By Steve Haner,

No, Virginia, we cannot blame the data centers.ย The impact of the Virginia Clean Economy Act (VCEA) on rising electricity bills is more significant and destined to grow.ย ย With the cost of living turning up in election polls as a top voter concern, a repeal of the VCEA is one step the next Virginia General Assembly could take if voters make the right choices.ย ย
Some of the ways VCEA is raising electricity bills, mainly for 2.7 million Dominion Energy accounts, are easy to find:ย
- The up-front construction cost of the $11.3 billion offshore wind project for Dominion, which will not produce electricity until next year.ย If your Dominion bill is 1,000 kWh, as of September 1 you are paying $11.23 per month for that.ย Without VCEA the project likely would not have been approved as prudent.ย ย
- The cost of purchasing renewable energy certificates (RECs) from companies other than Dominion, most of them not in Virginia.ย Under the VCEA, Dominion must hit an annual target for non-hydrocarbon electricity, and when it misses the target, it must pay for RECs or pay a fine.ย That is adding another $7.68 to the 1,000-kWh bill.ย
- The up-front construction cost of a growing fleet of large solar projects.ย The VCEA also mandated that and is calling for much more solar in the next several years.ย The cost for the current projects is $3.67 on that monthly 1,000-kWh bill.ย ย
- The cost of energy efficiency subsidies offered to induce customers to reduce their use of electricity, often with the purchase of LED lighting, insulation or newer appliances.ย Some of the subsidies are given to businesses.ย They currently add $1.45 to that 1,000-kWh monthly bill.ย ย

















