Below is our firm’s summary of notable energy regulatory activity at the Virginia State Corporation Commission (“SCC” or “Commission”) during July, 2026. Please contact attorneys Will Reisinger or Matt Gooch should you have any questions about these cases or Virginia’s energy market. ReisingerGooch PLC provides regulatory and transactional counsel to clean energy businesses, associations, and public interest organizations. The following is presented for informational purposes only and does not constitute legal advice.
Rate cases, oversight, and resource planning:
- SCC schedules hearing regarding Dominion Energy-NextEra merger application – Case No. PUR-2026-00112
On July 15, 2026, Dominion Energy (“Dominion”), NextEra, and their affiliated companies filed a merger application at the SCC. NextEra, a large utility holding company based in Florida, proposes to acquire Dominion and its subsidiaries. The combined companies would be the world’s largest utility holding company by market capitalization. NextEra proposes to acquire Dominion through a transaction valued at approximately $77 billion. This acquisition would include all of Dominion’s assets and debt. Under the proposal, Dominion would become a subsidiary of NextEra, but remain a Virginia electric utility regulated by the SCC. Dominion shareholders would own about 25.5% of the combined company if the merger is approved.
The SCC is required to review the proposed transaction under the Utility Transfers Act (Chapter 5 of Title 56, Sections 56-88.1 – 56-90 of the Code of Virginia). In particular, Code Section 56-88.1 provides that any “acquisition or disposition of control of a public utility” is subject to SCC review and approval. Because NextEra proposes to acquire Dominion, including control of all of its affiliated companies, SCC approval is required. The statute, at Va. Code § 56-88.1, states that “following the filing of a completed application,” the SCC has a maximum of 180 days to “approve or disapprove the requested [transaction].” On July 21, a public interest organization, Clean Virginia, filed a motion requesting that the SCC deem the application “incomplete.” The motion cites numerous alleged deficiencies in the application, including limited information about which entity will control Dominion’s operational decisions.
The Utility Transfers Act, at Section 56-90, requires the SCC to determine whether the proposed transaction will “impair or jeopardize” Dominion’s ability to provide adequate electric service in Virginia at just and reasonable rates. The SCC also has broad general authority under Title 56 of the Code and the Virginia Constitution to regulate and control all companies providing retail utility service in Virginia. The SCC may choose to do a broader public interest analysis of the proposed merger.
The SCC published a procedural order on July 21. The SCC will hold an evidentiary hearing on November 17.
- SCC publishes final order regarding Dominion Energy transmission rates; finds that large-load customers should directly pay for certain transmission facility costs – Case No. PUR-2026-00056
On May 1, 2026, Dominion Energy Virginia (“Dominion”) filed an application to increase its transmission rider revenue requirement. Under Va. Code § 56-585.1(A)(4), Dominion is allowed to recover the costs of transmission services provided by PJM, including administrative expenses and new facility construction costs, through a rate adjustment clause. Dominion’s transmission costs are recovered through a combination of base rates and the utility’s transmission rate adjustment clause, designated Rider T1. Dominion estimates that the requested Rider T1 increase would add $0.94 to the monthly bill for a residential customer using 1,000 kWh.
On June 11, intervening parties, including several data centers and consumer and environmental advocates, filed expert witness testimony. The parties addressed several issues, including whether Dominion should change the way it allocates costs among its commercial, industrial, and residential customer classes. The Piedmont Environmental Council (“PEC”) filed expert testimony urging the SCC to require large-load data centers to pay for transmission facility costs that the utility incurs to serve them through mandatory contributions in aid of construction or “CIAC.” The SCC Staff, Sierra Club, and Appalachian Voices also filed direct testimony supporting direct assignment to large-load customers via mandatory CIAC payments.
The SCC held an evidentiary hearing between July 14 and July 17. The Commission published a final order on July 31. The order approved Dominion’s requested revenue requirement for Rider T1. The order also directed Dominion to file a direct assignment proposal within 90 days. The SCC’s order directed Dominion to develop terms and conditions that would require large-load customers to pay for the “direct connect” facilities that are constructed to serve them. Direct connect facilities would include substations and facilities necessary to connect the customer to the bulk transmission system. The order also stated that the SCC may consider other cost allocation changes, such as mandatory direct assignment for other upstream transmission costs caused by large-load customers. The SCC stated that “[w]hile the current record supports a more rapid approach towards direct assignment of costs through a CIAC for ‘direct connect’ facilities, the Commission finds that the record supports a more deliberate approach to the question of direct assignment of higher-order transmission costs.”
Renewable energy, energy efficiency, and electrification programs:
- SCC approves increase to Dominion offshore wind rider; utility reports that project is 81% complete – Case No. PUR-2025-00195
On August 5, 2022, the SCC approved Dominion Energy Virginia’s request to construct a 2,600 MW wind facility off the coast of Virginia with an estimated capital cost of $9.8 billion. The final order also approved a new rate adjustment clause, designated Rider OSW, to recover initial development costs. On October 31, 2025, Dominion filed an application to increase the Rider OSW revenue requirement for the next rate year. The application stated that the total project cost forecast had risen to $11.1 billion. The application cited $256 million in tariff-related costs. Dominion stated that the higher revenue requirement will result in a monthly bill increase of $0.90 for a residential customer using 1,000 kWh per month.
The SCC approved Dominion’s application, with some modifications, in a final order published on July 29, 2026. The revised Rider OSW rates will be effective for the rate year extending from September 1, 2026, to August 31, 2027. Separately, on July 31, Dominion filed its Quarterly Update on the facility’s construction progress, timeline, and budget. Dominion’s update reports that the project is roughly 81% complete. Dominion also reports that total project costs have risen to roughly $11.65 billion.
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