You are here: Home Investor Network Shareholder Resolutions Dominion Resources, Inc. Distributed Generation/Renewables 2014
Document Actions
  • Print this
  • Email this page

Dominion Resources, Inc. Distributed Generation/Renewables 2014

Whereas:  By not aggressively pursuing distributed solar generation, Dominion is underperforming compared to its peers and missing the opportunity for essential experience in this type of generation.  More than 6 GW of solar photovoltaic are installed in the US (1 GW in NJ).  Virginia has no utility-owned solar. 
New research  shows that solar, wind, and storage can power the grid 99.9% of the time. Renewables avoid the risks of variable fuel costs and new carbon regulation, lessening long-term risk for the grid and investors.  
Dominion’s study valuing solar  showed it as a net burden to the grid.  Many other studies (California, Texas, New York, Vermont , and NREL ) show solar as a net benefit to the grid.  Dominion’s 2013 IRP shows plans with more renewable energy development, but does not recommend them.  Dominion risks making insufficient investment in this valuable future energy source by not using the more realistic IREC method for valuing solar . 
Dominion’s base 15-year plan includes 3 MW customer solar and 30 MW utility owned distributed solar (with dispute over limited pricing and term ).  A Virginia total of 33 MW proposed solar over 15 years (none currently) is meager compared to other programs, e.g., Maryland (106 MW solar installed), Duke Energy (50 MW solar), Tucson Electric (15 MW), Colorado Springs Utilities (2 MW single community pilot in 2010, expanding), Austin Energy (11 MW, expanding to 50 MW), Georgia Power (62 MW installed, adding 210 MW), burgeoning DC community solar, and the Indianapolis Airport 25 MW array.  Every airport in Virginia receives more solar isolation than Indianapolis, but none has any arrays.
Failing to adapt quickly to the new opportunities of distributed solar is a financial risk that could be calamitous, as discussed in many recent articles.  Recently proposed federal standards requiring 6% renewable by 2015 would be disastrous for Dominion.  Bloomberg New Energy Finance said the "tipping point" has been reached; while renewable energy produced only 12% of the world's electricity in 2012, renewables are projected to produce more than 50% by 2020, just six years away. To remain viable and minimize investor risk, Dominion must plan now for installing fixed cost generators.  Otherwise, virtually nearly every nearby state will have a low, relatively fixed cost for electricity while Virginia’s will continue to rise.
Despite Dominion’s capability to plan for distributed solar, its failure to do so will adversely affect investor confidence and support.
Resolved: Dominion shareholders request the Dominion board appoint a team to review the risks Dominion faces under its current plan for developing solar generation, including a review of other US programs, and to develop a report on those risks as well as benefits of increased solar generation.  The analysis, prepared at reasonable cost and omitting proprietary information, shall be available to shareholders by the 2015 shareholder meeting.