Frequently Asked Questions

The Grid Transformation and Security Act of 2018, enacted by the General Assembly, expressed Virginia’s policy support for the offshore wind pilot project. The Virginia State Corporation Commission approved the pilot project later that year. The cost of these initial two turbines will be covered under the existing rate structure for generation and distribution with no rate increase to our customers.

The Virginia Clean Economy Act of 2020, passed by the General Assembly envisions up to 5,200 megawatts of offshore wind to meet Virginia’s clean energy goals. The CVOW commercial project requires approval from the Virginia State Corporation Commission, just like any other power generating facility. Any costs we would seek to recover from customers are also subject to SCC review.

We expect the typical residential customer using 1,000 kilowatt-hours of electricity a month will see a net average monthly bill impact of approximately $4, though this figure will initially be less and will vary from year to year. The SCC will also consider the applicable tax credits of more than $1 billion and expected fuel costs savings of more than $3 billion for the project’s first ten years. These savings come from wind power displacing traditional generation, such as coal or natural gas, which have associated fuel expenses.

The turbines will be located in a lease area that begins 27 miles off the coast of Virginia Beach and extends an additional 15 miles to the east in the Atlantic Ocean. At that distance, the curvature of the Earth will make it difficult to see the turbines clearly from shore. However, the turbines are more visible from shore at higher elevations and at night due to necessary safety features, such as navigational lighting. We are still studying different technology to determine the best option for keeping aircraft and boaters safe while also limiting any visual impact from shore.

When fully constructed in 2026, the CVOW commercial project, anchored in Hampton Roads, will deliver up to 9.5 million megawatt-hours per year of clean, renewable wind energy to the grid — powering up to 660,000 Virginia homes — and will avoid as much as 5 million tons of carbon dioxide emissions annually — the equivalent of planting more than 80 million trees or removing 1 million non-electric cars from the road for a year.

We will install 176 14.7-megawatt Siemens Gamesa turbines, which will create enough clean, renewable energy to power up to 660,000 of our customers’ homes.

Dominion Energy remains focused on providing safe, reliable and affordable energy for its customers. All electric generation projects are subject to a thorough review and approval by the Virginia State Corporation Commission. For CVOW, the SCC will also consider the applicable tax credits of more than $1 billion and expected fuel costs savings of more than $3 billion for the project's first ten years, as wind power displaces traditional generation with fuel expenses, such as coal or natural gas.

The project represents an investment of $9.8 billion. Customer costs will be reduced by applicable federal tax credits, and offshore wind will have no fuel costs over the life of the project. Over this time, the net average cost of the project to a typical residential customer is estimated at approximately $4 per month, though this figure will initially be less and will vary from year to year.

All project costs are subject to approval by the State Corporation Commission. The SCC will also consider the applicable tax credits of more than $1 billion and expected fuel costs savings of more than $3 billion for the project’s first ten years. These savings come from wind power displacing traditional generation, such as coal or natural gas, which have associated fuel expenses.

As Dominion Energy brings more renewable energy online for our Virginia customers, we will displace existing resources and reduce fuel expenses. Over the life of CVOW, its clean, renewable energy will create a social cost of carbon benefit of $3.2 billion, based on the Biden administration’s formula, released in February 2021. Fewer emissions mean cleaner air for our customers and Virginia as a whole.

For the CVOW pilot project, we have a contract with Siemens Gamesa Renewable Energy. In the future, we plan to train Dominion Energy employees, who will take on the responsibility of maintaining these turbines to minimize costs. We anticipate approximately 130 full-time employees will be engaged in the operation of CVOW when construction is completed in 2026.

Dominion Energy has studied historical data regarding the intensity of storms impacting the wind energy areas for both the pilot and commercial projects. The two pilot turbines currently operating offshore — and the 176 planned for the commercial project — are designed to withstand temperatures, wind and waves in excess of any recorded weather events in the project area. The evaluation included a significant study of available information about winter storm and hurricane wind and wave activity in the Atlantic Ocean over the past century.

Dominion Energy submitted its Construction and Operations Plan (COP) to Bureau of Ocean Energy Management (BOEM) on December 17, 2020. On July 2, 2021, BOEM issued the Notice of Intent (NOI) to prepare an Environmental Impact Statement, a draft of which is expected to be published in the Federal Register on August 1, 2022. We remain on target to receive BOEM’s Record of Decision on June 1, 2023.

BOEM’s determination that the COP is complete and its issuance of the NOI is the beginning of the federal National Environmental Policy Act (NEPA) review and analysis, for which BOEM is the lead agency. BOEM will coordinate with the relevant federal, state and local agencies and affected Native American tribes during the review process.

The NEPA process will include a thorough environmental analysis of the CVOW project, across a dozen federal agencies, as well as extensive engagement with Tribes; environmental and fisheries groups; and community members. In addition, Dominion Energy will work with state agencies and localities to carefully analyze potential impacts to the land, air and water quality, wildlife and other resources.