2026 SESSION

SENATE SUBSTITUTE

26108325D

HOUSE BILL NO. 114

AMENDMENT IN THE NATURE OF A SUBSTITUTE

(Proposed by the Senate Committee on Commerce and Labor

on February 23, 2026)

(Patron Prior to Substitute—Delegate Ware)

A BILL to direct the Department of Energy and the State Corporation Commission to conduct a comprehensive analysis of existing electric utility infrastructure; report.

Be it enacted by the General Assembly of Virginia:

1. § 1. The Department of Energy (the Department), in consultation with the State Corporation Commission (the Commission) and each Phase I and Phase II Utility, as those terms are defined in subdivision A 1 of § 56-585.1, shall conduct a comprehensive analysis of existing electric utility infrastructure to identify cost-saving opportunities that improve or preserve electric system reliability as an alternative or supplement to greenfield infrastructure projects. Such analysis shall include capacity uprates for zero-carbon electric generating resources and energy storage resources and transmission upgrades, including grid enhancing technologies and high-performance conductors. The Department and the Commission shall also analyze whether there are or could be any potential voluntary regulatory pathways by which large load customers could directly finance such alternatives as a condition of accelerated interconnection. The Department and the Commission shall complete their analyses and submit a report to the General Assembly no later than December 1, 2026. Notwithstanding any provision of subsection C of § 56-585.5 of the Code of Virginia, any additional generating capacity achieved through uprates at any existing falling water resources shall be considered a renewable energy standard eligible source for the purposes of § 56-585.5 of the Code of Virginia.

§ 2. To the extent that the Department of Energy determines that it requires outside independent consultants to assist in its evaluation required under this act, the Department shall conduct an open request for proposals for such independent consulting services. Upon the conclusion of such request for proposals, the Department shall publish the results and solicit voluntary funding from private entities to finance the independent consulting. If the Department receives sufficient voluntary financial contributions, it shall engage the necessary independent consulting services and conduct all analyses required under this act. The Department shall not conduct any such analyses unless it receives such sufficient voluntary financial contributions.