This document contains the combined reports ("Report") of the Virginia State Corporation Commission ("Commission") pursuant to Chapter 1193 of the 2020 Virginia Acts of Assembly.(*1)

The key highlights of this report include:

• In its fourth DSM application pursuant to the VCEA, Dominion filed for, and received approval of, three new energy efficiency programs and one demand response program. In addition, Dominion received approval to update two existing programs. In its application, Dominion also presented its progress towards achieving the energy efficiency savings goals of the VCEA and the required proposed investment levels of the GTSA.(*2)

• In its third DSM application pursuant to the VCEA, APCo filed for, and received approval of, two new energy efficiency programs. In addition, APCo received approval for an extension of five existing energy efficiency programs. In its application, APCo presented its progress towards achieving the energy efficiency savings goals of the VCEA and the required proposed investment levels of the GTSA.(*3)

• Each Company's 2023 DSM proceeding was the first opportunity for the Commission to evaluate the Company's performance in meeting the 2022 energy savings target pursuant to Code § 56-596.2. The Commission concluded that "net" savings, which removes free ridership from total gross savings, is the appropriate measurement of the total annual savings required by § 56-596.2.

• Dominion had total combined net savings of 839,243 megawatt-hour ("MWh") in 2022, which represents 1.23% of 2019 total annual sales and is less than Dominion's 2022 total annual savings target of 1.25%, or 852,892 MWh.

• APCo had total combined net savings of 219,036 MWh in 2022, which represents 1.52% of 2019 total annual sales, and is more than APCo's 2022 total annual energy savings target of 0.5% or 72,260 MWh. The Commission awarded a margin on energy efficiency program operating expenses to APCo pursuant to Code § 56-585.1 A 5 c.

• Calendar year 2023 was the second year in which the VCEA's energy efficiency targets were in effect pursuant to Code § 56-596.2. The Commission received data related to the utilities' achievement of such targets in each Company's DSM application, as noted above, and in each utility's evaluation, measurement, and verification ("EM&V") report.(*4)

• According to its 2024 EM&V Report, Dominion anticipates falling short of the 2023 energy savings target (1.8% achieved compared to the 2.50% target) as measured on a "net"(*5) basis.(*6)

• According to its 2024 EM&V Report, APCo anticipates meeting the 2023 energy savings target (2.41% compared to the 1.0% target) as measured on a net basis.(*7)

• The Companies' 2023 EM&V results and whether either utility met their respective 2023 energy savings targets has not yet been subject to Commission review. The Commission will review these EM&V results as a part of each utility's future energy efficiency proceedings and will provide additional data related to the feasibility of achieving these energy efficiency goals in future reports.

A glossary of terms is provided in Appendix 3.
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(*1) Virginia Clean Economy Act ("VCEA"), 2020 Va. Acts chs. 1193, 1194. The VCEA explicitly references Phase I and Phase II utilities. For purposes of this report, the Commission will focus on Appalachian Power Company ("APCo") as a Phase I utility and Dominion Energy Virginia ("DEV" or "Dominion") as a Phase II utility. The Commission further notes that in 2023, Kentucky Utilities d/b/a Old Dominion Power Company ("KU/ODP") filed a comprehensive Demand-Side Management ("DSM") plan targeting at least a 0.02% decrease in total jurisdictional sales. The Commission, having not reached a majority decision in the matter, did not issue an order approving or rejecting KU/ODP's application. Application of Kentucky Utilities Company d/b/a Old Dominion Power Company for Implementation of a Demand-Side Management Program and Cost-Recovery Adjustment Clause, Case No. PUR2023-00096, Doc. Con. Cen. No. 240320158, Order Closing Case (March 12, 2024).
(*2) Petition of Virginia Electric and Power Company, For approval of its 2023 DSM Update pursuant to § 56-585.1 A 5 of the Code of Virginia, Case No. PUR-2023-00217, Doc. Con. Cen. No. 240740067, Final Order (July 26, 2024) ("2023 DSM Update Final Order"). Case No. PUR-2023-00217 is referred to herein as "2023 DSM Update."
(*3) Petition of Appalachian Power Company, For Approval to continue rate adjustment clause, the EE-RAC, and for approval of new energy efficiency programs pursuant to §§ 56-585.1 A 5 c and 56-596.2 of the Code of Virginia, Case No. PUR-2023-00169, Doc. Con. Cen. No. 240750015, Final Order (July 26, 2024) ("2023 EE-RAC Final Order"). Case No. PUR-2023-00169 is referred to herein as "2023 EE-RAC Proceeding."
(*4) APCo filed its most recent EM&V Report on May 1, 2024, in Case No. PUE-2014-00039 ("APCo's 2024 EM&V Report"). Dominion filed its most recent EM&V Report ("DEV's 2024 EM&V Report") on June 12, 2024, in Case No. PUR-2022-00210. Please note that the 2024 EM&V Reports contain data on the 2023 program year. The public version of documents filed with the Commission may be located on the Commission's website, https://www.scc.virginia.gov/pages/Case-Information, by clicking "Docket Search," then clicking "Search by Case Information," and entering the appropriate case number in the appropriate box.
(*5) "Net" generally refers to changes in energy use that are induced by a particular energy efficiency program, i.e., exclusive of free riders. A "free rider" is someone who would have installed an energy-efficiency measure absent any program incentive but receives the incentive anyway.
(*6) DEV'S 2024 EM&V Report at iii.
(*7) APCo's 2024 Commercial and Industrial EM&V Report at 9 and APCo's 2024 Residential EM&V Report at 8.