Governor signs Virginia utility regulation bill
Governor signs bill repealing renewable energy bonuses for Va. utilities, makes other changes
RICHMOND, Va. (AP) -- Gov. Bob McDonnell has signed legislation changing how Virginia regulators handle electric rates.
McDonnell on Thursday signed legislation that eliminates renewable energy bonuses and makes other regulatory changes following a deal between Attorney General Ken Cuccinelli's office, Dominion Virginia Power and Appalachian Power.
Dominion Virginia is a unit of Dominion Resources Inc. and Appalachian Power is a unit of American Electric Power Co.
The Commission on Electric Utility Regulation had asked the parties to address part of a 2007 law that allowed utilities to get renewable energy bonuses after a report said the incentives have not yielded the intended environmental goals and have contributed to increases in customer bills.
The legislation eliminates those bonuses, but the state's voluntary renewable energy goals will remain intact.
It also changes performance incentives, the handling of accounting issues and an electric provider's potential rate of return.
