Support Energy Democracy, Not Corporate Control

This blog post was written by POWHR’s Advocacy Manager Lief Hurt on February 22, 2024.

Power companies in Virginia are trying to pass on the cost of building nuclear reactors to the people. From the frontline of the MVP, we are observing another instance of corporations trying to take little accountability for new ventures in an attempt to run away with the most profits possible. 

As the climate crisis intensifies due to fossil fuel extraction driven by capitalism, power companies are looking for ways to diversify their energy portfolios, including by investing in nuclear technology. Currently, 30% of Virginia’s powercomes from nuclear power. Nuclear is a component of Virginia’s 2020 Clean Economy Act. Governor Youngkin has been a proponent of small modular reactors, pushing its development in Southwest Virginia. 

Nuclear power might play a pivotal role in the fair and just transition to clean energy. However, such corporate schemes to put the cost of small modular reactors (a relatively new, expensive, and unproven technology) on ratepayers are unacceptable. We are not surprised–as a coalition of people who have spent nearly a decade fighting the reckless MVP–that the companies want us to pay upfront for the new venture.

Over the past ten years, we have learned that big energy companies like Equitrans Midstream and Dominion Power (who were behind the Atlantic Coast Pipeline) will do everything they can to make a quick buck and leave locals with the consequences of their actions. We are seeing this pattern repeat itself with corporate attempts to shrug off costs in spite of concerns of if SMRs would be safe and suitable for karst terrain where Governor Youngkin wants the region to host an SMR, and questions about whether expensive SMRs are necessary over comparatively cheap solar and wind.

Two bills are up for a vote in the Virginia legislature to put the cost of SMRs on ratepayers: SB454 and HB1491. SB454, introduced by Senator Dave Marsden, would enable Dominion and Appalachian Power to recover development costs for small-scale nuclear reactors from their customers. HB1491, introduced by Delegate Israel O’Quinn, would allow Appalachian Power to pass the costs of developing small nuclear reactors directly onto us, the ratepayers.

This isn’t just about paying more; it’s about being forced to gamble on unproven SMR technology with our money, without ample evidence that SMRs will ensure the energy we need to live as we safely and cost-effectively transition away from fossil fuels. Essentially, both of these bills would force us to foot the bill for expensive projects that we may never see or use–when solar and wind are cheap and available options that Virginia needs to scale up.

The risks associated with these projects are proven. In 2017, similar legislation eventually led to the abandonment of two nuclear reactors in South Carolina. This risky gamble cost the state $9 billion and left its residents with some of the highest electric bills in the country – and all for projects that never even came to fruition. Virginia should not repeat this mistake. We can’t let greedy companies shift the risk and burden of cost onto us without evidence that we will benefit.

We must voice our opposition to SB454 and HB1491. These bills are not just about energy policy; they’re about who bears the risk and the cost of new technologies. Policymakers must ensure that our move towards sustainable energy doesn’t come at an unfair expense to Virginia’s communities and families. 

We demand a choice in our energy future where we are able to assess all viable clean options to go forward; not another corporate controlled reality where we don’t get the answers we need and have to pay the cost for a bad deal. Corporate control of the energy sector has long harmed our communities, including through life-threatening utility shuts offs. We seek a future where the needs of low income communities and communities of color shape our clean energy future.

Contact your Delegate today and tell them to oppose SB454 and contact your Senator and tell them to oppose HB1491. If you don’t know your state representatives, you can look them up quickly here.