ICYMI: After Filing by Governor Spanberger, SCC Requires Data Centers to Pay for New Transmission Infrastructure

RICHMOND, VA - Governor Abigail Spanberger continues to take steps to make sure data centers pay their fair share and shield families, small businesses, and other ratepayers from transmission infrastructure costs.

Earlier this month, after Governor Spanberger urged state regulators to protect Virginians from shouldering new energy costs, the State Corporation Commission (SCC) ordered data centers to cover the cost of transmission infrastructure built exclusively for those facilities - saving Virginians hundreds of millions of dollars.

Read below for coverage from across the Commonwealth of Governor Spanberger's push to protect Virginia families, small businesses, and other ratepayers:

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Virginia Mercury: SCC orders Dominion to develop tariff to assign more transmission costs to data centers

More of the cost to build the high-voltage transmission lines that serve as power highways across the state could soon be covered by data centers, after a recent decision by state regulators.

The State Corporation Commission has ordered Dominion Energy to develop a policy to directly assign the cost of transmission infrastructure to data centers and other large-load users that connect to the facilities, "with the goal of finding an acceptable and symmetrical approach towards assigning costs in these circumstances."

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In a rare move, Gov. Abigail Spanberger's administration weighed in on the case, with officials stating that data centers should be paying their "fair share," and that residential customers shouldn't have to pay for power infrastructure solely used by data centers.

Richmond Times-Dispatch: SCC approves shifting transmission system costs to large energy users

A fresh look at how the cost of high-voltage transmission lines and substations is split among different kinds of Dominion Energy customers will shift more of the bill onto new data centers and other large users.

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Dominion had asked the commission to approve a surcharge to cover $998.5 million of transmission costs, and its initial approach to allocating this would have boosted the benchmark residential bill by $2.90.

But after Virginia's new chief energy officer, Josephus Allmond, suggested the allocation should be revised to reflect the new rate class for data centers and other large users, and Dominion agreed, the SCC ordered an increase in the portion of costs that go to large users.

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"I am proud that after my administration urged state regulators to protect Virginia families and small businesses from shouldering the cost of new transmission infrastructure meant to serve data centers, the SCC listened," Gov. Abigail Spanberger said.

She said the SCC order will save Virginians hundreds of millions of dollars.

"We are taking real steps to address rising energy costs for Virginians," Spanberger said, adding that she will continue to work with the General Assembly to ensure data centers pay their fair share of costs and adhere to strict environmental standards.

NBC4 [Washington, D.C.]: Data centers to pay for new transmission lines in Virginia

Today, Virginia Governor Abigail Spanberger took a stand against data centers. The Governor announced that the State Corporation Commission has ordered data centers to cover the cost of transmission infrastructure built exclusively for those facilities across the Commonwealth.

The Governor says the move protects families and small businesses from shouldering the cost.

WSLS [Roanoke]: Gov. Spanberger announces data centers required to pay for new transmission infrastructure

On Wednesday, Gov. Spanberger announced that the State Corporation Commission (SCC) has ordered data centers to cover the cost of transmission infrastructure built exclusively for those facilities. This comes after she requested the commission to "assign costs of these projects to data centers and other large-load users."

"I am proud that after my administration urged state regulators to protect Virginia families and small businesses from shouldering the cost of new transmission infrastructure meant to serve data centers, the SCC listened," said Governor Spanberger. "This order - which is projected to save Virginians hundreds of millions of dollars - makes sure that data centers are paying the full cost of the transmission infrastructure their developments require."

ABC13 [Roanoke]: SCC orders data centers to pay full cost of dedicated grid upgrades after Spanberger push

Gov. Abigail Spanberger says Virginia electric customers should not bear the cost of infrastructure built exclusively to serve data centers, following a decision by the State Corporation Commission that could save ratepayers hundreds of millions of dollars.

Last month, Spanberger asked the SCC to require data centers to pay for transmission projects built specifically to serve their facilities instead of spreading those costs across residential and small-business customers.

On Wednesday, the commission agreed, directing utilities such as Dominion Energy to develop tariffs requiring data centers to cover the full cost of transmission lines and grid upgrades that serve only their operations.

CBS19 [Charlottesville]: SCC sides with Spanberger, data centers must pay for transmission lines

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This comes after Governor Abigail Spanberger took a rare step by filing comments with the SCC last month on behalf of ratepayers in Virginia.

In her filing, Spanberger called on the SCC to assign the costs of these transmission projects to data centers and other large-load users, instead of distributing the bulk of the costs to all ratepayers, including small businesses and residential customers.

"I am proud that after my administration urged state regulators to protect Virginia families and small businesses from shouldering the cost of new transmission infrastructure meant to serve data centers, the SCC listened," said Spanberger. "This order, which is projected to save Virginians hundreds of millions of dollars, makes sure that data centers are paying the full cost of the transmission infrastructure their developments require."

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