Virginia Governor Signs Law to Establish Distribution Cost-Sharing Program for Electric Utilities

The Virginia Governor signed a law establishing a distribution cost-sharing program for electric utilities. The program requires Phase I and Phase II utilities to allocate the costs of qualifying distribution system upgrades to interconnect distributed energy resources, and allows those utilities to deduct costs incurred for installing the qualifying upgrades. The State Corporation Commission is required to finalize regulations for the program by July 1, 2026, and utilities must file necessary tariffs and forms by Dec. 1, 2026. [S.B. 1058, enacted 04/02/25]

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