Land preservation tax credit; maximum amount increase. Increases from $75 million to $100 million, beginning in calendar year 2026, the maximum amount of land preservation tax credits that may be issued in a calendar year.
Electric utilities; request for proposals required for certain facilities. Requires Appalachian Power and Dominion Energy Virginia, at least 15 months prior to seeking approval to construct or purchase a generating facility that emits carbon dioxide, to conduct a thorough evaluation of non-carbon-emitting electric generation options through an independent administrator selected by the State Corporation Commission and retained by such utility. The bill directs the Commission to review the framework and schedule of the request for proposals designed by the independent administrator and accept feedback from relevant stakeholders. The bill provides that if the results of the request for proposals indicate that a cost-effective set of proposed resources can meet the identified energy and capacity needs, such utility shall petition the Commission for approval of such resources.
Electric utilities; emissions intensity target program. Requires the State Corporation Commission to develop an emissions intensity target program for Dominion Energy Virginia and Appalachian Power to achieve net-zero emissions. The bill requires the Commission to promulgate regulations to implement its provisions by January 1, 2027. Upon the promulgation of such regulations, the bill repeals certain provisions that require Dominion Energy Virginia and American Electric Power to participate in a renewable energy portfolio standard program, authorize the State Air Pollution Control Board to promulgate certain regulations, and provide that the construction or purchase by a public utility of certain generation facilities is in the public interest.
Tax credit; solar energy equipment. Establishes a nonrefundable income tax credit for taxable years 2026 through 2030 for individuals who incur allowable expenses, as defined in the bill, for the purchase and installation of solar energy equipment, also defined in the bill. An individual who properly claims this credit shall be allowed a credit in the amount of 15 percent of the cost of such equipment and allowable expenses, up to $1,000. The aggregate amount of credits allowable under the provisions of the bill shall not exceed $5 million per taxable year.
Income tax; energy-efficient homes tax credits. Authorizes a nonrefundable income tax credit, during taxable years 2026 through 2030, in an amount equal to $2,500 for the construction of an energy-efficient home or $1,000 for the purchase of such home. The bill also authorizes a nonrefundable income tax credit, during taxable years 2026 through 2030, in an amount equal to $5,000 for the construction of an extra-efficient home or $2,000 for the purchase of such home. The bill clarifies that either an eligible contractor or an eligible purchaser, but not both, shall be able to claim the credit for any single energy-efficient or extra-efficient home, as applicable, and establishes a maximum credit amount that an eligible purchaser or eligible contractor may claim per taxable year of $250,000.
Virginia Brownfield and Coal Mine Renewable Energy Grant Fund. Increases from $100 per kilowatt of nameplate capacity from renewable energy sources that are located on brownfields to $200 per kilowatt of nameplate capacity from renewable energy sources that are located on brownfields the grant amount a project developer can receive from the Virginia Brownfield and Coal Mine Renewable Energy Grant Fund. This bill is a recommendation of the Commission on Electric Utility Regulation.
