Dominion Energy broadens Net Zero carbon, methane emissions commitments

Building on plans to achieve Net Zero carbon and methane emissions from power generation and natural gas operations by 2050, Dominion Energy will now work to achieve Net Zero for emissions outside of the company’s direct operations.

These include emissions generated downstream by customers and upstream by suppliers.

“These commitments are a natural next step, building upon our industry-leading programs to drive down carbon and methane emissions within our own operations. We are now formalizing our efforts to help customers and suppliers decarbonize, as part of our work to build a clean and sustainable company. Setting goals helps drive the innovation and focus we need to succeed. We’re already making progress on these vital goals and will continue to do so in the months and years to come,” said Robert M. Blue, Dominion Energy’s chair, president and CEO. “As we do, we will never lose sight of our fundamental responsibility to customers — to provide safe, reliable and affordable energy around the clock.”

With this week’s announced expansion, Dominion Energy’s Net Zero commitments not only cover those emissions within the company’s direct control, they now cover what are known as Scope 2 and material categories of Scope 3 emissions. Scope 2 emissions are those emitted from electricity the company consumes, but does not generate. Scope 3 emissions are generated downstream of company operations by customers and upstream by suppliers.

Notably, the company will focus on achieving progress in three material Scope 3 categories: electricity purchased to power the grid, fuel for our power stations and gas distribution systems, and consumption by natural gas customers. These areas cover nearly all of the Scope 3 emissions measured and reported in the company’s 2021 Climate Report. The company plans to reduce these emissions through programs focused on supplier engagement, customer empowerment, constructive public policy and technology innovation.

Consistent with company strategy, Dominion Energy is investing to make electricity and natural gas cleaner. Among other things, the company is building industry-leading solar and renewable natural gas portfolios, developing the largest offshore wind project in North America, modernizing gas distribution networks, relicensing nuclear plants and piloting use of hydrogen.

Here are some of the steps Dominion Energy is taking to address the expanded Net Zero commitments:

• Supporting federal methane regulation.
• Developing and advancing procurement practices that encourage transparency through enhanced disclosures by upstream suppliers on their emissions and GHG reduction programs, including specific commitments.
• Preferencing offers for Responsibly Sourced Gas and/or those suppliers committed to Net Zero, consistent with the company’s reliability, service and cost obligations.
• Developing plans, which will require collaboration with policymakers and regulators, to increase access to RNG for Dominion Energy customers, such as the company’s voluntary GreenTherm program.
• Pursuing innovative use of clean-burning hydrogen. A company pilot program in Utah confirmed that distribution system and appliance performance are not impaired with at least a 5% hydrogen blend.
• Pursuing reductions in the carbon intensity of power sourced from the market, consistent with the company’s responsibility to maintain customer reliability and affordability.
• Continued investment in energy efficiency, working with state regulators as the company develops new and expanded programs to promote conservation by customers.

Support offered for Dominion Energy’s Net Zero plans:

• Utah Gov. Spencer J. Cox: “Dominion has a commitment to community and quality of life. As a strong strategic partner with the state of Utah, I applaud their efforts to adapt, find new solutions, and continue to provide affordable and durable energy, while looking for ways to lead through innovation.”
• Sean McGarvey, president of North America’s Building Trades Unions: “Transitioning to a clean energy economy requires investments in infrastructure across the whole value chain, from renewable energy to modernizing our electric grid and natural gas systems, to utilizing domestic supply chains. This has been the cornerstone of the unionized construction industry. Dominion Energy has been a strong partner with the Building Trades as the company undertakes these projects and continues to expand its use of domestic manufacturing. We applaud this new commitment and look forward to a continued partnership in executing the projects necessary for their achievement.”
• Nat Keohane, president, Center for Climate and Energy Solutions (C2ES): “Achieving zero-emissions electricity and reducing methane emissions from natural gas are must-have elements of meeting Paris Agreement goals. Dominion’s expansion of its net-zero target is a step toward meeting those objectives and provides an important signal to the marketplace. We look forward to working with Dominion as it continues to escalate ambition and eliminate climate pollution.”