Overview of Virginia Energy Policy Landscape
At a Glance - In Virginia
As of July 2024, 60.7% of Virginia’s net electricity generation is sourced from natural gas. The remaining electricity is produced from nuclear (28.4%), nonhydroelectric renewable resources (9%), hydroelectric (1.3%), and coal (0.6%).
The state’s electric grid is largely operated by the PJM Interconnection and is subject to Federal jurisdiction.
Virginia uses a biennial budget. The legislature is not required to pass a balanced budget and deficits can be carried into the following year. However, lawmakers are bound by budget rules that require revenues and expenditures to be balanced.
The next election cycle for statewide offices is 2025. Elections for the Virginia General Assembly take place in odd-numbered years. The upcoming Regular Session will convene from January 8 to February 22 for its 2025 regular session. Bill filling began on July 15, 2024.
Energy Hot Topics – In Virginia
Solar farms, data centers, and carbon dioxide are on track to dominate the General Assembly discussions on the environment in the 2025 Regular Session. Prior pieces of solar permitting legislation will likely be carried forward, in addition to a new bill sponsored by State Senator David Marsden (D-Fairfax).
The Joint Legislative Audit & Review Commission (JLARC) published a report, which will guide the General Assembly when it considers how to handle the Commonwealth’s rapidly growing data center and artificial intelligence industry.
A judge struck down Gov. Glenn Youngkin’s (R-VA) 2022 executive order that attempted to withdraw the Commonwealth from the Regional Greenhouse Gas Initiative (RGGI) climate program. Since it was enacted in 2021, RGGI has slashed air pollution by 20% and delivered over $800 million in flooding resilience and energy efficiency upgrades in low-income homes, paid for by large corporate air polluters across Virginia.
Key Officials
Governor Glenn Youngkin (R): The top state-wide office is elected to four-year terms with no term limit, but an individual cannot serve consecutive terms. The governor makes executive and judicial appointments and has veto power on bills and budget line items. Gov. Youngkin was elected in 2021 and will be ineligible to run in the upcoming 2025 gubernatorial race.
Lieutenant Governor Winsome Earle-Sears (R): The second highest state-wide office is elected to four-year terms with no term limit. The lieutenant governor serves as the president of the state Senate and can only cast tie-breaking votes. Lt. Gov. Earle-Sears was elected in 2021 and will likely be the Republican nominee in the upcoming 2025 gubernatorial race.
Attorney General Jason Miyares (R): The third highest state-wide office is elected every four years with no term-limit. The attorney general is the state’s top law enforcement officer. AG Miyares was first elected in 2021 and will be running for reelection in 2025.
Energy Infrastructure Regulation
Virginia Department of Energy (Virginia Energy): This agency is responsible for regulating coal and mineral mining sites and natural gas sites for safety and environmental protection, in addition to executing the Governor’s Virginia Energy Plan.
Virginia Department of Environmental Quality (DEQ): This agency is responsible for administering state and federal laws and regulations for air quality, water quality, water supply and land protection. Its six regional offices issue permits, conduct inspections and monitoring, and enforce regulations.
State Corporation Commission (SCC): This agency has regulatory authority over utilities, insurance, state-chartered financial institutions, securities, retail franchising, and railroads. SCC is an independent branch of the state government with delegated administrative, legislative, and judicial powers. The SCC’s three commissioners are elected by the General Assembly for six-year terms.
Virginia Department of Transportation (VDOT): This agency is responsible for maintaining the country’s third-largest state-operated highway system. It provides funding for airports, seaports, rail, and public transportation.
Virginia Department of Rail & Public Transportation (DRPT): This agency focuses on the movement of people and goods throughout the Commonwealth, and the primary areas of activity are rail, public transportation, and commuter services.
Legislative Branch
Overview: Virginia has a bicameral legislature, which regularly convenes each year. The General Assembly’s Regular Session begins on the second Wednesday of every January. In even-numbered years, the regular session is held for 60 days; in odd-numbered years, the session is held for 30 days, but is usually extended to 45 days. The Governor can call special sessions to order pending approval from a two-thirds majority vote in both chambers.
House of Delegates: State assembly members serve two-year terms with no term limits. Each district is represented by a single member. The current Speaker of the House of Delegates is Don Scott (D), and the current Minority Leader is Todd Gilbert (R). The Speaker presides over the chamber and has full control over the flow of legislation and committee assignments. Relevant committees include: Agriculture, Chesapeake, & Natural Resources; Communications, Technology, & Innovation; and Transportation. The Appropriations Committee also plays a significant role in the passage of broader bills.
Senate: State senators serve four-year terms with no term limits. Each district is represented by a single member. The Lieutenant Governor is the ex officio president of the State Senate and may only cast tie-breaking votes. Majority and minority leaders are selected by their respective party caucuses, and the former typically presides over the chamber as the President Pro Tempore. The President Pro Tempore has control over all committee assignments. The current Majority Leader and President Pro Tempore is Andrea Stewart-Cousins (D) and the current Minority Leader is Rob Ortt (R). Relevant committees include: Energy & Telecommunications; Environmental Conservation; and Transportation. The Budget & Revenue, Finance, and Rules committees also play significant roles in the passage of broader bills.
Judicial Branch
Supreme Court: This is the highest court in Virginia. The active Court consists of a Chief Justice and six associate justices, all of whom are elected by a majority vote of both chambers of the General Assembly for a term of twelve years. Vacancies occurring between legislative sessions may be filled by the Governor for a term expiring 30 days after the start of the next session. There is a statutory age limit on the justices, who must retire no later than 20 days after the start of the next legislative session following their 73rd birthday. Retired justices are eligible to serve as senior justices who can sit with the Court either to hear petitions for appeal or to hear cases on the merits, but particularly to replace any of the active justices who may recuse themselves from hearing a case.
Court of Appeals:This court hears appeals from decisions of Virginia’s circuit courts and the Virginia’s Workers’ Compensation Commission. It is composed of 11 judges, sits in panels of at least 3 judges, and sometimes hears casesen banc. Appeals from the Court of Appeals go to the Supreme Court.