State Commission Lays Groundwork for Low Income Energy Assistance Program

Decision and report from state agencies point to need for Legislature to act.
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Pablo Willis, pablo.willis@sierraclub.org

Richmond, VA -- Today, the Virginia State Corporation Commission issued an order that creates a recovery mechanism for a new energy assistance program for low-income Virginians known as the Percentage of Income Payment Program, or “PIPP.” The PIPP program was included as a provision in the Virginia Clean Economy Act earlier this year with the express goal of lowering the cost of utility bills for lower-income ratepayers.  The Commission’s order leaves open crucial elements of the PIPP program, such as the size and scope of energy reduction programs and the role of electrification.  The Virginia General Assembly is expected to revisit and finalize the PIPP program in early 2021.

The Sierra Club and other community organizations actively engaged with the Commission, advocating for a well-designed, cost-effective program that maximizes the benefits to low-income consumers by easing their financial energy burden and making their homes more efficient.  The Sierra Club encouraged the Commission to expand existing programs to include health and safety repairs and electrification to ensure maximum participation and health benefits. 

The Sierra Club’s expert witness underscored how electrification can stabilize the costs of the program by protecting utilities and consumers from increasingly expensive gas infrastructure costs. His testimony also highlighted energy-efficient home retrofits and electrification’s ability to safeguard public health by reducing indoor air pollution and eliminating gas leaks. 

Mary-Stuart Torbeck, Sierra Club’s Beyond Coal Campaign Campaign Representative, released the following statement:

“Virginians pay the 7th highest utility bills in the country and today’s order illustrates the need for the General Assembly to further prioritize legislation to reduce energy costs for low-income Virginians who are disproportionately impacted. Struggling Virginians need solutions, and we have a chance to provide significant help by reducing the energy burdens they bear through designing a program that enables health and safety repairs and electrification, in addition to cost-saving energy-efficient home retrofits.”

 

About the Sierra Club

The Sierra Club is America’s largest and most influential grassroots environmental organization, with more than 3.5 million members and supporters. In addition to protecting every person's right to get outdoors and access the healing power of nature, the Sierra Club works to promote clean energy, safeguard the health of our communities, protect wildlife, and preserve our remaining wild places through grassroots activism, public education, lobbying, and legal action. For more information, visit www.sierraclub.org.