Dominion Energy’s latest long-term energy resource plan for Virginia is replete with questionable assumptions and highly uncertain projections for the 15 years that the plan covers.
The IRP features an extremely high capacity price forecast for the PJM power market, skewing the analysis in favor of keeping the company’s old, polluting fossil fuel plants online.
The plan also includes projections that hydrogen will be a viable, cost-effective replacement for gas, without any hard cost and supply data.
As it stands, Dominion’s IRP contains significant long-term risks for the utility’s ratepayers and Virginia’s energy security.
Dominion Energy’s latest long-term energy resource plan for Virginia is replete with questionable assumptions and highly uncertain projections for the 15 years (from 2024 through 2038) that the plan covers. Nothing illustrates this better than the utility’s incandescent estimates for energy demand growth from data centers in its service territory—an average increase of roughly 11% a year for 15 years. But there are many other shortcomings in the company’s 2023 integrated resource plan (IRP), which is now pending before the Virginia State Corporation Commission (SCC). Among these shortcomings:
IEEFA believes state regulators would be well-advised to have the utility address and revise these shortcomings before endorsing the utility’s plan