Dominion Virginia Power Proposes New Rate to Encourage Solar Power in The
-- Company seeks approval from state regulators for 5-year demonstration
-- Program would be open to customers with solar installations
-- Project is second part of company's plan to add more solar generation in
RICHMOND, Va., May 17, 2012
RICHMOND, Va., May 17, 2012 /PRNewswire/ --Dominion Virginia Power took a
second step today to add more of the sun's energy to its electricity grid by
proposing a new rate that includes a premium to encourage customers to install
solar panels and sell the electricity to the company.
In a filing with the Virginia State Corporation Commission (SCC), the company
is seeking permission to buy solar-generated electricity from residential and
small commercial customers at 15 cents per kilowatt-hour for a five-year
demonstration period. The demonstration project would be limited to 3
megawatts total, or 3,000 kilowatts. The typical residential solar
installation in the company's Virginia service area is 4 kilowatts.
"We know this program will be a success based on conversations with our
existing customers who have already installed solar panels and other customers
who have been discussing this option with us," said Ken D. Barker, vice
president-Customer Solutions and Energy Conservation. "Our Green Power
customers also have been asking us to tie their voluntary participation and
payments to green energy in Virginia. So this is a win-win for everyone."
The proposed rate is designed to pay a premium to customers who generate
electricity with solar power to defray installation costs. The premiums would
come from the contributions that Dominion Green Power customers make to
support the production and development of renewable energy.
Approximately 14,000 Dominion Virginia Power customers participate in the
company's Green Power program. They pay a slightly higher rate so that either
all or a portion of their electricity is offset by certified green power
sources. The proposed solar rate program will match the Dominion Green Power
customers with customers who choose to generate solar energy on their property
and sell the electricity to Dominion.
The company had multiple meetings with interested parties to design the
proposed solar rate with pricing and terms to attract participation. Eligible
customers will purchase all of their electricity from the company and sell all
of their solar-generated electricity to the company.
The proposed fixed rate also could be an alternative to the company's existing
"net metering" program where customers offset their consumption with
self-generated renewable energy. About 650 customers participate in the "net
metering" program today.
The company took the first step in adding more solar to its fuel mix in
October when it asked the SCC for approval of a community solar power program
to lease rooftops of commercial businesses and public facilities for up to 30
megawatts of solar panels. That program would generate enough electricity to
power about 6,000 homes during peak daylight hours. The SCC has scheduled a
hearing on the proposal for September.
Dominion Virginia Power is a subsidiary of Dominion (NYSE: D), one of the
nation's largest producers and transporters of energy, with a portfolio of
approximately 27,500 megawatts of generation, 11,000 miles of natural gas
transmission, gathering and storage pipeline and 6,300 miles of electric
transmission lines. Dominion operates the nation's largest natural gas
storage system with 947 billion cubic feet of storage capacity and serves
retail energy customers in 15 states. For more information about Dominion,
visit the company's website at www.dom.com.
Follow us on Twitter at: http://www.twitter.com/DomVAPower. 'Like' us on
Facebook at www.facebook.com/dominionvirginiapower .
SOURCE Dominion Virginia Power
Press spacebar to pause and continue. Press esc to stop.