Government
11:54 am
Tue September 3, 2013

TVA Won't Ask Congress to Raise Borrowing Cap

Credit 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.