HB 628 Virginia House of Delegates · 2026 Regular Session

Renewable energy portfolio standard program; requirements, power purchase agreements.

Summary

Electric utilities; renewable energy portfolio standard program requirements; power purchase agreements. Amends certain renewable energy portfolio standard program requirements for Dominion Energy Virginia, including the annual percentage of program requirements to be met with solar, wind, or anaerobic digestion resources of one megawatt or less located in the Commonwealth. The bill changes from 2025 to 2027 the compliance year beginning in which at least 75 percent of renewable energy certificates used by Dominion Energy Virginia shall come from eligible resources located in the Commonwealth. The bill also removes the requirement for a solar-powered or wind-powered generation facility to have a capacity of no less than 50 kilowatts to qualify for a third party power purchase agreement under a pilot program. The bill directs the State Corporation Commission, by July 1, 2033, to initiate a proceeding to evaluate the future availability of renewable energy certificates from certain resources and permits the Commission to increase or decrease by up to one percentage point the percentage of program requirements to be met by such resources in future compliance years. The bill provides that it is the policy of the Commonwealth to encourage development on previously developed project sites, as defined in existing law, to reduce the land use impacts of solar development. As introduced, this bill was a recommendation of the Commission on Electric Utility Regulation. This bill is identical to SB 175.

Issues: ✓ Energy ✓ Environment

Bill status signed all 5 stages cleared

Introduction

Jan 2026

Committee Review

Feb 2026

House of Delegates Passage

Mar 2026

Senate Passage

Mar 2026

Signed into Law

Apr 2026

Introduced Jan 13, 2026 Signed Apr 13, 2026

Maddy AI version diff · 4 comparisons

What changed between versions

Enrolled → Chaptered · 5 edits

MODERATE

This bill updates Virginia's renewable energy rules by establishing specific targets for small solar and wind projects, adjusting compliance timelines, and expanding eligible energy sources. The changes aim to increase local renewable energy adoption by requiring utilities to source a portion of their energy from small, community-scale projects and by allowing geothermal systems to count toward renewable goals.

Scope change

The bill modifies the Renewable Portfolio Standard (RPS) program requirements for Phase I and Phase II utilities, specifically adding new mandates for small-scale distributed generation and updating compliance start dates.

REQUIREMENT

New requirement for Phase II utilities to meet 1% of their renewable energy goals using small solar, wind, or anaerobic digestion projects (1 MW or less), with specific percentages set for 2026-2030 and 2031-2045.

Mandate that at least 25% of the small project requirement must come from low-income communities or public schools if available, ensuring equitable access to these energy resources.

Clarified that utilities can use excess renewable energy credits generated in one year to meet requirements in that year and the following five years.

TIMELINE

The start date for requiring 75% of renewable energy credits to come from in-state resources was changed from the 2025 compliance year to the 2027 compliance year.

ELIGIBILITY

Geothermal heating and cooling systems are now officially eligible to generate renewable energy credits, expanding the types of technologies that can help utilities meet their state goals.

Commerce and Labor Substitute → Engrossed · 7 edits · Mar 6, 2026

MODERATE

This bill updates Virginia's renewable energy requirements for electric utilities, tightening targets for solar and wind generation while introducing specific exemptions for small-scale solar projects. It modifies the Renewable Energy Portfolio Standard (RPS) to increase compliance percentages over time and adjusts the definition of eligible small-scale resources. The changes aim to accelerate the transition to zero-carbon electricity while attempting to balance these goals with economic considerations for smaller project developers.

Scope change

The bill's scope remains focused on electric utilities and renewable energy standards, but the applicability of certain rules has shifted. Specifically, the definition of eligible small-scale solar and wind resources was expanded from one megawatt to three megawatts, and the timeline for meeting RPS targets was adjusted to reflect these changes.

REQUIREMENT

The Renewable Energy Portfolio Standard (RPS) compliance percentages for both Phase I and Phase II utilities were increased for future years, with Phase II utilities facing a steeper increase to reach 100% compliance by 2050.

A new requirement mandates that at least 25% of the small-scale solar and wind resources procured by Phase II utilities must come from 'low-income qualifying projects' or projects located on public schools if those are unavailable.

ELIGIBILITY

The maximum capacity for small-scale solar, wind, and anaerobic digestion resources eligible for RPS credits was increased from one megawatt to three megawatts, allowing more small projects to qualify.

TIMELINE

The deadline for Phase II utilities to meet specific solar generation targets was extended from 2030 to 2035, and the required capacity for small-scale solar projects was increased from 1,100 megawatts to 1,610 megawatts.

DEFINITION

The definition of 'Previously developed project site' was updated to explicitly include brownfields and parcels used for parking lots, parking lot canopies, or mining activities.

FISCAL

The deficiency payment penalty for utilities failing to meet RPS requirements was adjusted, with the penalty for small-scale resources (up to three megawatts) increased from $45 to $75 per megawatt-hour.

TECHNICAL

Several formatting inconsistencies were corrected, such as standardizing section references and fixing line breaks in the RPS schedule table.

Floor votes · Senate Feb 25, 2026 · House of Delegates Feb 4, 2026

How they voted

39–0

Passed

Total votes 39

Feb 25, 2026

D Democratic20

20 Yea

100% Yea

R Republican19

19 Yea

100% Yea

Vote distribution

All Yea All Nay Mixed No data

Full legislative history

Actions timeline

Total actions

Key actions

Committee

Amendments

Apr 13, 2026

Signed into law

Approved by Governor-Chapter 645 (effective 7/1/2026)

executive

Mar 6, 2026

Upper · Passed

Signed by President

upper

Mar 6, 2026

Lower · Passed

Signed by Speaker

lower

Mar 6, 2026

Lower · Passed

Bill text as passed House and Senate (HB628ER)

lower

Feb 26, 2026

Upper · Passed

Passed Senate with substitute (22-Y 18-N 0-A)

upper

Feb 25, 2026

Upper · Passed

Passed by for the day Block Vote (Voice Vote)

upper

Feb 23, 2026

Upper · Passed

Senate committee offered

upper

Feb 23, 2026

Upper · Passed

Reported from Commerce and Labor with substitute (9-Y 6-N)

upper

Feb 5, 2026

Committee

Referred to Committee on Commerce and Labor

upper

Feb 4, 2026

Lower · Passed

Passed House (98-Y 0-N 0-A)

lower

Feb 4, 2026

Lower · Passed

Read third time and passed House (97-Y 1-N 0-A)

lower

Feb 3, 2026

Introduced

Engrossed by House as amended

lower

Feb 3, 2026

Lower · Passed

committee amendments agreed to

lower

Jan 29, 2026

Lower · Passed

Reported from Labor and Commerce with amendment(s) (22-Y 0-N)

lower

Jan 27, 2026

Lower · Passed

Subcommittee recommends reporting with amendment(s) (7-Y 0-N)

lower

Jan 27, 2026

Lower · Passed

House subcommittee offered

lower

Jan 20, 2026

Committee

Assigned HCL sub: Subcommittee #3

lower

Jan 13, 2026

Committee

Referred to Committee on Labor and Commerce

lower

1 primary · 3 co-sponsors