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Bill > SB827


VA SB827

VA SB827
Underground transmission lines; pilot program, qualifying projects, levy, report.


summary

Introduced
01/23/2026
In Committee
02/24/2026
Crossed Over
02/12/2026
Passed
Dead

Introduced Session

2026 Regular Regular Session

Bill Summary

Pilot program for underground transmission lines; qualifying projects; levy; report. Authorizes the State Corporation Commission, in reviewing any application submitted by a public utility for a certificate of public convenience and necessity for the construction of an electrical transmission line of 500 kilovolts filed between January 1, 2025, and July 1, 2033, to approve up to four applications for qualifying projects to be constructed in whole or in part underground as part of the pilot program for underground transmission lines and to provide an expedited review of any such application. The bill removes certain provisions related to the existing pilot program. Under the bill, a project shall be qualified if (i) the Commission finds that an engineering analysis demonstrates that it is technically feasible to place the proposed line in whole or in part underground, (ii) the application contains certain information regarding projections of project costs, (iii) the application contains evidence that the governing body of each locality in which at least a portion of the proposed line will be placed underground supports the project’s inclusion in the program and agrees to meet its related funding obligations, and (iv) the Commission finds the overall cost of the project reasonable and consistent with the public interest. The bill permits the Commission to deny an application for a project that otherwise meets the criteria to qualify, provided that the Commission publicly shares its rationale for doing so.The bill requires at least fifty percent of the marginal costs, as defined in the bill, of the portion of a qualifying project chosen to be placed underground within a locality pursuant to its provisions to be paid by such locality. The bill permits such a locality to meet such requirement through imposing a levy on electric utility customers within the locality, issuing a general obligation bond subject to a referendum, or allocating its own funds. The bill extends the Commission's final report deadline for the pilot program from December 1, 2024, to December 1, 2034.

AI Summary

This bill establishes a pilot program for underground electrical transmission lines, allowing the State Corporation Commission (SCC) to approve up to four new projects between July 2025 and July 2033 that are at least 500 kilovolts and are proposed to be constructed, in whole or in part, underground, especially near residential areas. The SCC will expedite reviews for these projects, which must be technically feasible, have cost projections agreed upon with stakeholders, and receive support from the local governing bodies where they will be placed underground. While the SCC can deny applications even if they meet criteria, they must explain their reasoning. A key provision requires the locality where the underground portion of a qualifying project is located to pay 50% of its "marginal cost," which is the difference in cost between underground and aboveground construction. Localities can meet this obligation through local levies on utility customers, issuing bonds, or using their own funds. The bill also extends the SCC's final report deadline for the pilot program from December 1, 2024, to December 1, 2033, and modifies existing laws to accommodate these changes, including allowing localities to impose a specific levy on electric utility customers, capped at $0.99 per month for residential customers, to help fund these undergrounding projects.

Committee Categories

Business and Industry

Sponsors (3)

Last Action

Referred to Committee on Labor and Commerce (on 02/24/2026)

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