VirginiaHB13932026 Regular SessionHouseWALLET

Electric utilities; pilot program for energy assistance and weatherization for certain individuals.

Sponsored By: Destiny LeVere Bolling (Democratic)

Signed by Governor

Summary

Electric utilities; pilot programs for energy assistance and weatherization for certain individuals. Amends annual funding commitments for the purposes of the annual pilot program for energy assistance and weatherization for low-income, elderly, and disabled individuals conducted by Dominion Energy Virginia and Appalachian Power Company. Under the bill, Appalachian Power Company is required to continue its pilot program at no less than $1 million and no greater than $1.5 million annually. Dominion Energy Virginia is required to continue its pilot program at no less than $156 million and no greater than $204 million for the time period beginning July 1, 2026, and ending July 1, 2038. The bill extends the sunset date of such pilot programs from July 1, 2028, to July 1, 2038.The bill also provides that Dominion Energy Virginia may recover costs associated with certain electrical facilities that have been approved by the State Corporation Commission as of December 1, 2033, provided that certain requirements are met and notwithstanding any limitations on such cost recovery in current law. The bill directs Dominion Energy Virginia to propose to the Commission, in any proceeding to determine rates for generation and distribution services commencing after January 1, 2027, and before July 1, 2033, that certain costs related to capacity procurement requirements and distribution infrastructure investments are allocated to the utility's customer class approved to serve customers with a contracted or measured electric demand of 25 megawatts or greater and an anticipated or measured average annual electric load factor of 75 percent or greater. The bill provides that certain customers in manufacturing, industrial, or consumer goods warehousing and distribution activities other than data storage may elect to remain on their existing rate schedule. The bill requires Dominion Energy Virginia, in connection with its first proceeding to determine rates for generation and distribution services commencing after July 1, 2026, to include in its petition to the Commission a proposal to revise its tariff for supplementary, maintenance, or standby service for customers with power plants, effective as of January 1, 2028. The bill provides that the Commission shall only approve such proposal if it determines that such tariff will not adversely affect other retail customers or the utility in a manner contrary to the public interest, and any revised tariff terms shall include protections against stranded cost risks to the utility customer base. Additionally, the bill authorizes Dominion Energy Virginia to file a petition for the securitization of certain deferred fuel costs. The bill requires the Commission, in evaluating certain petitions, to require to the greatest extent it finds in the public interest the use of wages, salaries, benefits, and other remuneration to any mechanic, laborer, or worker employed, retained, or otherwise hired to perform services in connection with a contract contemplated pursuant to such petition at the prevailing wage rate and to the greatest extent practicable, the use of a skilled workforce through registered apprenticeship programs for any authorized demand flexibility programs, utility-related procurement through utility-owned or third-party providers, and an evaluation of other potential opportunities to develop Virginia's skilled workforce by requiring minimum apprenticeship program requirements for such electric generation or energy storage facility work. This bill incorporates HB 634.

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Bill Overview

Analyzed Economic Effects

5 provisions identified: 5 benefits, 0 costs, 0 mixed.

Energy help for households in need

Virginia utilities must continue energy assistance and home weatherization pilots for low-income, older, and disabled people in their service areas. Each Phase I utility must fund $1 million to $1.5 million per service year, with funding continuing through July 1, 2038. Each Phase II utility must fund $156 million to $204 million from July 1, 2026, through July 1, 2038. That includes at least $13 million per service year; the law sets no individual benefit amount. By July 1 each year, utilities must report program status, people served, and spending to the Governor, State Corporation Commission, legislative committee chairs, and Commission on Electric Utility Regulation.

Pay and training protections for energy workers

State regulators must require prevailing pay and benefits for covered energy facility work to the greatest extent they find in the public interest. Virginia's labor commissioner determines those rates. Regulators must require registered apprenticeship workforces for authorized demand flexibility programs and utility purchases where practicable, and evaluate minimum apprenticeship requirements for energy facilities. The facility rules cover generation or storage projects larger than 5 megawatts, measured in alternating current, with service contracts dated July 1, 2026, or later. Facilities with binding construction contracts, power purchase agreements, or interconnection agreements signed before July 1, 2026, are exempt.

New safeguards for electric customers' bills

In Phase II utility rate reviews, state regulators must take reasonable steps to prevent other customers from subsidizing high-load customers. They must also protect other customers' approved rates from harm caused by serving those customers. High-load means contracted or measured demand of at least 25 megawatts and an expected or measured annual load factor of at least 75%. For tap-line conversion petitions filed July 1, 2026, through March 1, 2033, and approved by December 1, 2033, average costs cannot exceed $900,000 per mile, excluding financing. These petitions cannot seek an annual investment increase above 4% of the utility's distribution rate base, using the latest completed 12-month test period from its latest completed biennial review before filing; no specific household savings are guaranteed.

Rate choices for large industrial customers

Qualifying Phase II utility customers can choose their existing default rate or an applicable voluntary rate instead of required high-load rates. On January 1, 2026, they must have at least 200 full-time-equivalent workers in manufacturing, industrial, or consumer-goods warehousing and distribution work, excluding data storage. The workers must be at one or adjoining customer-account locations in the utility's territory, scheduled for migration on January 1, 2027. The destination rate covers demand of at least 25 megawatts and an annual load factor of at least 75%; customers must notify the utility by July 1, 2026. This one-time choice cannot be revoked before December 31, 2033; afterward, customers can keep their existing default rate or choose another qualifying rate.

Utilities gain fuel-cost financing options

Phase II utilities can request financing orders for deferred fuel costs by July 15, 2026, despite earlier time limits. The State Corporation Commission must provide notice and an opportunity for a hearing. It must decide whether financing serves the public interest and approve or reject the request. For petitions filed May 1 through July 15, 2026, a final decision is due within four months of filing. The law does not specify financing terms or changes to household bills.

Sponsors & Cosponsors

Sponsor

  • Destiny LeVere Bolling

    Democratic • House

Cosponsors

There are no cosponsors for this bill.

Roll Call Votes

All Roll Calls

Yes: 467 • No: 248

House vote • 4/22/2026

Governor's amendment nos. 7, 9, and 10 agreed to

Yes: 70 • No: 29

Senate vote • 4/22/2026

Senate concurred in Governor's recommendation

Yes: 34 • No: 5

House vote • 3/14/2026

Conference report agreed to by House

Yes: 61 • No: 35

Senate vote • 3/14/2026

Senate requested second conference committee

Yes: 38 • No: 0

Senate vote • 3/14/2026

Conference report agreed to by Senate

Yes: 21 • No: 18

Senate vote • 3/12/2026

Senate insisted on substitute Block Vote

Yes: 40 • No: 0

House vote • 3/11/2026

Senate substitute rejected by House

Yes: 0 • No: 99

Senate vote • 3/10/2026

Commerce and Labor Substitute agreed to

Yes: 0 • No: 0

Senate vote • 3/10/2026

Passed Senate with substitute

Yes: 23 • No: 17

Senate vote • 3/9/2026

Constitutional reading dispensed Block Vote (on 2nd reading)

Yes: 40 • No: 0

Senate vote • 3/9/2026

Passed by for the day Block Vote (Voice Vote)

Yes: 0 • No: 0

Senate vote • 3/6/2026

Reported from Finance and Appropriations

Yes: 12 • No: 2

Senate vote • 3/2/2026

Reported from Commerce and Labor with substitute and rereferred to Finance and Appropriations

Yes: 9 • No: 5

House vote • 2/17/2026

Read third time and passed House

Yes: 66 • No: 31

House vote • 2/13/2026

Subcommittee recommends reporting with substitute

Yes: 7 • No: 0

House vote • 2/13/2026

Reported from Appropriations with substitute

Yes: 15 • No: 7

House vote • 2/3/2026

Reported from Labor and Commerce with substitute

Yes: 22 • No: 0

House vote • 1/29/2026

Subcommittee recommends reporting with substitute

Yes: 9 • No: 0

Actions Timeline

  1. Acts of Assembly Chapter text (CHAP1123)

    5/14/2026Governor
  2. Approved by Governor-Chapter 1123 (effective 7/1/2026)

    5/14/2026Governor
  3. Senate concurred in Governor's recommendation (34-Y 5-N 0-A)

    4/22/2026Senate
  4. Governor's amendments nos. 1-6, 8, and 11 passed by

    4/22/2026House
  5. Governor's amendment nos. 7, 9, and 10 agreed to (70-Y 29-N 0-A)

    4/22/2026House
  6. Reenrolled bill text (HB1393ER2)

    4/22/2026House
  7. Reenrolled

    4/22/2026House
  8. Governor's Action Deadline 11:59 p.m., May 23, 2026

    4/22/2026Governor
  9. Communicated to Governor

    4/22/2026House
  10. Signed by President

    4/22/2026Senate
  11. Signed by Speaker

    4/22/2026House
  12. Governor's recommendation adopted

    4/22/2026Governor
  13. Governor's recommendation received by House

    4/13/2026Governor
  14. Fiscal Impact Statement from State Corporation Commission (HB1393)

    4/6/2026House
  15. Governor's Action Deadline 11:59 p.m., April 13, 2026

    3/31/2026Governor
  16. Enrolled Bill communicated to Governor on March 31, 2026

    3/31/2026House
  17. Signed by Speaker

    3/31/2026House
  18. Bill text as passed House and Senate (HB1393ER)

    3/30/2026House
  19. Enrolled

    3/30/2026House
  20. Signed by President

    3/30/2026Senate
  21. Conference report agreed to by Senate (21-Y 18-N 0-A)

    3/14/2026Senate
  22. Conference report agreed to by House (61-Y 35-N 0-A)

    3/14/2026House
  23. Conference Report released

    3/14/2026
  24. Conference Report released

    3/14/2026
  25. Senate requested second conference committee (38-Y 0-N 0-A)

    3/14/2026Senate

Bill Text

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