Regulatory rate risk
Utility profitability depends on approved rates and timely cost recovery from regulators.
- Scope
- FERC transmission rates and state utility rate cases
- Materiality
- high
Dominion Energy, Inc
Dominion Energy is a regulated electric utility and power generation company headquartered in Richmond, Virginia. It serves about 4.1 million customers mainly in Virginia, North Carolina and South Carolina, while also developing offshore wind and solar assets and operating contracted generation businesses.
41,2 %
18,2 %
+14,2 %
0.77
0.59
| % | |
|---|---|
| Regulated Electric Utility | 70% Electric transmission, distribution and generation services sold under regulated rates in Virginia and South Carolina. |
| Retail Power Supply | 15% Electricity and related fuel recovery billed to residential, commercial, industrial and governmental customers. |
| Wholesale and Transmission | 5% Wholesale electricity sales and transmission services to cooperatives, municipalities and market participants. |
| Contracted Energy | 5% Contracted generation assets and long-term power arrangements that expose the company to market pricing and counterparty risk. |
| Renewable Development | 5% Offshore wind and solar development, construction and operation, including the CVOW Commercial Project. |
Dominion Energy sells primarily to regulated utility customers, including households, businesses, industrial users and...
- Residential retail customersprimary
Households in Virginia, North Carolina and South Carolina buying regulated electricity for everyday use.
- Commercial and industrial customersprimary
Businesses, factories and institutions buying power and grid access for reliable operations.
- Data centersprimary
Large-load customers in Virginia that buy substantial electricity and drive load growth and grid investment.
- Government and municipal customerssecondary
Public-sector users and local entities purchasing electricity under utility service arrangements.
- Wholesale and cooperative counterpartiessecondary
Rural electric cooperatives, municipalities and market participants buying wholesale power or transmission service.
Dominion Energy’s core business is concentrated in the U.S. Southeast, especially Virginia, North Carolina and South...
- •Virginia is the core market and largest driver of regulated utility demand
- •North Carolina contributes retail utility revenue in the northeastern part of the state
- •South Carolina adds regulated electric service and base-rate recovery
- •New England exposure comes from carbon-free generation and market sales
- •U.S. offshore wind projects create coastal construction and permitting exposure
Dominion Energy is focused on regulated utility growth, especially new load, grid investment and recovery of capital...
01
Regulated utility growth and rate recoveryshort-term
Approved rates and riders are the main mechanism for earning returns on large capital investments.
02
Serve data center-driven load growthmedium-term
Large new loads support demand growth and justify transmission and distribution investment.
03
Develop offshore wind and solar projectsmedium-term
Renewable projects diversify the asset base and support the company’s clean-energy positioning.
04
Manage market and counterparty exposureshort-term
Contracted generation depends on power prices, fuel costs and customer contract renewal.
Dominion Energy’s earnings depend heavily on regulatory outcomes, because most utility revenue is tied to approved...
Project execution risk
Offshore wind and other growth projects require complex construction, permits and supply chains.
- Scope
- CVOW Commercial Project and other capital projects
- Materiality
- high
Wholesale market and fuel price volatility
Contracted energy results depend on power prices, fuel costs and hedging effectiveness.
- Scope
- Millstone and active wholesale markets
- Materiality
- high
Demand and load uncertainty
Customer usage can shift with energy efficiency, distributed generation and price sensitivity.
- Scope
- Virginia and North Carolina utility territories
- Materiality
- medium
Operational and infrastructure risk
Aging assets, outages, labor issues and supply disruptions can affect reliability and costs.
- Scope
- Transmission, distribution and generation fleet
- Materiality
- medium
Regulated revenue and rider recovery
Affects operating revenue comparability and earnings timing
Derivative and hedge accounting
Can materially affect other income, revenue and earnings
Goodwill impairment testing
Can create large noncash charges, especially in discontinued operations
Long-lived asset impairment
Can reduce reported earnings and asset values
Seasonality and weather sensitivity
Makes quarterly results less comparable across periods
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: 11/08/2026