HB 1859 - Guy - Clean energy and other programs; local financing when owner costs are incurred.  (Passed both the House and the Senate and is now before the Governor for Signature)

  • Changes the parameters for local ordinances authorizing loan contracts for the installation by property owners of clean energy, resiliency, or stormwater management improvements.
  • The bill provides that if the property owner incurred the costs of improvements to be refinanced or reimbursed within the two years prior to the closing date of the financing, the loan amount may include the total costs of the improvements to be refinanced or reimbursed.
  • The bill removes the requirement that the applicable local ordinance include the proposed interest rate for the loan program and the maximum aggregate dollar amount that may be financed with respect to a property, and it provides that no loan offered under the program shall be used to improve a residential dwelling that contains fewer than five dwelling units or a residential condominium.
  • The bill alters the fee options available to the locality and provides that the placement of a voluntary special assessment lien does not require a new assessment of the value of the real property.
  • The bill contains technical amendments.

 

HB 1907 - Sullivan - Electric utilities; advanced renewable energy buyers. (Reported from Senate Commerce and Labor Committee 15-Y 0-N)

  • Provides that certain accelerated renewable energy buyers that are customers of Dominion Energy Virginia and had subscribed to, as of March 1, 2020, a voluntary companion experimental tariff offering for the purchase of renewable attributes from renewable energy facilities that requires a renewable facilities agreement and the purchase of a minimum of 2,000 renewable attributes annually is exempt from the allocation of the net costs related to procurement of new solar or onshore wind generation capacity, energy, or environmental attributes, or energy storage facilities, by Dominion Energy Virginia.
  • The exemption is based on the amount of Renewable Energy Certificates associated with the customer's renewable facilities agreements associated with the tariff offering in proportion to the customer's total electric energy consumption, on an annual basis.

 

HB 1919 - Kory - Local green banks; authorizes a locality, by ordinance, to establish. (Reported from Senate Committee on Local Government with substitute 8-Y 5-N)

  • Authorizes a locality, by ordinance, to establish a green bank to promote the investment in clean energy technologies in its locality and provide financing for clean energy technologies, defined in the bill.
  • The bill establishes certain powers and functions of a green bank, including developing rules and procedures, financing and providing loans for clean energy projects, and stimulating demand for renewable energy.
  • The bill requires the green bank to be a public entity, quasi-public entity, or nonprofit entity and requires the locality to hold a hearing and publish notice in a newspaper of general circulation prior to establishing the green bank.

 

SB 1420 - Edwards - Electric utilities; non-jurisdictional customers; third party power purchase agreements. (Reported from Labor and Commerce 21-Y 0-N)

  • Provides that for pilot programs under which an owner or operator of a renewable energy generation facility sells electricity to an eligible customer-generator through a third-party power purchase agreement, both jurisdictional and non-jurisdictional customers may participate on a first-come, first-serve basis.

 

Defeated:

 

HB 1914 - Helmer - Electric utilities; triennial review, period costs, rate reductions. (Passed by Indefinitely (defeated) in Senate Commerce and Labor Committee 8-Y 7-N)

  • Provides that in a triennial review proceeding, certain utility generation and distribution costs that are not proposed for recovery under various cost recovery mechanisms, at the State Corporation Commission's discretion, may be attributed to the test periods under review and deemed fully recovered or, if the utility has earned below a certain threshold, may be deferred for recovery over future periods.
  • Under current law, such attribution is required unless the utility has earned below a certain threshold, in which case deferred recovery of the costs is required.
  • The provisions of the bill apply to the first triennial review of Dominion Energy Virginia conducted after January 1, 2021.
  • This bill incorporates HB 1835.

 

HB 1984 - Hudson - Electric utilities; triennial review, proceeding by SCC, fair rates of return. (Passed by Indefinitely (defeated) with letter to the commission 11-Y 4-N)

  • Provides that the State Corporation Commission, in any triennial review proceeding, including the first triennial review proceeding conducted after January 1, 2021, for Dominion Energy Virginia, may use any methodology it finds consistent with the public interest to determine fair rates of return on common equity for the utility's generation and distribution services.
  • In any such triennial review, regardless of whether the utility earned above or below its authorized rate of return during the test period under review, the Commission also may order any increases or decreases to the utility's rates for generation and distribution that it deems necessary and appropriate, as long as the resulting rates provide the utility with the opportunity to (i) fully recover its costs of providing its services and (ii) earn an authorized rate of return.

 

HB 2048 - Bourne - Electric utility regulation; purchasing from competitive suppliers. (Passed by indefinitely (defeated) with letter to the commission 11-Y 4-N)

  • Authorizes individual retail customers of electric energy to purchase electric energy provided 100 percent from renewable energy from any licensed competitive supplier of electric energy, including any incumbent electric utility.
  • Currently, such customers may purchase electric power from such suppliers, other than an incumbent electric utility that is not the incumbent electric utility serving the exclusive territory in which the customer is located, only if their incumbent electric utility does not offer an approved tariff for electric energy provided 100 percent from renewable energy.
  • The measure also provides that a cooperative utility customer eligible to take service under a tariff for electric energy provided 100 percent from renewable energy is prohibited from purchasing electric energy provided 100 percent from renewable energy from a licensed supplier, except such customer is authorized to continue purchasing renewable energy pursuant to the terms of a power purchase agreement in effect on the date the cooperative serving it filed with the Commission such tariff for electric energy provided 100 percent from renewable energy for the duration of such agreement.
  • The measure requires that, within three months after the enactment of this act or within three months after beginning to offer a 100 percent renewable energy product to residential customers, whichever is later, licensed competitive suppliers that offers 100 percent renewable energy to residential customers in the service territory of Dominion Energy Virginia or Appalachian Power, to submit a proposal to the State Corporation Commission for consideration and approval to offer discounted service to low-income customers.
  • The measure requires such proposal to include a 100 percent renewable product to be offered to a minimum number of low-income customers at a rate ten percent lower than the incumbent electric utility’s standard residential rate for non-renewable supply service for a minimum initial term of twelve months.

 

HB 2049 - Bourne - Electric utilities; eliminates customer credit reinvestment offsets. (Passed by indefinitely (defeated) with letter to the commission 11-Y 4-N)

  • Eliminates customer credit reinvestment offsets under which a utility is allowed, upon request, to reduce or eliminate amounts of overearnings that otherwise would be required to be credited to customers by applying a customer credit reinvestment offset for expenses on new solar and wind generation facilities and electric distribution grid transformation projects.

 

HB 2200 - Jones - Electric utilities; triennial review. (Passed by indefinitely (defeated) with letter to the commission 11-Y 4-N)

  • Makes various changes to procedures under which the State Corporation Commission reviews the earnings and sets the rates of investor-owned incumbent electric utilities. The bill requires the Commission, in determining a fair rate of return on common equity for an investor-owned utility, to consider the average of either (i) the returns on common equity reported to the Securities and Exchange Commission for the three most recent annual periods for which such data is available by not less than a majority of a selected peer group of the utility or (ii) the authorized returns on common equity that are set by the applicable regulatory commissions for the same selected peer group. Under current law, the Commission is required to set such return not lower than either such average.
  • The bill provides that in a triennial review proceeding, certain utility generation and distribution costs that are not proposed for recovery under various cost recovery mechanisms, at the Commission's discretion, may be attributed to the test periods under review and deemed fully recovered or, if the utility has earned below a certain threshold, may be deferred for recovery over future periods. Under current law, such attribution is required unless the utility has earned below a certain threshold, in which case deferred recovery of the costs is required.
  • The bill requires the Commission to direct that 100 percent of the amount of a utility's earnings above a certain threshold be credited to customers' bills. Under current law, the Commission is required to direct that 70 percent of such overearnings be credited to customers' bills.
  • The bill provides that if revenue reductions related to energy efficiency measures or other programs cause a utility to earn below a certain threshold, or if for reasons other than revenue reductions the utility earns below a certain threshold, the Commission may order increases to the utility's rates for generation and distribution services necessary to recover such revenue reductions.
  • Under current law, the Commission is required to order such an increase. The bill eliminates provisions that limit any rate reduction ordered by the Commission in the first triennial review of Dominion Energy Virginia after January 1, 2021, to $50 million in annual revenues.
  • The bill provides that the Commission may determine that certain capital investment amounts by a utility may offset any customer bill credit amounts. Under current law, such the Commission is required to determine that such investments offset customer bill credit amounts.
  • The bill provides that in any triennial review the Commission may order any rate increase or decrease to a utility's rates for generation and distribution services it deems necessary and appropriate, so long as the resulting rates provide the utility with the opportunity to fully recover its costs and earn an authorized rate of return on its generation and distribution services.
  • The provisions of the bill apply to all triennial reviews, including the first triennial review of Dominion Energy Virginia conducted after January 1, 2021.
  • This bill incorporates HB 2057.