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<law><site_title>Virginia Decoded</site_title><site_url>https://vacode.org</site_url><law_id>57502</law_id><section_number>56-589</section_number><catch_line>Municipal and state aggregation</catch_line><edition url="https://vacode.org/2025/" slug="2025" current="TRUE" last_updated="">2025</edition><structure><unit label="title" level="1" order_by="1" identifier="56">Public Service Companies</unit><unit label="chapter" level="2" order_by="1" identifier="23">Virginia Electric Utility Regulation Act</unit></structure><text>
						<section id="A"><p><span class="prefix-number">A.</span> Subject to the provisions of subdivision A 3 of &#xA7;&#xA0;<a class="law" title="Schedule for transition to retail competition; Commission authority; exemptions; pilot programs" href="/56-577/">56-577</a>, counties, cities, and towns (hereafter municipalities) and other political subdivisions of the Commonwealth may, at their election and upon authorization by majority votes of their governing bodies, aggregate electrical energy and demand requirements for the purpose of negotiating the purchase of electrical energy requirements from any licensed <span class="dictionary">supplier</span> within this Commonwealth, as follows: <a id="paragraph-210656" class="section-permalink" href="https://vacode.org/56-589/#A"><i class="fa fa-link"/></a></p></section>
						<section id="A1" class="indent-1"><p><span class="prefix-number">1.</span> Any <span class="dictionary">municipality</span> or other political subdivision of the Commonwealth may aggregate the electric energy load of residential, commercial, and industrial <span class="dictionary">retail customers</span> within its boundaries on an opt-in or opt-out basis. <a id="paragraph-210657" class="section-permalink" href="https://vacode.org/56-589/#A1"><i class="fa fa-link"/></a></p></section>
						<section id="A2" class="indent-1"><p><span class="prefix-number">2.</span> Any <span class="dictionary">municipality</span> or other political subdivision of the Commonwealth may aggregate the electric energy load of its governmental buildings, facilities, and any other governmental operations requiring the consumption of electric energy. Aggregation pursuant to this subdivision shall not require licensure pursuant to &#xA7; <a class="law" title="Licensing of aggregators" href="/56-588/">56-588</a>. <a id="paragraph-210658" class="section-permalink" href="https://vacode.org/56-589/#A2"><i class="fa fa-link"/></a></p></section>
						<section id="A3" class="indent-1"><p><span class="prefix-number">3.</span> Two or more municipalities or other political subdivisions within the Commonwealth may aggregate the electric energy load of their governmental buildings, facilities, and any other governmental operations requiring the consumption of electric energy. Aggregation pursuant to this subdivision shall not require licensure pursuant to &#xA7; <a class="law" title="Licensing of aggregators" href="/56-588/">56-588</a> when such municipalities or other political subdivisions are acting jointly to negotiate or arrange for themselves agreements for their energy needs directly with licensed <span class="dictionary">suppliers</span> or <span class="dictionary">aggregators</span>.
				Nothing in this subsection shall prohibit the <span class="dictionary">Commission</span>&#x2019;s development and implementation of pilot programs for opt-in, opt-out, or any other type of municipal aggregation, as provided in &#xA7; <a class="law" title="Schedule for transition to retail competition; Commission authority; exemptions; pilot programs" href="/56-577/">56-577</a>. <a id="paragraph-210659" class="section-permalink" href="https://vacode.org/56-589/#A3"><i class="fa fa-link"/></a></p></section>
						<section id="B"><p><span class="prefix-number">B.</span> The Commonwealth, at its election, may aggregate the electric energy load of its governmental buildings, facilities, and any other government operations requiring the consumption of electric energy for the purpose of negotiating the purchase of electricity from any licensed <span class="dictionary">supplier</span> within the Commonwealth. Aggregation pursuant to this subsection shall not require licensure pursuant to &#xA7; <a class="law" title="Licensing of aggregators" href="/56-588/">56-588</a>. <a id="paragraph-210660" class="section-permalink" href="https://vacode.org/56-589/#B"><i class="fa fa-link"/></a></p></section>
						<section id="C"><p><span class="prefix-number">C.</span> Nothing in this section shall preclude municipalities from aggregating the electric energy load of their governmental buildings, facilities and any other governmental operations requiring the consumption of electric energy for the purpose of negotiating <span class="dictionary">rates</span> and terms, and conditions of service from the <span class="dictionary">electric utility</span> certificated by the <span class="dictionary">Commission</span> to serve the territory in which such buildings, facilities and operations are located, provided, however, that no such electric energy load shall be aggregated for this purpose unless all such buildings, facilities and operations to be aggregated are served by the same <span class="dictionary">electric utility</span>. <a id="paragraph-210661" class="section-permalink" href="https://vacode.org/56-589/#C"><i class="fa fa-link"/></a></p></section></text><history>1999, c. 411; 2000, c. 991; 2003, c. 795; 2004, c. 827; 2007, cc. 888, 933.</history><metadata></metadata></law>
