🏛️

Virginia

America's largest data center market, and ground zero for opposition

#1
US Data Center Market
3,000+
MW Data Center Load
~12¢/kWh
Avg. Retail Rate
PJM
Grid Operator

Data Center Alley

Northern Virginia's "Data Center Alley", centered on Loudoun County, hosts the world's largest concentration of data centers. The region's proximity to Washington D.C., abundant fiber connectivity, and favorable business climate made it the epicenter of the internet. But explosive growth has triggered unprecedented community opposition.

Opposition Hotspot

Virginia leads the nation in data center opposition activity. Multiple counties have tightened zoning, and billions in projects face legal challenges.

View tracked projects →

Data Center Landscape

Key Markets

  • Loudoun County, World's largest concentration
  • Prince William County, Major expansion target
  • Fairfax County, Established enterprise presence
  • Henrico County (Richmond), Emerging market
  • Virginia Beach, Subsea cable landing

Market Dynamics

  • Tightest market in North America
  • Vacancy near zero in NoVA
  • Power constraints limiting new development
  • Dominion queue: 70,000 MW requested, only 25,000 MW have set dates
  • Developers looking to adjacent counties

Regulatory Environment

Recent Changes

Regulation has turned sharply against easy data center development:

  • Loudoun eliminated by-right zoning (2025)
  • Prince William facing multiple lawsuits
  • Fairfax tightening approval process
  • State legislature considering new oversight
  • SCC scrutinizing Dominion infrastructure costs

State Policy

  • Virginia Clean Economy Act (2020), 100% clean by 2045
  • Data center tax incentives under scrutiny
  • Property tax revenue vs. community impact debate
  • Environmental review requirements increasing
  • Historic preservation gaining influence

Power Infrastructure

Grid Challenges

Dominion Energy is struggling to keep pace with data center demand:

  • 70,000 MW in interconnection queue — nearly tripled since Jan 2025
  • Only 25,000 MW have set connection dates; 45,000 MW have none
  • New GS-5 rate class (Nov 2025): data centers fund their own infrastructure
  • Proposed 765-kV Valley Link line faces 2,800-member opposition campaign
  • Residential rates up 267% over 5 years in some areas of Northern Virginia
  • $64.7B capex plan 2026–2030; $17B specifically for data center infrastructure

Generation Mix

  • Nuclear: ~30% (Surry, North Anna)
  • Natural Gas: ~45%
  • Coal: ~10% (declining)
  • Renewables: ~10% (growing)
  • Offshore wind: Under development

Key Players

Category Major Players
Utility Dominion Energy (primary), Appalachian Power
Data Centers QTS, Digital Realty, Equinix, CyrusOne, Compass, CloudHQ
Hyperscalers AWS, Microsoft Azure, Google Cloud, Meta, Oracle
Opposition American Battlefield Trust, Coalition to Protect PWC, Save Bren Mar

Opportunities & Risks

Opportunities

  • Unmatched connectivity and fiber
  • Proximity to federal customers
  • Established ecosystem and talent
  • Strong demand from hyperscalers
  • Emerging markets in central/coastal VA

Risks

  • Intense community opposition
  • Power constraints and delays
  • Regulatory uncertainty increasing
  • Zoning restrictions tightening
  • Historic preservation challenges

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EIA data not available for this state.

Virginia Electric & Power Co
🏠 Residential
EV Residential Electric Vehicle Charging (Experimental) · Time-of-Use
4.93¢
kWh
Fixed: $2.90/mo
🏢 Commercial
County, Municipal, or Housing Authority Schedule 30 · Time-of-Use
9.73¢
≤ 800 kWh
9.66¢
≤ 3,000 kWh
7.63¢
All remaining
Fixed: $25.84/mo · Demand: $3.35/kW
🏭 Industrial
Large General (Primary) Schedule 6P · Time-of-Use
3.91¢
kWh
Fixed: $121.25/mo · Demand: $0.94/kW · Demand: $13.05/kW
4.28
Annual GHI
kWh/m²/day
4.16
Annual DNI
kWh/m²/day
95%
vs National Avg
(4.5 kWh/m²/day)
⛅ Average solar potential, slightly below national average
Monthly GHI (kWh/m²/day)
2.4
Jan
3.1
Feb
4.3
Mar
5.2
Apr
6.0
May
6.2
Jun
6.0
Jul
5.5
Aug
4.5
Sep
3.5
Oct
2.6
Nov
2.1
Dec
Measured at Virginia Beach
2,033
EV Stations
6,536
Charging Ports
Alternative Fuel Stations
25
⛽ CNG
2
🧊 LNG
83
🔥 LPG
2
💧 Hydrogen
103
🌽 E85
12
🌿 Biodiesel