Decatur approves power purchase agreement to buy solar generation with regional TVA distributors

Decatur City Council on Jan. 6 approved Resolution 26002 authorizing the mayor to sign a power purchase agreement between Decatur Utilities and the solar developer identified in the agenda as TAI.

Glenn Boyles of Decatur Utilities said the utility, as a distributor under the Tennessee Valley Authority framework, has historically purchased all power from TVA generation but recent agreements allow distributors to generate or buy up to 5% of their normal system requirements from other sources. "This request is for a purchase power agreement between Decatur Utilities and TAI," Boyles said, explaining Decatur and several other North Alabama TVA distributors would purchase power from a solar development built and owned by that developer.

Council members moved the item and recorded a unanimous vote as shown in the meeting record. The council approved multiple related procurement items during the same session, and staff said the agreement aligns with recent TVA policy changes that permit limited distributor-level generation or purchases.

The resolution and staff remarks did not specify the term length of the agreement, the expected annual megawatt-hours to be purchased, or the developer's full corporate name beyond the agenda reference; those details were not included in the materials presented during the meeting and were recorded in the agenda as “TAI.” Council minutes and the Decatur Utilities presentation are the primary sources for the council’s approval. The mayor was authorized to execute the agreement at the council vote.