(The Center Square) – The Virginia Department of Environmental Quality will hold a public briefing Aug. 7 regarding Dominion Energy’s proposal to build a new natural gas plant in Chesterfield.
The project comes as rising electricity demand and a new federal report highlight concerns over grid reliability. Dominion says the Chesterfield Energy Reliability Center would replace a retired coal facility with four natural gas turbines capable of powering up to 250,000 homes.
The facility would serve as a fast-start backup source, supporting reliability as Virginia retires coal plants and adds data center load.
As previously reported by The Center Square, Dominion estimates the plant will cost $1.47 billion to build, adding around $1.36 per month to a typical residential customer’s bill, with projected customer costs totaling $4.5 billion through 2064. The company says adding in-state generation can reduce reliance on expensive power purchases from out-of-state suppliers during peak demand.
The U.S. Department of Energy released a report Monday warning that the retirement of aging power plants and rising demand from artificial intelligence and data centers could heavily increase blackout risks by 2030 if new reliable generation isn’t added.
Recent heat waves across Virginia and the Mid-Atlantic have pushed electricity demand to seasonal highs, testing the grid during peak conditions.
Virginia’s Clean Economy Act, passed in 2020, requires utilities to transition to 100% carbon-free electricity by 2050. While renewable sources like solar and wind are growing, utilities note they depend on weather conditions and may need backup generation to maintain service during high demand.
Environmental groups, including CASA and the Chesterfield County NAACP, argue the proposed gas plant would add pollution and lock in decades of costs for customers while delaying Virginia’s shift to clean energy. While the DEQ has stated the project would not significantly deteriorate local air quality under its permit review, the groups have raised concerns about health impacts, climate effects and long-term affordability, urging residents to participate in the DEQ meeting.