Virginia advocates urge SCC to make data centers pay

Piedmont Environmental Council (PEC) urges the Virginia State Corporation Commission (SCC) to adopt a “but for” standard so data centers pay for transmission and substation costs they cause rather than shifting them to residential ratepayers.

• Main action: PEC filed testimony (with expert witness Greg Abbott) in SCC Rider T1 (Case No. PUR-2026-00056) urging adoption of a “but for” allocation standard so that data centers pay for the transmission/substation infrastructure that would not be built “but for” their demand. The filing specifically targets allocation in the annual transmission rate case and requests that the SCC prevent residential customers from subsidizing industry infrastructure.
• Background & key facts:Dominion Energy reported >70 GW of data center delivery requests (about 233 new substations), with contracted capacity cited at 51 GW and 27 GW committed with in-service dates before 2032; estimated substation costs are $6 billion–$12 billion. Public engagement deadlines in this matter are:
  • Public comment deadline: July 9 (select PUR-2026-00056 on SCC site)
  • Evidentiary hearing: July 14
  • Final order expected: August 1