HB 2463, the "Bring Your Own Generation Act," targets large data centers in Tennessee with a peak demand of 100 megawatts or more. It requires these facilities to source 50% of their electricity from new onsite carbon-free energy (like solar or wind) and imposes a 100% surcharge on them to fund clean energy grid upgrades. The surcharge revenue funds the Tennessee Environmental Protection Fund, while prohibiting fossil fuel power contracts from qualifying for state economic incentives. This bill directly affects major data center operators and aims to accelerate clean energy integration without shifting costs to residential customers.
HB 951, the "Clean Energy and Jobs Act," creates two main programs to support renewable energy and sustainable business practices in Tennessee. It establishes a Clean Energy Workforce Training Grant Fund to provide grants for workforce development programs in clean energy, administered by the Department of Environment and Conservation. Additionally, it offers a 30% tax credit for renewable energy businesses (like solar or wind companies) and small businesses (with 50 or fewer employees) that purchase systems or equipment to develop renewable energy or implement eco-friendly practices (such as recycling or energy-efficient manufacturing). The bill takes effect January 1, 2026, and is currently under review by the Agriculture & Natural Resources Committee.
SB 1246, the "Clean Energy and Jobs Act," creates two key programs to support clean energy growth in Tennessee. It establishes the Clean Energy Workforce Training Fund to provide grants for job training in clean energy fields (like solar or wind), administered by the Department of Environment and Conservation. The bill also creates a 30% tax credit for renewable energy businesses (e.g., solar installers) and small businesses (50 or fewer employees) to offset sales/use tax paid on qualifying systems, devices, or sustainable practices - such as eco-friendly materials or recycling equipment. These provisions directly affect renewable energy companies and small businesses seeking to adopt greener operations.
This bill establishes a regulatory framework for commercial-scale solar energy facilities (over 5MW) in Tennessee. It defines "solar energy facility" to include equipment like arrays, inverters, and storage systems, while excluding small residential installations. Key provisions require 3.5 times the array width as setbacks from property lines and exempt facilities built before July 1, 2025. Local governments may adopt their own siting rules by that date, applying to new projects and expansions.
SB 1124 requires solar energy companies to provide written proof that a local utility offers net metering credits before selling or installing a system. This affects solar companies and their customers, mandating two specific documents: a description of the utility's net metering program (including fees and rates) and a notarized verification from the utility. Violating this requirement would be treated as an unfair or deceptive business practice under Tennessee's Consumer Protection Act. The law takes effect July 1, 2025, applying to all new or modified agreements after that date.
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HB 801 removes a specific energy efficiency requirement for low-sloped roofs in Tennessee. It amends state law to clarify that the International Energy Conservation Code's roof solar reflectance and thermal emittance rules no longer apply to such roofs starting July 1, 2025. This change directly affects builders, developers, and homeowners constructing or renovating low-sloped roofs across Tennessee. The bill achieves this by adding a new provision to Tennessee Code Title 68, Chapter 120, eliminating the requirement without creating new rules. The law became effective April 3, 2025, with the policy change taking effect on July 1, 2025.
SB 884 clarifies that local governments (like cities or counties) must accept 19 specific energy sources - including solar, wind, nuclear, natural gas, and biomass - as "clean or green energy" when setting requirements for public utilities. It requires these local rules to include all 19 sources as permissible, regardless of whether the government labels the rules as targeting "clean" or "renewable" energy. The bill amends Tennessee law to define "energy project" and "public utility" consistently across multiple code sections. This change ensures utilities comply with local energy rules by using any of the listed sources, without requiring local governments to explicitly classify their requirements as "clean energy" or "renewable energy."
SB 885 amends Tennessee's tax code to allow nuclear energy production facilities to qualify for pollution control tax credits, expanding eligibility beyond existing wind and solar sources. This change directly affects nuclear energy facilities in Tennessee by enabling them to claim tax credits for certain machinery and equipment used in pollution control. The bill modifies Section 67-4-2004(9)(A) of the Tennessee Code to explicitly include nuclear energy production facilities in the list of eligible energy sources. The policy change takes effect July 1, 2025, and is part of a broader tax incentive framework for clean energy projects.
Senate Bill 1194 exempts low-sloped roofs in Tennessee from the 2021 International Energy Conservation Code's requirements for roof solar reflectance and thermal emittance, effective July 1, 2025. This change applies to all new construction and renovations involving low-sloped roofs, removing a specific energy efficiency standard that previously applied. The bill amends Tennessee state law to reflect this exemption and authorizes the state fire marshal to establish implementing rules. The exemption takes effect upon the bill's enactment.
HB 149 defines "solar energy facility" for regulatory purposes, excluding small residential systems under 5MW and equipment used in homes. It updates Tennessee code sections to replace "wind energy" with "utility" and adds specific rules for solar arrays, including setback requirements from property lines. Local governments can adopt their own solar siting regulations by July 1, 2025, and facilities built before that date are exempt from the new rules. The bill directly affects solar developers, local zoning authorities, and communities near proposed solar projects.
