Virginia Clean Economy Act institutes new clean energy requirements News
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Virginia Clean Economy Act institutes new clean energy requirements

Having passed through the state Senate and House, the Virginia Clean Economy Act was signed into law by Governor Ralph Northam on Sunday. This act requires energy efficiency measures, sets deadlines for the state to become carbon free and amends the Clean Energy and Community Flood Preparedness Act that requires Virginia to join the Regional Greenhouse Gas Initiative.

This law institutes some of an executive order passed by Northam in September 2019. This executive order, “Expanding Access to Clean Energy and Growing the Clean Energy Jobs of the Future,” justified the need for clean energy measures by stating that “[t]he electric power sector represents approximately 30% of the carbon dioxide emissions in Virginia and is central to our efforts to address the problem.” The order required considerations for increasing renewable energy sources until they produce 100 percent of Virginia’s electricity by 2050, securing new plans for installing solar power sources, and ensuring a workforce plan to complement the market changes.

The act’s measures are similar. In addition to requiring plans for achieving 100 percent carbon-free energy production by 2045, state energy departments must also investigate how to do so “at least cost for ratepayers” and begin developing job training programs and placement in renewable energy facilities for workers. The agencies must consider how renewable energy facilities and programs benefit historically disadvantaged communities near fossil fuel facilities and determine whether implementation measures themselves disproportionately impact low-income individuals and communities.

The law added greater specificity to the executive order’s measures on how the project would be funded. In addition to creating a low-interest loan program to assist communities that regularly experience flooding that is funded by the ale of emissions allowances, the act provides loan forgiveness in geographic areas that are historically low-income.

This law was among others signed by Northam on Sunday, including laws on criminal justice reforms, support for workers and voting access.