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SB 254

Electric utilities; shared solar programs, Phase II Utility.

2026 Regular Session Introduced by Scott Surovell

SB 254 authorizes Virginia electric utilities to operate Phase II shared solar programs, enabling multiple customers to benefit from single solar installations regulated by the State Corporation Commission.

Acts of Assembly Chapter text (CHAP0671)
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Bill Summary · SB 254

Legislative bill overview

SB 254 establishes Phase II Utility shared solar programs in Virginia, allowing electric utilities to develop and operate community solar projects that enable multiple customers to benefit from a single solar installation. The bill creates regulatory frameworks for how these programs function, including cost allocation, subscription mechanisms, and utility oversight by the State Corporation Commission.

Why is this important

Shared solar programs expand renewable energy access beyond customers who can install rooftop systems due to cost, roof conditions, or renting status. This could accelerate Virginia's renewable energy adoption while creating new utility revenue models and affecting how electricity rates are structured for participating and non-participating customers.

Potential points of contention

  • Rate design and cost allocation: How solar program costs are distributed between participants and non-participants, and whether non-participating customers subsidize solar customers
  • Utility profit incentives: Whether utilities have sufficient financial motivation to develop these programs or whether rate structures adequately compensate them without creating excessive returns
  • Competitive concerns: Impact on private solar companies and community-based solar providers already operating in Virginia's market

Compiled from official sources — confirm details with the bill’s official record.

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