A federal judge in the U.S. District Court for the Eastern District of Tennessee has voided the Tennessee Valley Authority’s approval to build the 1.5-GW Kingston Gas Plant, ruling that TVA made “fundamental” errors that violated the National Environmental Policy Act, RTO Insider reported. The court ordered TVA to vacate both its environmental impact statement and its record of decision for the $2.2 billion project. TVA, which began construction at the Kingston, Tennessee site in mid-2025 and reported active foundation work and turbine deliveries as recently as April 2026, said it plans to appeal and filed a request in early September 2026 to disregard the ruling and continue building.
What it means
The ruling directly affects a plant already under construction: TVA reported in April 2026 that crews were working on foundations, had accepted delivery of gas and steam turbines, and had set the first aeroderivative unit in place. The court’s order to vacate the environmental review puts that progress in legal jeopardy, though TVA’s request to proceed despite the ruling means construction status remains unsettled pending further court action.
The Southern Environmental Law Center, which sued TVA in 2024 on behalf of Appalachian Voices, the Center for Biological Diversity, and the Sierra Club, argued that TVA had illegally committed $275 million in ratepayer funds to pipeline infrastructure through a contract with Enbridge more than two years before completing its required decision-making process, and that TVA failed to consider lower-cost or environmentally preferable alternatives. The EPA had separately deemed TVA’s final environmental impact statement inadequate in 2024, raising concerns about climate risks and increased air pollution. The Kingston site also carries historical significance as the location of TVA’s 2008 coal ash disaster, in which a ruptured earthen dike released more than a billion gallons of coal slurry into surrounding neighborhoods. Separately, TVA’s board voted unanimously in February 2026 to keep coal-fired units at Kingston and Cumberland Fossil Plants running indefinitely past their scheduled 2027 retirement date.
Key facts
- Plant: Kingston Gas Plant, Kingston, Tennessee — 1.5-GW capacity
- Cost: $2.2 billion (TVA figure)
- Court: U.S. District Court for the Eastern District of Tennessee; order dated August 31 (sealed)
- Violation found: National Environmental Policy Act
- TVA approval date: April 2024 (gas plant and 122-mile Ridgeline gas pipeline)
- Construction start: mid-2025; foundation and turbine work reported April 2026
- Pipeline commitment: $275 million in ratepayer funds to Enbridge, committed more than two years before decision-making was complete
- Plaintiffs: Appalachian Voices, Center for Biological Diversity, Sierra Club — represented by Southern Environmental Law Center; suit filed 2024
- TVA Board vote: February 2026, unanimous decision to extend coal operations at Kingston and Cumberland past 2027
- Kingston Fossil Plant: nine coal-fired units, 1.4-GW capacity
Source: RTO Insider, reporting on U.S. District Court for the Eastern District of Tennessee ruling and TVA filings
Source: rtoinsider.com