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Contact Information:
Department of Environmental Quality
P.O. Box 10009
Richmond, VA 23240
(804) 698-4023
Or view the Department's
Website
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VIRGINIA
April 2006
Virginia has expanded net metering with the passage of HB 1541. All renewable energy systems that generate electricity are now
allowed to net meter. Renewable energy is defined in the state as "energy derived from sunlight, wind, falling water,
sustainable biomass, energy from waste, wave motion, tides, and geothermal power." The new legislation also allows
net metering for customers who contract with other entities to own or operate net-metered systems. Previously,
systems had to be located on a customer's property. Virginia residential customers with systems up to 10 kW and nonresidential customers
with systems up to 500 kW are allowed to net meter.
HB 1541
DE MINIMIS EXEMPTIONS:
The following are exempt from obtaining permits:
Internal combustion engines used for standby service, including compressors and pumps used for emergency
replacement and portable generators as follows:
Engines burning diesel fuel (maximum 0.5% sulfur) with 259,000 Btu/hr or less
Engines burning gasoline with 18,200 Btu/hr input or less
External combustion sources listed below are exempt from permitting:
Burning a solid fuel that emits less than 1 MMBtu/hr
Burning a liquid fuel that emits less than 10 MMBtu/hr
Burning a liquid and a gaseous fuel that emits less than 10 MMBtu/hr
Sources wishing to take this exemption may want to notify the state.
MINOR SOURCE PERMITTING:
State BACT is required for all minor sources and all criteria pollutants. The state does not have a cost threshold
established, but a source can take operating or fuel limits to avoid controls. There is an opacity limit of 20%, except for one six-minute
period within any hour of not more than 30% opacity.
One needs to contact the DEQ regional office, complete a Form 7 application and show that local zoning requirements are satisfied.
There is no public comment period unless the source is taking a synthetic minor limit to remain a minor source,
in which case the comment period is 30 days. The whole permitting process takes approximately 180 days for a synthetic
minor source and about 120 days for all other minor sources.
MAJOR NSR/PSD PERMITTING:
A potential to emit 250 tons of any criteria pollutant triggers PSD in attainment areas. In the nonattainment areas classified as
serious 50 tons of NOx or VOCs triggers NSR or 25 tons per year in severe ozone nonattainment areas.
EGU Major Source NOx Requirements:
2.5 ppm or less for natural gas
6 ppm or less for distillate oil
TREATMENT OF EMERGENCY ENGINES:
Engines and turbines used for emergency purposes only and which do not exceed 500 hours of operation per year
at a single stationary source as follows:
a. Diesel-fired turbine emergency generators of 780 hp or less
b. Diesel-fired reciprocating emergency generators of 645 hp or less
c. Natural gas-fueled turbine emergency generators of 1240 hp or less
d. Natural gas-fueled reciprocating emergency generators of 840 hp or less
e. Dual-fueled reciprocating emergency generators of 840 hp or less
Emergency units can operate only during emergencies and for maintenance. The unit must document operation and notify
the state in order to qualify for this exemption.
In the state of Virginia, the
State Corporation Commission regulates the siting of electrical generation
facilities over 50 MW. However, the Commission specifically exempts distributed generation from these
requirements.
AUTHORITY TO CONSTRUCT AND OPERATE AN ELECTRIC GENERATING FACILITY
20VAC5-302-10. Applicability and scope.
Any application, except as noted herein, filed by a person planning to construct electric generating facilities and incidental or associated facilities in the Commonwealth of Virginia and who must apply for approval from the State Corporation Commission ("commission"), pursuant to §§56-46.1, and 56-580 D of the Code of Virginia must comply with the provisions of this chapter. Distributed generation facilities as they may be defined by the commission and net energy metering facilities as defined in §56-594 of the Code of Virginia are not subject to this chapter. Applications filed pursuant to this chapter must set forth the nature of the proposed facility, the applicant's technical and financial fitness to construct, operate and maintain the proposed facility, the effects of the facility on the environment and economic development, the effects of the facility upon reliability of electric service provided by any regulated public utility, and why construction and operation of the proposed facility is not contrary to the public interest.
The filing of confidential information will be treated in accordance with 20VAC5-20-170 of the Commission's Rules of Practice and Procedure (5VAC5-20-10 et seq.).
Statutory Authority
There are no exit fees for DG in the state of Virginia. (See below)
The Restructuring Act mandates that a shopping customer choosing to purchase generation from a non-incumbent must
pay a non-bypassable wires charge as a surrogate for the stranded cost recovery that an incumbent would recover
from non-shopping customers. The Recovery mechanism will be in effect until mid-2007. However, this recovery
mechanism according to the PUC is not applicable to Distributed Generation. A customer may either completely
exit the grid or reduce their load due to self-generation and not be liable for wire charges to their incumbent
utility.
§ 56-583 Wires charges:
A. To provide the opportunity for competition and consistent with § 56-584, the Commission shall
establish wires charges for each incumbent electric utility, effective upon the commencement of
customer choice, which shall be the sum (i) of the difference between the incumbent utilities' capped
unbundled rates for generation and projected market prices for generation, as determined by the
Commission, and (ii) any transition costs incurred by the incumbent electric utility determined by the
Commission to be just and reasonable; however, the sum of such wires charges, the unbundled
charge for transmission and ancillary services, the applicable distribution rates established by the
Commission and the above projected market prices for generation shall not exceed the capped rates
established under § 56-582 A 1 applicable to such incumbent electric utility. The Commission shall
adjust such wires charges not more frequently than annually and shall seek to coordinate adjustments of wires
charges with any adjustments of capped rates pursuant to § 56-582.
B. Customers that choose suppliers of electric energy, other than the incumbent utility, or are
subject to default service, prior to the expiration of the period for capped rates, as provided for in
§ 56-582, shall pay a wires charge determined pursuant to subsection A based upon actual usage of
electricity distributed by the incumbent utility to the customer during the period from the time it
chooses a supplier of electric energy other than the incumbent electric utility, until capped rates
expire or are terminated, as provided in § 56-582.
C. The Commission shall permit any customer, at its option, to pay the wires charges owed to an
incumbent electric utility on an accelerated or deferred basis upon a finding that such method is not
(i) prejudicial to the incumbent electric utility or its ratepayers or (ii) inconsistent with the
development of effective competition, provided, however, that all deferred wires charges shall be paid
in full by July 1, 2007.
D. A supplier of retail electric energy may pay any or all of the wires charge owed by any
customer to an incumbent electric utility. The supplier may not only pay such wires charge on behalf
of any customer, but also contract with any customer to finance such payments. Further, on request
of a supplier, the incumbent electric utility shall enter into a contract allowing such supplier to pay
such wires charge on an accelerated or deferred basis. Such contract shall contain terms and
conditions, specified in rules and regulations promulgated by the Commission to implement the
provisions of this subsection, that fully compensate the incumbent electric utility for such wires
charge, including reasonable compensation for the time value of money.
§ 56-584 Stranded Costs:
Just and reasonable net stranded costs, to the extent that they exceed zero value in total for the incumbent
electric utility, shall be recoverable by each incumbent electric utility provided each incumbent electric
utility shall only recover its just and reasonable net stranded costs through either capped rates as provided
in § 56-583. To the extent not preempted by federal law, the establishment by the Commission of wires charges
for any distribution cooperative shall be conditioned upon such cooperative entering into binding commitments
by which it will pay to any power supply cooperative of which such distribution cooperative is or was a member,
as compensation for such power supply cooperative's stranded costs, all or part of the proceeds of such wires
charges, as determined by the Commission.
Virginia Department of Housing and Community Development
The
Virginia Uniform Statewide Building Code (USBC) is a state regulation promulgated by the Virginia Board of
Housing and Community Development, a Governor-appointed board, for the purpose of establishing minimum
regulations to govern the construction and maintenance of buildings and structures.
The provisions of the USBC are based on nationally recognized model building and fire codes published by the
International Code Council, Inc.
In keeping with the designations of the USBC used previously, since the 2000 editions of the International
Codes are incorporated by reference into this version of the USBC, it is known as the 2000 edition of the USBC even though it
was released in October 2003.
Virginia State Fire Marshal Office
International Code Council State Adoption Information Page
Provides an easy to use US map to locate state and local adoption of the International Code Council's model codes.
US DOE's Office of Building Technology, State and Community Programs, Building Codes Database
The US DOE's database provides a comprehensive look at a state's building code implementation and enforcement
process.
Virginia Dominion Power
| Supplementary, Maintenance, Standby Service for Customers with Power Plants
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| Load Size |
Primary voltage |
Transmission voltage |
| Basic Charge |
$127.60 |
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| Metering Service |
n/a |
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| Supplementary, Maintenance and Standby Service |
Distribution Charge
<= 5000 kW: $1.00
> 5000 kW: $0.76
rKVA Demand: $0.15
Electricity Demand Charge
: $12.00/kW
Standby Service Demand Charge
Contract Hours: Applicable Rate ($/kW)
175 : $0.58
350 : $1.10
525 : $1.76
700 : $2.35
Maintenance Service Charge
On-peak: 2.071 cents/kWh
Off-peak: 1.938 cents/kWh
Standby Service Energy Charge
On-peak: 1.260 cents/kWh
Off-peak: 0.651 cents/kWh
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Standby Generator Rates
The customer must pay $95.00/month for metering costs
Payment to the customer:
Nov-April $1.28/kW
May-Oct $2.56/kW
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| Power Purchases from CHP and Small Power Production Facilities |
Requirements and Charges
Qualifying facilities (QF's) must have a design capacity of 100 kW or less
QF's that sell their electrical output will be billed the following metering costs:
1. QF's with one non-time differentiated meter $5.56
2. QF' requiring only one time differentiated meter $65.09
3. QF's requiring two time differentiated meters $102.62
Purchase payments to the QF are:
Energy Purchase Price (cents/kWh) On-Peak Off-Peak
2005 5.60 3.17
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Property Tax Exemption for Installation of Pollution Control Technologies
The following counties provide a property tax exemption for the installation of certified pollution control equipment:
Allegheny, Amherst, Bedford, Campbell, Chesterfield, Cumberland, Dinwiddie, Franklin, Frederick, Giles, Grayson
Halifax, henrico, Isle of Wight, King William, Montgomery, Orange, Pulaski, Roanoke, Shenandoah, Spotsylvania, Warren, Washington,
York.
Certified pollution control equipment is defined as equipment, facilities, or devices, used primarily for the
purpose of preventing pollution and that have been certified by the appropriate state agency.
Contact Information:
John Daniel
DEQ
P.O. Box 10009
Richmond, VA 23240
Phone: (804) 698-4311
Bland Sutton
Virginia Department of Taxation
Phone: (804) 367-6358
Sales and Use Tax Exemption for Certified Pollution Control Equipment
Virginia statutes provide a sales tax exemption for the purchase of qualifying pollution control equipment.
Traditionally, certified pollution control equipment has included equipment that has the primary purpose
of preventing pollution.
Contact information is the same as above
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