Code of Virginia — Title 56 (Public Service Companies), Chapter 31 (Eligible Infrastructure Replacement and Enhancement)
§ 56-627. (Expires July 1, 2035) Filing of petition with Commission to establish or amend EIRE plan and rider; cost recovery; procedure.
A. Notwithstanding any provision of law to the contrary, a utility may petition the Commission for the approval of an EIRE plan as provided in this chapter. Such a plan shall (i) provide for a timeline for completion of the proposed eligible infrastructure projects, the estimated costs of the eligible infrastructure projects, and a schedule for recovery of the related eligible infrastructure costs through the EIRE rider and (ii) demonstrate that the EIRE plan is prudent and reasonable. The Commission may approve the initial petition for establishment of an EIRE plan and EIRE rider after such notice and opportunity for hearing as the Commission may prescribe, subject to the provisions of this chapter.

B. The Commission shall approve or deny, within 180 days, a utility's initial petition for approval of an EIRE plan. A petition filed pursuant to this section shall not require the filing of rate case schedules. The Commission shall approve or deny, within 120 days, a utility's application to amend a previously approved plan. If the Commission denies such a plan or amendment, it shall set forth with specificity the reasons for such denial, and the utility shall have the right to refile, without prejudice, an amended plan or amendment within 60 days after such denial. The Commission shall thereafter have 60 days to approve or deny the amended plan or amendment. The time period for Commission review provided for in this subsection shall not apply if the EIRE plan is filed in conjunction with a rate case using the cost of service methodology pursuant to § 56-235.2.

C. Any EIRE plan and EIRE rider that is submitted to and approved by the Commission shall be allocated and charged in accordance with § 56-235.11 and appropriate cost causation principles to avoid any undue cross subsidization between rate classes not otherwise permitted by statute.

D. No other revenue requirement or ratemaking issues may be examined in consideration of the application filed pursuant to the provisions of this chapter.

E. At the end of each 12-month period during which the EIRE rider is in effect, the utility shall reconcile the difference between the recognized eligible infrastructure costs and the amounts recovered under the EIRE rider and shall submit the reconciliation and a proposed EIRE rider adjustment to the Commission to recover or refund the difference, as appropriate, through an adjustment to the EIRE rider. The Commission shall approve or deny, within 90 days, a utility's proposed EIRE rider adjustment.

F. A utility that has an approved EIRE petition pursuant to this section shall file revised rate schedules to reset the EIRE rider to zero when new base rates and charges that incorporate eligible infrastructure costs previously reflected in the currently effective EIRE rider become effective.

G. If the Commission approves (i) an updated weighted average cost of capital for use in calculating the return on investment, (ii) the carrying costs on the over-recovery or under-recovery of the eligible infrastructure costs, (iii) the allowance for funds used during construction, or (iv) any combination thereof, such weighted average cost of capital shall be used only for the purpose of the eligible infrastructure costs for the EIRE rider and shall not be used for any purpose in any other proceeding.

2025, cc. 501, 599.