Energy

Electric utilities; licensed retail suppliers; notice period for return to service. Permits an individual nonresidential retail customer of electric energy of Appalachian Power or Dominion Energy Virginia whose noncoincident peak demand exceeded five megawatts during the most recent calendar year to purchase electric energy from a licensed supplier within the Commonwealth. Currently, such a customer may only purchase electric energy from a licensed supplier if the customer's peak demand did not exceed one percent of the incumbent electric utility's peak load during the most recent calendar year unless the customer had a noncoincident peak demand of more than 90 megawatts. The bill changes from five years to eighteen months the advance notice period required for such a customer to return to service by an incumbent electric utility. This bill is identical to SB 818.

Electric utilities; small portable solar generation devices; local regulation; installation by tenants; consumer protection. Prevents a locality from prohibiting the use of a small portable solar generation device, as defined in the bill, on a residential structure, provided that certain requirements are met. The bill includes provisions related to the installation of small portable solar generation devices by tenants and prevents landlords from prohibiting such installation in certain circumstances. Under the bill, small portable solar generation devices are excluded from the provisions of net metering programs applicable to eligible agricultural customer-generators, eligible customer-generators, or small agricultural generating facilities. The bill also permits any electric utility customer to own and operate a small portable solar generation device, provided that certain requirements are met. The bill prohibits an investor-owned utility, municipal utility, or electric cooperative from imposing interconnection requirements, charging any fee related to the device, or requiring that the customer obtain the utility's approval before installing or using the device. Under the bill, no electric utility, municipal utility, electric cooperative shall be liable for damage or injury caused by a small portable solar generation device. The bill directs the State Corporation Commission to develop and publish a notification form for a customer of an electric utility or cooperative to install a small portable solar generation device and directs the Secretary of Commerce and Trade to convene a work group to evaluate and develop recommendations regarding the safety standards and requirements applicable to small portable solar generation devices. Certain provisions of the bill become effective on January 1, 2027. This bill incorporates HB 289 and HB 928 and is identical to SB 250.

Clean energy and community flood preparedness; market-based trading program. Directs the Department of Environmental Quality and the State Air Pollution Control Board to establish and maintain a market-based trading program consistent with the Regional Greenhouse Gas Initiative program, as defined in existing law, to reduce carbon dioxide emissions from electricity generating units in the Commonwealth. This bill is identical to SB 802.

Virginia Clean Energy Research and Support Center; established. Establishes the Virginia Clean Energy Research and Support Center (the Center) as an interdisciplinary study, research, and informational resource for individuals and businesses in the Commonwealth. The Center is governed by a board of directors that includes representatives from several colleges and universities in the Commonwealth, the Department of Energy, the Department of Environmental Quality, and the Commission on Electric Utility Regulation. The board is directed to establish an advisory council to provide expertise and guidance related to the functions and duties of the Center. Functions and duties of the Center include providing technical assistance in matters related to energy technologies, siting, permitting, project design, interconnection, electric infrastructure, electric utilities, ratepayer proceedings, and environmental impacts of energy projects. Under the bill, the Center shall conduct an annual evaluation and collaborate with state agencies and institutions of higher education to provide technical assistance, research, or support in matters related to siting and permitting, programs to improve electric grid reliability, energy programs established at a participating institution of higher education, and administration and implementation of the Virginia Energy Plan. The bill also requires the Center to submit an annual report to the Commission on Electric Utility Regulation summarizing its research activities and any funding received by the Center by November 1 of each year.This bill is a recommendation of the Commission on Electric Utility Regulation.

Tax credit; solar energy equipment. Establishes a nonrefundable income tax credit for taxable years 2026 through 2030 for individuals who incur allowable expenses, as defined in the bill, for the purchase and installation of solar energy equipment, also defined in the bill. An individual who properly claims this credit shall be allowed a credit in the amount of 15 percent of the cost of such equipment and allowable expenses, up to $1,000. The aggregate amount of credits allowable under the provisions of the bill shall not exceed $5 million per taxable year.

Land development; solar canopies in parking areas. Provides that any locality may include in its land development ordinances a provision that requires that an applicant must install a solar canopy over designated surface parking areas. Such provisions shall apply only to nonresidential parking areas with 100 or more new off-street contiguous parking spaces and may require coverage of up to 50 percent of the surface parking area. The bill provides that an ordinance adopted pursuant to this bill shall be subject to various additional requirements and shall allow for deviations, in whole or in part, from the requirements of the ordinance when its strict application would prevent the development of uses and densities otherwise allowed by the locality's zoning or development ordinance or when a property owner shows that the solar canopy, if installed as otherwise required under the ordinance, will generate less than 75 percent of the electricity that would be expected, given the nameplate capacity of the solar modules installed on such canopy, if the canopy were to be installed at another location in the locality without surrounding impediments to insolation such as buildings or shading vegetation. Finally, the bill provides that the applicant or owner may use the electric energy generated from such solar canopy to offset the consumption of the parking lot or adjoining building served under the same account. The bill has a delayed effective date of July 1, 2027. This bill incorporates HB 457 and is identical to SB 26.

Virginia Brownfield and Coal Mine Renewable Energy Grant Fund. Increases from $100 per kilowatt of nameplate capacity from renewable energy sources that are located on brownfields to $200 per kilowatt of nameplate capacity from renewable energy sources that are located on brownfields the grant amount a project developer can receive from the Virginia Brownfield and Coal Mine Renewable Energy Grant Fund. This bill is a recommendation of the Commission on Electric Utility Regulation.

Virginia Solar Energy and Battery Energy Storage Systems Grant Program. Establishes the Virginia Solar Energy and Battery Energy Storage Systems Grant Program (the Program), subject to appropriation by the General Assembly, for the purposes of (i) coordinating and supporting the development of solar energy and short duration battery energy storage industries and projects by public or private entities; (ii) evaluating and approving solar energy and short duration battery energy storage projects as qualified projects for the purposes of the Program; and (iii) determining which items and services are considered eligible project costs for a given qualified project, as defined in the bill. The bill provides requirements for what can be considered a qualified solar energy and short duration battery energy storage project based on whether the use of such project is for a residential, commercial and industrial, or utility-scale project. Finally, the bill directs the Department of Energy to monitor allocation of the grant awards and maintain a public dashboard displaying certain information on the solar energy and short duration battery energy storage installations.

Department of Energy; use of waste heat from data centers; findings and recommendations; work group; report. Directs the Department of Energy to lead efforts to accelerate the use of waste heat from data centers in the Commonwealth by making certain findings and recommendations and convening a work group to provide expertise, assistance, and feedback on the Department's efforts. The bill requires the Department to submit a report of its efforts, findings, legislative proposals, and recommendations no later than September 1, 2026.

Smart Solar Permitting Platform established; residential solar energy systems; work group; report. Creates the Smart Solar Permitting Platform (the Platform) to serve as a tool for (i) contractors to obtain permits for the construction of streamline-eligible residential solar energy systems and (ii) localities to process applications for such permits. The bill requires the Department of Energy to establish, launch, and administer the Platform by July 1, 2027, as an internet-based platform that automates plan review and instantly releases a permit or a permit revision to construct certain residential solar energy systems that comply with any applicable building codes and state laws. The bill requires localities to allow contractors to submit an application to construct a residential solar energy system through the Platform or through an alternative automated solar permitting platform by July 1, 2028. The bill requires any locality that chooses to use an alternative automated solar permitting platform to submit an annual report to the Department no later than March 1 of each year. The bill directs the Director of the Department to convene a work group to determine the appropriateness of adding a surcharge to local government permitting fees to defray state costs for the Platform and to report its findings to the General Assembly on or before November 1, 2026. This bill is identical to SB 382.