It costs money for Dominion to produce electricity and deliver it to your home or business, and rates are set to help us cover those costs. As things change, like energy demand, fuel costs, etc., rates have to be adjusted. We have generation and transmission line projects designed to keep the power coming and going, projects to expand the use of renewable resources, and unique programs that help customers save money.
Dominion can't raise rates whenever we want because we're a regulated utility. That means we are required to follow a specific public process when we request to change rates in any way. We must prove that the rate change is justified before it can be approved by the Virginia State Corporation Commission. Not one cent can be added to a customer's rate without the SCC's approval.
When we file a request to adjust rates, our information is carefully reviewed and public testimonies are taken. The SCC then sets rates it feels will best serve the public interest while enabling Dominion to run a healthy business and earn a fair return for shareholders. (Learn more about the SCC's process below.)
Electric rates in Virginia are determined in rate cases conducted by the State Corporation Commission (SCC). These rate cases are governed by applicable laws, primarily statutes enacted by the General Assembly of Virginia. Occasionally federal laws enacted by the U.S. Congress or regulations issued by federal administrative agencies such as the Federal Energy Regulatory Commission (FERC) apply to a Virginia rate case.The applicable portions of Virginia law that govern rate cases are generally found in Va. Code § 56-585.1 and Chapter 10 of Title 56 of the Code of Virginia (Va. Code § 56-532 et seq.), although other code sections may sometimes apply.