Tag Archives: Dominion

Updates: PPP, PIPP, Dominion’s School Buses

by Steve Haner

Tax on Paycheck Protection Program Grants

The General Assembly session deadlines require final decisions on various revenue bills before the final budget bill is adopted, in theory keeping the two issues separate. What is good tax policy should not be driven by the need or greed of the appropriators.

But the conference committee overseeing the final decision on how much of the Paycheck Protection Program Grants will be taxed is dominated by appropriators, including the chairs of the both the House and Senate budget panels. The Senate’s proposal to allow $100,000 of PPP grants to be tax free produces less revenue, so the House’s position of allowing only $25,000 to be tax free meant the House budget includes another $70 million in spending.

The announcement that the state’s economy continues to hum and produce additional revenue, adding $730 million more in the General Fund, would allow for the Senate position to prevail without the need to cut the existing House budget. But the pressure remains to tax more and spend more, with Governor Ralph Northam raising expectations even higher with a late proposal for fatter employee raises.  Continue reading

Enviros Help Kill Dominion EV School Bus Bill

School bus? Storage battery? No, utility profit center.

by Steve Haner

When the Senate bill that allowed Dominion Energy Virginia to buy a fleet of electric school buses with ratepayer dollars was up for discussion last week, three environmentalist lobbyists spoke against it. They focused on the excessive cost and questioned whether it was a reasonable way to develop useful battery storage.

The counterattack was immediate and fierce and came from a Hampton Roads Democratic delegate.  “I can’t believe environmentalists are testifying that electric school buses are bad for the environment!” he shouted into his computer’s microphone. He ignored what they actually said and attacked on a false front, seeking to force them back into their accustomed swim lane.  Continue reading

Your PIPP Tax Will Buy Heat Pumps For Poor

by Steve Haner

Lower-income Virginians who are customers of the two largest electricity providers may begin to receive subsidies on their residential bills in March 2022 under legislation moving forward in the General Assembly. The money for the subsidies will come from their fellow customers.  Continue reading

Dominion Electric Bus Scheme Back, With More

EV School bus? Storage battery? No, utility profit center.

by Steve Haner

First published this morning by Thomas Jefferson Institute for Public Policy.

The ultimate goal of the Transportation and Climate Initiative with its tax and rationing scheme is to eliminate fossil fuels for transportation and get us into electric vehicles. That is something advocates have admitted and critics have pointed out. While Virginia TCI participation is on hold in this statewide election year, the 2021 General Assembly is following other pathways to the utopian EV future.

The House of Delegates has sent the Virginia Senate a bill to create a state financial incentive of $2,500 for purchase of a new or used electric vehicle. An additional $2,000 rebate is offered to a low- and middle-income buyer of a new car and $500 if that buyer choses a used EV.

The House has also passed legislation empowering the state’s Air Pollution Control Board to adopt state regulations on vehicle fleet fuel economy and to model California’s existing program forcing manufacturers to offer more zero- and low-emission vehicle sales in the state. This bill sets no goals but puts an accelerated process in motion, bypassing the full regulatory review, with a goal of regulating the 2025 model year vehicles offered in the state. Continue reading

Dominion VCEA Plan Review Ends with Questions

by Steve Haner

A near year-long review of Dominion Energy Virginia’s plans to meet service obligations while abandoning fossil-fueled energy has ended with a pile of data, a list of unanswered questions, no real decision and plenty of reason to fear future electricity cost increases.

The review of Dominion’s Integrated Resource Plan (IRP) started March 9, 2020, and the State Corporation Commission issued a final order February 1:  The Commission, however, cannot conclude … that Dominion’s 2020 IRP, as filed, is reasonable and in the public interest for purposes of a planning document.”   Continue reading

One Third of House GOP Backs Stronger SCC

Delegate Carrie Coyner, R-Chesterfield

by Steve Haner

Five interrelated bills that will strengthen the State Corporation Commission’s oversight during Dominion Energy Virginia’s next rate case advanced out of the House of Delegates Friday, with the two strongest receiving either 12 or 10 Republican aye votes.

All received at least some Republican votes, and four of the five had Democrats voting in opposition. After I made a pitch (elsewhere) for Republicans to do this, a report on the outcome is in order. A major Dominion rate case begins in April and may be reaching a conclusion around Election Day, and by then the impact of all the restraints put on the SCC in past years may be painfully clear to millions of Dominion customers.  Continue reading

A Great First Inning: Reformers 6, Utilities 0

by Steve Haner

Six bills which reverse 15 years of Dominion Energy Virginia legislative dominance advanced out of a House of Delegates subcommittee today, setting up the strongest challenge to the utility’s profits and power in decades.

Most in one form or another restore authority to the State Corporation Commission to use its own discretion in reviewing the company’s earnings, profits, and accounting decisions in a rate case due to begin in April. It will be the first such review since 2015 and will cover four years of company operations, 2017 through 2020.  Continue reading

Dominion $$ Overwhelm Clean VA’s in Committees

Click for clear view. Dominion Energy Virginia donations to legislators on the House Labor and Commerce Committee, compiled by Energy and Policy Institute from VPAP reports.

by Steve Haner

The first major showdown over last-ditch efforts to change the rules on the coming Dominion Energy Virginia rate case occurs Monday in a subcommittee where six delegates received a total of $80,000 from the utility in 2020, and four received $67,500 from its self-appointed watchdog Clean Virginia.

The chair of the subcommittee, Del. Richard “Rip” Sullivan of Arlington, received $15,000 from Clean Virginia, but the chair of the full Labor and Commerce Committee, Del. Jeion Ward of Newport News, might sit in the meeting, as is within her authority. Dominion contributed $50,000 to her campaign in 2020. Both are Democrats. (If Ward is there, the total Dominion donations in the room will reach $130,000.)  Continue reading

Industrial Escape from Green Energy Costs Blocked

by Steve Haner

Virginia’s major energy-intensive industries will not get a requested path to avoid some of the coming cost shock from the 2020 Virginia Clean Economy Act (VCEA). The bill that sought them a lifeline was tied to an anvil and sunk in a House of Delegates subcommittee today.

It didn’t even help when the Virginia Manufacturing Association’s president mentioned that California is seeing the same problem for its manufacturers and is working on similar relief. Virginia companies were admonished that “they don’t want to pay their fair share,” a phrase used by opponents more than once. A Dominion Energy lobbyist said that about her best customers. Continue reading

GE Sues Siemens Over Dominion Data Leak

by Steve Haner

General Electric (GE) has filed suit seeking major monetary damages from Siemens Energy in a Virginia federal court, alleging “willful and malicious misappropriation of GE trade secrets” as they competed to be suppliers to Dominion Energy Virginia. Dominion is not a named defendant, but an employee (reportedly now gone) is accused of sharing GE’s data with Siemens.

A copy of the petition is here, posted by Powermag.com in one of the many trade publication stories about the dispute. Here is one from Reuters and another from Barron’s, which has a paywall. General Electric is represented by the Richmond law firm Spotts Fain, P.C.   Continue reading

A Last-Ditch Effort to Improve Regulatory Balance

By Steve Haner

In a matter of weeks, Dominion Energy Virginia is expected to initiate the long-awaited review of its revenues, expenses, and profits in front of the State Corporation Commission, the first since 2015. A series of bills in recent years has set rules for that process which constrain the SCC’s discretion and fix the game in the utility’s favor.

Behind the smoke and mirrors, Dominion’s goals were clearly discernable: Despite growing profits, prevent any reduction in base rates. Keep the base rates unchanged even though more and more operating costs were being moved over to activity-specific rate adjustment clauses. Limit or eliminate the threat of major refunds to customers. Somehow, every bill ended up accomplishing those things for the utility.    Continue reading

A Giant Wind Turbine, but Not for Virginia

by Dick Hall-Sizemore

The issue of wind energy is pretty much out of my field of knowledge, much less expertise. I follow the discussion on this blog with a lot of interest.

In this vein, I found a story in today’s New York Times most interesting. It is about a giant turbine that GE is developing that is much bigger and more powerful than what is now available and is apparently shaking up the industry. That is interesting enough, but what really struck me was this passage about the advantages of the new machine:

“These qualities create a powerful incentive for developers to go for the largest machine available to aid their efforts to win the auctions for offshore power supply deals that many countries have adopted. These auctions vary in format, but developers compete to provide power over a number of years for the lowest price.”

That just underscores the point that has been frequently made on this blog: Virginia has made a huge mistake in granting Dominion Energy a monopoly in building offshore wind power.

More Falsehoods and Malarkey from Clean Virginia

Capitalist Michael Bills of Clean Virginia: “Dividends are Bad”

By Steve Haner

The big money behind the Clean Virginia activist group was all earned by a Charlottesville hedge fund manager through the great American system of capitalism. That didn’t stop his organization from a recent attack that could have come from Communist Party USA. This one would have made Bernie Sanders blush.

Dominion Energy is paying out dividends in the middle of a pandemic! Shocking.

“Dominion Energy is transferring nearly $3 billion dollars from Virginia families and small businesses to Wall Street shareholders at a time when people are still struggling to stay in their homes and keep the lights on. This is economic injustice at its starkest,” said Clean Virginia Executive Director Brennan Gilmore.”  See this news release.

I know I pick on Clean Virginia all the time. Somebody has to call it out. This cannot simply be stupidity. They have to know these statements are nuts and they hurt their own cause.

“The record payouts will arrive on the heels of a new Virginia budget that allows Dominion Energy to pocket over half a billion dollars of customer overcharges while forcing Virginia customers to pay for all outstanding debt that is owed to the monopoly…”

“A new Virginia budget, expected to go into effect next week, compels no refunds of the $502.7 million Dominion overcharged customers since 2017 and puts the financial burden of the COVID-19 crisis and economic fallout on the shoulders of Dominion’s captive Virginian customers, allowing shareholders to pocket excess profits…”

Whatever excess profits Dominion Energy Virginia has earned in the 2017-2020 period are still hanging out there, accounted for somehow on the utility’s books. It is a lie to say they have now been pocketed by shareholders in the 2020 dividend payout. It is also a lie to say the new budget bill allowed that to happen. Continue reading

Wind and the Grid: a Precautionary Tale from the U.K.

U.K. wind farm. Photo credit: Daily Mail

by James A. Bacon

So, you think the rolling blackouts experienced in California were a fluke and of no relevance to Virginia? Well, then, consider what’s happening right now in the United Kingdom, where “unusually low wind output” and a series of planned power plant outages puts the nation at risk of blackouts. You see, the U.K. relies upon wind power for literally half of its electricity, which is just dandy when the wind is blowing, but not so great when the airs are calm.

As it happens, here in Virginia, Dominion Virginia Power has finished installation of its first two offshore wind turbines. Those two units are paving the way for a much wider deployment of wind power in the Atlantic Ocean. The utility forecasts that wind will account for 5.1 megawatts of its electric-generating capacity (about 20%) within 15 years.

In the U.K. the becalming of the wind — windpower is expected to drop from 51% of output to as low as 10% over the weekend — coincides with planned outages at two of the country’s nuclear reactors, reports the Daily Mail. The National Grid Electricity System Operator reassured the Brits that it would “make sure there is enough generation” to prevent blackouts…. In other words, the U.K. will be cutting it really close. Continue reading

Investigative Journalism: Still Alive and Aimed at Dominion

By Dick Hall-Sizemore

Well, investigative journalism is still alive. The Richmond Times-Dispatch has teamed up with the national journalist investigative organization, ProPublica, to report on the political influence of Dominion Energy in Virginia.

The first result of this effort is a major, long article in today’s edition of the RTD.  By long, I mean a big front-page display and three full pages on the inside, plus another full page on utility influence in other states. For those BR readers who are stopped by the newspaper’s paywall, I would recommend that you try to read it. Continue reading