Dominion Energy Virginia proposes new rates to continue delivering reliable service and increasingly clean energy
- Proposed rates reflect the increasing cost of labor, materials and equipment, power capacity and fuel, as well as grid upgrades to reliably serve customer growth
- If approved, proposal would be the company’s first base rate increase since 1992
- If approved, new fuel rate would take effect on July 1, 2025, and new base rates would take effect in 2026 and 2027
- Company proposes new rate class for high energy users, including data centers, and additional consumer protections
The company requested base rate increases of
The request reflects significant inflationary pressures since 2023, when the company filed its last biennial case, including increases in the cost of labor, as well as materials and equipment such as cables and wires, utility poles, transformers and power generation equipment. The increase also reflects needed investments to reliably serve a growing customer base.
“We’re focused on providing exceptional value for our customers every single day,” said Ed Baine, President of Utility Operations and Dominion Energy Virginia. “Outside of major storms, we deliver uninterrupted power
Baine added, “We know our customers are feeling the impact of inflation in other areas of their lives, and some of our customers may need assistance with their power bills. We’re here to help. Our Energy Share program not only offers among the most supportive bill assistance in the country, but also provides free home energy efficiency upgrades to help lower your energy use and save on your monthly bills.”
To promote rate stability, the company is also proposing to move power capacity costs from the base rate to the annual fuel rate. These power capacity costs are set by PJM, the regional electric grid operator, and assigned to Dominion Energy Virginia. They reflect the increasing demand for power throughout the region and the company’s service territory. This requested change, in addition to the fuel cost of extended cold weather in January 2025 and higher forecasted fuel commodity prices, will result in a
If approved, the new fuel rate would take effect on July 1, 2025, and the new base rates would take effect on January 1, 2026 and January 1, 2027.
In addition to new rates, the company also proposed a new rate class for high energy users, including data centers, as well as new consumer protections to ensure these customers continue to pay the full cost of their service and other customers are protected from stranded costs. Under the proposal, high energy users would be required to make a 14-year commitment to pay for their requested power – even if they use less.
About Dominion Energy
Dominion Energy (NYSE: D), headquartered in
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Media Contact:
Aaron Ruby, 804-489-8081, aaron.f.ruby@dominionenergy.com
Investor Contact:
David McFarland, 804-819-2483, david.m.mcfarland@dominionenergy.com
Source: Dominion Energy