THE PROBLEM: Traditional sources of power — think coal, gas, and oil — are under the microscope for contributing to climate change. Federal laboratories are looking to modern alternatives to power generation for innovative solutions to the issue — and hoping to generate positive contributions to the economy along the way. Oak Ridge National Laboratory (ORNL), Tennessee Valley Authority (TVA), and the Tennessee Department of Economic and Community Development (TNECD) intend to do both, using a decommissioned coal plant in eastern Tennessee and partnering with a major investor in the fusion energy space. 

THE SOLUTION: ORNL, TVA, and TNECD secured an investment of at least $223 million from Tennessee-based Type One Energy Group to fund a significant initiative for fusion energy development at TVA’s decommissioned Bull Run Fossil Plant outside of Knoxville, Tennessee. Type One will build Infinity One, a stellarator fusion prototype and research facility to advance development of carbon-free power generation and bolster economic growth in the region. The project not only repurposes a retired coal plant but also positions the area as a hub for cutting-edge energy development, creating new economic opportunities. 

THE TECH TRANSFER MECHANISM: Type One is a leader in fusion energy, drawn to the region largely because of ORNL, a world-leading innovator in nuclear energy. ORNL leverages its unique facilities to accelerate next-generation technology deployment, making it a key factor in Type One’s decision to commit to eastern Tennessee. The initial collaboration among ORNL, TNECD, and TVA played a major role in attracting the company. In May 2023, the Department of Energy announced $46 million for its Milestone-Based Fusion Development Program. Type One was one of eight companies awarded funds to advance designs for fusion power plants. This award set in motion engagement between Type One, ORNL, TVA, and TNECD. In August 2023, Type One signed a Memorandum of Understanding with ORNL and TVA, outlining goals to develop and commercialize fusion energy technologies. 

The process moved quickly, thanks to established communication channels among the organizations. This team leveraged one another’s strengths, creating a compelling value proposition that led to a multi-million-dollar investment, significant jobs, and a future where Tennessee is synonymous with fusion energy. The innovative project demonstrated significant collaborative efforts in integrated expertise, streamlined communication, long-term relationship building, and process flexibility. The deep integration, trust, and vision of a national laboratory, a major utility, and a state economic development agency were key to attracting Type One to the region. The speed at which the project progressed — eight months from initial discussions to announcement — speaks to the effectiveness of the collaborative approach. 

THE IMPACT: Beyond Type One’s nearly quarter-billion-dollar investment in the region, the project is expected to create 330 high-tech, high-paying jobs. This influx will drive upskilling of the local workforce and lead to partnerships with local educational institutions for specialized training programs. The long-term vision is to create a regional ecosystem for advanced energy technologies — and the initiative has already had a ripple effect, sparking interest from other fusion companies. The project also strengthens ties between industry and research institutions like ORNL and TVA, attracting research funding and commercial activity to further boost the local economy.