Advanced energy 101: The basics of Tennessee’s advanced energy economy

The Tennessee Advanced Energy Business Council champions advanced energy as a job creation and economic development strategy. To accomplish this mission, we educate public officials and business leaders about Tennessee’s advanced energy assets, establish strategic partnerships to connect assets with opportunities and inform policy that expands and strengthens the industry.

Last year, TAEBC hosted numerous events that emphasized the importance of transportation electrification and others that highlighted the benefits of advanced energy for local power companies (LPCs) across the Tennessee Valley. This year, TAEBC will continue to advance our priorities and focus on cultivating our state’s advanced energy economy, inviting stakeholders from West, Middle and East Tennessee to participate in this conversation. 

To celebrate and bring more awareness to Tennessee’s advanced energy economy, TAEBC has launched a short Advanced Energy 101 series. Part One will focus on the “basics,” which includes the what, why and how of advanced energy in our state.

What is advanced energy?

Advanced energy is a relatively new term but refers to any technology that makes energy cleaner, safer, more secure and more efficient. It includes manufacturers and companies that use advanced energy technologies, as well as professional service providers, researchers and entrepreneurs.

Rather than favoring specific technologies, the term advanced energy is technology neutral. Any technology that makes energy cleaner, safer, more secure and more efficient is in the bucket. Some examples include:

  • electric and plug-in hybrid cars
  • lightweight composites for the automotive industry
  • natural gas fueled trucks
  • pollution control equipment
  • bioenergy
  • high-performance buildings
  • more efficient industrial processes
  • power reliability
  • smart grids
  • combined heat and power
  • the latest wind, solar and nuclear technologies

Want to learn more? Check out this video where some of our members define advanced energy and discuss what the sector means for our state.

Why is advanced energy important?

According to TAEBC’s 2018 Tennessee Advanced Energy Economic Impact Report, advanced energy represents a $1.4 trillion global market. As the advanced energy economy continues to grow, it is more critical than ever for Tennessee to grow its share of this $1.4 trillion global market. 

In Tennessee, the industry represents a $39.7 billion contribution to state GDP, employs 358,360 jobs, and includes 18,170 businesses across the state. Advanced energy injects billions into the state economy, creates high quality jobs for Tennesseans, fuels growth for existing businesses, and attracts new corporate investment in the state. 

Since 2013, employment in the sector grew by 10.3 percent, a rate higher than the state’s overall growth rate of 8.3 percent. Meanwhile, these jobs pay Tennesseans an average wage of $59,665, significantly more than the state’s economy-wide average of $44,317. Even better, these high-quality jobs aren’t just in urban areas. The advanced energy economy can enhance economic development in rural areas as well.

Learn more about the impact of advanced energy on our economy by downloading the 2018 Tennessee Advanced Energy Economic Impact Report.

How can Tennessee lead the way in the advanced energy sector? 

Tennessee is already leading the way in the advanced energy sector, but TAEBC believes it’s vital to continue to support this important sector of our economy. As Cortney Piper, TAEBC’s Executive Director wrote in a recent guest column for the Knoxville News Sentinel, “The future is promising for advanced energy in Tennessee and the Southeast.”

There have been major victories in the advanced energy sector in the past year, particularly in the area of transportation electrification. Some of these include General Motors’ $2 billion plan for its electric vehicle plant in Spring Hill that will build Cadillac’s SUV and VW breaking ground on a $22 million Chattanooga lab to test EV batteries.

Even earlier this month, the Tennessee Valley Authority and the Tennessee Department of Environment and Conservation announced their partnership to develop a statewide electric vehicle fast charging network. This move will support the continued adoption of electric vehicles throughout the state and reduce barriers to the sector’s growth. 

Tennessee’s advanced energy economy is truly thriving. Over the next year, TAEBC is looking forward to releasing an updated economic impact report in 2021 and pursuing more collaborations and partnerships with Tennessee elected leaders, major institutions in the state and other TAEBC members.

Want to learn more or stay connected? Register for our bi-monthly newsletter and event notices today.

TAEBC reflects on 2020 accomplishments

As 2020 draws to a close, the Tennessee Advanced Energy Business Council (TAEBC) is taking a look back at its accomplishments over the last 12 months.

This year, Tennessee’s advanced energy economy was booming. We stood alongside our members and stakeholders as they celebrated business milestones, received countless awards for sustainability and business accolades, funding for advanced energy innovations, and expanded and broke ground on new facilities.

At the same time, we recognize that 2020 has been a challenging year due to the COVID-19 pandemic. Even in these uncertain times, TAEBC has continued to champion advanced energy as an economic development and job creation strategy for Tennessee. We believe that Tennessee has an opportunity during this economic downturn to add jobs and become a leader in the advanced energy economy. That is why we are committed to keeping our members and stakeholders informed by sharing the latest news concerning Tennessee’s expanding advanced energy ecosystem.

TAEBC’s commitments to you, our members and stakeholders, remain as strong as ever. These commitments are:

  • Inform the national energy agenda.
  • Support TVA and our local power companies’ efforts to become the energy companies of the future.
  • Help Tennessee become the #1 location in the Southeast for high-quality jobs.
  • Foster the growth of Tennessee advanced energy technologies and startups.

Here’s some of the ways TAEBC championed advanced energy as an economic development and job creation strategy in 2020. 

Inform the National Energy Agenda

Advanced energy is a $1.4 trillion global market. Tennessee and TAEBC have a lot of expertise to share, especially in the area of transportation electrification. The state is uniquely positioned to capitalize on transportation electrification thanks to the hard work of U.S. Senator Lamar Alexander and previous governors like Phil Bredesen and Bill Haslam, who diligently put our current advanced energy infrastructure and assets in place.

  • In July, TAEBC joined 50 cleantech organizations in signing on to the Transportation Electrification Partnership’s (TEP) $150 billion federal stimulus proposal. TEP’s proposal would create 2.3 million high-quality, advanced energy jobs across the United States and provide much-needed investments in zero-emissions vehicle manufacturing and innovation.
  • In August, TAEBC joined with the Los Angeles Cleantech Incubator to host a webinar on the federal stimulus proposal and how it could support transportation electrification as a job creation and economic development opportunity in Tennessee.
    • TAEBC also authored an op-ed about the proposal and how its investments in advanced energy can help recharge Tennessee’s economy and secure its place as a leader in transportation electrification.
  • TAEBC held its 2020 Annual Meeting at Schneider Electric’s Nashville Hub in early March. TAEBC members, stakeholders, and supporters heard from Commissioner Bob Rolfe of the Tennessee Department of Economic and Community Development (TNECD) and Commissioner David Salyers of the Tennessee Department of Environment and Conservation, who spoke about electric vehicles (EV) and their role in Tennessee’s advanced energy economy.
    • Attendees also heard from the Tennessee Valley Authority’s (TVA) Senior Power Utilization Engineer, Drew Frye, who spoke about EV trends and the utility’s EV strategy for the state, and Silicon Ranch’s Director of Regenerative Energy and Land Management, Michael Baute, who spoke about the company’s holistic approach to solar power plant design, construction, and operations.
  • In early December, TAEBC held its annual Opportunities in Energy event. This year’s event included a panel session called, “Tennessee’s EVolution: Making the state a destination for the electric vehicle supply chain.” Panelists discussed the importance of transportation electrification efforts, areas of opportunity, and steps Tennessee can take to accelerate its goal to become the top state for EV manufacturing. The event also featured a preview of the 2021 Advanced Energy Economic Impact Report.

Support TVA and Our Local Power Company’s Efforts to Become Energy Companies of the Future

In February, TVA’s board voted to allow local power companies (LPCs) to self-generate or procure a percentage of their power demand through its Flexibility Proposal. Prior to this modification to the Flexibility Proposal (also called the Flexibility Option), LPCs were restricted from generating or procuring energy from local distributed sources.

  • The Flexibility Option represents a potential increase of more than one gigawatt of distributed advanced energy in the Tennessee Valley. TAEBC submitted comments to TVA’s draft Environmental Assessment. After the flexibility announcement was made, TAEBC praised TVA, stating that this move has the potential to create great economic impact in the region. TAEBC is here to offer our expertise so we can seize these opportunities to recruit and retain businesses in the state.
  • This fall, TAEBC partnered with Seven States Power to host a three-part Advanced Energy 101 webinar series for LPCs. The webinar series emphasized the benefits of advanced energy solutions, provided baseline information on various distributed energy technologies, and offered guidance to help LPCs take advantage of the Flexibility Option and any economic development opportunities that might follow.
  • In November, TAEBC also hosted a virtual Lunch and Learn with Jeannette Mills, TVA’s Executive Vice President and Chief External Relations Officer. Mills talked about several LPC flexibility projects that arose from the Flexibility Option. She also discussed TVA’s approach to accelerate EV adoption through partnerships and the ways in which advanced energy serves as an economic development driver in Tennessee.

Help Tennessee Become the #1 Location in the Southeast for High-Quality Jobs

TAEBC champions advanced energy as a job creation and economic development strategy. According to the 2018 Advanced Energy Economy Impact Report, employment in the advanced energy sector grew by 10.3%, a rate higher than the state’s overall growth rate of 8.3%, since 2013.

  • In 2021, we will be releasing our third Advanced Energy Economy Impact Report. This new report will present a great opportunity to educate and exchange information about Tennessee’s advanced energy sector. We intend to use data from the report to inform actions we can take as a state to maximize economic opportunity from this sector for our economy, specifically in support of Tennessee’s goal to become the number one state in the country for EV manufacturing. We are grateful for TVA and the University of Tennessee’s financial support in this report.

Foster the Growth of Tennessee Advanced Energy Technologies and Startups

The Energy Mentor Network, a partnership between TAEBC and Launch Tennessee, is stronger than ever. The Energy Mentor Network’s goal is to foster the growth of Tennessee advanced energy technologies and startups by connecting entrepreneurs with mentors and industry-specific expertise.

  • In 2020, 35 mentors helped us serve over 20 companies, while a record high number of five companies graduated from the program. Energy Mentor Network companies raised a combined total of $8 million in grants and funding. Here are a couple of highlights from our companies this year:
    • Justin Nussbaum, Founder and Chief Executive Officer of Ascend Manufacturing, launched A Mask for All with two partners to address the global shortage of N95 masks, procedure masks, and personal protective equipment, which are desperately needed by caregivers and healthcare workers on the frontlines of COVID-19.
    • Quantum Lock, co-founded by Erica Grant, won the $3,000 Innov865 Crowd Favorite prize as voted on by viewers of the annual pitch competition during Startup Day 2020, hosted by the Innov865 Alliance.
  • This year’s Innovation Crossroads Showcase took place virtually during Innov865 Week 2020 in September. The event, presented by TAEBC and Launch Tennessee, focused on the value of entrepreneurship in the East Tennessee region and featured pitches from the five Innovation Crossroads Cohort Four startups. Innovation Crossroads Cohort Two alumni participated in a panel discussion where they provided updates on their businesses and reflected on their experience in the Innovation Crossroads program.
  • TAEBC Executive Director Cortney Piper was a featured participant in a panel session on innovative partnerships at this year’s 36|86 Entrepreneurship Festival, presented by LaunchTN. Piper discussed TAEBC’s mission and how the Energy Mentor Network supports this mission by fostering the growth of advanced energy companies and technologies in Tennessee. In a separate panel session, seven members of Innovation Crossroads Cohort Three discussed what is on the horizon for cleantech and energy and how the Tennessee entrepreneurial ecosystem helped their companies over the past year.

Additional 2020 Highlights

In addition to our mission highlights from 2020, TAEBC wants to share several other developments and accomplishments that occurred over the past 12 months.

  • TAEBC awarded Dan Hurst, CEO and Founder of Knoxville-based Strata-G, with the annual Thomas B. Ballard Advanced Energy Leadership Award during TAEBC’s Annual Meeting in March. The award honors exemplary leadership and success in championing, connecting, and strengthening Tennessee’s advanced energy economy. Since founding Strata-G in 2002, Hurst and his 240 employees have contributed to Tennessee’s advanced energy economy through a diversity of advanced energy projects that are committed to improving the state’s communities.
  • TAEBC Executive Director Cortney Piper shared her vision for making Tennessee a global leader in advanced energy innovation and job creation on an October episode of LaunchTN’s Disrupt the Continuum podcast. Piper’s podcast episode, Turning Energy Innovation into Economic Growth, is part of LaunchTN’s #BuildTN series, which explores Tennessee’s entrepreneurial ecosystem.
  • In October, TAEBC celebrated a significant victory for Tennessee’s advanced energy industry with the announcement that GM will build an electric vehicle, the Cadillac Lyriq, at its Middle Tennessee Spring Hill plant. GM’s announcement comes with a planned $2 billion investment for the state and, along with Nissan’s and Volkswagen’s electric vehicle plans, signals opportunities for employment in the advanced energy economy for the people of Tennessee.
  • In November, TAEBC congratulated the University of Tennessee (UT) for receiving the prestigious designation as an Innovation and Economic Prosperity University by the Association of Public and Land-grant Universities. The university has partnered with Oak Ridge National Laboratory (ORNL) over the years to expand a number of energy-related research programs and partnerships that contribute to Tennessee’s advanced energy economy.
  • Volkswagen, UT, and ORNL are partnering to create an innovation hub at the UT Research Park at Cherokee Farm. This will be Volkswagen’s first innovation hub in North America and will offer research opportunities for doctoral students focused on EVs and the use of composite materials to create lighter vehicle components, among others.
  • In December, Piper was featured in a Startup Knox podcast episode where she discussed the creation of TAEBC and all things Knoxville.

Here’s wishing you a Happy Holidays from TAEBC!

TAEBC’s 2020 Opportunities in Energy event emphasizes importance of transportation electrification and advanced energy efforts

The Tennessee Advanced Energy Business Council hosted its annual Opportunities in Energy event virtually this week. The event featured TNECD Commissioner Bob Rolfe, a panel discussion about making Tennessee the destination for the electric vehicle supply chain, and preview of the upcoming Advanced Energy Economic Impact Report.

TAEBC Executive Director Cortney Piper kicked off the festivities by providing an overview of TAEBC’s mission and accomplishments in 2020. She spoke about challenges the state faced due to the COVID-19 pandemic and how Tennessee is uniquely positioned to capitalize on transportation electrification to help with economic recovery efforts 

“Transportation electrification and advanced energy could and should be used as job creation and economic development opportunities to help us rise out of our current crisis,” she said.

Commissioner Rolfe spoke about the importance of recruiting original equipment manufacturers to the Tennessee region, Tennessee’s automotive accomplishments, and the Drive Electric Tennessee initiative. He emphasized that the state is committed to becoming an electric vehicle transportation leader in the southeast.

After his presentation, Commissioner Rolfe was joined by John Hopkins, CEO of IACMI; Mike Swords, Vice President of Government Affairs and International Relations at the Los Angeles Cleantech Incubator; and moderator Tom Rogers, President and CEO of the UT Research Park at Cherokee Farm, for a panel session, “Tennessee’s EVolution: Making the state a destination for the electric vehicle supply chain.” 

Panelists spoke about the importance of electrification efforts, areas of opportunity, and important steps the state can take to accelerate its goal to be the top state in the country for electric vehicle manufacturing. Answering a question about how Tennessee can reach this goal, Commissioner Rolfe said, “The short answer is to recruit, recruit, and recruit.” 

“When we are recruiting, we want to showcase what Tennessee’s great strengths are,” he continued. These strengths include low business taxes, a high quality of living, affordable housing, and being considered one of the most “business friendly states” in the country. 

During the discussion, Swords spoke about a $150 billion federal stimulus proposal by the Transportation Electrification Partnership and LACI. TAEBC signed on to this proposal in July. Swords complimented Tennessee on its investment in transportation electrification. 

“It seems like there really is an aggressive push to achieve some of these big strategic goals for the state and it sounds like you are being quite successful so far,” said Swords. 

Afterward, Piper moderated a panel discussion about the 2021 Advanced Energy Economic Impact Report with Matt Murray, Director of Howard H. Baker Jr. Center; Amy Henry, Director, Transformative Innovation at the Tennessee Valley Authority; and Marc Gibson, Associate Vice Chancellor of Research at University of Tennessee. 

Murray started with an overview of the 2018 Tennessee Advanced Energy Economic Impact Report and discussed the process for creating it. Speaking about the 2018 report, Murray said the advanced energy economy has been “remarkable in terms of its economic performance.”

“The advanced energy sector in Tennessee is growing at a much more rapid pace than other segments of the economy and at a faster rate than the economy as a whole,” said Murray. According to the 2018 report, employment in the sector grew by 10.3 percent, a rate higher than the state’s overall growth rate of 8.3 percent, since 2013. 

Panelists discussed the importance of this data and how the report can help further advanced energy opportunities in the state. Answering a question about how vital institutions such as UT and TVA can use this data, Gibson explained, “This data is critical for us. We look at it holistically.” 

“I think if we can create that ecosystem and develop something that is statewide, we can make something that is very attractive for industry and others to look at the state of Tennessee as a landing spot,” said Gibson. “We want to be right in the middle of that. I think we have a responsibility to the state and really the region to do that.” 

Missed or loved the event? Watch the recording here and TNECD’s “Tennessee’s Electric Vehicle Evolution” video here.

Opportunities in Energy 2020

Mark your calendars to join TAEBC for its virtual Opportunities in Energy 2020 event on December 8, 2020, beginning at 3:00 pm EST! This virtual event will feature Commissioner Bob Rolfe as we discuss making Tennessee a destination for the electric vehicle supply chain and the Advanced Energy Economic Impact Report preview. RSVP here.

Run of Show:

  • 3:00 p.m. EST: Opening remarks
  • 3:15 p.m. EST: Presentation by Bob Rolfe, TNECD Commissioner
  • 3:22 p.m. EST: “Tennessee’s EVolution: Making the state a destination for the electric vehicle supply chain”
    • Panelists include:
      • Bob Rolfe, TNECD Commissioner
      • John Hopkins, CEO, IACMI
      • Mike Swords, Transportation Electrification Partnership/ LA Cleantech Incubator
      • Moderator: Tom Rogers, President and CEO, UT Research Park at Cherokee Farm
  • 3:47 p.m. EST: Audience Q&A
  • 4:00 p.m. EST: “AE Economic Impact Report Preview”
    • Panelists include:
      • Matt Murray, Director, Howard H. Baker Jr. Center
      • Amy Henry, Director, Transformative Innovation, TVA
      • Marc Gibson, Associate Vice Chancellor of Research, University of Tennessee
      • Moderator: Cortney Piper, Executive Director, TAEBC
  • 4:25 p.m. EST: Closing remarks
The event will be hosted via Zoom Webinar.

Register for Opportunities in Energy 2020!

The Tennessee Advanced Energy Business Council will host its annual Opportunities in Energy 2020 event on December 8, 2020, beginning at 3:00 pm EST. This virtual event will feature TNECD Commissioner Bob Rolfe as we discuss making Tennessee a destination for the electric vehicle supply chain and an Advanced Energy Economic Impact Report preview.

Confirmed speakers  include:

  • Bob Rolfe, TNECD Commissioner
  • John Hopkins, CEO, IACMI
  • Mike Swords, Transportation Electrification Partnership/ LA Cleantech Incubator
  • Tom Rogers, President and CEO, UT Research Park at Cherokee Farm
  • Matt Murray, Director, Howard H. Baker Jr. Center
  • Amy Henry, Director, Transformative Innovation, TVA
  • Marc Gibson, Associate Vice Chancellor of Research, University of Tennessee

Last year, Opportunities in Energy featured Majid Khan, Managing Director of Strategy and Business Development at Verizon, at The Square Room at Market Square in Downtown Knoxville. Khan spoke talk about 5G and the future of energy in our region and the nation as a whole. Learn more about the 2019 event here.

Register for Opportunities in Energy 2020 here! We hope to see you there.