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VA HB397

Bill

Status

Enrolled

3/5/2026

Primary Sponsor

Charniele Herring

Click for details

Origin

House of Delegates

2026 Regular Regular Session

AI Summary

  • Requires the Virginia Air Pollution Control Board to establish and maintain a market-based carbon dioxide emissions trading regulation consistent with the Regional Greenhouse Gas Initiative (RGGI) program
  • Mandates the Director to establish and manage an allowance auction program, changing the language from "authorized to" to "shall," making participation obligatory rather than discretionary
  • Allocates auction revenue: 45% to flood preparedness assistance for localities, 50% to low-income energy efficiency programs administered by DHCD, 3% to administrative expenses and climate planning, and 2% to program implementation
  • Clarifies that energy conversion or tolling agreements of 20 years or more qualify as "life-of-the-unit contractual arrangements," with purchasers responsible for acquiring required CO2 allowances
  • Declares the provisions are clarifying existing law rather than creating new policy

Legislative Description

Clean energy and community flood preparedness; market-based trading program.

Last Action

Governor's Action Deadline 11:59 p.m., April 13, 2026

3/10/2026

Committee Referrals

Agriculture, Conservation and Natural Resources2/4/2026
Agriculture, Chesapeake and Natural Resources: Natural Resources1/19/2026
Agriculture, Chesapeake and Natural Resources1/12/2026

Full Bill Text

No bill text available