trusted partner. “The most needed technology developments in our footprint focused on improving reliability, security, and member service. Upgrades to SCADA systems enhanced grid monitoring and automation, allowing faster outage detection and restoration. Cybersecurity improvements were critical to safeguarding member data and ensuring uninterrupted service. Mobile workforce tools streamlined field operations, enabling quicker response times to outages and service requests. Additionally, the installation of distribution system sectionalizing equipment, supported by fiber expansion, improved fault isolation and communication across the network, significantly reducing outage durations and strengthening overall system reliability for our members. Seven States has helped our LPC support innovation by providing access to emerging technologies and collaborative opportunities. They also share best practices that keep us aligned with industry advancements and prepared for future member needs.” Brian always considers how their members view NGEMC’s investments in innovation. “I want our members to know that our role in innovation is centered on improving their quality of life and ensuring reliable, secure, and efficient service. We invest in technologies like advanced grid automation, fiber-supported communication systems, and modern outage management tools to deliver faster restoration, better reliability, and enhanced security. Every innovation we pursue is designed to strengthen our community—whether by reducing outage times, enabling smarter energy solutions, or supporting future connectivity needs. Our commitment is to keep members at the heart of every technology decision we make.”  Brian has learned that being plugged into your community and knowing their needs is fundamental to being an innovative leader. He offered this advice to others who might have questions about how to start bringing innovation to their LPC. “NGEMC’s territory includes communities served by multiple power providers, which limits large-scale community investments. Because of this, innovation should focus on projects that deliver clear, measurable benefits to members. Prioritize technologies that improve reliability while helping keep rates affordable. Stay informed on emerging trends like energy storage and flexible rate options while communicating openly with members to encourage adoption. Above all, maintain a long-term vision that balances innovation with financial responsibility, ensuring every investment strengthens member trust and delivers lasting value.”
By Jessica Bradshaw October 27, 2025
Cleveland Utilities connects Cleveland to Fast Charge TN and regional Fast Charge Network
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