Senator Dance Town Hall Coal Ash Update December 5, 2018

Dominion Energy’s Impact in Chesterfield County Our Major Assets: Midlothian Operations Office Chesterfield Power Station Chesterfield Training Center(s) Number of Dominion Energy Virginia Customers: 145,894 (+1,943 from 2017) Number of Employees Living in Chesterfield County: 1,300+

Chesterfield Power Station

Chesterfield Power Station Largest fossil-fueled power station in Virginia, supplies 12 percent of the electricity in Dominion Energy’s service territory Significant economic driver for Chesterfield County and this region ~200 employees full time 1,640 megawatts of coal (units 3, 4, 5, 6) and natural gas-fired generation (units 7, 8) Units 3 and 4 set for reserve status in December 2018 Nearly $1 billion in environmental improvements at the station over the last decade. (~$100m average per year over last 13 years) 90% reduction in mercury emissions 96% reduction in sulfur dioxide emissions

Dominion Energy Coal Ash Ponds To Be Closed Four locations, eleven ponds Stored in “ponds” Ash mixed with water, ash sinks to bottom Material in ponds may be decades-old 27,285,000 Cubic Yards in Ponds, equivalent to 1,746,000 Truckloads Ponds total approximately 461 acres EPA issued regulations in 2015 requiring closure by: Cap and close in place or removal (ash can be consolidated, landfilled, or recycled) Closure will be triggered in 2019 – maximum of 15 years to close Possum Point (5) Prince William County Bremo (3) Fluvanna County Chesterfield (2) Chesapeake (1) Since then began filtering, testing, and removing water and consolidating ash from smaller ponds. 2017 legislation called for report of closure options by location & 2018 legislation called for report on recycling options.

Chesterfield Power Station Coal Ash Handling 2 ash ponds and one ash landfill Lower ash pond and upper ash pond no longer accept ash. Landfill built to provide space for newly generated dry ash. Landfill Project Converted handling of ash from wet to dry process which eliminates the future needs for ash ponds Added permanent low volume water treatment to make a significant improvement in water quality in waters used at the station and then released. Recycling Across our system, Dominion Energy recycles approximately 500,000 tons of coal combustion byproducts each year. The ash is used to help make cement and wallboard. At Chesterfield a byproduct of the air pollution control system is sent to a Virginia company to be used in manufacture of wall board.

Chesterfield Power Station RFP Results A total of 12 proposals and over 2,100 pages of information were received and evaluated. Bids were considered if they encapsulated the ash. Encapsulation binds the ash into concrete, brick or wallboard for safe reuse. Cost ranges for Chesterfield are as follows: Site CCR Volume in cubic yards Cost Range (excluding project management costs, O&M, etc.) Cost Range (including project management costs, O&M, etc.) Chesterfield 14.9 million cubic yards $1.072 billion to $2.264 billion $1.403 - $2.905 billion

Chesterfield Power Station RFP Results Each option has pros and cons with regard to local impacts such as truck and/or rail. Trucking is used to serve the local markets within 200 miles. Rail proposed for bidders recycling or landfilling out of state. Trucking is typically the lower cost option of the two, as rail transport requires additional handling among other reasons. Truck Traffic estimates for Chesterfield are as follows:

Chesterfield Power Station Groundwater testing In early November, Dominion Energy made results public for ash facilities at six power stations including results for Chesterfield’s Lower and Upper Ash Ponds There are no impacts to drinking water or public health. Sampling indicates that there are groundwater impacts onsite in a portion of the wells sampled at Chesterfield. Dominion Energy takes these results very seriously. Any impact or potential impact to our environment has our full attention. We are committed to doing any clean-up necessary. Our clean-up will be handled in accordance with all federal and state regulations, but more importantly we will do what is right, like we always do.

Chesterfield Power Station Next Steps Present Business Plan results to Coal Ash Subcommittee Most utilities in the Eastern United States are pursuing a hybrid approach where a range of compliance strategies are used to complete closure of ash ponds across their stations. Hybrid approaches that could be considered across all the stations in Virginia include a combination of: Use of enhanced cap and closure in place techniques (such as construction of slurry walls); Recycling; and Landfilling.