Budget item ensures Virginia’s quick reentry into RGGI

RICHMOND, Va. — Late Friday Virginia’s return to the Regional Greenhouse Gas Initiative (RGGI) became even more imminent as Governor Abigail Spanberger signed the state’s “caboose” budget, which includes a provision requiring Virginia’s reentry to the successful program. 

During even number years in Virginia, like 2026, a new budget for the next two years is introduced during the legislative session, alongside the “caboose” bill that amends and closes out the prior biennial budget. Unlike most new laws, which typically take effect July 1, 2026, the “caboose” bill takes effect immediately upon the Governor’s signature. 

“After the prior administration illegally withdrew Virginia from RGGI, it was vital to get this language into the caboose bill,” said SELC Senior Attorney Nate Benforado. “This lays out the exact steps the Commonwealth must take to get back into RGGI, ensuring Virginians will start to benefit from this successful program in the coming months.”  

Benforado is hopeful the governor’s latest action will be followed by the General Assembly passing SB802 and HB397 out of both chambers, which clarify that under existing law, Virginia’s participation in RGGI is—and always has been—mandatory.

“Not only do we need to get back into RGGI, we also need to ensure that we can’t be illegally removed from the program again. Steady participation in RGGI is how Virginians really benefit—we’ll see cleaner air along with steady funding to help communities fight flooding and struggling families slash their energy bills.”