BGMU, TVA locking horns over an unpaid electric bill
Published 12:00 am Sunday, February 20, 2000
Its not a billing dispute that will get the power turned off, but it could heat up a courtroom. On Nov. 14, Bowling Green Municipal Utilities stopped paying Tennessee Valley Authority for evaluation studies and notified the electricity provider to exclude that service from next years agreement, TVA spokesman Gil Francis said. BGMU wants the choice of bidding out services involving evaluation of industrial and commercial operations services now included in its agreement with TVA, said Jim Hawks, BGMUs deputy general manager. The services, for which BGMU pays TVA $61,000 a year, could cost less and save BGMU customers money if provided through competitive bidding, Hawks said. We dont feel like were getting what we pay for, he said. We should have that option of contracting those services out to a private firm or TVA.I want to emphasize that we are not unhappy with the way TVA has treated us. They have been a great supporter of us, but any business would try to do this. Its about getting the most bang for your buck. If TVA doesnt agree to unbundle some services, which involve electric loading and lighting studies designed to show industrial customers how to save money on their electric bills, the matter could be referred to BGMUs attorney, Hawks said. BGMUs non-payment and potential legal action is disappointing, Francis said. … The objective of these programs is to support efficiency in energy development, Francis said. TVA supports local utilities right to propose changes but thinks change-related costs should be shared equally, Francis said. While he wouldnt rule out the possibility of TVA going to court to force BGMU to honor its agreement for this year, Francis said he hopes the dispute can be resolved through discussions. Meanwhile, BGMU is bidding out services for any job that will cost more than $10,000, Hawks said. The utilitys board is handling other projects.