An Act to amend and reenact § 56-594.4 of the Code of Virginia, relating to electric utilities; shared solar programs; Phase I Utility.
HB809 amends Virginia’s shared solar law for Phase I utilities by revising and expanding the statutory framework for community/shared solar programs. The bill defines key terms used in the program, including bill credits, minimum bill, net bill, shared solar facility, subscriber, subscriber organization, and a new “dual-use agricultural facility” category for projects that combine solar generation with agricultural production on the same property. It directs the State Corporation Commission to establish regulations that allow customers of a Phase I utility to participate in shared solar projects and receive bill credits for their share of a facility’s output.
The bill also sets program parameters for how bill credits are calculated and applied. A subscriber’s credit is based on the proportional electricity produced by the shared solar facility and the applicable credit rate, and unused credits may carry forward to future bills, subject to the minimum bill requirement. The legislation limits shared solar facilities to 5,000 kW alternating current, requires at least three subscribers, and requires that at least 40 percent of capacity be subscribed by customers with subscriptions of 25 kW or less. It also allows licensed subscriber organizations to own or operate shared solar facilities across more than one investor-owned utility territory.
HB809 changes § 56-594.4 of the Code of Virginia by refining the legal definitions and operational rules governing shared solar programs for Phase I utilities. It affects investor-owned electric utilities, the State Corporation Commission, subscriber organizations, and utility customers who participate in shared solar subscriptions. The bill is likely to support development of community solar projects, including agricultural co-location projects, while preserving utility billing structures through bill credits, carryover rules, and a Commission-set minimum bill.
The available record shows no committee transcript or recorded votes, so there is no direct evidence of debate or partisan division in the materials provided. The bill’s enactment as Chapter 673 indicates it ultimately received sufficient support to pass and be signed into law. Based on the text, the measure appears to have been framed as a programmatic expansion and clarification of shared solar access rather than a controversial overhaul of utility regulation.
The main potential points of contention are likely to have centered on utility billing impacts, the minimum bill requirement, and how much credit subscribers should receive for shared solar generation. Utilities may have concerns about administrative costs, revenue effects, and cross-territory operation by subscriber organizations, while solar advocates and customer groups would likely favor broader access and clearer rules. Another possible area of debate is the 40 percent small-subscription requirement and the cap on facility size, which balance consumer access against limits on larger commercial participation.