Virginia Court Rules on Greenhouse Gas Initiative Withdrawal
Floyd County, Virginia – In a significant ruling, a judge has determined that Virginia cannot exit the Regional Greenhouse Gas Initiative (RGGI) without legislative approval, marking a setback for Governor Glenn Youngkin’s administration. Retired Judge C. Randall Lowe’s decision highlighted that the Virginia Air Pollution Control Board exceeded its authority in its decision to withdraw from the multistate compact aimed at reducing greenhouse gas emissions.
The RGGI, comprising 12 states in the mid-Atlantic and Northeast, mandates power plants of certain capacities to buy allowances to emit carbon dioxide, a significant contributor to climate change. Virginia joined the initiative in 2020 under Democratic leadership. Since then, however, Youngkin, a Republican, has sought to withdraw, arguing that participation constitutes a hidden tax on energy bills.
In a statement, Youngkin’s spokesperson, Christian Martinez, confirmed that the state plans to appeal the ruling, claiming that the RGGI does not effectively incentivize emission reductions and works against the financial interests of Virginians. Echoing this sentiment, Republican Attorney General Jason Miyares expressed disappointment and emphasized the intent to defend the repeal in court.
The State Corporation Commission previously suggested that participation in RGGI could lead to monthly bill increases of $2 to $2.50 for utility customers from 2027 to 2030. Prior to the board’s decision to withdraw, Dominion Energy, the state’s largest utility, reported substantial compliance costs tied to the initiative.
Virginia House Speaker Don Scott, a Democrat, praised the ruling as beneficial for both the environment and citizens’ wallets, highlighting the initiative’s role in reducing energy costs and addressing pollution and climate change.
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