Bill Text: VA SB1247 | 2021 | 1st Special Session | Prefiled
Bill Title: Electric generating facility closures; public disclosure, integrated resource plans.
Spectrum: Partisan Bill (Democrat 1-0)
Status: (Passed) 2021-03-11 - Governor: Acts of Assembly Chapter text (CHAP0042) [SB1247 Detail]
Download: Virginia-2021-SB1247-Prefiled.html
Be it enacted by the General Assembly of Virginia:
1. That §56-580 of the Code of Virginia is amended and reenacted as follows:
§56-580. Transmission and distribution of electric energy.
A. Subject to the provisions of §56-585.1, the Commission shall continue to regulate pursuant to this title the distribution of retail electric energy to retail customers in the Commonwealth and, to the extent not prohibited by federal law, the transmission of electric energy in the Commonwealth.
B. The Commission shall continue to regulate, to the extent not prohibited by federal law, the reliability, quality and maintenance by transmitters and distributors of their transmission and retail distribution systems.
C. The Commission shall develop codes of conduct governing the conduct of incumbent electric utilities and affiliates thereof when any such affiliates provide, or control any entity that provides, generation, distribution, or transmission services, to the extent necessary to prevent impairment of competition. Nothing in this chapter shall prevent an incumbent electric utility from offering metering options to its customers.
D. The Commission shall permit the construction and operation
of electrical generating facilities in Virginia upon a finding that such
generating facility and associated facilities (i) will have no material adverse
effect upon reliability of electric service provided by any regulated public
utility, (ii) are required by the public convenience and necessity, if a
petition for such permit is filed after July 1, 2007, and if they are to be
constructed and operated by any regulated utility whose rates are regulated
pursuant to §56-585.1, and (iii) are not otherwise contrary to the public
interest. In review of a petition for a certificate to construct and operate a
generating facility described in this subsection, the Commission shall give
consideration to the effect of the facility and associated facilities on the
environment and establish such conditions as may be desirable or necessary to
minimize adverse environmental impact as provided in §56-46.1, unless exempt
as a small renewable energy project for which the Department of Environmental
Quality has issued a permit by rule pursuant to Article 5 (§10.1-1197.5 et
seq.) of Chapter 11.1 of Title 10.1. In order to avoid duplication of
governmental activities, any valid permit or approval required for an electric
generating plant and associated facilities issued or granted by a federal,
state or local governmental entity charged by law with responsibility for
issuing permits or approvals regulating environmental impact and mitigation of
adverse environmental impact or for other specific public interest issues such
as building codes, transportation plans, and public safety, whether such permit
or approval is prior to or after the Commission's decision, shall be deemed to
satisfy the requirements of this section with respect to all matters that (i) (a)
are governed by the permit or approval or (ii) (b) are within the authority
of, and were considered by, the governmental entity in issuing such permit or
approval, and the Commission shall impose no additional conditions with respect
to such matters. Nothing in this section shall affect the ability of the
Commission to keep the record of a case open. Nothing in this section shall
affect any right to appeal such permits or approvals in accordance with
applicable law. In the case of a proposed facility located in a region that was
designated as of July 1, 2001, as serious nonattainment for the one-hour ozone
standard as set forth in the federal Clean Air Act, the Commission shall not
issue a decision approving such proposed facility that is conditioned upon
issuance of any environmental permit or approval. The Commission shall complete
any proceeding under this section, or under any provision of the Utility
Facilities Act (§56-265.1 et seq.), involving an application for a certificate,
permit, or approval required for the construction or operation by a public
utility of a small renewable energy project as defined in §10.1-1197.5, within
nine months following the utility's submission of a complete application
therefore. Small renewable energy projects as defined in §10.1-1197.5 are in
the public interest and in determining whether to approve such project, the
Commission shall liberally construe the provisions of this title.
E. Nothing in this section shall impair the distribution
service territorial rights of incumbent electric utilities, and incumbent
electric utilities shall continue to provide distribution services within their
exclusive service territories as established by the Commission. Subject to the
provisions of §56-585.1, the Commission shall continue to exercise its
existing authority over the provision of electric distribution services to
retail customers in the Commonwealth including, but not limited to, the
authority contained in Chapters 10 (§56-232 et seq.) and 10.1 (§56-265.1 et
seq.) of this title.
F. Nothing in this chapter shall impair the exclusive
territorial rights of an electric utility owned or operated by a municipality
as of July 1, 1999, or by an authority created by a governmental unit exempt
from the referendum requirement of §15.2-5403. Nor shall any provision of this
chapter apply to any such electric utility unless (i) that municipality or that
authority created by a governmental unit exempt from the referendum requirement
of §15.2-5403 elects to have this chapter apply to that utility or (ii) that
utility, directly or indirectly, sells, offers to sell or seeks to sell
electric energy to any retail customer eligible to purchase electric energy
from any supplier in accordance with §56-577 if that retail customer is
outside the geographic area that was served by such municipality as of July 1,
1999, except (a) any area within the municipality that was served by an
incumbent public utility as of that date but was thereafter served by an
electric utility owned or operated by a municipality or by an authority created
by a governmental unit exempt from the referendum requirement of §15.2-5403
pursuant to the terms of a franchise agreement between the municipality and the
incumbent public utility, or (b) where the geographic area served by an
electric utility owned or operated by a municipality is changed pursuant to
mutual agreement between the municipality and the affected incumbent public
utility in accordance with §56-265.4:1. If an electric utility owned or
operated by a municipality as of July 1, 1999, or by an authority created by a
governmental unit exempt from the referendum requirement of §15.2-5403 is made
subject to the provisions of this chapter pursuant to clause (i) or (ii) of this subsection, then in
such event the provisions of this chapter applicable to incumbent electric
utilities shall also apply to any such utility, mutatis mutandis.
G. The applicability of all provisions of this chapter except
§56-594 to any investor-owned incumbent electric utility supplying electric
service to retail customers on January 1, 2003, whose service territory
assigned to it by the Commission is located entirely within Dickenson, Lee,
Russell, Scott, and Wise Counties shall be suspended effective July 1, 2003, so
long as such utility does not provide retail electric services in any other
service territory in any jurisdiction to customers who have the right to
receive retail electric energy from another supplier. During any such
suspension period, the utility's rates shall be (i) its capped rates
established pursuant to §56-582 for the duration of the capped rate period
established thereunder, and (ii) determined thereafter by the Commission on the
basis of such utility's prudently incurred costs pursuant to Chapter 10 (§
56-232 et seq.) of this title.
H. The expiration date of any certificates granted by the Commission pursuant to subsection D, for which applications were filed with the Commission prior to July 1, 2002, shall be extended for an additional two years from the expiration date that otherwise would apply.
I. Effective July 1, 2021, the owner of any electrical generating facility located in Virginia that emits carbon dioxide as a by-product of combusting fuel and has received a certificate granted by the Commission pursuant to subsection D shall perform a facility retirement study at least every 18 months and report the results of the study to the Commission; the Department of Environmental Quality; the Department of Mines, Minerals and Energy; the Department of Housing and Community Development; the Virginia Employment Commission; the Virginia Council on Environmental Justice; and the appropriate planning district commission, county board of supervisors, city council, or mayor. The results of any such facility retirement study submitted by an owner of an electrical generating facility shall be made publicly available. Whenever the owner of an electrical generating facility decides to retire such facility before the end of its expected useful life, such owner shall notify, within 14 days of the decision, the Commission; the Department of Environmental Quality; the Department of Mines, Minerals and Energy; the Department of Housing and Community Development; the Virginia Employment Commission; the Virginia Council on Environmental Justice; and the appropriate planning district commission, county board of supervisors, city council, or mayor.
