Virginia
State Scorecard Rank
Virginia
The state offers a variety of energy efficiency incentives. The state government leads by example by benchmarking energy use and encouraging the use of energy service performance contracts for public buildings. Research and development focused on energy efficiency is conducted at two institutions in the state.
Financial incentive information can be found in the Database of State Incentives for Renewables and Efficiency (DSIRE Virginia). In addition to these state-funded incentives, Virginia has enabled commercial Property Assessed Clean Energy (PACE) financing and has two active programs. For additional information on PACE, visit PACENation.
Last Reviewed: November 2024
During the 2020 General Assembly session, legislation passed to enable Virginia's participation in the Regional Greenhouse Gas Initiative (RGGI). The Clean Energy and Flood Preparedness Act (HB 981) requires that fifty (50) percent of the revenue generated from Virginia's participation in the Regional Greenhouse Gas Initiative (RGGI) shall be credited to an account administered by the Department of Housing and Community Development (DHCD) to support low-income energy efficiency programs, including programs for eligible housing developments. DHCD is using the funds to support the Housing Innovations in Energy Efficiency (HIEE) program, which funds energy efficiency upgrades to new and existing residential buildings to reduce energy bills for low-income Virginians. For fiscal year 2021, HIEE funds were allocated to DHCD’s Affordable and Special Needs Housing (ASNH) program and the Weatherization Deferral Repair (WDR) Program.
The Virginia Clean Economy Act (SB 851/HB 1526) was passed by the General Assembly and enacted in April 2020. The VCEA commits utilities to timelines to provide 100% clean power (by 2045 for Dominion Energy, and 2050 for Appalachian Power Company). The VCEA increases the utlities' required investment in energy efficiency programs to serve LMI customers from 5 to 15% of total program spending. Additionally, the Clean Energy and Flood Preparedness Act (HB 981) requires that fifty (50) percent of the revenue generated shall be credited to an account administered by the Department of Housing and Community Development (DHCD) to support low-income energy efficiency programs, including programs for eligible housing developments. The Virginia Clean Economy Act passed in 2020 requires Virginia Department of Energy, in consultation with the Council on Environmental Justice, to prepare a report that determines if the implementation of the Virginia Clean Economy Act imposes a disproportionate burden on historically economically disadvantaged communities.
In January 2029, Governor Northam issued EO-29 establishing the Virginia Council on Environmental Justice (VCEJ), an advisory body to the executive branch,
Workforce Development
The Virginia Department of Energy is prioritizing clean energy workforce development and energy education access in their goals that will be expressed in the Virginia Energy Plan, grant applications, public outreach and communications, and building relationships with partners in the public and private sector, efforts that we only plan to enhance in the near future. The Virginia Energy Workforce Consortium (VEWC) is working to build and strengthen collaborative efforts to significantly impact career awareness, education pathways, and approach tomorrow’s workforce needs in the energy sector. Several staff members of the Virginia Department of Energy are involved in building these partnerships. Virginia also has Weatherization Training Centers through which energy professionals gain expert training in the creation of healthier, safer, more energy-efficient living and working environments. Further, all of the federal grant applications related to clean energy workforce development that staff members are submitting this year focus on bringing diversity and inclusion into the workforce through such initiatives as providing funding to adult clean energy training programs that prioritize disadvantaged populations, studying and putting in place plans to increase access to solar training programs across the state, and funding educational training and resources that will reach students of diverse backgrounds to help inspire new generations to seek out careers in the clean energy industries.
Last Reviewed: November 2024
During the 2020 General Assembly session, legislation passed to enable Virginia's participation in the Regional Greenhouse Gas Initiative (RGGI). The Clean Energy and Flood Preparedness Act (HB 981) requires that 50 percent of the revenue generated by Virginia-based facilities' participation in the RGGI allowance auctions shall be credited to an account administered by the Department of Housing and Community Development (DHCD) to support low-income energy efficiency programs, including programs for eligible housing developments. DHCD shall review and approve funding proposals for such energy efficiency programs.
The state has a goal of achieving net-zero emissions by 2050.
Last Reviewed: November 2024
There is no disclosure policy in place and Virginia statute does not allow localities to require energy benchmarking and disclosure for residential and/or commercial buildings.
Last Reviewed: July 2019
In the past, Virginia has set several short-term targets for energy savings in state buildings. Executive Order 48, signed on April 5, 2007, directed state agencies to reduce the annual cost of non-renewable energy purchases by at least 20% of fiscal year 2006 expenditures by fiscal year 2010. Executive Order 19, signed by Governor Bob McDonnell on July 1, 2010, directed each state agency to develop and employ efficiency tools with the goal of reducing its annual energy use by at least 5 percent for fiscal year 2012 (compared to fiscal year 2010). Executive Order 31 and the 2014 Virginia Energy Plan directs the State Energy Office to reduce electricity consumption by 15% in state buildings by 2017, from 2010, and work with the Governor's Executive Committee on Energy Efficiency to establish a comprehensive system to measure, verify and track energy consumption in state facilities.
The state has developed prototypes for an energy data registry/dashboard that will be used to collect energy consumption data from state agencies. As part of EO 31, the Governor created a Chief Energy Efficiency Officer within the Administration to oversee aggressive implementation of EE measures in state agencies, and instructed executive agencies to engage/re-engage in the Energy Performance Contracting process. The 2014 Virginia Energy Plan includes a recommendation to "create a central state facility energy data registry and dashboard to track energy consumption at all state agencies. The Department of Mines, Minerals and Energy created a pilot version of this data warehouse in early 2016 and started in late 2016 a two-year process to develop a full scale benchmarking program for all state buildings. A small percentage, around 5 percent, of the largest energy consumers in the state building fleet, had been benchmarked by the end of 2016 in the pilot referenced above.
EO 19 also directs that new or renovated state buildings should conform to LEED silver or Green Globes two-globe standards. In addition, the order instructs the Commonwealth to encourage private sector adoption of energy-efficient building standards by giving preference when leasing buildings for state use to facilities meeting the above standards.
Executive Directive 2, signed by Governor McDonnell in 2011, directs three state agencies to create a plan to centralize energy management across state facilities to seek out economies of scale and greater energy efficiencies. This plan shall also encourage communications among agencies on energy best practices and educate state employees about how their actions affect state energy use and costs.
In 2020, Virginia Code §2.2-604.2 (2020 SB963) tasks state agencies to designate an employee as an energy manager who will work with the Department of Energy on incorporating state facility utility data into an energy management tool to track facility energy consumption. The energy manager is responsible for implementing improvements to state buildings to reduce greenhouse gas emissions and improve energy efficiency and climate change resiliency. The energy manager shall:
- Maintain a list of the facilities owned and leased by his agency, including buildings and interior spaces. Such list shall indicate energy usage and any prior energy audit or energy saving performance contract.
- Enter energy and water consumption and building-related information into the ENERGY STAR Portfolio Manager account for any building or facility over 5,000 square feet, beginning with the largest facilities not yet accounted for, as follows:
- By January 1, 2021, 5 percent of agency facilities;
- By January 1, 2022, 20 percent of agency facilities;
- By January 1, 2023, 45 percent of agency facilities;
- By January 1, 2024, 70 percent of agency facilities; and
- By January 1, 2025, 100 percent of agency facilities.
Last Reviewed: November 2024
Executive Order 19, signed by Governor Bob McDonnell in July 2010, expired when the new Governor issued Executive Order 31 in October 2014. State vehicle fleet energy efficiency requirements are not addressed in EO 31. However, the Virginia Department of General Services includes in its policies and procedures guidelines for the purchase of fuel-efficient, low-emission state-owned vehicles, when practicable. In addition, DGS’s leasing vehicles guidelines encourage the use of compact, fuel-efficient, and low-emission vehicles.
The state included in the 2014 Virginia Energy Plan (VEP) a goal to increase the number of natural gas, propane, and electric vehicles in state and local government fleets to 300 by the end of 2017. Virginia’s fleet conversion program directs up to $9 million in federal Congestion Mitigation Air Quality (CMAQ) and state matching funds to pay the incremental costs of these vehicles. Vehicles that receive this funding must be garaged in areas that do not meet the National Ambient Air Quality Standards for ozone, carbon monoxide, or particulate matter (nonattainment areas) and for former nonattainment areas that are now in compliance (maintenance areas).
The Commonwealth also offers temporary “bridge” and long-term loans to state agencies and localities in both non-attainment and attainment areas, as well as loans for alternative fueling and electric vehicle charging infrastructure. These programs support the alternative fuel vehicle recommendation made by a working group of the Virginia Climate Change and Resiliency Update Commission.
Virginia Department of General Services includes in its policies and procedures guidelines for the purchase of fuel-efficient, low-emission state-owned vehicles, when practicable. Every state vehicle request begins as the smallest most fuel-efficient vehicle, and larger vehicles must go through additional justification documentation. In addition, DGS’s leasing vehicles guidelines encourage the use of compact, fuel-efficient, and low-emission vehicles.
Note: For state efficient fleet initiatives, policies listed must make a specific, mandatory requirement for increasing state fleet efficiency. State alternative-fuel vehicle procurement requirements that give a voluntary option to count efficient vehicles are thus not included.
Last Reviewed: November 2024
The Department of Mines, Minerals and Energy (DMME) and Department of General Services (DGS) administer under the Virginia Energy Management Program (VEMP) a performance contracting program for state facilities and other public bodies that provides on-site technical assistance; code and safety compliance oversight; a well-defined, low-risk process under a statewide contract; template documents and other resources; and list of a pre-qualified energy service companies. In 2010, Governor McDonnell issued an executive order that requires state agencies to engage with both departments to attain energy efficiency improvements. Executive Directive 2, issued in 2011, directs DMME and DGS to examine conversion of VEMP to a self-sustaining enterprise operation and to create a plan to centralize energy management across state facilities to seek out economies of scale and greater energy efficiencies.
Governor McAuliffe issued Executive Order 31 in October, 2014 that directs all executive branch agencies, authorities, departments, and all institutions of higher education to proactively pursue energy efficiency measures, especially Energy Performance Contracting (EPC) to reduce energy consumption. Agencies already employing EPC should re-evaluate their overall energy consumption to identify areas for further efficiency improvements. Agencies should utilize the current EPC process, which provides for a general audit to assess whether EPC is appropriate for the agency. Those audits will be conducted with the goal of implementing an EPC by 2016. Since 2015, the state has invested over $192 million dollars in EPCs and has saved over 14 million kWh. DMME has managed a statewide ESPC program since 2002. In 2019, a new statewide contract was advertised and a refreshed list of pre-qualified ESCOs were selected to continue the program.
Last Reviewed: July 2020
The Southern Virginia Product Advancement Center, formerly known as the Riverstone Energy Centre, offers services supporting commercialization of new clean energy technologies, including energy efficiency. The R&D Center for Advanced Manufacturing and Energy Efficiency supports projects in advanced manufacturing and energy efficiency.
The Center for Innovative Technology's Commonwealth Research Commercialization Fund invests in research, technology development, and commercialization at Virginia colleges and universities, companies, federal labs and other research institutions to advance high-potential technologies and drive economic development in the Commonwealth.
The state also offers grants to encourage collaboration between private investors and Virginia’s educational institutions to conduct R&D activities in the tobacco regions of the Commonwealth.
Last Reviewed: July 2019
With an effective date of January 18, 2024, Virginia's Uniform State Building Code (USBC) has been updated to incorporate energy efficiency provisions for commercial buildings of the 2021 IECC and ASHRAE 90.1-2019. All buildings with permit application date of January 18, 2025 or after must comply. Residential buildings must meet requirements of the residential provisions of the 2021 IECC, with two mild weakening amendments: (1) wall insulation R-Value maintained at R-15 or R-13+1; (2) building thermal envelope air leakage rate not exceeding five air changes per hour. The code development process for the 2024 USBC (which includes the 2024 Virginia Energy Conservation Code), is anticipated to begin Q3 of 2024. The 2024 USBC will be using the 2024 I-Codes as the model codes.
With an effective date of January 18, 2024, Virginia's Uniform State Building Code (USBC) has been updated to incorporate energy efficiency provisions for commercial buildings of the 2021 IECC and ASHRAE 90.1-2019. All buildings with permit application date of January 18, 2025 or after must comply. Residential buildings must meet requirements of the residential provisions of the 2021 IECC, with two mild weakening amendments: (1) wall insulation R-Value maintained at R-15 or R-13+1; (2) building thermal envelope air leakage rate not exceeding five air changes per hour. The code development process for the 2024 USBC (which includes the 2024 Virginia Energy Conservation Code), is anticipated to begin Q3 of 2024. The 2024 USBC will be using the 2024 I-Codes as the model codes.
Last reviewed: June 2024
With an effective date of January 18, 2024, Virginia's Uniform State Building Code (USBC) has been updated to incorporate energy efficiency provisions for commercial buildings of the 2021 IECC and ASHRAE 90.1-2019. All buildings with permit application date of January 18, 2025 or after must comply.
Section C402.1.6 was amended during the 2021 code development cycle by stakeholders to provide an alternative building thermal envelope compliance path for groups F, S, and U.
The code development process for the 2024 USBC (which includes the 2024 Virginia Energy Conservation Code), is anticipated to begin Q3 of 2024. The 2024 USBC will be using the 2024 I-Codes as the model codes.
Last reviewed: June 2024
- Gap Analysis/Strategic Compliance Plan: NA
- Baseline & Updated Compliance Studies: A field study for code compliance for detached single-family homes was conducted and concluded in 2018. Results are still considered preliminary as of June 2019 while PNNL works to complete the final statewide report. Compliance rates varied depending on the measure. Compliance with requirements for fenestration (98.6% compliance) and crawl wall R-values (100%) were high; a majority of homes (78%) tested below 5 air-changes per hour (ACH50) for envelope leakage and a majority met the high efficacy lighting requirements (80.9%), while compliance with duct leakage requirements were relatively low (over 63% of duct systems tested did not meet the code requirement of 6 CFM per 100 square feet of conditioned floor area for systems not 100% in conditioned space). Compliance was determined through both prescriptive (e.g. observation of U-factors and SHGC for fenestration and R-values insulation) as well as performance testing (duct and envelope leakage testing).
- Utility Involvement: NA
- Stakeholder Advisory Group: Virginia does not have a formal stakeholder group on code compliance. However, the state does regularly convene stakeholders including the Virginia Building Code Officials Association Energy Committee, Viridiant (formerly EarthCraft Virginia), Virginia Energy Efficiency Council, Sierra Club, Home Builders Association of Virginia, Apartment Owners and Builders Association and others.
- Training/Outreach: The existing state certification is required for all local governmental code enforcement personnel and independent third-party inspection agents, who must obtain certification to ensure consistent and technically accurate code interpretation and application. The program consists of two separate components, training and examination, with training delivered by the Jack A. Proctor Virginia Building Code Academy (JPVBA) and examinations administered by various nationally-recognized code testing organizations (ICC, NCPCCI).
- Ongoing education and training efforts include coordination between DHCD, Viridiant, and Virginia Building and Code Officials Association (VBCOA) for code officials and design professionals on how to meet the new residential energy codes, and code officials and HVAC trade professionals on duct leakage testing requirements and protocols.
Last reviewed: November 2024
The state has limited policies in place to encourage CHP development, but the 2018 State Energy Plan recommends increased state-sponsorship of investment in CHP projects and calls out CHP’s resilient attributes that are important for critical facilities during severe weather events. No new CHP system came online in Virginia in 2018.
Policy: Virginia Interconnection Standard
Description: In 2009 the Virginia State Corporation Commission adopted interconnection rules for those systems that are not net metered. The rules feature three tiers of interconnection, ranging from those under 500kW to those of 20MW. Fees differ depending on system size and a dispute resolution process is stipulated. No fuels or technologies are specified, and none are explicitly precluded.
A separate interconnection standard is applicable to systems that are also net metered. Systems powered by renewable fuels may be net metered.
Last Updated: July 2017
There are currently no state policies designed to acquire energy savings from CHP (like other efficiency resources) or energy generation from CHP (in terms of kWh production) that apply to all forms of CHP.
However, the Grid Transformation and Security Act of 2018 directs Dominion Energy to consider deployment of 200 MW of CHP and/or waste-heat to power (WHP) by 2024 in its next Integrated Resource Plan (IRP). Additionally, the 2018 Virginia Energy Plan (VEP) recommends establishing a goal of 750 MW of cumulative CHP/WHP capacity by 2030. The VEP directs DMME to create a "roadmap" that prioritizes investments in CHP/WHP projects via utility-sponsored programs, public buildings and the private market.
Last Updated: July 2019
There are currently no state policies that provide additional incentives for CHP deployment.
Last Updated: July 2017
In 2018, Virginia adopted an update to its State Energy Plan. The updated plan provides recommendations for the future of the Commonwealth’s energy systems that aim to “support technological advances, create new business opportunities, and allow Virginia’s energy markets to grow” (DMME 2018). The plan recommends increased state-sponsorship of investment in CHP projects, and calls out CHP’s resilient attributes that are important for critical facilities during severe weather events. Specifically, the plan calls on the Commonwealth to establish a cumulative target of at least 750 MWs of CHP by 2030. This would build on Virginia’s Senate Bill 966, which requires Dominion Energy to consider including 200 MW of CHP or WHP in its next integrated resource plan. The authors also recommend developing strategies for achieving the target. These include utility investments, private market mobilization, and the deployment of CHP in public buildings.
Last Updated: August 2019
Since 2018 Virginia has made strong legislative progress on clean energy and energy efficiency and appears poised to significantly strengthen programs following years of relatively low savings.
In 2007, Virginia set a legislative goal (S 1416) of reducing electricity consumption by 10% (from 2006 levels) by 2022. In 2008, the legislature mandated that utilities submit integrated resource plans that lay out demand-side resources.
Recent legislative achievements include the 2018 Grid Transformation and Security Act (GTSA), which called upon Dominion and Appalachian Power together to propose more than $1 billion for energy efficiency programs through 2028, with $870 million from Dominion alone. Lawmakers followed up in 2020 by signing the Virginia Clean Economy Act, establishing a mandatory EERS for investor-owned utilities as part of the bill’s goal of reaching 100% clean energy by 2050. Dominion must save electricity equivalent to at least 5% (relative to 2019 sales) by 2025. Appalachian Power Company must achieve 2% electricity savings by 2025. Statewide it’s estimated these goals translate to incremental annual savings targets of about 1.2% per year.
The most recent budgets for energy efficiency programs and electricity and natural gas savings can be found in the State Spending and Savings Tables.
Last reviewed: April 2020
Virginia adopted the Grid Transformation and Security Act of 2018 (HB 1558/SB 966), which requires regulated utilities to spend $1.3 billion on energy efficiency over the next ten years, more than tripling efficiency budgets.
Virginia’s State Corporation Commission (SCC) issued an order in May 2019 approving a package of 11 new energy efficiency and demand response programs proposed by Dominion Energy Virginia. Set to run through mid-2024, these programs will invest $225 million in customer programs.
HB 2506 (2009) authorized investor-owned electric utilities to recover the costs of designing, implementing, and operating energy efficiency programs by adjusting their rates, if such programs are found to be in the public interest. The Virginia State Corporation Commission may allow utilities to recover reductions in revenue related to energy efficiency programs, to the extent the revenue is not recovered through off-system sales.
The most recent budgets for energy efficiency programs and electricity and natural gas savings can be found in the State Spending and Savings Tables.
Last reviewed: April 2020
Since 2008, Virginia code has required electric utilities to file integrated resource plans (IRPs). The IRPs will forecast electric utilities' expected loads (projected over a 15-year period) and the utilities' plans to meet these obligations by using supply-side and demand-side resources. Utilities began filing IRPs in 2009.
For more information on energy efficiency as a resource, click here.
Last Updated: July 2018
Summary: Electric: The 2020 VCEA requires Dominion Energy to achieve 5% energy savings by 2025 relative to a 2019 baseline. ApCo must achieve 2% by 2025, relative to a 2019 baseline. Statewide these goals translate to average incremental annual savings of approximately 1.2% over four years.
Virginia passed its first mandatory EERS in 2020, replacing earlier voluntary goals. In March 2007, the Virginia legislature passed a bill amending Virginia’s earlier electric industry restructuring law. The governor approved the bill conditionally, requiring the addition of a section on energy conservation, including a goal of 10% electricity savings by 2022 (calculated relative to 2006 sales). The legislature accepted this condition. In 2015, Governor McAuliffe announced a revised goal of 10% electricity savings by 2020. However, a lack of regulatory requirements meant these energy savings goals were considered voluntary.
In April 2020, Governor Northam signed the Virginia Clean Economy Act, establishing an EERS for investor-owned utilities as part of the bill’s goal of reaching 100% clean energy by 2050.
The EERS requires that in 2025, Dominion must save electricity equivalent to at least 5% (relative to 2019 sales) via efficiency measures implemented that year plus ongoing savings from measures implemented in previous years that are still saving energy. Appalachian Power Company must achieve 2% electricity savings by 2025. Statewide it’s estimated these goals translate to incremental annual savings targets of about 1.2% per year, avoiding more than 7 million metric tons of greenhouse gas emissions over four years and continuing to reduce emissions as measures continue to save energy.
The bill also sets up a process to strengthen the EERS after 2025. After that year, the State Corporation Commission will adjust energy efficiency targets every three years. Utilities will also have to prove they are hitting those targets before they are permitted to build new fossil fuel plants.
Last Updated: April 2020
Virginia’s 2020 Clean Economy Act allows the Commission to award performance incentives for utilities that achieve energy savings goals under § 56-596.2. This incentive is equal to at least program operating expenses plus a general return on equity, with an additional 20 basis points for each incremental 0.1% annual savings achieved beyond established requirements, up to more than 10% of the utility’s total energy efficiency program spending.
Virginia does not have incentives in place for natural gas.
Virginia allows natural gas utilities, but not electric utilities, to decouple profits from their sales.
In December 2008, Virginia Gas received approval to implement a three-year conservation and ratemaking efficiency plan. The plan has two main components: an Energy Conservation Plan (ECP) to promote conservation and efficiency and a Revenue Normalization Adjustment, Rider D ("RNA Rider" or "Rider"), which is a natural gas decoupling mechanism that provides for a sales adjustment to customers’ monthly bills. The ECP and RNA Rider became effective on January 1, 2009 (Docket No. PUE-2008-00060; December 23, 2008).
Virginia Code Section 56-585.1 provides for the recovery of revenue reductions related to energy efficiency programs. Dominion Virginia Power applied for recovery of lost revenues in a regular rate case as part of its application to continue its DSM riders. The Commission denied Dominion’s lost revenue recovery request because it determined that the company did not meet its “burden to establish that its proposed revenue reductions ‘occur[red] due to measured and verified decreased consumption of electricity caused by energy efficiency programs approved by the Commission…’” (emphasis in order). The Commission held that Dominion failed to provide “sufficient evidence for the Commission to measure and to verify that a specific amount of decreased consumption of electricity was directly caused by the CFL program.”
Last Updated: February 2021
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Primary cost-effectiveness test(s) used: total resource cost test, utility cost test, participant cost test, and ratepayer impact measure test
The evaluation of ratepayer-funded energy efficiency programs in Virginia relies on legislative mandates (VA Code Section 56-585.1 a5). Evaluations are mainly administered by the Virginia State Corporation Commission. Virginia has formal requirements for evaluation articulated in 20 20 VAC 5-304-10. Evaluations for each of the utilities are conducted.
Virginia uses four of the five classic benefit-cost tests identified in the California Standard Practice Manual. These are the Total Resource Cost (TRC), Utility/Programs Administrator (UCT), Participant (PCT), and Ratepayer Impact Measure (RIM). According to the Database of State Efficiency Screening Practices (DSESP), Virginia considers all four of these tests to be its primary cost-effectiveness tests. An energy efficiency program is considered to be “in the public interest” if the program provides measurable and verifiable energy savings to low-income and elderly customers.
Virginia adopted new rules in 2018 that a program or portfolio of programs shall be approved if the net present value of the benefits exceeds the net present value of the costs as determined by not less than any three of the four aforementioned tests. The benefit-cost tests are required for overall portfolio, total program, customer project, and individual measure level programs screening. The rules for benefit-cost tests are stated in 20 VAC 5-304-10.
Further information on cost-effectiveness screening practices for Virginia is available in the Database of State Efficiency Screening Practices (DSESP), a resource of the National Efficiency Screening Project (NESP).
Last Updated: August 2019
Requirements for State and Utility Support of Low-Income Energy Efficiency Programs
The Virginia General Assembly passed Senate Bill 1349 in 2015, requiring utility pilot programs for energy assistance and weatherization for low-income, elderly, and disabled households. Governor Terry McAuliffe further strengthened this legislation through the issuance of Executive Directive 3 with additional implementing instructions. The 2018 Grid Modernization and Security Act (SB966) went further to require that at least 5% of energy efficiency programs benefit low-income, elderly, and disabled individuals.
Cost-Effectiveness Rules for Low-Income Energy Efficiency Programs
The rules for benefit-cost tests are stated in 20 VAC 5-304-10, but they do not address low-income programs.
Coordination of Ratepayer-Funded Low-Income Programs with WAP Services
Level of coordination is unclear from publicly available data.
Last updated: October 2018
The Virginia Clean Economy Act (2020) replaces a previous automatic opt-out for industrial customers above 500 kW with a process enabling industrial customers using more than 1 MW to opt out after demonstrating that they are achieving energy savings through their own energy efficiency measures. The VCEA directs the commission, no later than June 30, 2021, “to adopt rules or regulations (a) establishing the process for large general service customers to apply for such an exemption, (b) establishing the administrative procedures by which eligible customers will notify the utility, and (c) defining the standard criteria that shall be satisfied by an applicant in order to notify the utility, including means of evaluation measurement and verification and confidentiality requirements.”
Last Updated: December 2020
Virginia has no policy in place that requires utilities to release energy use data to customers or third parties.
Last Updated: July 2018
The state devotes funding and policies to transportation initiatives, integrates transportation and land use planning, and has passed complete streets legislation. Virginia also adopted California's ACC II regulations, and has incentives for EV including for underserved populations.
Virginia has adopted the Advanced Clean Cars (ACC) II program in January 2024 for model years starting 2027. 100% of new passenger vehicles sold in Virginia must be ZEVs by 2035.
Last Reviewed: November 2024
Transportation and Land Use Integration: Virginia’s Planning, Subdivision of Land, and Zoning Code (Title 15.2, Chapter 22) requires every locality to undertake a comprehensive plan that coordinates land-use planning and future actions in order to effectively implement zoning requirements. Local governments are in charge of controlling growth while the state ties use of discretionary funds to the implementation of sustainable growth practices. Virginia's long-range statewide plan, VTrans2040 includes improved coordination between transportation and land use as one of its guiding principles. It has goals to promote accessible and connected places to improve access to jobs, services, and activity centers. It also promotes sustainable communities that encourage healthy lifestyles and works to expand travel options while protecting environmental and community resources. Virginia's transportation SMART SCALE prioritization of transportation projects includes Environmental Quality and Land Use Coordination as evaluation measures. [http://www.vasmartscale.org/]. Virginia’s statute §15.2-2223.1 encourages localities to identify and designate growth areas that might be: (i) appropriate for higher density development due to proximity to transportation facilities, the availability of a public or community water and sewer system, or developed areas; and (ii) to the extent feasible, to be used for redevelopment or infill development.
Virginia’s performance-based planning methods provide a mechanism to identify unique needs associated with such areas and provides a funding mechanism in the form of § 33.2-353. In addition, the General Assembly passed a law in 2020 (HB 585) that requires localities above a certain size to consider incorporating strategies into their comprehensive plans to promote transit-oriented development for the purpose of reducing greenhouse gas emissions.
VMT Targets: Virginia’s adopted a long-range transportation plan, VTrans2040, includes a general objective to reduce per capita VMT, in addition to the targets set by the Advanced Clean Cars program.
FAST Freight Plans and Goals: Virginia’s 2022 state freight plan has the following strategic actions related to less polluting freight modes: Identify and develop solutions to address barriers to the installation of electric vehicle charging infrastructure by the private sector;
Last updated: November 2024
House Bill 2313, adopted in 2018 - the legislature passed a floor for the regional gas taxes in Northern Virginia and Hampton Roads. The floor will generate an additional $27.2M for NVTC and $18 million for HRTC including $18.2 million for Metro and $8.6 million for VRE. It will also generate $21.9 million for Hampton Roads. While the Hampton Roads revenue cannot be used directly for transit, it can be applied to other transit projects like facilities and BRT lanes that can benefit transit. The Virginia General Assembly adopted legislation (HB 1414/SB 890) in 2020 that will increase funding for transit and for passenger rail. It does not devote a specific source solely for these alternative modes, but rather gives them a share of overall new funding.
SB 1038, adopted in 2020, creates the Hampton Roads Regional Transit Program to develop, maintain, and improve a regional network of transit routes and related infrastructure. The Program is funded through a regional grantor’s tax and a regional transient occupancy tax, along with $20 million of revenues from existing recordation taxes.
§ 33.2-1526. Commonwealth Mass Transit Fund: Funds shall be used to support the operating, capital, and administrative costs of public transportation at a state share determined by the Board, and such amounts may be used to support the capital project costs of public transportation and ridesharing equipment, facilities, and associated costs at a state share determined by the Board. Capital costs may include debt service payments on local or agency transit bonds.
Last Reviewed: November 2024
Government Alternative Fuel Vehicle (AFV) Incentive: The Virginia Department of Mines, Minerals and Energy, in collaboration with the Virginia Department of Transportation, offers up to $10,000 to state agencies and local governments for the incremental cost of new or converted alternative fuel vehicles.
Last updated: November 2024
Public Transit: Virginia does not have any state programs in place to incentivize the creation of low-income housing near transit facilities, but it does consider the proximity of transit facilities when distributing federal Low-Income Housing Tax Credits to qualifying property owners according to its Qualified Allocation Plan (page 16). Projects can get up to 10 points for developments that are located within one-half mile of an existing commuter rail, light rail or subway station or one-quarter mile of one or more existing public bus stop.
EV Programs: Virginia has launched the EV Charging Assistance Program EVCAP to deploy EV charging to underserved communities not served in other federal programs. The Virginia Department of Energy offers grants of up to $400,000 to private businesses and public-private partnerships for the installation of EV charging stations in rural or underserved communities. More information can be found here/
Last updated: November 2024