TVA President and CEO Jeffrey Lyash was paid over $10.5 million in salary, incentives and benefits for the fiscal year just ended, TVA said in an annual report.
His salary was at $1,227,000. However, he earned $6,758,860 in incentive plan compensation.
His pension grew by $2,530,772.
Adding $27,450 in "other compensation," his total for the fiscal year stood at $10,544,082.
Mr. Lyash, 62, was hired in 2019 when his total compensation was $8.2 million.
John M. Thomas III, executive vice president, chief financial officer and strategy officer, received a total $4,552,374.
Donald A. Moul, executive vice president and chief operating officer, received $3,637,337.
Timothy S. Rausch, executive vice president and chief nuclear officer, received $2,202,349.
David B. Fountain, executive vice president and general counsel, received $1,558,069.
TVA reported $12.1 billion in total operating revenues on 157 billion kilowatt-hours of electricity sales for the year ended Sep. 30. Total operating revenues decreased 3.9 percent over last year, primarily due to a decrease in fuel cost recovery revenue driven by lower fuel rates and lower sales volume, it was stated.
Officials said, "TVA experienced unprecedented conditions caused by Winter Storm Elliott, resulting in several power demand records, including the highest 24-hour electricity demand, and highest winter peak demand, in TVA history. TVA also experienced some of the highest summer demand in 15 years - for three consecutive days in late August, TVA experienced peak loads of 31,000 megawatts or greater. Despite the weather extremes, sales of electricity decreased approximately three percent during 2023 as compared to the prior year, driven by overall milder weather and lower sales to industries."
Mr. Lyash said, “The strength of TVA has always been its people. I am immensely proud of the hard work and commitment of our employees, who respond to tough challenges each and every day. Our priority is to deliver for the communities and people of the Tennessee Valley region, ensuring that we provide affordable, reliable and clean energy now and in the future.”
Fuel and purchased power expense was $306 million lower, driven primarily by a decrease in purchased power expense due to lower demand for energy and higher availability of nuclear generation. Fifty-five percent of TVA’s power supply was carbon-free in fiscal year 2023 - coming from nuclear, hydroelectric and other renewables.
Mr. Thomas said, “TVA’s stable wholesale rates, credits to customers and communities, and the benefits of our diverse power system all played a role in keeping TVA’s electricity costs among the lowest in the country. TVA remains in the best financial health in decades, which has positioned TVA well to make substantial investments in the coming years that will help our region benefit for years to come.”
Operating and maintenance expense increased by $386 million driven primarily by labor costs, TVA’s New Nuclear Program, and an increase in outage and contract labor expense. Depreciation and amortization expense increased $159 million over the prior year, primarily due to an increase in depreciation expense associated with coal retirement decisions, and an increase in amortization expense of decommissioning costs recovered in rates.
Interest expense was $4 million higher for the year ended Sep. 30, with lower interest on long-term debt helping to offset the impact of rising interest rates.
TVA’s net income was $500 million for the fiscal year 2023, which was $608 million lower than the prior year due mainly to lower operating revenues and higher operating expenses.