This bill reduces the severance tax rate on metallurgical coal produced in West Virginia, affecting coal mining companies that extract this type of coal. The new rates will take effect in stages starting July 1, 2026, lowering the tax from 5% to 4.5% for the first year, then to 4% the following year, and finally to 3.5% beginning July 1, 2028. Metallurgical coal is defined as coal used for making steel and other metals, distinct from thermal coal used for electricity generation. The tax reduction applies to the gross value of coal produced and includes additional local taxes that are normally part of the total severance tax.
HB 5039, titled "Fueling Modern Life," repeals all existing West Virginia air pollution control statutes (§22-5-1 through §22-5-20) and replaces them with a new policy declaring carbon dioxide (CO₂) a "foundational nutrient" necessary for life, not a pollutant. The bill mandates that West Virginia will not treat CO₂ as a pollutant, reject "net-zero" emission targets, and actively support carbon-based fuels like coal, oil, and natural gas. This directly affects all entities regulated under air pollution laws, including power plants and industrial facilities, by eliminating CO₂ emission requirements. The legislation shifts state policy to prioritize fossil fuel use for economic development while asserting CO₂ levels are beneficial and historically low.
HB 5069 requires new wind energy projects in West Virginia to maintain minimum distances from residences, property lines, and certain infrastructure. Specifically, wind turbines must be placed at least 1.5 times their total height (tower, turbine, blades) from residences and 1.1 times their height from property lines or paved public roads/transmission lines (115kV+). Property owners can opt out of these setbacks by signing a written waiver. The bill applies only to new siting certificate applications after its effective date, directly affecting wind developers and nearby landowners.
HB 5539 would allow West Virginia employers (both public and private) to give hiring preference to unemployed coal miners who meet specific criteria. To qualify, a miner must have worked in coal mining for at least five years, been unemployed as a coal miner for over one year, not be retired, and not have been fired for cause (like safety violations). Employers could prioritize these miners only if they meet all job-specific knowledge, skills, and eligibility requirements. The bill aims to support coal miners displaced by industry changes by creating a legal pathway for targeted hiring. This is a proposed policy change, not yet enacted.
HB 5038, the Affordable Electricity and Economic Growth Act of 2026, directs West Virginia's Department of Economic Development to identify suitable sites for coal-fired electricity generation and coke production facilities near coal deposits, transmission infrastructure, and steel manufacturing locations. It requires state agencies to streamline regulations and review existing rules to reduce delays for projects using locally mined coal. The bill aims to support economic development by making it easier to build facilities that produce electricity and coke (used in steelmaking) within the state. This directly affects coal producers, steel manufacturers, and state regulatory agencies responsible for permitting and oversight.
This Senate Resolution (SR 32) expresses the West Virginia Senate's commitment to protecting coal-dependent communities and energy infrastructure. It specifically requires coal-fired power plants to operate at a minimum 69% annual capacity factor to maintain grid reliability and protect over 10,000 coal jobs, while opposing actions that threaten mine closures or job losses. The resolution also pledges to prioritize local coal jobs over "out-of-state contracting" and prevent ratepayers from bearing higher costs due to reduced coal generation. As a non-binding resolution (adopted February 18, 2026), it does not create new law but formally commits the Senate to supporting coal through policy advocacy and oversight.
HB 5359 creates a new tax method for high voltage electric transmission line property in West Virginia, directing property tax revenue from newly constructed transmission projects into the existing Electric Grid Stabilization and Security Fund. This fund will use the collected revenue to support grid stabilization, security, and efficiency upgrades for regulated utilities, including maintenance of coal and natural gas generation facilities serving West Virginia ratepayers. The bill specifies that these funds must be used to lower electricity rates for West Virginia consumers, directly benefiting all ratepayers by reducing costs through improved grid infrastructure. Key provisions include defining "high voltage transmission line property," requiring tax returns to the Board of Public Works, and ensuring unspent fund balances carry forward annually. The bill is currently in the House Finance Committee for review.
West Virginia's SB 917 imposes a 15% privilege tax on the retail sale of electric vehicle charging services at public charging stations. It directly affects charging station operators, who must collect the tax from customers and remit it monthly to the state. The tax applies to gross receipts from public charging services (e.g., per session or per kWh), excluding private or free charging. Revenue generated will fund the State Road Fund, aligning with the principle that road users should contribute to infrastructure maintenance.
HB 5676 amends West Virginia law to clarify standards for "voluntary pooling" in horizontal oil and gas drilling, directly affecting landowners with unleased mineral rights (royalty owners) and operators seeking to include their land in a horizontal well unit. The bill requires operators to offer "fair and reasonable" payments based on a non-consenting owner's net acreage in the unit, rather than relying on traditional lease negotiations. It establishes specific definitions (like "horizontal well unit" and "royalty owner") and mandates that operators provide this "unitization consideration" to owners who do not voluntarily agree to participate in the unit. The policy change aims to balance operator needs for efficient drilling with property rights for landowners.
SB 706 modifies West Virginia's severance tax for oil and natural gas producers by temporarily reducing the tax rate for newly drilled wells. It lowers the tax rate to 3% (from 5%) for 24 months starting from the first sale of natural gas or oil from wells drilled after June 30, 2026. This applies specifically to newly completed wells, while existing wells and other production types maintain their standard rates (2.5% or 5% depending on production volume and drilling method). The bill directly affects oil and gas producers who drill new wells after the effective date, offering a short-term tax incentive to encourage new development. The change is part of the state's severance tax structure under §11-13A-3a of the West Virginia Code.
