Summary of SCC Proposal on
Consumption tax; net metering

• Overview. Amends § 58.1-2900, enacted in a companion bill (SB 1286) to the main restructuring bill, SB 1269. This section establishes per-kWh consumption taxes as replacements for the Commonwealth’s gross receipts tax, the Commission’s special regulatory tax, and localities’ gross receipts taxes on electric suppliers.
• Proposal: The proposed amendment stipulates that the tax liabilities of customer-generators who are net metering under the auspices of § 56-594 will be determined on a net basis. If adopted, this provision will eliminate potential necessity of customer-generators incurring the expense of obtaining two electric meters for the sole purpose of determining consumption tax liabilities.