Environmental and Community Groups to Oppose Regulators’ Approval of Dominion Gas Plant

Three nonprofits are appealing Dominion Energy's new gas plant approval under Virginia's 2020 justice laws.
A rendering of Dominion Energy’s proposed Chesterfield Energy Reliability Center. Credit: Dominion Energy

RICHMOND, Va.—Three climate and justice nonprofits have notified the Virginia Supreme Court of their intention to appeal the approval of a new Dominion Energy natural gas plant in Chesterfield County by state regulators.

The appeal, filed by Appalachian Voices, Mothers Out Front, and the Chesterfield County Branch of the NAACP, is the first under the Virginia Environmental Justice Act. This 2020 law aims to prevent disproportionate harm to communities of color and low-income areas affected by fossil fuel pollution. It is also the first appeal under the Virginia Clean Economy Act, another 2020 law that seeks to decarbonize Virginia’s grid by 2045, barring any threats to power supply reliability.

Emma Clancy, a staff attorney at the Southern Environmental Law Center, highlighted the significance of the appeal, noting the new requirements under the VCEA and the Virginia Environmental Justice Act. These laws should play a critical role in the commission’s decisions.

In November, the State Corporation Commission approved Dominion’s plan to build the $1.47 billion, 944-megawatt gas plant to meet Virginia’s growing electricity demand, largely driven by data centers. Dominion aims to have the Chesterfield Energy Reliability Center’s natural gas turbines operational by 2029. The facility will be located on the site of a retired coal unit at the Chesterfield Power Station.

The opposition groups previously filed a motion for reconsideration of the approval, citing flaws with the commission’s determination under the VEJA and VCEA. However, the commission upheld its decision, prompting the appeal.

Under the VEJA, Clancy argued that neither Dominion nor the SCC adequately considered the pollution impact on the Chesterfield community compared to other areas. Dominion claimed the site’s brownfield status allowed for swift, safe grid connection using existing infrastructure.

Virginia State Corporation Commission judges during a hearing for the Chesterfield Energy Reliability Center. Credit: Charles Paullin/Inside Climate News

An analysis by Chris C. Lim, assistant professor of environmental health sciences at the University of Arizona, suggested the plant could result in approximately seven premature deaths and nearly 15,000 illnesses annually within a 50-kilometer radius. The impact would be more severe southeast of the plant.

Clancy emphasized the need to consider the human impact, stating that focusing solely on the brownfield site overlooks community concerns.

The VCEA analysis revealed insufficient proof of grid reliability threats, partly due to speculative data center demands. In Ohio, similar demand projections dropped significantly after regulator interventions. Critics argue Dominion’s proposal limited renewables and battery storage, favoring its self-build option with a 9.7% profit margin recoverable from ratepayers.

Under the VCEA, Dominion can only recover new gas plant costs through a rate adjustment clause if energy efficiency requirements are met. Dominion has not met these, so costs should be recovered by seeking base rate increases, a less guaranteed process for utilities.

Clancy noted, “The SCC receives substantial deference from the Supreme Court on factual issues but less on legal issues.”

Neither Dominion nor the SCC commented. The SCC referred to recent favorable decisions, including a transmission line and a solar project.

The Southern Environmental Law Center has 120 days to file the full appeal. It is also suing the Virginia Department of Environmental Quality over the gas plant’s air permit, with proceedings in Richmond Circuit Court.

Original Story at insideclimatenews.org