Following Governor Spanberger’s Urging, SCC Requires Data Centers to Pay for New Transmission Infrastructure
The Virginia State Corporation Commission (SCC) has ordered data centers to pay for the new electricity transmission infrastructure they require, following urging from Governor Abigail Spanberger's administration. This decision aims to protect Virginia ratepayers from increased energy costs, projected to save them hundreds of millions of dollars. The move ensures data centers bear the full cost of infrastructure necessitated by their development.
Governor Abigail Spanberger's administration successfully urged the Virginia State Corporation Commission (SCC) to mandate that data centers and other large-load users cover the costs of new electricity transmission infrastructure necessitated by their developments. This action, taken after the Governor's office filed on behalf of Virginia ratepayers, is projected to save residents hundreds of millions of dollars. Chief Energy Officer Josephus Allmond, under Governor Spanberger's direction, led the filing.
Senator Schuyler VanValkenburg and 19 other state legislators supported Governor Spanberger's initiative. The decision ensures that the financial burden for these infrastructure upgrades is borne directly by the data centers, rather than being spread across all utility ratepayers. Governor Spanberger emphasized her commitment to ensuring data centers pay their fair share, adhere to strict environmental standards, and consider local community concerns.