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2022 SESSION
SB 565 Natural gas, biogas, and other gas sources of energy; definitions, energy conservation.
Introduced by: Scott A. Surovell | all patrons ... notes | add to my profiles
SUMMARY AS ENACTED WITH GOVERNOR'S RECOMMENDATION: (all summaries)
Natural gas, biogas, and other gas sources of energy; definitions; energy conservation and efficiency; Steps to Advance Virginia's Energy Plan; biogas supply infrastructure projects; work group. Permits natural gas utilities to include in their fuel portfolios, submitted to the State Corporation Commission to monitor fuel prices and purchases, supplemental or substitute forms of gas sources, defined in the bill, that meet certain standards and that reduce emissions intensity. The bill amends provisions of the Code related to conservation and energy efficiency programs, removes certain cost-effectiveness requirements for conservation and energy efficiency programs, and adds appliance rebates to the types of programs the Commission may consider. The bill expands conservation and ratemaking efficiency provisions of the Code that currently apply to natural gas consumption specifically to instead apply generally to energy consumption.
The bill introduces enhanced leak detection and repair programs, defined in the bill, as a type of eligible infrastructure replacement for a natural gas utility facility. The bill provides that the costs of detecting and repairing leaks may be added to a natural gas utility's plan to identify proposed eligible infrastructure replacement projects and related cost recovery mechanisms, known as the utility's Steps to Advance Virginia's Energy (SAVE) Plan.
The bill adds provisions to the Code related to biogas supply infrastructure projects, defined in the bill, and specifies that eligible infrastructure costs for such projects include (i) the investment in such projects, (ii) the return on the investment in such projects, (iii) a revenue conversion factor, (iv) operating and maintenance expenses, (v) depreciation, (vi) property tax and other taxes or government fees, and (vii) carrying costs on the over-recovery or under-recovery of the eligible biogas supply infrastructure costs. Under the bill, natural gas utilities can recover these eligible infrastructure costs on an ongoing basis through the gas component of the utility's rate structure or other recovery mechanism approved by the Commission. The bill provides that the biogas supply investment plan submitted by a natural gas utility may include an option to receive the biogas or sell the biogas at market prices and establishes a timeline for the Commission to approve such plan. The bill requires a natural gas utility with an approved biogas supply investment plan to annually file a report of the investments made, the eligible infrastructure costs incurred and the amount of such costs recovered, the volume of biogas delivered to customers or sold to third parties during the 12-month reporting period, and an analysis of the price of biogas delivered to customers and the market cost of biogas during the reporting period.
Additionally, the bill directs the Department of Environmental Quality to convene a stakeholder work group to determine the feasibility of setting a statewide methane reduction goal and plan. The recommendations of the work group shall be reported to the General Assembly by July 1, 2023. This bill is identical to HB 558.
FULL TEXT
- 01/12/22 Senate: Prefiled and ordered printed; offered 01/12/22 22102111D pdf | impact statement
- 02/01/22 Senate: Committee substitute printed 22105710D-S1 pdf
- 02/07/22 Senate: Committee substitute printed 22106179D-S2 pdf
- 02/10/22 Senate: Printed as engrossed 22106179D-ES2 pdf | impact statement
- 03/03/22 House: Committee substitute printed 22107459D-H1 pdf | impact statement
- 03/11/22 Senate: Bill text as passed Senate and House (SB565ER) pdf | impact statement
- 04/27/22 Senate: Reenrolled bill text (SB565ER2) pdf
- 04/27/22 Governor: Acts of Assembly Chapter text (CHAP0728) pdf
AMENDMENTS
- House committee, floor amendments and substitutes offered
- Senate committee, floor amendments and substitutes offered
- Senate amendments
- Governor's recommendation
HISTORY
- 01/12/22 Senate: Prefiled and ordered printed; offered 01/12/22 22102111D
- 01/12/22 Senate: Referred to Committee on Agriculture, Conservation and Natural Resources
- 02/01/22 Senate: Reported from Agriculture, Conservation and Natural Resources with substitute (15-Y 0-N)
- 02/01/22 Senate: Committee substitute printed 22105710D-S1
- 02/01/22 Senate: Rereferred to Commerce and Labor
- 02/07/22 Senate: Reported from Commerce and Labor with substitute (13-Y 2-N)
- 02/07/22 Senate: Committee substitute printed 22106179D-S2
- 02/08/22 Senate: Constitutional reading dispensed (40-Y 0-N)
- 02/09/22 Senate: Read second time
- 02/09/22 Senate: Committee substitute rejected 22105710D-S1
- 02/09/22 Senate: Reading of substitute waived
- 02/09/22 Senate: Committee substitute agreed to 22106179D-S2
- 02/09/22 Senate: Reading of amendments waived
- 02/09/22 Senate: Amendments by Senator Surovell agreed to
- 02/09/22 Senate: Passed by for the day
- 02/10/22 Senate: Read second time
- 02/10/22 Senate: Reading of amendments waived
- 02/10/22 Senate: Amendments by Senator Surovell agreed to
- 02/10/22 Senate: Engrossed by Senate - committee substitute with amendments SB565ES2
- 02/10/22 Senate: Printed as engrossed 22106179D-ES2
- 02/11/22 Senate: Read third time and passed Senate (35-Y 5-N)
- 02/21/22 House: Placed on Calendar
- 02/21/22 House: Read first time
- 02/21/22 House: Referred to Committee on Commerce and Energy
- 03/03/22 House: Reported from Commerce and Energy with substitute (13-Y 9-N)
- 03/03/22 House: Committee substitute printed 22107459D-H1
- 03/07/22 House: Read second time
- 03/08/22 House: Read third time
- 03/08/22 House: Committee substitute agreed to 22107459D-H1
- 03/08/22 House: Engrossed by House - committee substitute SB565H1
- 03/08/22 House: Passed House with substitute (60-Y 37-N)
- 03/08/22 House: VOTE: Passage (60-Y 37-N)
- 03/09/22 Senate: House substitute agreed to by Senate (37-Y 2-N)
- 03/09/22 Senate: Title replaced 22107459D-H1
- 03/11/22 Senate: Enrolled
- 03/11/22 Senate: Bill text as passed Senate and House (SB565ER)
- 03/11/22 Senate: Signed by President
- 03/11/22 House: Signed by Speaker
- 03/22/22 Senate: Enrolled Bill Communicated to Governor on March 22, 2022
- 03/22/22 Governor: Governor's Action Deadline 11:59 p.m., April 11, 2022
- 04/11/22 Senate: Governor's recommendation received by Senate
- 04/27/22 Senate: Senate concurred in Governor's recommendation (32-Y 8-N)
- 04/27/22 House: House concurred in Governor's recommendation (57-Y 43-N)
- 04/27/22 House: VOTE: Adoption (57-Y 43-N)
- 04/27/22 Governor: Governor's recommendation adopted
- 04/27/22 Senate: Reenrolled
- 04/27/22 Senate: Reenrolled bill text (SB565ER2)
- 04/27/22 Senate: Signed by President as reenrolled
- 04/27/22 House: Signed by Speaker as reenrolled
- 04/27/22 House: Enacted, Chapter 728 (effective 7/1/22)
- 04/27/22 Governor: Acts of Assembly Chapter text (CHAP0728)