TVA Selected as a Top Ten Power Company by Site Selection Magazine

Posted on October 10, 2008 by Lori Riverstone-Newell

In its September 2008 edition, Site Selection magazine has named the Tennessee Valley Authority "one of the nation's best power companies for economic development" for the third consecutive year. The magazine's annual Top Ten Utilities in Economic Development "gauges the ability of U.S. utility companies to complement power delivery with the powers of persuasion in fostering corporate investment in their territories...."  

 

Photo by squidpants.

 

Among other factors, Site Selection's criteria included "total capital investment, investment per capita, total jobs created, and jobs per capita in the Valley, and... the development of new programs and services to support economic growth." Businesses seeking new locations scrutinize the available workforce and incentive packages offered by the state and local governments, but they also look to see that the utility company which will provide its power has the necessary capacity, a history of reliable service, and low rates.

 

Companies have also come to expect that their utility supplier is active in the region's economic development. This is a relatively new role for utilities, but their access to local workforce, economic development trends, available sites, and, of course, energy data has moved them into this role. On each of these counts, TVA scores well.

 

The TVA reports its transmission rates in its service area at "99.999%" for the past eight years. Also, "in 2007, TVA economic development investments helped attract or keep some 45,000 jobs in the region and leveraged $5.6 billion in capital investment from other sources." Electricity rates average about two cents less per kilowatt-hour than the national average, which means big savings to manufacturers. Even a "one-quarter cent (savings per unit) can make a huge difference in (profit) margins,” so rates play a big role in convincing new industries to move to East Tennessee while helping existing industries to stay. TVA's reliable production and delivery of low-cost energy means a lot to the growth and development of the region. For more information, contact us.

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Knoxville and Surrounding Area Faring Well in Today's Economy

Posted on July 31, 2008 by Lori Riverstone-Newell
As American consumers are spending more on food, fuel, and commodities and economic analysts ponder recession, East Tennessee has been spared many of the worst economic challenges. While other areas suffer job losses and business closings, Knox and its surrounding counties has fared pretty well - the Knoxville Metropolitan Area has the lowest unemployment rate in the state. One reason for this is corporate business expansions. For instance, "Green Mountain Coffee Roasters plans to open an East Knox County plant, engineering firm SAIC is moving at least 150 jobs to Oak Ridge, and VW is building a $1 billion plant in Chattanooga that will employ 2,000 workers and likely spawn feeder business in our area." From January 2007 to January 2008, the Knoxville Metropolitan Area added 5,950 jobs, with 4,040 jobs added in Knoxville alone. Knox County's unemployment rate in 2007 was down a half point from 2006 and its median household income was 108 percent of the state's median. In addition, the county's population grew by 11 percent from 2000-2007.


Photo by Suffering the Benz.

In addition to corporate expansion, the area's diversified economy has helped to insulate against economic instability. For example, expansions in health care brought 1,600 health-related jobs to the state in 2007 while providing construction companies with non-residential work. Many of those jobs are located in Knox County. Also, Oak Ridge National Laboratories, the Tennessee Valley Authority, the University of Tennessee, and local schools offer stable government jobs to many area residents. Of the various sectors, near-term growth is expected to continue in "construction, durable and nondurable goods manufacturing, wholesale/retail trade, finance/insurance/real estate and education." A 2006 breakdown of employment by sector can be found here. All of this means that the region has suffered less than many others and our local business leaders are optimistic that there will be a quick recovery once the national economy stabilizes. For more information on the economic opportunities available in the Knoxville area, submit your inquiries here.
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Where You Live Matters: The Concentration of Economic Opportunities, Creativity, and Innovation

Posted on July 2, 2008 by Lori Riverstone-Newell

In his latest book, Who's Your City, best selling author Richard Florida claims that where you choose to live is more important than ever before. Florida points out that economic activity, innovation, types of people, and creativity is concentrated in relatively few places and that those places will offer better jobs, quality of life, and services. Florida uses a series of maps to show how the world's population is distributed, and where the most productive and creative people live and the strongest economies are in the United States. The Southeast shows prominently on these maps.

 

Photo by sleepless aquarius.

Florida recommends considering a number of factors when deciding on a new community - opportunity and basic services are among the most important. The Knoxville Metropolitan Statistical Area, home to the Oak Ridge National Laboratory, the University of Tennessee, and numerous medical and technology-based businesses, reflects our government and community leadership's commitment to quality economic development and quality of life. Recent awards and rankings speak for themselves:

If you would like more information about Knoxville, click here and request more information.

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Industry Growth in East Tennessee: Jefferson County

Posted on October 3, 2007 by Jeremy Floyd
In the East Tennessee Economic Development Agency’s Summer 2007 newsletter, Bill Underwood, general manager of the Appalachian Electric Cooperative, reported that Jefferson County is “poised for great things.” Between 1990 and 2000, Jefferson County’s population grew 34.4%! This growth, and a 14% increase in per capita income between 2000 and 2006, is largely the result of the area’s rapidly expanding tourism, manufacturing, and education sectors. Because of Jefferson County’s fortunate mix of qualities that are highly regarded by developing service and manufacturing industries, there’s every indication that this growth will continue long into the future.

As the entire East Tennessee Valley has benefited from its geographic location, so has Jefferson County with Interstates 40 and 81 providing easy access to and through the county. New industries look for areas with strong transit routes such as this, but the county has so much more to offer: large areas of available land suited for industrial development; an attitude of growth and improvement in the local leadership; and close proximity to the urban amenities that Knoxville has to offer, such as fine dining, theater, festivals, and sports. Tennessee provides a pro-business tax structure while utility companies have joined with local leaders and those in the economic development community to provide incentives to attract and retain businesses. Equally important is the work ethic for which the people of East Tennessee are known.

Although manufacturing is the bedrock of the county’s economy, many work in education, medicine, and in services supported by tourism. Jefferson City is home to Carson-Newman College, one of the South’s best liberal Arts colleges, according to US News and World Report; St. Mary’s Jefferson Memorial Hospital, a beautiful 5-year-old, state-of-the-art facility; and numerous retail, service, and entertainment establishments. With two Tennessee Valley Authority lakes and the French Broad River, rolling hills and lush foliage, Jefferson County is enjoying a rapid growth in tourism and has recently become a choice destination for retirement.

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