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Modernizing Power: From Coal to Fusion Energy

State: Tennessee

Region: Southeast

Agency: Dept. of Energy

Laboratory:
Oak Ridge National Laboratory (ORNL)

Just 15 minutes east of Oak Ridge National Laboratory (ORNL), outside of Knoxville, Tennessee, there was a decommissioned coal plant called Bull Run. As the nation’s focus shifted beyond traditional sources of power like coal, gas, and oil toward modern alternatives, Oak Ridge helped make Bull Run a symbol of that evolution.

ORNL, with the Tennessee Valley Authority (TVA) and Tennessee Department of Economic and Community Development (TNECD), wanted to create reliable fusion power and stimulate the local economy while doing it. The defunct Bull Run Fossil Plant became the perfect setting for this work.

Together, ORNL, TVA, and TNECD secured an investment of more than $220 million from Tennessee-based Type One Energy Group to fund a significant initiative for fusion energy development at Bull Run. As part of that investment, Type One Energy will build Infinity One, a stellarator fusion prototype and research facility to advance development of emissions-free power generation and bolster economic growth in the region. Stellarators could be key to bringing fusion power to life, as these machines allow scientists to control plasma particles through powerful magnetic fields.

An obvious benefit is that the project essentially recycles a coal plant. But this investment and research will also create new jobs and bolster the local economy, positioning the region as a hub for cutting-edge energy development.

Type One Energy, for its part, is a leader in fusion energy and was drawn to the region largely because of ORNL, a world leader in nuclear energy research and innovation. The initial collaboration among ORNL, TNECD, and TVA played a major role in attracting the company, too.

In May 2023, the Department of Energy announced $46 million for its Milestone-Based Fusion Development Program. Type One Energy was one of eight companies awarded funds to advance designs for fusion power plants. In August 2023, Type One Energy signed a Memorandum of Understanding with ORNL and TVA, outlining goals to develop and commercialize fusion energy technologies, while leveraging TNECD’s support. 

The process moved quickly, thanks to established communication channels among the organizations. This team drew upon one another’s strengths, creating a compelling value proposition that led to a multimillion-dollar investment, significant jobs, and a future where Tennessee is synonymous with fusion energy.

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 Energy 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. 

Beyond Type One Energy’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. 

In the coming years, the demand for energy is expected to surge. Nuclear capacity must increase substantially. This partnership intends to expand the nation’s power options while also boosting the economy and repurposing a decommissioned energy resource.

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