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SB 708

Underground transmission lines; qualifying projects, pilot program.

2025 Regular Session Introduced by Russet Perry

SB 708 creates a Virginia pilot program enabling electric utilities to underground transmission lines in qualifying projects with State Corporation Commission oversight and approval.

Left in Commerce and Labor
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Bill Summary · SB 708

Legislative bill overview

SB 708 establishes a pilot program in Virginia to allow electric utilities to underground existing overhead transmission lines in qualifying projects. The bill creates a regulatory framework through the State Corporation Commission (SCC) to evaluate and approve underground transmission line projects that meet specified criteria, likely focusing on areas with demonstrated need such as reliability concerns or infrastructure modernization.

Why is this important

Undergrounding transmission lines can improve grid resilience by reducing outages from weather events and vegetation, enhance property aesthetics, and support infrastructure modernization—but it comes at significantly higher costs than maintaining overhead lines (typically 4-10 times more expensive). The pilot program approach allows Virginia to test feasibility and cost-effectiveness before broader implementation, while establishing regulatory precedent for utility investment recovery.

Potential points of contention

  • Cost allocation: Determining whether ratepayers, utilities, or government funding should bear the substantial expense of undergrounding transmission lines versus routine maintenance
  • Project selection criteria: Defining what qualifies as a "qualifying project" and ensuring transparent, equitable geographic distribution of pilot program benefits across the state
  • Rate recovery: Whether utilities can pass project costs to customers through rate increases, and whether the SCC will allow adequate returns on these capital-intensive investments

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

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