TVA says it will spur marijuana operations after all

The Tennessee Valley Authority has denied a threat earlier this month to withhold electricity from cannabis facilities, acknowledging in a statement Thursday that the agency has a duty to provide electricity to all customers in its service area.

“We want to clarify TVA’s position on the impact on our energy service to customers in Mississippi: TVA is committed to providing our customers with safe, reliable, and affordable energy, and we will continue to do so,” the utility wrote in a statement. “There will be no disruption in service as a result of this newly signed law.”

The Tennessee Valley Authority (TVA) is a federal electric utility company that serves millions of customers in Tennessee and portions of six surrounding southern states. In a statement obtained by reporters, the TVA noted that despite state-level cannabis reform, marijuana is still a federally illegal substance. The statement was released on Feb. 2, the same day Mississippi Gov. Tate Reeves signed legislation legalizing medical marijuana in the state. The TVA powers local utilities that supply electricity to customers in three dozen counties in northeast Mississippi.

“While some states have enacted (or will soon enact) laws permitting the cultivation and distribution of marijuana for medicinal or recreational purposes, marijuana, regardless of its intended use, remains a Schedule I substance under the federal Controlled Substances Act of 1970. ‘ the TVA wrote in its statement. “Federal funds and resources may not be intentionally used to facilitate activities that may violate federal laws. “In light of this important issue, TVA will not use any federal funds or funds for the cultivation and/or distribution of marijuana.”

The statement also warned that if a TVA employee learns that a local utility is supplying electricity to a customer who is “involved in activities that may violate federal marijuana laws, the employee will report the activity to his management, and TVA management will make a determination regarding our reporting obligations to agencies that may have competent jurisdiction to enforce the federal Controlled Substances Act.”

Federal and state officials are issuing a TVA warning on the air

The TVA’s statement drew a quick rebuke from two US Congressmen and members of the Congressional Cannabis Caucus, Rep. Earl Blumenauer of Oregon and Rep. Steve Cohen of Tennessee. In a statement Thursday, officials noted that federal law requires the TVA to provide electricity to all customers.

“The measures outlined in the Feb. 2 memo, issued on the same day as Mississippi’s enactment of a medical marijuana program, flout the democratic will of the people of Mississippi,” Cohen and Blumenauer wrote. “Any suggestion to require TVA employees to report end users suspected of being involved in marijuana-related activities is an affront to the people who voted for a medicinal cannabis program, let alone the state Legislature and the governor, who overwhelmingly approved a medicinal cannabis program.”

In a separate statement, Cohen said that if the TVA heeded its warning, the agency “also sadly would not be keeping up with the American people, even after polls and elections consistently show how voters react when given the choice to do so.” balance access to cannabis.”

State officials in Mississippi also pushed back on the TVA’s warning to deny electricity service to cannabis operations. Brandon Presley, Mississippi Public Service Commissioner, reiterated TVA’s responsibility to provide electricity to all customers, noting that the agency has no authority over local energy companies.

“TVA’s statement has already resulted in some medical marijuana facilities considering other areas of the state and therefore potentially denying residents of northern Mississippi the benefits of the newly enacted medical marijuana program,” Presley said in a statement , which was published on Twitter on Thursday. “It is a long-established principle in state law that electric utilities are required to serve customers without discrimination.”

“A licensed medical marijuana facility under Mississippi law is no different. My position is that every licensed medical marijuana facility should be powered upon application and request,” Presley added. “Once the TVA has provided power to a local utility company, TVA ceases to have oversight and control of state statutes and Public Service Commission statutes to ensure these facilities receive power like any other licensed business.”

Although the TVA acknowledged that it has an obligation to provide electricity to all customers in its service area, the utility noted in last week’s statement that it continued to seek advice from federal officials.

“The broader issue is complex and represents a conflict between state and federal law. We are reaching out to the relevant federal agencies for further clarification and have requested additional guidance,” the TVA said. “Our service to our customers remains unchanged and we will continue to fulfill our mission.”