Bill > HB1191

This bill allows a member of an electric cooperative (a utility consumer services cooperative organized under specific state law) that uses a significant amount of electricity, defined as having an electric demand of at least 20 megawatts in the past year and needing service at a high voltage (34.5 kilovolts) from a major transmission line (230 kilovolts or more), to petition the State Corporation Commission (the state agency that regulates utilities) to build and install a substation. This substation would be solely for the member's use and built at the member's expense, following all relevant laws and safety standards. After construction, the member would transfer ownership of the substation to the cooperative, either as a gift or for an agreed-upon price. The cooperative would then operate and maintain the substation, with all costs borne by the member. Importantly, the bill ensures that the costs associated with these member-specific substations will not be passed on to other ratepayers and will be excluded from the cooperative's general rates. If a cooperative fails to negotiate an agreement within 120 days of a member's request, the member can ask the Commission to order negotiations and the proposal of a draft agreement, with the Commission setting fees for this process. Any disputes arising from these agreements or the construction process can be handled through the Commission's dispute resolution procedures.

Business and Industry

https://lis.virginia.gov/bill-details/20261/HB1191