Virginia Incentives and Laws for HEVs / PHEVs

The list below contains summaries of all Virginia incentives and laws related to HEVs / PHEVs.

State Incentives

Alternative Fuel and Advanced Vehicle Loans

The Virginia Department of Mines, Minerals and Energy (DMME) offers loans from a revolving loan fund for qualifying alternative fuel and advanced vehicle projects and programs. Eligible entities include state and local governments and authorities, investor-owned utilities, electric cooperatives, municipal utilities, and public bodies that received DMME grants for energy projects through the American Recovery and Reinvestment Act. Activities eligible for loans may include the purchase of alternative fuel or advanced technology vehicles, alternative fueling equipment, or vehicle energy conservation equipment.

High Occupancy Vehicle (HOV) Lane Exemption

Alternative fuel vehicles (AFVs) displaying the Virginia Clean Special Fuels license plate may use Virginia HOV lanes, regardless of the number of occupants, until July 1, 2012. For HOV lanes serving the I-95/I-395 corridor, only registered vehicles displaying Clean Special Fuels license plates issued before July 1, 2006, are exempt from HOV lane requirements. For HOV lanes serving the I-66 corridor, only registered vehicles displaying Clean Special Fuels license plates issued before July 1, 2011, are exempt from HOV lane requirements. Eligible vehicles include dedicated AFVs and some hybrid electric vehicles; see the Virginia Department of Motor Vehicles website for a complete list of qualifying vehicles. The annual fee for Clean Special Fuels license plates is $25 in addition to the prescribed fee for commonwealth license plates. (Reference House Bill 1432, 2011, and Virginia Code 33.1-46.2 and 46.2-749.3)

Alternative Fuel Public-Private Partnership Solicitation

The Virginia Offices of the Secretary of Administration and the Secretary of Natural Resources released a public-private partnership solicitation outlining their interest in forming partnerships with and among alternative fuel providers, infrastructure developers, vehicle manufacturers, and other alternative fuel industry stakeholders to expand fueling infrastructure and to support alternative fuel use in the commonwealth fleet. Projects proposed under the partnership solicitation may include vehicle conversions or purchases and other elements, and must include a plan for vehicle and infrastructure maintenance. Proposers are asked to outline the financing strategy for the project. Given the commonweath's limited resources, the cost of proposals will be strongly considered. By May 2012, the Virginia Department of General Services and the Department of Mines, Minerals, and Energy must make a recommendation on whether the commonwealth should establish more formal public-private partnership agreements to accomplish the overall goal of transitioning commonwealth vehicles to alternative fuels. (Reference Executive Order 36, 2011)

Utility/Private Incentives

Plug-In Electric Vehicle (PEV) Charging Rate Reduction - Virginia Dominion Power

Virginia Dominion Power offers two rates for residential customers who own qualified PEVs: the Electric Vehicle Pricing Plan and the Electric Vehicle + Home Pricing Plan. The Electric Vehicle Pricing plan allows PEV owners to take advantage of lower rates during off-peak hours. Under this plan, customers must install an additional meter specifically for their electric vehicle supply equipment (EVSE); Dominion will provide this meter at no charge. The Electric Vehicle + Home Pricing Plan is a whole-house pricing plan in which the customer's EVSE is treated as another appliance. A new meter provided by Dominion will record energy usage in 30-minute intervals, allowing Dominion to apply pricing based on time of day and encourage customers to charge their PEV during off-peak hours as hours much as possible. For more information, see the Virginia Dominion Plug-In Electric Vehicles website.

Electric Vehicle Supply Equipment (EVSE) Incentive - Coulomb Technologies

Coulomb Technologies' ChargePoint America offers EVSE at no cost to individuals or entities in the Washington, DC metropolitan area. To be eligible for a public or commercial charging system, an entity must be located within the Washington, DC metropolitan area and in defined potentially "high use" areas, and provide public access to the charging system. Companies and municipalities may apply on the ChargePoint America Web site. To be eligible for free home charging stations, individuals living within the specified area must purchase a qualified electric vehicle (EV) or plug-in hybrid electric vehicle (PHEV). Individuals purchasing an eligible EV or PHEV should apply for the ChargePoint America program at the dealership or with the vehicle manufacturer at the time of vehicle purchase. In most cases, installation will be paid for by the EVSE owner; some cities, states, and utilities, however, will provide funding towards installation costs. All participants in the ChargePoint America program must agree to anonymous data collection after installation. Additional restrictions may apply.

Electric Vehicle Supply Equipment (EVSE) Incentive - ECOtality

Through the EV Project, ECOtality offers EVSE at no cost to individuals in the Washington, DC metropolitan area. To be eligible for free home charging stations, individuals living within the specified areas must purchase a qualified electric vehicle (EV) or plug-in hybrid electric vehicle (PHEV). Individuals purchasing an eligible EV or PHEV should apply at the dealership at the time of vehicle purchase. The EV Project incentive program will also cover most, if not all, of the costs of EVSE installation. All participants in the EV Project incentive program must agree to anonymous data collection after installation. Additional restrictions may apply.

Laws and Regulations

Authorization for Plug-In Electric Vehicle Charging Rate Incentives

The Virginia State Corporation Commission (SCC) directs public utilities to evaluate time-differentiated rates and other incentives to encourage off-peak all-electric (EV) and plug-in hybrid electric vehicle charging. The SCC may authorize public utilities to conduct pilot programs to determine the feasibility and implications of offering off-peak rates and other incentives. Pilot programs may include voluntary load control options, rate structures with financial incentives, rebates, or other incentives that offset the cost of purchasing or installing electric vehicle supply equipment for users who elect off-peak rate structures. An electric utility that participates in an approved pilot program may be entitled to recover annually the costs of its participation in any pilot program conducted on or after January 1, 2011. (Reference House Bill 2105, 2011, and Virginia Code 56-232.2)

Retail Electric Vehicle (EV) Charging Regulations

Retail EV charging services provided by an individual who is not a public utility, public service corporation, or public service company, do not constitute the retail sale of electricity if the electricity is used solely for transportation purposes and the person providing the EV charging service has procured the electricity from an authorized public utility. The Virginia State Corporation Commission may not set the rates, charges, or fees for retail EV charging services provided by non-utilities. (Reference House Bill 2105, 2011, and Virginia Code 56-1.2 and 56-232.2)

Alternative Fuel Use and Fuel-Efficient Vehicle Acquisition Requirements

All agencies and institutions must maximize biodiesel and ethanol use in commonwealth fleet vehicles except where the use of biodiesel will void warranties or incur unreasonable additional costs to the agencies. The Virginia Department of General Services (DGS) must make E85 and biodiesel blends of 20% (B20) available for agency use at specified sites selected based on the locations of commonwealth-owned flexible fuel and diesel vehicles. Agencies and institutions that independently purchase fuel must use E85 and B20 fueling sites to the maximum extent reasonably possible; vehicles used for law enforcement and emergency response are exempt from these requirements. Additionally, DGS policies and procedures must include requirements for the purchase of fuel-efficient, low emissions commonwealth-owned vehicles, as well as requirements for leasing vehicles that give a preference to compact, fuel-efficient, and low emissions vehicles. By January 1, 2012, DGS must establish a plan to replace state-owned or operated vehicles with vehicles that operate using natural gas, electricity, or other alternative fuels, to the greatest extent reasonable, considering available infrastructure, vehicle location and use, capital and operating costs, and potential for fuel savings. All state agencies and institutions must cooperate with DGS in developing and implementing the plan. (Reference House Bill 2282, 2011; Executive Order 82, 2009; and Virginia Code 2.2-1176)

State Electric Vehicle (EV) Plan

The Virginia Get Ready: Electric Vehicle Plan aims to establish Virginia as a leader in EV adoption. The plan details how to overcome potential barriers associated with EV adoption and charging infrastructure, specifically codes, standards and processes; a communication strategy to educate appropriate partners, stakeholders, and the general public; and potential incentives to encourage businesses and individuals to purchase EVs. For additional information, refer to the Virginia Clean Cities Get Ready website.

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