A recent court ruling has determined that Virginia cannot exit a multi-state program aimed at reducing greenhouse gas emissions without the approval of the state legislature. This decision poses a setback for Governor Glenn Youngkin’s attempts to withdraw from the Regional Greenhouse Gas Initiative (RGGI).
The ruling, delivered on Monday by retired Judge C. Randall Lowe in Floyd County, stated that Virginia’s Air Pollution Control Board overstepped its boundaries when it voted to leave the RGGI last year.
The RGGI includes twelve states from the Northeast and mid-Atlantic regions, collaborating to minimize carbon emissions from power plants. State regulations require power facilities above a specified capacity to obtain allowances for carbon dioxide emissions, a major contributor to global warming.
Virginia joined this initiative in 2020 under a Democratic administration and a Democratic-controlled legislature. However, the political landscape shifted in 2021 when Youngkin, a Republican, was elected as governor. Despite this change, one or both legislative bodies have remained under Democratic influence throughout his administration.
Youngkin argues that participation in the cap-and-trade system constitutes an implicit tax on Virginians’ energy expenses.
Christian Martinez, a spokesperson for Youngkin, announced on Wednesday that the state would be appealing the judge’s decision. He emphasized the governor’s commitment to reducing living costs for Virginians, asserting that the RGGI does not effectively promote emission reductions within the state.
Also voicing their discontent with the ruling was Shaun Kenney, a representative for Republican Attorney General Jason Miyares. He expressed anticipation of fighting for the repeal of what they view as an ineffective program during the appeal process.
Projections from the State Corporation Commission suggest that ordinary monthly energy bills could see an increase of $2 to $2.50 between 2027 and 2030.
Prior to the board’s decision to withdraw from the RGGI, Dominion Energy, Virginia’s largest utility provider, reported bearing approximately $490 million in compliance costs linked to the initiative and collected about $267 million from its customers to offset these expenses.
In contrast, Virginia House Speaker Don Scott, a Democrat, commended the judge’s ruling as a positive outcome for Virginians, their financial well-being, and the environment. He highlighted that funding from the RGGI has permitted Virginians to reduce household energy expenses, enhance community resilience against flooding, and play a pivotal role in combating pollution and addressing climate change.
