The power demand increases in Virginia, primarily driven by the creation of data centers, have led to an ever-increasing call for renewable power generation. The State of Virginia has taken active measures to champion renewable energy efforts. Signed into law in 2020, the Virginia Clean Economy Act requires that all electricity in Virginia be produced from carbon-free sources by 2050. Along with economic growth from both utility-scale and distributed generation, the Solar Energy Industries Association (SEIA) reported that this new policy will create up to 29,000 jobs in the solar industry.
Virginia has a dominant role in this market, with over 70% of world internet traffic running through Northern Virginia. Virginia officials purposefully decided to make the area an attractive location for large data centers by exempting them from sales and use taxes. This has led to rapid growth in demand for energy in Virginia. Renewable projects, including solar, will be called upon to provide significant energy to compensate.
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