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RECs were addressed as an additional cost. Would REC costs still exist if Dominion was meeting its renewable energy generation requirements?
In the 2025 IRP Update, the Company’s Preferred Plan met or exceeded all build requirements of the VCEA and still required additional purchased RECs from the market in order to meet its RPS Program compliance requirement.
The Virginia Clean Economy Act (VCEA) provides the Company with three options to meet its RPS Program requirement: it can either build or contract for its own renewable resources and utilize the RECs generated to meet RPS compliance, purchase RECs from the market, or pay a deficiency payment.