Virginia Legislative Events

Virginia Electric Cooperatives Virtual Power Plant Authorization

Virginia General Assembly enacted HB562, authorizing electric cooperatives to establish and implement virtual power plant programs. The bill defines virtual power plants as aggregations of distributed energy resources operated in coordination to provide grid services. Electric cooperatives may now offer incentives to residential customers for battery storage devices and must evaluate demand optimization methods. The bill takes effect July 1, 2026.

Renewable Energy Portfolio Standard Revisions for Accelerated Clean Energy Buyers

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.

Health Insurance Tobacco Surcharge Eliminated

Virginia HB220 eliminates the authority of health carriers to vary premium rates based on tobacco use, removing the previous 1.5x surcharge cap for tobacco users. The bill applies to individual and small group health benefit plans entered into, amended, extended, or renewed on or after January 1, 2027. The legislation passed with broad bipartisan support (81-16 in House, 40-0 in Senate) and takes effect July 1, 2026.

Vehicle Registration Fee Exemption Extension for Disabled Veterans

Virginia HB94 extends the existing vehicle registration fee exemption for disabled veterans and their unremarried surviving spouses to include vehicles with standard passenger license plates, not just disabled veteran special license plates. The bill was enacted on March 31, 2026, with an effective date of July 1, 2026.

Virginia HB60 prohibits insurance discrimination based on PrEP use

Virginia General Assembly enacted HB60, prohibiting life and health insurers from refusing to insure, limiting coverage, or charging different rates based solely on an individual's use of pre-exposure prophylaxis (PrEP) for HIV prevention. The bill passed the Senate 40-0 on February 26, 2026, and was signed by the Governor as Chapter 12 (CHAP0012). The law takes effect July 1, 2026.

Virginia HB655 enacted, expands zoning for manufactured homes

Virginia HB655 enacted, expands zoning for manufactured homes

Transmission Lines Siting Prioritizing Existing Corridors

Virginia enacted HB889 establishing state policy that existing linear infrastructure corridors shall be prioritized over new corridors for siting electric transmission facilities. The bill directs the Department of Transportation to convene a work group to identify opportunities and develop recommendations to amend regulations and permitting processes for siting new electrical transmission infrastructure in existing state highway rights-of-way. The bill passed unanimously in both chambers and is identical to SB 497.

Virginia Free State Tax Filing Program

Virginia enacted HB1180, directing the Tax Commissioner to develop and offer a free individual state income tax filing program similar to the federal IRS Direct File Program, effective for taxable year 2028. The bill passed with unanimous support in both chambers (98-0 in House, 39-0 in Senate) and was signed by the Governor as Chapter 31. The legislation also includes technical amendments removing obsolete language regarding fillable forms.

Electric Cooperative Substation Construction Agreements

Virginia enacted HB1191, permitting electric cooperatives to enter construction agreements with large-member customers requiring high-voltage interconnection. The bill allows members with at least 20 MW demand to build substations, which must then transfer to the cooperative for operation and maintenance at the member's sole expense. Costs are excluded from general and base rates.

Transportation electrification; integrated resource planning, fast-charging stations, cost recovery by electric utilities

Virginia enacted HB1225 allowing Dominion Energy and Appalachian Power Company to file tariffs with the State Corporation Commission for utility-owned EV charging infrastructure. The bill requires both utilities to submit transportation electrification plans by February 1, 2028, and every three years thereafter, with cost recovery through generation and distribution service rates. The SCC must initiate a rulemaking on radial distance requirements for utility-owned fast-charging stations relative to private stations by December 31, 2027.