A Virginia Senate committee is scheduled to consider legislation directing the state’s two investor-owned utilities to develop large-scale battery storage projects, a proposal endorsed by Gov. Abigail Spanberger.
The bill would require utilities to submit plans for massive battery installations designed to store electricity for later use. Supporters say the measure would strengthen the state’s power grid and support renewable energy goals. Critics, however, have raised concerns about potential costs, regulatory oversight, and long-term feasibility.
The proposal follows passage of a companion bill in the House last week, where a subcommittee approved a substitute version with limited debate.
During that hearing, a lobbyist for Dominion Energy Virginia said the company did not support the substitute in its current form, citing safety concerns. She noted that the bill restricts utilities from applying stricter fire protection standards than those outlined in the legislation.
Lawmakers did not raise questions during the presentation about safety, projected costs, or potential effects on customer rates. (RELATED: Jury Awards $2 Million in New York Malpractice Case Over Teen Double Mastectomy)
No fiscal impact analysis has been released for the Senate or House versions. The Virginia State Corporation Commission has not issued a public estimate of how the mandate could affect ratepayers, and its role under the bill would be limited.
The legislation sets targets for battery storage capacity using megawatts, though energy storage is typically measured in megawatt hours, reflecting how long power can be delivered. Under the bill, short-duration batteries would operate for under 10 hours, while long-duration systems would operate for 10 hours or more.
The measure directs Dominion to develop at least 4,000 megawatts of storage within several years, increasing to 16,000 megawatts by 2040. Additional long-duration projects would also be required. Appalachian Power would face smaller targets, beginning in the 2040s.
Utilities have already submitted proposals for smaller battery projects to the SCC. Based on those filings and federal estimates from the National Renewable Energy Laboratory, analysts have suggested the long-term cost of the program could reach tens of billions of dollars.
The bill also limits the SCC’s authority to reject proposed projects, allowing denial only if the technology is unavailable or unproven. Regional grid operator PJM Interconnection has not publicly commented on how the planned storage levels would integrate into the system.
If approved by the Senate, the bill would move to the full chamber and then return to the House for final consideration before reaching Gov. Spanberger for possible signature. (RELATED: Virginia Nurse Fired After TikTok Threats Against ICE Agents)