Electricity In Tennessee

There are 88 companies in Tennessee providing electricity. Of those 88, only one of them offers some type of net metering option for their consumers, which makes solar panels and alternative electric sources more economically viable. Many net metering regulations are enforced at the state level, and Tennessee has nonexistent regulations for consumers interested in purchasing solar panels.

There are 82 providers in Tennessee that reported energy loss, including Memphis Light, Gas and Water, Nashville Electric Service, and Middle Tennessee Electric. Combined, these 82 companies average an annual energy loss of 2.27% of electricity produced. With a national average of 2.72%, Tennessee is ranked as the 45th worst state in the US.

Motivating residents to consider installing solar panels can often be a challenge due to prohibitive initial costs. States can help by issuing rebates and tax breaks to their residents. Tennessee has a tax credit of $1000 or less or no state tax. There are currently no state sponsored rebates available to residents who are installing solar panels. The state only offers some optional tax exemptions for consumers who wish to install private solar. There is currently a 100% sales tax exemption in place for the purchase of solar at a place of residence.

Whether a customer is able to easily purchase electricity options with renewable fuel types is somewhat determined by legislation at the state level. Renewable Portfolio Standards (RPS) encourage or require electric suppliers to generate a percentage of their electricity from renewable energy. The state of Tennessee, unfortunately, has no standards in place. In addition, there are currently no low income solar programs to assist low income families to install solar panels.