TVA Breaks Ground on New Energy Plant in Mississippi

October 24, 2025|

Image courtesy of Tennessee Valley Authority 

 

By MATT SMITHMIER

CALEDONIA, Miss. – While an official groundbreaking ceremony took place Oct. 22 for the New Caledonia Combustion Turbine Plant, construction is already underway on the latest project from the Tennessee Valley Authority.

A general contractor has not yet been named.

The six-turbine, natural gas-powered plant will eventually occupy the 145-acre site just outside Caledonia, Miss., and will add approximately 500 megawatts of power to the grid –  enough electricity to supply about 250,000 homes in the region. The site will use combustion turbines, which convert fuel into mechanical energy that’s then used to generate electricity.

“When you bring infrastructure to an area, you bring other things, like, you know, plants, retail, housing,” Matt Furnari, District 1 Lowndes County board of supervisors, told WCBI FOX-4. “So, the better your infrastructure is, you’re going to bring more things to the community and improve the community.”

The $800 million investment is expected to create nearly 200 new jobs and should be completed by May 2028.

 

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