McDonnell outlines energy measures

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Virginia Gov. Bob McDonnell wants Virginia to be the energy capital of the East Coast. Credit: BOB BROWN/TIMES-DISPATCH
Credit: Keogh

By: PETER BACQUÉ | Richmond Times-Dispatch
Published: January 06, 2012

Gov. Bob McDonnell is pushing nine policy and budget proposals to help the private sector make energy available and affordable in the state.

Those efforts, the governor's office said Thursday, would aid investment in energy infrastructure to spur economic development, support the state fleet's conversion to alternative fuel vehicles, encourage alternative energy development, and increase mining and gas-drilling safety.

McDonnell wants Virginia to be the energy capital of the East Coast, and he said his recommendations for the 2012 General Assembly session move toward that goal.

"Only by aggressively developing all types of energy and removing bureaucratic hurdles to this development will we be able to meet our energy needs and reduce our nation's dependence upon foreign sources of energy," he said in a statement.

Business and industry organizations cheered the governor's initiatives, though they received a less welcome reception from environmental groups.

"The future prosperity of Virginians depends in no small measure on energy accessibility and affordability," said Hugh Keogh, chairman of the business-based Virginians for Reliable Energy, "and these proposals move us in that direction."

But the Sierra Club's Virginia director, Glen Besa, said, "The 'all-of-the-above' approach to energy policy … fails to acknowledge the hard reality of a changing climate and the vulnerability of Virginia to its impacts, from hurricanes and droughts to sea-level rise."

The governor's proposals include:

Allowing natural gas utilities to provide gas to economic development projects where it is not already available and when a project developer commits to a five-year contract.

Authorizing electric utilities to seek approval for economic development-size 138-kilovolt transmission lines from either the State Corporation Commission or from localities where the lines will be located.

Supporting the adoption of energy-efficiency programs resulting in verifiable energy savings.

Providing renewable-energy certificates to utilities for their investment in renewable-energy research projects. Renewable-energy certificates, also called "green tags," are tradable environmental commodities.

Providing renewable-energy certificates for the thermal energy produced in combined heat and power facilities fueled by a renewable-energy resource such as biomass.

Creating a fund to help convert the state's fleet to alternative fuel vehicles, using federal money provided for congestion mitigation and air-quality improvement.

Requiring mine operators to submit maps of planned mining to the state and notification of directional changes to ensure safety for miners and natural gas drillers working near each other.