See below for a press release from Clean Virginia, which argues – I’d say persuasively! – that Gov. Abigail Spanberger “leaves Virginians exposed on NextEra’s Dominion Acquistion,” and also on data centers. For more on the NextEra issue, see here, and specifically the argument by public utility law expert Scott Hempling that “There is no way that a full hearing of the complexity of this transaction [NextEra’s acquisition of Dominion Energy] can occur in a six-month proceeding — that’s not possible.” Unfortunately, right now, that’s exactly what we’re headed towards, namely a six-month proceeding that will almost certainly not be sufficient to fully evaluate this massive ($67 billion!) acquisition. Even worse, as Clean Virginia points out, “Under current Virginia law, the SCC has as little as 60 days to review the merger once an application is filed — a window that experts and advocates across the state have said is far too short for a transaction unprecedented in size.”
So clearly, that’s not going to cut it, at least if you care about not just rubber stamping this acquisition, and instead subjecting it to a rigorous, thorough review ” to determine whether this proposal is good for Virginia.” Bottom line, as Clean Virginia concludes, “They need to do it now, while there’s still time to get it right.” I couldn’t agree more!
Governor Spanberger’s 14 Budget Amendments Leave Virginians Exposed on NextEra’s Dominion Acquisition and Data Centers
Missing from the Governor’s amendments: a longer review window for the record-breaking NextEra-Dominion merger and repeal of the data center tax break
Richmond, Va. — Governor Abigail Spanberger returned 14 amendments to lawmakers, one week after the General Assembly sent its compromise two-year budget to her desk. Notably absent from the Governor’s amendments is language that 1) strengthens the review of NextEra’s proposed $67 billion acquisition of Dominion Energy before its application is filed with the State Corporation Commission (SCC), and 2) repeals Big Tech’s $1.9 billion data center sales tax exemption.
“Virginians needed decisive leadership from this budget review, and instead Governor Spanberger sidestepped two of the biggest challenges facing the Commonwealth right now,” said Brennan Gilmore, executive director of Clean Virginia. “The Governor had an opportunity to strengthen oversight of the largest utility merger in American history and rein in a $1.9 billion tax break for some of the world’s wealthiest corporations. Instead, those issues were left untouched.”
NextEra’s $67 billion bid to acquire Dominion Energy would create the largest electric utility in the country, serving roughly 10 million customers across four states. Under current Virginia law, the SCC has as little as 60 days to review the merger once an application is filed — a window that experts and advocates across the state have said is far too short for a transaction unprecedented in size.
The final budget compromise also kept Virginia’s sales and use tax exemption for data centers in place, opting instead to add a new energy consumption tax.
Even with the budget process complete, lawmakers still have the opportunity to do what the Governor would not: return to Richmond in a special session before Dominion files its merger application to ensure Virginia has the protections consumers deserve.
“Today’s budget vote should not be the end of this conversation. This is the largest utility merger in American history.” Gilmore continued, “Lawmakers have the duty to ensure our regulators have the time, resources, and strong review standards to determine whether this proposal is good for Virginia. They need to do it now, while there’s still time to get it right.”
