Government
11:54 am
Tue September 3, 2013

TVA Won't Ask Congress to Raise Borrowing Cap

Credit TVA / tva.com

Tennessee Valley Authority says it’s not going to ask Congress to raise its borrowing cap for at least a decade.

The federal utility says slowing demand for electricity means it could reduce its net borrowing in the next two years and whittle down its debt by $5 billion in a decade. A few years ago TVA officials worried Congress’s $30 billion debt cap would be a problem. Now TVA expects its debt to peak just below the cap in 2015, then decline.

The utility provides power to about 9 million people in Kentucky, Tennessee and several other southern states.