HB 2780 Virginia House of Delegates · 2025 Regular Session

Virginia Electric Utility Regulation Act; definitions.

HB 2780 is a definitional bill that clarifies terms used in Virginia's electric utility regulations, such as "electric utility" or "renewable energy sources." It does not create new policies but establishes standardized definitions to guide future regulatory actions by the State Corporation Commission. The bill is currently pending in the House Committee on Labor and Commerce after a subcommittee recommended it be laid on the table. This type of definitional legislation affects all entities regulated under Virginia's electric utility laws, including utilities, regulators, and potentially ratepayers, by providing clear terminology for future rulemaking. It has no direct financial impact on consumers or businesses at this stage, as it focuses solely on terminology.

Bill status in committee 1 of 4 stages cleared

Introduction

Jan 2025

Committee Review

Floor Vote

Governor

Introduced Jan 17, 2025 Last action Feb 5, 2025

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What changed between versions

Introduced → HLC Sub: Subcommittee #3 Substitute · 6 edits

MODERATE

The bill was amended to strengthen renewable energy and emissions reduction requirements for Virginia utilities. Key changes include adding carbon capture provisions for natural gas plants, increasing Phase II utility solar/wind procurement targets, adjusting RPS compliance percentages, and clarifying definitions around emissions-positive and zero-carbon generating units.

Scope change

The bill's scope was expanded to include carbon capture technology as an exception for natural gas generating units and increased renewable energy procurement obligations for Phase II utilities.

REQUIREMENT

Natural gas electric generating units with carbon capture are now exempt from retirement requirements by December 31, 2045, whereas previously only emissions-positive generating units were exempt.

Phase II utility renewable energy procurement targets were increased from 16,100 megawatts to include 1,100 megawatts of small-scale solar projects and up to 5,200 megawatts of offshore wind capacity.

New requirement added that 35 percent of generating capacity procured by Phase II utilities must come from facilities owned by persons other than the utility.

TIMELINE

RPS Program requirement percentages were adjusted for Phase II utilities, with 2025 target increased to 26% and subsequent years showing higher compliance percentages through 2045.

DEFINITION

Definition of 'Emissions-positive generating units' was modified to clarify that facilities must reduce overall greenhouse gas emissions when comparing fuel combustion effects against prevented emissions.

ELIGIBILITY

Low-income qualifying projects now require at least 25 percent of the one percent RPS requirement for Phase II utilities to be composed of such projects.

Floor votes

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Full legislative history

Actions timeline

Total actions

Key actions

Committee

Jan 28, 2025

Lower · Passed

Subcommittee recommends laying on the table (6-Y 4-N)

lower

Jan 24, 2025

Committee

Assigned L & C sub: Subcommittee #3

lower

Jan 17, 2025

Committee

Referred to Committee on Labor and Commerce

lower

Jan 17, 2025

Introduced

Presented and ordered printed 25105362D

lower

1 primary · 1 co-sponsor