Dominion Energy Virginia, the state’s largest electric utility, credits home solar at full-retail, one-to-one net metering, and the 2026 State Corporation Commission order kept that intact. Virginia power runs about 17.6 cents per kWh. A monthly standby charge applies only to larger residential systems, so most rooftops avoid it. The 30% federal homeowner credit ended after December 31, 2025.
If Dominion Energy Virginia is your electric utility, this is how rooftop solar pays you back in 2026. Dominion serves most of the state, from Northern Virginia and Richmond down to Hampton Roads, and it credits the power your panels export under Virginia’s full-retail net-metering rules. A 2026 State Corporation Commission decision on Dominion’s net-metering redesign kept one-to-one crediting in place, which is the single most important fact for a Virginia homeowner weighing solar right now. This page covers Dominion’s net metering, the standby charge that trips up bigger systems, how to interconnect, and how to tell if solar is worth it on your account.
Dominion Energy Virginia at a glance
Dominion runs the net-metering and interconnection process across most of Virginia. Here is the shape of it in 2026, with the figures that move over time flagged so you verify them before you commit.
| Detail | What to know |
|---|---|
| Service territory | Most of Virginia, including Northern Virginia, Richmond, and Hampton Roads; the state’s largest electric utility |
| Residential rate | Virginia residential power averages about 17.6 cents per kWh; your Dominion rate schedule and bill set your exact figure |
| Net metering | Full-retail, one-to-one kWh credit, credited monthly; residential systems up to 25 kW |
| Standby charge | Applies only to systems over 15 kW AC under Dominion’s SCC-approved Schedule 1, so a typical rooftop is not charged. Verify the current threshold and per-kW rate |
| Year-end surplus | Any annual excess is paid at a wholesale market rate (the PJM day-ahead average), not full retail, so sizing to your own usage is the smart move |
| Before you switch on | Dominion must approve interconnection and set a bidirectional meter before the system runs on the grid |
| Source | Dominion net metering |
According to MySolarFY’s analysis (August 2026), a typical 7 kW rooftop system in Virginia Beach, in Dominion’s Hampton Roads territory, produces about 10,066 kWh a year (modeled with NREL PVWatts), which at Virginia’s roughly 17.6 cents per kWh offsets about $1,770 of grid power in a year. Treat that as an estimate; your roof, shading, and rate set your actual figure.
How Dominion credits your solar: net metering
Dominion credits every kWh you export at the full retail rate, one for one, on your monthly bill. Virginia law gives Dominion customers full-retail net metering: the power your panels send to the grid offsets the power you later pull back, at the retail rate, credited each month (Virginia Energy; SCC net-metering regulations, Chapter 315). Residential systems can net-meter up to 25 kW, and the system is meant to be sized to your own annual usage, not to sell power back at scale. For a plain-English walk-through of the mechanics, see how net metering credits your solar exports. For the statewide rules behind Dominion’s program, including the 25 kW cap and the annual true-up, see our 2026 Virginia net metering guide.
The 2026 SCC decision kept it intact. In its 2026 order on Dominion Energy Virginia’s “NEM 2.0” filing, the State Corporation Commission preserved one-to-one kWh crediting and left existing solar customers grandfathered under their current terms (pv magazine coverage of the SCC order; Dominion net metering). The catch is at year-end: any surplus you have not used over the year is paid out at a wholesale market rate rather than full retail, which is why oversizing to chase a big annual check does not pay. To see how the monthly credit lowers your bill, read how solar lowers your electricity bill.
| What you earn | How it is valued | Who receives it |
|---|---|---|
| Monthly net-metering credits | Full retail, one for one, per kWh you export | The Dominion account holder |
| Year-end surplus | A wholesale market rate (the PJM day-ahead average), below retail | The account holder |
| SRECs | One per 1,000 kWh; limited, voluntary market, so verify a buyer and price | The system owner |
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The Dominion standby charge, explained
The standby charge is Dominion’s most misunderstood solar rule, and for most homes it simply does not apply. Under Virginia law and Dominion’s SCC-approved tariff, a residential net-metering customer pays a monthly per-kilowatt standby charge only once the system exceeds 15 kW of AC capacity, billed per kW of demand (Dominion Schedule 1). It is meant to recover the grid cost of standing by to serve a larger generator, and it only touches systems above that 15 kW line. A typical Virginia rooftop system runs well under it, so a standard home installation is not hit by the charge at all.
| Charge | Rate (as of 2026, confirm current tariff) | Applies to |
|---|---|---|
| Distribution standby charge | About $4.19 per kW of demand, netted against distribution demand charges, not less than zero | Net-metered generation over 15 kW AC |
| Transmission standby charge | About $1.32 per kW of demand, netted against transmission demand charges, not less than zero | Net-metered generation over 15 kW AC |
| Under 15 kW AC | No standby charge | The typical home system |
The exact tariff figures are set by the SCC and change over time, so treat the numbers above as a snapshot and confirm the current Schedule 1 rate before you size a large system. If your roof is large enough to push past the 15 kW line, ask your installer to price the standby charge from Dominion’s current tariff and weigh whether sizing just under the limit gives you a better return. The clean way to avoid the charge entirely is to keep the AC size at or under 15 kW, which is more than enough for most Virginia homes.
How to connect solar to Dominion in Virginia
Connecting a home system to Dominion follows a set order, and the key rule is that you cannot turn the system on until Dominion approves it. The general path is:
- Net-metering and interconnection application. You or your installer file an application with Dominion for a residential system of 25 kW or less.
- Review and agreement. Dominion reviews the application and issues an interconnection and net-metering agreement to sign and return.
- Install and inspect. The system is installed and passes your county or city electrical inspection.
- Meter set. Dominion installs or reconfigures a bidirectional net meter that measures both the power you draw and the power you export.
- Permission to operate. Dominion gives the final go-ahead. The system may not run on the grid before that approval.
A licensed installer normally manages this whole process for you and knows Dominion’s current forms and timelines. For the questions to ask before you sign, see the right questions to ask a solar installer. Confirm the current application steps on Dominion’s net-metering page, since utilities update their process periodically.
The rest of Virginia’s solar benefits on a Dominion account
Beyond net metering, Virginia gives Dominion customers a few statewide benefits, with a couple of common misconceptions worth clearing up:
- You keep your SRECs. Under the SCC’s 2026 Dominion order, the solar renewable energy certificates your system earns remain yours, one per 1,000 kWh generated. But Virginia does not run a mandatory retail-compensation SREC market like Maryland, so treat any SREC sale as a limited, voluntary-market maybe and verify a buyer and price exist before you count on it (SCC order coverage).
- A property-tax exemption on home-sized systems. Residential systems of 25 kW or less are exempt from Virginia property tax, so your assessment does not rise because you added panels (Code of Virginia 58.1-3661). Larger equipment is exempt only where the locality has adopted the option, so verify your county or city ordinance for a big system.
- Solar rights against an HOA. A community association cannot flatly prohibit rooftop solar unless that ban is written into its recorded declaration, though it may set reasonable size and placement rules (Code of Virginia 55.1-1951.1).
These benefits and the SRECs go to the system owner, so on a lease or PPA the company that owns the panels typically keeps the SRECs and often the net-metering bill credits too, while your benefit is a lower or fixed power price with no up-front cost.
What changed federally, and what it means for Dominion customers
The federal homeowner credit is gone, but Virginia’s net metering and property-tax exemption are not. The 30% federal Residential Clean Energy Credit (Section 25D) ended for expenditures made after December 31, 2025, under the One Big Beautiful Bill Act, so a Dominion customer who buys solar with cash or a loan in 2026 cannot claim it (IRS). Dominion’s full-retail net metering and Virginia’s property-tax exemption were not affected. For the full timeline, see what the federal solar tax credit change means in 2026.
One federal exception exists, and it is not yours to claim. A separate commercial credit, Section 48E, is claimed by the business that owns a leased or PPA system, not by the homeowner. For a leased system on a Dominion account you do not file for a federal credit yourself; the company that owns the panels does. The 25D homeowner credit, by contrast, ended after December 31, 2025.
How to choose a solar installer in Dominion territory
From Northern Virginia to Hampton Roads, Dominion’s territory is a deep solar market, so you have many licensed installers to compare. Rather than chasing a “best” list, screen any installer against objective criteria:
- NABCEP certification, the industry’s professional standard for PV installers.
- Proper Virginia licensing and any required local electrical and building permits.
- A clear workmanship and equipment warranty in writing.
- Real experience with Dominion interconnection, so the paperwork and permission to operate go smoothly.
- A written production estimate and a transparent quote that is honest about the year-end surplus rate and the standby-charge threshold. To weigh payback, see the financial case for whether solar panels are worth it.
MySolarFY matches you with licensed installers that serve your area so you can compare real local quotes side by side, with no obligation. For the statewide picture, see our Virginia solar incentives guide.
Frequently asked questions
How does Dominion pay me for excess solar?
Dominion credits every kWh you export at the full retail rate, one for one, on your monthly bill, so month to month your solar directly offsets the power you buy (Dominion net metering). At the end of the year, any surplus you did not use is paid out at a wholesale market rate rather than full retail, which is much lower per kWh. Because that year-end payout is small, sizing your system close to your annual usage gives the best result.
Does Dominion charge a standby fee on residential solar?
Only on larger residential systems. Dominion levies a monthly per-kilowatt standby charge on residential systems over 15 kW of AC capacity under its SCC-approved Schedule 1, running roughly $4.19 per kW for distribution plus about $1.32 per kW for transmission, each netted against demand charges and not less than zero. The figures are set by the SCC and change over time, so confirm the current number with Dominion. A typical home rooftop system stays under 15 kW and is not charged. If your roof is big enough to push past it, ask your installer to price the standby charge from Dominion’s current tariff before you commit.
Did the 2026 SCC decision change Dominion net metering?
No, it preserved it. In its 2026 order on Dominion Energy Virginia’s “NEM 2.0” filing, the State Corporation Commission kept one-to-one, full-retail kWh crediting and left existing solar customers grandfathered under their current terms (pv magazine). New systems still connect under full-retail monthly net metering, with the year-end surplus paid at a lower wholesale rate.
What happened to the federal solar tax credit?
The 30% federal Residential Clean Energy Credit (Section 25D) ended for expenditures made after December 31, 2025, under the One Big Beautiful Bill Act, so a Dominion customer who buys solar in 2026 with cash or a loan cannot claim it. A separate commercial credit (Section 48E) can apply to leased and PPA systems, but the business that owns the system claims it, not the homeowner. Virginia net metering and the property-tax exemption were not affected.
How do I connect solar to Dominion?
You or your installer file a net-metering and interconnection application with Dominion for a residential system of 25 kW or less, Dominion reviews and issues an agreement to sign, the system is installed and passes a local inspection, Dominion sets a bidirectional meter, and then Dominion gives permission to operate (Dominion net metering). You cannot turn the system on until you have that approval, and a licensed installer usually handles the paperwork for you.
Do I qualify for Dominion solar credit if I lease or sign a PPA?
Net-metering credits normally follow the Dominion account, but on a lease or PPA the company that owns the panels often keeps both the SRECs and the bill credits, depending on the contract, while your benefit is a lower or fixed power price with no up-front cost. Virginia’s property-tax exemption follows ownership of the system and the property. If you want the net-metering value and the SRECs in your own name, owning the system through cash or a loan is the path that captures them.
Reviewed by the MySolarFY team. Figures were verified against the linked Dominion Energy, Virginia SCC, Virginia Energy, Code of Virginia, EIA, NREL, and IRS sources as of August 2026; the standby-charge threshold, the year-end surplus rate, and net-metering terms all move over time, so confirm current terms with Dominion and the Virginia State Corporation Commission before you decide. MySolarFY does not provide tax or financial advice; consult a licensed professional about your own situation. Learn more about the MySolarFY team and how we work.
MySolarFY is a free service that matches homeowners with licensed solar installers. We are not an installer, financing company, or government program. “No up-front cost” refers to qualifying lease or PPA financing, where eligible homeowners may have no out-of-pocket cost at installation. Lease and PPA terms typically run 20 to 25 years, may include an annual price escalator, and total payments may exceed the cost of a cash purchase; on a lease or PPA the SRECs and bill credits often go to the company that owns the system, not the homeowner. Homeowners do not get the federal residential credit that ended after December 31, 2025. Solar panels are not free and monthly payments apply. Eligibility, savings, incentives, and rates vary and are not guaranteed. See our full disclaimer.
