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HB1151 • 2026

Electric utilities; duty to furnish adequate service, high-demand customers.

An Act to amend and reenact § 56-234 of the Code of Virginia, relating to electric utilities; duty to furnish adequate service; delay in provision of service.

Enacted

This bill passed the Legislature and reached final enactment based on the latest official action.

Sponsor
Willett
Last action
2026-04-13
Official status
Acts of Assembly Chapter
Effective date
Not listed

Plain English Breakdown

The effective date of July 1, 2027, is specified in the bill text but was already mentioned in the candidate summary.

Electric Utilities Can Delay Service

This law allows electric companies to delay providing service if it is needed for grid reliability or to comply with regulatory policies.

What This Bill Does

  • Allows electric utilities to delay starting new services when necessary for grid reliability.
  • Permits delays in service provision to avoid exceeding available generation or transmission capacity constraints.
  • Requires compliance with load interconnection policies issued by state and federal regulatory bodies.

Who It Names or Affects

  • Electric utilities
  • Customers requesting new service

Terms To Know

electric grid reliability
The ability of the power system to provide electricity consistently and without interruptions.
generation capacity constraints
Limits on how much electricity can be produced by power plants at any given time.

Limits and Unknowns

  • Does not specify what happens if a customer is denied service due to delays.
  • The law's effectiveness depends on the utility companies' interpretation and implementation of grid reliability rules.

Bill History

  1. 2026-04-13 Governor

    Approved by Governor-Chapter 745 (Effective 7/1/2027)

  2. 2026-04-13 Governor

    Acts of Assembly Chapter text (CHAP0745)

  3. 2026-04-06 House

    Fiscal Impact Statement from State Corporation Commission (HB1151)

  4. 2026-03-14 House

    Enrolled Bill communicated to Governor on March 14, 2026

  5. 2026-03-14 Governor

    Governor's Action Deadline 11:59 p.m., April 13, 2026

  6. 2026-03-12 House

    Signed by Speaker

  7. 2026-03-12 Senate

    Signed by President

  8. 2026-03-12 House

    Enrolled

  9. 2026-03-12 House

    Bill text as passed House and Senate (HB1151ER)

  10. 2026-03-05 Senate

    Read third time

  11. 2026-03-05 Senate

    Read third time

  12. 2026-03-05 Senate

    Passed Senate Block Vote (39-Y 0-N 0-A)

  13. 2026-03-04 Senate

    Rules suspended

  14. 2026-03-04 Senate

    Rules suspended

  15. 2026-03-04 Senate

    Passed by for the day

  16. 2026-03-04 Senate

    Constitutional reading dispensed Block Vote (on 2nd reading) (39-Y 0-N 0-A)

  17. 2026-03-04 Senate

    Passed by for the day Block Vote (Voice Vote)

  18. 2026-03-02 Commerce and Labor

    Reported from Commerce and Labor (14-Y 0-N)

  19. 2026-02-26 Labor and Commerce

    Fiscal Impact Statement from State Corporation Commission (HB1151)

  20. 2026-02-18 Senate

    Constitutional reading dispensed (on 1st reading)

  21. 2026-02-18 Commerce and Labor

    Referred to Committee on Commerce and Labor

  22. 2026-02-17 House

    Read third time and passed House (65-Y 32-N 0-A)

  23. 2026-02-16 House

    Read second time

  24. 2026-02-16 House

    committee substitute agreed to

  25. 2026-02-16 House

    Engrossed by House - committee substitute

  26. 2026-02-15 House

    Read first time

  27. 2026-02-13 Labor and Commerce

    Committee substitute printed 26107715D-H1

  28. 2026-02-12 Labor and Commerce

    Reported from Labor and Commerce with substitute (13-Y 7-N)

  29. 2026-02-10 Subcommittee #3

    Subcommittee recommends reporting with substitute (6-Y 3-N)

  30. 2026-02-10 Subcommittee #3

    House subcommittee offered

  31. 2026-01-27 Subcommittee #3

    Assigned HCL sub: Subcommittee #3

  32. 2026-01-25 House

    Fiscal Impact Statement from State Corporation Commission (HB1151)

  33. 2026-01-14 House

    Prefiled and ordered printed; Offered 01-14-2026 26101936D

  34. 2026-01-14 Labor and Commerce

    Referred to Committee on Labor and Commerce

Official Summary Text

Electric utilities; delay in provision of service permitted.
Provides that a distributor of electric energy may delay the provision of service if such delay is necessary to maintain electric grid reliability, to avoid exceeding available generation or transmission capacity constraints, or to ensure compliance with load interconnection policies or rules issued by the State Corporation Commission or the Federal Energy Regulatory Commission. The bill has a delayed effective date of July 1, 2027. This bill is identical to SB 423.

Current Bill Text

Read the full stored bill text
An Act to amend and reenact §
56-234
of the Code of Virginia, relating to electric utilities; duty to furnish adequate service; delay in provision of service.
Be it enacted by the General Assembly of Virginia:
1. That §
56-234
of the Code of Virginia is amended and reenacted as follows:
§
56-234
. Duty to furnish adequate service at reasonable and uniform rates.
A. It shall be the duty of every public utility to furnish reasonably adequate service and facilities at reasonable and just rates to any person, firm or corporation along its lines desiring same. Notwithstanding any other provision of law:
1. A telephone company shall not have the duty to extend or expand its facilities to furnish service and facilities when the person, firm or corporation has service available from one or more alternative providers of wireline or terrestrial wireless communications services at prevailing market rates; and
2. A telephone company may meet its duty to furnish reasonably adequate service and facilities through the use of any and all available wireline and terrestrial wireless technologies; however, a telephone company, when restoring service to an existing wireline customer, shall offer the option to furnish service using wireline facilities.
For purposes of subdivisions 1 and 2, the Commission shall have the authority upon request of an individual, corporation, or other entity, or a telephone company, to determine whether the wireline or terrestrial wireless communications service available to the party requesting service is a reasonably adequate alternative to local exchange telephone service.
The use by a telephone company of wireline and terrestrial wireless technologies shall not be construed to grant any additional jurisdiction or authority to the Commission over such technologies.
For purposes of subdivision 1, "prevailing market rates" means rates similar to those generally available to consumers in competitive areas for the same services.
B. It shall be the duty of every public utility to charge uniformly therefor all persons, corporations or municipal corporations using such service under like conditions. However, no provision of law shall be deemed to preclude voluntary rate or rate design tests or experiments, or other experiments involving the use of special rates, where such experiments have been approved by order of the Commission after notice and hearing and a finding that such experiments are necessary in order to acquire information which is or may be in furtherance of the public interest. The Commission's final order regarding any petition filed by an investor-owned electric utility for approval of a voluntary rate or rate design test or experiment shall be entered the earlier of not more than six months after the filing of the petition or not more than three months after the date of any evidentiary hearing concerning such petition. The charge for such service shall be at the lowest rate applicable for such service in accordance with schedules filed with the Commission pursuant to §
56-236
. But, subject to the provisions of §
56-232.1
, nothing contained herein or in §
56-481.1
shall apply to (i) schedules of rates for any telecommunications service provided to the public by virtue of any contract with, (ii) for any service provided under or relating to a contract for telecommunications services with, or (iii) contracts for service rendered by any telephone company to, the state government or any agency thereof, or by any other public utility to any municipal corporation or to the state or federal government. The provisions hereof shall not apply to or in any way affect any proceeding pending in the State Corporation Commission on or before July 1, 1950, and shall not confer on the Commission any jurisdiction not now vested in it with respect to any such proceeding.
C. The Commission may conclude that competition can effectively ensure reasonably adequate retail services in competitive exchanges and may carry out its duty to ensure that a public utility is furnishing reasonably adequate retail service in its competitive exchanges by monitoring individual customer complaints and requiring appropriate responses to such complaints.
D. An electric utility formed under or subject to Chapter 9.1 (§
56-231.15
et seq.) may meet its duty to furnish reasonably adequate service through unregulated sales of electric power directly from one or more of its affiliates to any customer located within the cooperative's certificated service territory that contracts for electric utility services to serve a demand that is reasonably expected to exceed 90 megawatts.
E. Notwithstanding the provisions of subsection A, a distributor, as that term is defined in §
56-576
, may delay the provision of service if such delay is necessary to maintain electric grid reliability, to avoid exceeding available generation or transmission capacity constraints, or to ensure compliance with load interconnection policies or rules issued by the Commission or the Federal Energy Regulatory Commission.
2. That the provisions of this act shall not be construed to contradict the findings of the State Corporation Commission in Case No. PUR 2026-00011.
3. That the provisions of this act shall be interpreted and implemented consistently with § 205 of the Federal Power Act and Order No. 888, 61 Fed. Reg. 21,540 (May 10, 1996).
4. That the provisions of this act shall become effective on July 1, 2027.