Renewable Energy Portfolio Standard Revisions for Accelerated Clean Energy Buyers
Summary
Virginia enacted HB369 on March 31, 2026, revising renewable energy portfolio standard conditions for Appalachian Power and Dominion Energy Virginia. The law permits accelerated clean energy buyers to contract for renewable energy certificates (RECs) from qualifying resources while exempting them from certain non-bypassable cost assignments based on their proportional REC usage. The bill, identical to SB 598, takes effect July 1, 2026.
What changed
HB369 modifies Virginia's renewable energy portfolio standard program by revising the conditions under which accelerated clean energy buyers may contract with Appalachian Power or Dominion Energy Virginia for renewable energy certificates (RECs). The legislation exempts qualifying accelerated clean energy buyers from non-bypassable cost assignments associated with RPS compliance, where the exemption amount is proportional to the buyer's RECs relative to their total electric energy consumption. The bill passed the House 94-3 and Senate 40-0 before receiving Governor's approval.
Affected utilities and accelerated clean energy buyers should review existing contracts and prepare for the July 1, 2026 effective date. Companies seeking accelerated clean energy buyer status must ensure they meet the qualifying resource and facility requirements under the revised framework. Utilities should update compliance tracking systems to implement the proportional cost exemption methodology.
What to do next
- Review HB369 provisions with legal counsel to determine eligibility for accelerated clean energy buyer status
- Update REC procurement contracts to reflect new exemption from non-bypassable cost assignments
- Implement systems to track and report REC proportions relative to total electric energy consumption
Source document (simplified)
ChangeBridge / Virginia / HB369 Enacted HB369 House Bill Enacted 2026-03-31
Electric utilities; renewable portfolio standard program, zero-carbon electricity, etc.
Electric utilities; renewable energy portfolio standard; zero-carbon electricity; accelerated clean energy buyers. Revises the conditions under which accelerated clean energy buyers, defined in existing law as accelerated renewable energy buyers, may contract with Appalachian Power or Dominion Energy Virginia to obtain renewable energy certificates (RECs). The bill exempts an accelerated clean energy buyer obtaining capacity, energy, or RECs from qualifying resources or facilities from the assignment of non-bypassable costs associated with compliance with the renewable portfolio standard program based on the amount and type of renewable energy certificates obtained in proportion to such accelerated clean energy buyer's total electric energy consumption. This bill is identical to SB 598.
Bill Details
State Virginia
Session 2026 Regular Regular Session
Chamber House
Official Source lis.virginia.gov/bill-details/20261/HB369
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Sponsors
David Reid (Rep - D) Karen Keys-Gamarra (Rep - D) Virgil Thornton (Rep - D)
Action History
2026-03-31 Acts of Assembly Chapter text (CHAP0043) 2026-03-31 Approved by Governor-Chapter 43 (effective 7/1/2026) 2026-03-10 Governor's Action Deadline 11:59 p.m., April 13, 2026 2026-03-10 H Enrolled Bill communicated to Governor on March 10, 2026 2026-03-05 H Enrolled 2026-03-05 S Signed by President 2026-03-05 H Signed by Speaker 2026-03-05 H Bill text as passed House and Senate (HB369ER) 2026-03-05 H Enrolled 2026-03-02 H Fiscal Impact Statement from State Corporation Commission (HB369) 2026-03-02 H Senate substitute agreed to by House (95-Y 4-N 0-A) 2026-02-26 S Passed Senate with substitute Block Vote (40-Y 0-N 0-A) 2026-02-26 S Engrossed by Senate - committee substitute 2026-02-26 S Commerce and Labor Substitute agreed to 2026-02-26 S Read third time 2026-02-25 S Passed by for the day Block Vote (Voice Vote) 2026-02-25 S Constitutional reading dispensed Block Vote (on 2nd reading) (40-Y 0-N 0-A) 2026-02-25 S Rules suspended 2026-02-24 S Committee substitute printed 26108329D-S1 2026-02-23 S Senate committee offered 2026-02-23 S Reported from Commerce and Labor with substitute (15-Y 0-N) 2026-02-10 S Referred to Committee on Commerce and Labor 2026-02-10 S Constitutional reading dispensed (on 1st reading) 2026-02-09 H Read third time and passed House (94-Y 3-N 0-A) 2026-02-06 H Engrossed by House - committee substitute 2026-02-06 H committee substitute agreed to 2026-02-06 H Read second time 2026-02-05 H Read first time 2026-02-04 H Fiscal Impact Statement from State Corporation Commission (HB369) 2026-02-03 H Committee substitute printed 26106674D-H1 2026-02-03 H Reported from Labor and Commerce with substitute (20-Y 2-N) 2026-01-29 H Subcommittee recommends reporting with substitute (9-Y 0-N) 2026-01-29 H House subcommittee offered 2026-01-19 H Fiscal Impact Statement from State Corporation Commission (HB369) 2026-01-19 H Assigned HCL sub: Subcommittee #3 2026-01-12 H Referred to Committee on Labor and Commerce 2026-01-12 H Prefiled and ordered printed; Offered 01-14-2026 26104556D
Votes
2026-01-29 Subcommittee recommends reporting with substitute (9-Y 0-N) Yea: 9 Nay: 0 2026-02-09 Read third time and passed House (94-Y 3-N 0-A) Yea: 94 Nay: 3 2026-02-03 Reported from Labor and Commerce with substitute (20-Y 2-N) Yea: 20 Nay: 2 2026-02-23 Reported from Commerce and Labor with substitute (15-Y 0-N) Yea: 15 Nay: 0 2026-02-25 Constitutional reading dispensed Block Vote (on 2nd reading) (40-Y 0-N 0-A) Yea: 40 Nay: 0 2026-02-26 Passed Senate Block Vote (40-Y 0-N 0-A) Yea: 40 Nay: 0 2026-03-02 Senate substitute agreed to by House (95-Y 4-N 0-A) Yea: 95 Nay: 4
Committee Referrals
2026-01-12 H Labor and Commerce 2026-01-19 H Labor and Commerce: Subcommittee #3 2026-02-10 S Commerce and Labor
Bill Text Versions
2026-01-12 Introduced 2026-01-29 Comm Sub 2026-01-30 Comm Sub 2026-02-03 Comm Sub 2026-02-23 Comm Sub 2026-02-24 Comm Sub 2026-03-05 Enrolled 2026-03-31 Chaptered Legislative data powered by LegiScan (CC BY 4.0)
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