Virginia Administrative Code › Title 20 - PUBLIC UTILITIES AND TELECOMMUNICATIONS › Agency 5 - STATE CORPORATION COMMISSION › Chapter 335 - REGULATIONS GOVERNING THE DEPLOYMENT OF ENERGY STORAGE › Section 20VAC5-335-80 - Permitting of non-utility energy storage facilities

Current through Register Vol. 40, No. 24, July 15, 2024
A. Other than a Phase I or Phase II Utility,
				each person seeking to construct and operate an energy storage facility in the
				Commonwealth with an energy storage power rating of one megawatt or greater,
				either on a stand-alone basis or on an aggregated basis facilitated by an
				energy storage aggregator, shall either (i) obtain a permit from the commission
				pursuant to this section, or (ii) apply for and receive a certificate of public
				convenience and necessity from the commission pursuant to §
									56-580
				of the Code of Virginia for the energy storage facility, prior to commencing
				construction or operation. If such person applies for and receives a
				certificate of public convenience and necessity from the commission, a permit
				under this section shall not be required.
B. In evaluating a permit application, the
				commission shall make a determination for approval based upon a finding that
				the energy storage facility (i) will have no material adverse effect upon
				reliability of electric service provided by any regulated public utility; (ii)
				does not adversely impact any goal established by the Virginia Environmental
				Justice Act (§
									2.2-234 et seq. of
				the Code of Virginia); and (iii) is not otherwise contrary to the public
				interest.
C. Other than a Phase I
				or Phase II Utility, each person applying for a permit to construct and operate
				an energy storage facility with an energy storage power rating of one megawatt
				or greater shall file an application with the clerk of the commission. If the
				applicant becomes aware of any material changes to any information while the
				application is pending, the applicant shall inform the commission of such
				changes within 10 calendar days. Applications shall include the following
				information:
1. Legal name of the applicant
				as well as any trade name.
2. A
				description of the applicant's authorized business structure, identifying the
				state authorizing such structure and the associated date (e.g., if
				incorporated, the state and date of incorporation; if a limited liability
				company, the state issuing the certificate of organization and the date of
				issuance).
3. Name and business
				addresses of all principal corporate officers and directors, partners, and LLC
				members, as appropriate.
4.
				Financial information for the applicant or principal participant in the
				project. If the applicant or principal participant is a private entity,
				financial information should include an analysis of the entity's financial
				condition and audited financial statements for the two most recent fiscal
				years. If the applicant or principal participant is a public company, financial
				information should include a copy or a link to where a copy can be found on the
				internet of the entity's most recent stockholder report and most recent
				Securities and Exchange Commission Form 10 K. If such information is
				unavailable, provide evidence that applicant has the financial resources or
				access to capital necessary to complete the proposed project.
5. A discussion of the applicant's
				qualifications, including:
a. A summary of
				other projects developed and managed by the applicant. Include location,
				status, and operational history.
b.
				A description of any affiliation with an incumbent electric utility as defined
				in §
											56-576 of
				the Code of Virginia.
c. A
				disclosure of any affiliate relationship with any other permit
				holder.
6. Specific
				information about the site for the proposed facility, including:
a. A written description of the location,
				including identification of the city or county in which the facility will be
				constructed. Such description should be suitable for newspaper publication and
				sufficiently identify any affected areas.
b. A description of the site and a
				topographical map depiction of the proposed site.
c. The status of site acquisition (e.g.,
				purchase option, ownership).
d. A
				description of any applicable local zoning or land use approvals required and
				the status of such approvals.
7. Specific information about the proposed
				facility, including:
a. Description of all
				major systems, including energy storage technology type and battery storage
				chemistry type, if applicable; intended uses; intended facility useful life;
				facility configuration; and expected suppliers of major components.
b. Energy storage power rating, energy
				capacity, and storage duration.
c.
				Estimated costs and schedule for construction, testing, and
				commercialization.
d. Site layouts
				that provide for integration of energy storage systems with adequate spacing
				and property setback requirements incorporated.
e. Codes and standards to which the proposed
				facility will be constructed.
f.
				Where applicable, the manner and location of the facility's interconnection to
				the transmission or distribution grid.
8. A general discussion of the selection
				process for the energy storage technology, including a description of any
				competitive procurement processes used.
9. A general discussion of economic
				development impacts of the project.
10. A list of other local, state, or federal
				government agencies whose requirements must be met in connection with the
				construction or operation of the project and a statement of the status of the
				approval procedures for each of these agencies.
11. An analysis of the environmental impact
				of the project. This analysis shall include the impacts on the environment and
				natural resources, analysis of alternatives considered, unavoidable adverse
				impacts, mitigation measures proposed to minimize unavoidable impacts, and any
				irreversible environmental changes. The information required by this
				subdivision shall be submitted to the Department of Environmental Quality,
				simultaneously with its filing with the commission, for coordination and review
				by state agencies responsible for environmental and natural resource
				protection. To the extent any of the following information is not applicable to
				a particular project or technology, the applicant shall indicate it is not
				applicable. The information shall identify:
a.
				Required air permits, expected restrictions, expected emissions, rates of
				emissions, and any needed emissions offsets or allowances.
b. Required permits for water withdrawals,
				expected restrictions, the amount of water estimated to be used, the source of
				such water, identification of a backup source of water, if any, and
				identification of any facilities that need to be constructed to provide such
				water.
c. Required permits for
				water discharge and potential impacts on regional water flows.
d. Required permits related to the wetlands
				and an identification of any tidal and nontidal wetlands located near the
				proposed site and how such wetlands will be impacted by applicant's proposed
				facility.
e. Impact of solid and
				hazardous wastes on local water resources.
f. Impact on natural heritage resources and
				on threatened and endangered species.
g. Erosion and sediment control
				measures.
h. Archaeological,
				historic, scenic, cultural, or architectural resources in the area.
i. Chesapeake Bay Preservation Areas
				designated by the locality.
j.
				Wildlife resources.
k. Agricultural
				and forest resources and federal, local, state, or private parks and recreation
				areas.
l. Use of pesticides and
				herbicides.
m. Geology and mineral
				resources, caves, and sinkholes.
n.
				Transportation infrastructure.
12. An analysis of the social impact of the
				project, including a general discussion of why the facility will not have a
				disproportionate adverse impact on "historically economically disadvantaged
				communities" as defined in §
										56-576 of
				the Code of Virginia.
13. A general
				discussion of how the project will promote environmental justice in
				environmental justice communities and fenceline communities consistent with the
				Virginia Environmental Justice Act (§
										2.2-234 et seq. of
				the Code of Virginia).
14. A
				general discussion of reliability impacts, including:
a. A description of interconnection
				requirements and needed interconnection facilities. Any such facilities shall
				be depicted on a topographic map.
b. A description of the potential impact of
				the proposed facility on the interconnected system. Discussion should identify
				and summarize any system impact studies or proposed studies.
c. A description of anticipated services that
				may be provided to any transmission service provider or local distribution
				company, including associated costs and benefits.
d. A discussion of existing and expected
				generation reserves in the region and the impact of the proposed facility on
				such reserves.
15. A
				discussion of safety measures the applicant will implement, including fire and
				explosion protection, detection and mitigation measures, and an emergency
				response plan, as well as a discussion of whether such measures are compliant
				with all applicable codes and standards.
16. A discussion of the projected useful life
				of the energy storage facility, including known or projected performance
				degradation, roundtrip efficiency, and the proposed plan for and cost of
				decommissioning at the end of the facility's useful life.
17. A discussion of whether the proposed
				facility is not contrary to the public interest. The discussion shall include
				an analysis of any reasonably known impacts the proposed facility may have upon
				reliability of service to and rates paid by customers of any regulated public
				utility providing electric service in the Commonwealth.
Any application that fails to conform to the requirements
				  shall be incomplete. No action shall be taken on any application until deemed
				  complete and filed.
Upon receipt of a complete permit application pursuant to
				  this section, the commission shall enter an order providing notice to
				  appropriate persons and an opportunity to comment on the application. The
				  commission shall issue a permit for construction and operation of the energy
				  storage facility upon finding the applicant satisfies the requirements
				  established by subsection B of this section.