Virginia Bill on Natural Gas Replacement

In April 2022, both houses of the Virginia legislature passed legislation that allows natural gas utilities to include in their fuel portfolios supplemental or substitute forms of gas sources — defined as biogas, low-emissions natural gas, and hydrogen — that meet pipeline quality gas standards and reduce greenhouse gas emissions intensity. It also allows pipeline leak repair projects to be eligible for cost recovery.

Natural gas utilities using cost of service methodology or performance based regulation plans are eligible to file biogas supply investment plans, procuring biogas up to 15% of the utility’s annual volume of sales, and this bill details what a utility must include in any proposal.

As of the time of this writing, the legislation is awaiting the governor’s signature.