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2026 Session

Budget Amendments - HB30 (Floor Request)

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Chief Patron: McNamara
Renewable Portfolio Standard Deficiency Payments (language only)

Item 109 #1h

Item 109 #1h

Commerce and Trade
Department of Energy

Language

Page 114, after line 35, insert:

"F. Notwithstanding the provisions of §56.585.5, Code if Virginia, 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 $0.01 per megawatt hour, such supplier shall be obligated to make a deficiency payment equal to $0.01 for each megawatt-hour shortfall for the year of noncompliance. The exception 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 shall no longer apply.  Notwithstanding the provisions of §56.585.5, Code if Virginia, the amount of any deficiency payment shall not increase annually."



Explanation

(This amendment changes the amount of deficiency payment required by certain electric utilities that are unable to meet the compliance obligations of the renewable energy portfolio standard program requirements from $45 to $0.01. It also removes provisions requiring a payment of $75 per megawatt-hour of shortfall in procuring renewable energy certificates for solar, wind, or anaerobic digesters.)