Virginia Enacts Law Expanding Underground Transmission Pilot Program, Authorizing Utilities Tax

The Virginia Governor signed a law that amends §§56-585.1:5 and 58.1-3814 of the Code of Virginia, expanding the pilot program for underground electric transmission lines to include a specific 500 kilovolt and 230 kilovolt project that was pending approval as of Feb. 1, 2026. The law includes: 1) establishing criteria for qualifying projects; 2) funding mechanisms for localities to pay for underground transmission costs; and 3) allowing localities to impose additional tax on utilities up to 20 percent of the monthly amount charged to consumers of the utilities service, and up to $15 per month for residential customers. [S.B. 837, ...