Virginia House Bill HB945

Virginia 2026 Regular Session

• Introduced: 1/13/26
• Refer: 1/13/26

Caption

Geothermal energy; Dept. of Energy to study, SCC to establish requirements for high energy users.

Impact

Following the completion of the study, which seeks to inform future energy policies, the State Corporation Commission is tasked with initiating a proceeding by September 30, 2027, to establish specific requirements for high energy users regarding their utilization of geothermal energy resources. The bill defines 'high energy users' as those customers with a consistent demand of 100 megawatts from utility providers and empowers the Commission to adjust this threshold as deemed necessary. This regulatory framework is expected to encourage greater adoption of geothermal energy among large-scale consumers, thereby potentially reshaping the energy landscape in Virginia.

Summary

House Bill 945 aims to enhance the understanding and utilization of geothermal energy resources in Virginia by directing the Department of Energy to conduct an in-depth study into geothermal electric generation and heating/cooling systems. The bill stipulates that this study will assess the potential electric generation capacity that could be harnessed from these geothermal energy sources within the state. It also allows the Department to hire independent consultants for the study, and a report of findings and recommendations must be submitted to the State Corporation Commission by July 1, 2027. This initiative aligns with Virginia's broader goals of improving energy efficiency and promoting renewable energy sources.

Contention

While the bill is primarily focused on advancing renewable energy use through geothermal resources, it could generate debate regarding the administrative responsibilities assigned to the Department of Energy and the State Corporation Commission. Stakeholders may discuss the implications of mandating geothermal energy usage among high energy users, considering economic factors, feasibility, and potential resistance from industries currently dependent on traditional energy sources. Critics may argue that while the transition to geothermal energy is essential for environmental sustainability, it must be carried out without placing undue regulatory burdens on businesses.