SB 1231 — Renewable energy; biomass-fired facilities, Department of Forestry advisory panel, report.
Last action — Acts of Assembly Chapter text (CHAP0804)
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✓Introduced
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✓In Committee
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✓Passed Senate
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✓Passed House of Delegates
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✓To Executive
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6Enacted
This bill has been enacted into law. Introduced January 10, 2023. Enacted.
Signed by Governor Glenn Youngkin (Republican) on May 12, 2023.
Odds of enactment
High chanceBased on the sponsor, cosponsors, and committee posture, this bill has a high chance of becoming law.
Upgrade to see the exact probability and what's driving it.
A statistical estimate from our own model of past outcomes — an insight, not a guarantee. Policymaking is volatile.
Prognosis
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Enacted
Current position in the legislative process.
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1 sponsor
1 primary, 0 co-sponsors signed on.
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Failed a recorded vote
Failed 7 recorded votes so far — a real headwind.
Based on stage, sponsorship breadth, committee status, recorded votes, and cross-state momentum — a description of the observable signals, not a prediction.
Bill Text
What changed in the latest version
446 added · 431 removedPlain-language change summary
The amendment clarifies definitions related to renewable energy generation in Virginia. It provides precise language around terms such as "accelerated renewable energy buyer," "aggregate load," "falling water," and "low-income qualifying projects." This change helps ensure consistency and clarity in interpreting the section, which may impact how renewable energy initiatives and partnerships are structured within the state.
SESSION ENROLLED VIRGINIA ACTS OF ASSEMBLY ––-- 2023 RECONVENED SESSION CHAPTER E804 An Act to amend and reenact § 56-585.5 of the Code of Virginia, relating to renewable energy;
N biomass-fired facilities;
R O [S 1231] Approved LMay L12, 2023 Be it enacted by the General Assembly of Virginia:
E § 56-585.5.
DA. "Accelerated renewable energy buyer" means a commercial or industrial customer of a Phase I or Phase II Utility, irrespective of generation supplier, with an aggregate load over 25 megawatts in the prior calendar year, that enters into arrangements pursuant to subsection G, as certified by the Commission.
"AggregateAs load"used means the combined electrical load associated with selected accounts of an accelerated renewable energy buyer with the same legal entity name as, or in thethis namessection: of affiliated entities that control, are controlled by, or are under common control of, such legal entity or Bre the names of affiliated entities under a common parent.
2"Accelerated "Fallingrenewable water"energy buyer" means hydroelectrica resources,commercial includingor run-of-riverindustrial generationcustomer fromof a comb1nedPhase pumped-storageI andor run-of-riverPhase facility.II Utility, irrespective of generation supplier, with an aggregate load over 25 megawatts in the prior calendar year, that enters into arrangements pursuant to subsection G, as certified by the Com"Aggregate load" means the combined electrical load associated with selected accounts of an accelerated renewable energy buyer with the same legal entity name as, or in the names of affiliated entities that control, are controlled by, or are under common control of, such legal entity or are the names of affiliated entities under a common parent.
"Control" has the same meaning as provided in § 56-585.1:11.
"Falling water" means hydroelectric resources, including run-of-river generation from a combined pumped-storage and run-of-river facility.
R "Low-income qualifying projects" means a project that provides a minimum of 50 percent of the respective electric output to low-income utility customers as that term is defined in § 56-576.
"Previously developed project site" means any property, including related buffer areas, if any, that has been previously disturbed or developed for non-single-family residential, nonagricultural, or nonsilvicultural use, regardless of whether such property currently is being used for any purpose.
"Total electric energy" means total electric energy sold to retail customers in the Commonwealth service territory of a Phase I or Phase II Utility, other than accelerated renewable energy buyers, by the incumbent electric utility or other retail supplier of electric energy in the previous calendar year, excluding an amount equivalent to the annual percentages of the electric energy that was supplied to,to such customer from nuclear generating plants located within the Commonwealth in the previous calendar year, provided such nuclear units were operating by July 1, 2020, or from any zero-carbon electric generating facilities not otherwise RPS eligible sources and placed into service in the Commonwealth after July 1, 2030.
By December 31, 2024, except for any coal-fired electric generating units (i) jointly owned with a cooperative utility or (ii) owned and operated by a Phase II Utility located in the coalfield region of the Commonwealth that co-fires with biomass, any Phase I and Phase II Utility shall retire alleldall region generating units principally fueled by oil with a rated capacity in excess of 500 megawatts and all coal-fired electric generating units operating in the Commonwealth.
this4. subsection on the basis that the requirement would threaten the reliability or security of electric service to customers.
The3. Commission shall consider in-state and regional transmission entity resources of 8 and shall evaluate the reliability of each proposed retirement on a case-by-case basis in ruling upon any such petition.
C.A Phase I or Phase II Utility may petition the Commission for relief from the requirements of this subsection on the basis that the requirement would threaten the reliability or security of electric service to customers.
The Commission shall consider in-state and regional transmission entity resources and shall evaluate the reliability of each proposed retirement on a case-by-case basis in ruling upon any such petition.
of 8 C.
For purposes of complying with the RPS Program from 2021 to 2024, a Phase I and Phase II Utility may use RECs from any renewable energy facility, as defined in § 56-576, provided that such facilities are located in the Commonwealth or are physically located within the PJM Interconnection, LLC (PJM) region.
Phase I Utilities Phase II Utilities 3 of 8 Year RPS Program Requirement Year RPS Program Requirement 2021 6% 2021 14% E 2022 7% 2022 17% 2023 8% 2023 20% N 2024 10% 2024 23% 2025of 8 14% 2025 26% R 2026 17% 2026 29% O 2027 20% 2027 32% 2028 24% 2028 35% L27% 20302029 38% 30% 2030 41% 2031 33% 2031 45% L 2032 36% 2032 49% E 2033 39% 2033 52% 2034 42% 2034 55% D 2035 45% 2035 59% 2036 53% 2036 63% 2037 53% 2037 67% 2038 57% 2038 71% 2039 61% 2039 75% 2040 65% 2040 79% 2041 68% 2041 83% 2042 71% 2042 87% B 2043 74% 2043 91% 177% 20452044 95% 80% 2045 and 100% 3 thereafter E 2046 84% R 2047 88% 2048 92% 2049 96% 2050 and 100% thereafter A Phase II Utility shall meet one percent of the RPS Program requirements in any given compliance year with solar, wind, or anaerobic digestion resources of one megawatt or less located in the Commonwealth, with not more than 3,000 kilowatts at any single location or at contiguous locations owned by the same entity or affiliated entities and, to the extent that low-income qualifying projects are available, then no less than 25 percent of such one percent shall be composed of low-income qualifying projects.
Each Phase I Utility shall petition the Commission for necessary approvals to construct, acquire, or enter into agreements to purchase the energy, capacity, and environmental attributes of 600 megawatts of 8 of generating capacity using energy derived from sunlight or onshore wind.
By December 31, 2023, each Phase I Utility shall petition the Commission for necessary approvals to construct, acquire, or enter into agreements to purchase the energy, capacity, and environmental attributes of at least 200 megawatts of generating capacity located in the Commonwealth using energy derived from sunlight or onshore wind, and 35 percent of such generating capacity procured shall be from the purchase of energy, capacity, and environmental attributes from solar or onshore wind facilities owned by persons other than the utility, with the remainder, in the aggregate, being from construction or of 8 acquisition by such Phase I Utility.
By December 31, 2035, each Phase II Utility shall petition the Commission for necessary approvals to construct, acquire, or enter into agreements to purchase the energy, capacity, and of 8 environmental attributes of at least 6,100 megawatts of additional generating capacity located in the Commonwealth using energy derived from sunlight or onshore wind, and 35 percent of such generatEnggenerating capacity procured shall be from the purchase of energy, capacity, and environmental attributes from solar or onshore wind facilities owned by persons other than the utility, with the remainder, in the aggregate, being from construction or acquisition by such Phase II Utility.
R e.
Nothing in this subdivision 2 shall prohibit such Phase II Utility from constructing, acquiring, or entering into agreements to purchase the energy, capacity, and environmental attributes of more than 16,100 megawatts of generating capacity located in the Commonwealth using energy derived fromreOthanfrom sunlight or onshore wind, provided the utility receives approval from the Commission pursuant to §§ 56-580 and 56-585.1.
of 8 3.
Nothing in this section shall prohibit a utility from petitioning the Commission to construct or acquire zero-carbon electricity or from entering into contracts to procure the energy, capacityEcapacity, and environmental attributes of zero-carbon electricity generating resources in excess of the requirements in subsection B.
The Commission shall determine whether to approve such petitions on a stand-alone basis pursuant to §§ 56-580 and 56-585.1, provided that the Commission's review shall also consider whether the proposed generating capacity (i) is necessary to meet the utility's native load, (ii) is likely to lower customer fuel costs, (iii) will provide economic development opportunities in the Commonwealth, and (iv) serves a need that cannot be more affordably met with demand-side or energy storage resources.
The requests for proposals shall be publicly announSedannounced and made available for public review on the utility's website at least 45 days prior to the closing1ofclosing of such request for proposals.
The requests for proposals shall provide, at a minimum, the following in3ormation:information:
(b) Enyany minimum thresholds that must be met by respondents;
(c) major assumptions to be used by the utility in Rhethe bid evaluation process, including environmental emission standards;
(e) the preferred general location of additional non-pricecapacity; criteria used for selecting winning bids.
and (f) specific information concerning the factors involved in determining the price and non-price criteria used for selecting winning bids.
commencing4. in 2020 and concluding in 2035, submit annually a plan and petition for approval for thell, development of new solar and onshore wind generation capacity.
In connection with the requirements of this subsection, each Phase I and Phase II Utility shall, commencing in 2020 and concluding in 2035, submit annually a plan and petition for approval for the development of new solar and onshore wind generation capacity.
In determining whether to approve the utility's plan and any associated petition requests, the Commission shall determine whether they are reasonable and prudent and shall give due consideration to (i) the RPS and carbon dioxide reduction requirements in this section, (ii) the promotion of new renewable)renewable the RPS generation and energy storage resources within the Commonwealth, and associated economic development, and (iii) fuel savings projected to be achieved by the plan.
If, in any year, a Phase I or Phase II Utility is unable to meet the compliance obligation of the RPS Program requirements or if the cost of RECs necessary to comply with RPS Program requirements exceeds $45 per megawatt hour, such supplier shall be obligated to make a deficiency payment equal to $45 for each megawatt-hour shortfall for the year of noncompliance, except that the deficiency payment for any shortfall in procuring RECs for solar, wind, or anaerobic digesters located in the Commonwealth shall be $75 per megawatts hour for resources one megawatt and lower.
The amount of any deficiencyealthdeficiency payment shall increase by one percent annually after 2021.
A Phase I or Phase II Utility shall be entitled of 8 to recover the costs of such payments as a cost of compliance with the requirements of this subsection pursuant to subdivision A 5 d of § 56-585.1.
Show all 52 changed lines (12 more)
of 8 E.
Thereafter, such charges and tariff provisions shall be updated and trued up by the utility on an of 8 annual basis, subject to continuing review and approval by the Commission.
An accelerated renewable energy buyer may contract with a Phase I or Phase II Utility,EorUtility, or a person other than a Phase I or Phase II Utility, to obtain (i) RECs from RPS eligible resources or (ii) bundled capacity, energy, and RECs from solar or wind generation resources located within the PJM region and initially placed in commercial operation after January 1, 2015, including any contraRtcontract with a utility for such generation resources that does not allocate to or recover from any other customer of the portionutility ofthe itscost electric load for purposes of RPS compliance through such arrangements.resources.
Such an accelerated renewable energy buyer may offset all or a portion of its electric load for purposes of RPS compliance through such arrangements.
An accelerated renewable enerEyenergy buyer obtaining RECs only shall not be exempt from costs related to procurement of new solar or onshore wind generation capacity, energy, or environmental attributes, or energy storage facilities, by the utility pursuant to subsections D and E, however, an accelerated renewable energy buyer that is a customer of a Phase II Utility and was subscribed, as of March 1, 2020, to a voluntary companion experimental of 8 tariff offering of the utility for the purchase of renewable attributes from renewable energy facilities that requires a renewable facilities agreement and the purchase of a minimum of 2,000 renewable attributesiesattributes that annually, shall be exempt from allocation of the net costs related to procurement of new solar or onshore wind generation capacity, energy, or environmental attributes, or energy storage facilities, by the utility pursuant to subsections D and E, based on the amount of RECs associated with the customSr'scustomer's renewable facilities agreements associated with such tariff offering as of that date in proport1onproportion to the customer's total electric energy consumption, on an annual basis.
To the extent that an acceler3tedaccelerated renewable energy buyer contracts for the capacity of new solar or wind generation resources purEuantpursuant to this subsection, the aggregate amount of such nameplate capacity shall be offset from the utiliRy'sutility's procurement requirements pursuant to subsection D.
All RECs associated with contracts entered into by an accelerated renewable energy buyer with the utility, or a person other than the utility, for an RPS Program shall not be credited to the utility's compliance with its RPS requirements, and the calculation of the utility's RPS Program requirements shall not include the electric load covered by customerslationcustomers certified as accelerated renewable energy buyers.
Provided that no incremental costs associated with any contract between a Phase I or Phase II Utility and an accelerated renewable energy buyer is allocated to or recovered from any other customer of the utility, any such contract with an accelerated renewable energy buyer that is a jurisdictional customer of the utility shall not be deemed a special rate or contract requiring Commission approvallapproval pursuant to § 56-235.2.
No customer of a Phase I Utility that elected pursuant to subdivision A 3 of § 56-577 to purchase electric energy from a competitive service provider prior to February 1, 2019, shall be allocated any non-bypassable charges pursuant to subsection F for such period that the customer is not purchasing electric energy from the utility, and such customer's electric load shall not be included in the utility's RPS Program requirements.
The advisory panel shall consist of representatives from the Department of Environmental Quality, the Department of Energy, industry, environmental organizations, and the Virginia Cooperative Extension, and other stakeholders as the Department deems appropriate.
The advisory panel shall examine the following factors related to the use of forest-related materials, agricultural-related materials, and solid woody waste materials for of 8 biomass-fired electric generating units:
The best management practices shall include a life-cycle carbon analysis, developed in coordination with the Department of 8 of Environmental Quality and relevant stakeholders, that includes all carbon emissions, including supply chain emissions, forgone sequestration, and the emissions from burning biomass resources for electricity generation.
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View plain text versions (5)
- CHAP0804 View text Current pdf May 12, 2023
- SB1231ER View text pdf March 07, 2023
- Committee Substitute Committee substitute printed 23106815D-H1 pdf February 16, 2023
- Committee Substitute Committee substitute printed 23105971D-S1 pdf January 31, 2023
- Prefiled Prefiled and ordered printed; offered 01/11/23 23102338D pdf January 10, 2023
Action History
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Acts of Assembly Chapter text (CHAP0804)
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Approved by Governor-Chapter 804 (effective 7/1/23)
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Communicated to Governor
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Recommendation #4 passed by for the day
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Senate rejected Governor's recommendations #'s 1, 2, 3 (18-Y 22-N)
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Governor's recommendation received by Senate
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Impact statement from SCC (SB1231ER)
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Governor's Action Deadline 11:59 p.m., March 27, 2023
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Enrolled Bill Communicated to Governor on March 13, 2023
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Signed by Speaker
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Signed by President
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Bill text as passed Senate and House (SB1231ER)
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Enrolled
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Title replaced 23106815D-H1
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House substitute agreed to by Senate (40-Y 0-N)
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VOTE: Passage (82-Y 14-N)
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Passed House with substitute (82-Y 14-N)
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Engrossed by House - committee substitute SB1231H1
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Committee substitute agreed to 23106815D-H1
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Passed by temporarily
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Read third time
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Impact statement from SCC (SB1231H1)
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Read second time
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Committee substitute printed 23106815D-H1
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Reported from Commerce and Energy with substitute (21-Y 1-N)
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House committee, floor amendments and substitutes offered
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Impact statement from SCC (SB1231S1)
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Referred to Committee on Commerce and Energy
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Read first time
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Placed on Calendar
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Read third time and passed Senate (39-Y 0-N)
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Engrossed by Senate - committee substitute SB1231S1
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Committee substitute agreed to 23105971D-S1
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Reading of substitute waived
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Read second time
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Constitutional reading dispensed (40-Y 0-N)
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Committee substitute printed 23105971D-S1
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Reported from Agriculture, Conservation and Natural Resources with substitite (9-Y 0-N 1-A)
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Senate committee, floor amendments and substitutes offered
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Impact statement from SCC (SB1231)
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Referred to Committee on Agriculture, Conservation and Natural Resources
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Prefiled and ordered printed; offered 01/11/23 23102338D
Sponsors
- Lewis, Lynwood W., Jr. · Primary
Sponsorship breakdown
Export CSV (upgrade) →1 sponsors · 0 co-sponsors · 147 not signed on
Sponsors (1)
Co-sponsors (0)
None.
Not signed on (147)
147 members have not signed on to this bill.
Show all 147 →"Not signed on" means a member has not sponsored or co-sponsored this bill — it does not imply opposition. Members flagged Voted No have a recorded No vote on this bill.
Votes
Roll call published as PDF — view source.
Roll call published as PDF — view source.
Roll call published as PDF — view source.
Roll call published as PDF — view source.
Roll call published as PDF — view source.
Roll call published as PDF — view source.
Roll call published as PDF — view source.
Subjects
Frequently asked questions
- Who sponsors SB 1231?
- SB 1231 is sponsored by Lewis, Lynwood W., Jr..
- What is the current status of SB 1231?
- This bill has been enacted into law. Introduced January 10, 2023. Enacted.
- Where can I track SB 1231?
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