Virginia regulators approve $98 million power project for Lilly's Goochland campus

Virginia regulators have approved a $98 million electricity project to serve Eli Lilly's planned $5 billion manufacturing campus in Goochland County, Virginia, over the objection of a developer whose land the power line will cross ^[1].

The State Corporation Commission authorized Dominion Energy late Thursday to build a 230-kilovolt substation in the West Creek Business Park and a 7-mile overhead transmission line to connect it to existing lines ^[1]. The lines will run along either side of Route 288 and tie into existing power lines near Interstate 64, and Dominion expects to finish the project by summer 2028 ^[1].

Dominion told regulators the project is needed to supply electricity to the planned Lilly plant as well as other residential and commercial projects in the area ^[1]. The utility plans to acquire a new 100-foot-wide right of way near Route 288 for the line. Dominion said it considered other routes but chose this one because it is farther from residential neighborhoods, crosses the fewest wetlands and sits closest to existing lines, and because it minimizes effects on scenic, historic and cultural resources ^[1]. A handful of other businesses supported the route, saying alternative paths would have affected their properties ^[1].

Asgard Broad Street Properties objected. The company owns about 44 acres and said the approved route "destroys" its plan to build a multifamily neighborhood with almost 500 units north of Broad Street Road and west of Route 288 ^[1]. Lawyers for Asgard wrote earlier this summer that the route "fails to properly balance the interests of all impacted landowners in this case" ^[1]. Asgard said it has worked for more than three years on a development called Tuckahoe Creek Village that would include retail, office and mixed-use buildings along with homes ^[1].

The commission sided with Dominion but urged the utility to build the lines as close as possible to the edge of Asgard's property ^[1]. An attorney for Asgard said this summer that would not fix the problem, arguing that large towers would be an eyesore that lowers property values; the attorney did not respond to a request for comment Friday, and it has not been reported whether the company will take further legal action ^[1]. A lawyer for another business said redrawing the route would have cost more and affected more wetlands ^[1].

Lilly has not broken ground on the Goochland facility but expects to start construction soon, a company spokesperson said this week ^[1]. The Indianapolis-based drugmaker announced plans for the $5 billion campus a year ago ^[1].

Lilly has also said it will more than double its US manufacturing investments since 2020, to more than $50 billion, including four new plants: three focused on active pharmaceutical ingredients and one expanding its network for injectable therapies ^[2]. That expansion is expected to create more than 3,000 jobs, with nearly 10,000 construction jobs ^[2]. Lilly's earlier domestic commitments, from 2020 through 2024, totaled $23 billion ^[2]. The reports do not say which of those announced sites the Goochland campus corresponds to, or which medicines it will make ^[1][2].

Why it matters for patients

This decision is about electricity, not medicines. It matters mainly as a marker of how quickly Lilly can add US manufacturing capacity, which the company has described as a way to improve supply chain stability and reduce reliance on foreign production ^[2].

The timeline is long. Power infrastructure for the Virginia site is not scheduled for completion until summer 2028, and Lilly has not yet started building ^[1]. The reports do not identify which products the Goochland campus will produce, so any effect on the supply or availability of specific medicines has not been established ^[1][2]. The commission's approval does not change how any medicine is prescribed, covered or dispensed.

What happens next

• Construction on the Lilly campus is expected to start "soon," the company said; no specific date was given ^[1].
• Dominion's substation and transmission line are scheduled to be complete by summer 2028 ^[1].
• Asgard's attorney did not respond Friday to a request for comment, and it has not been reported whether the company plans further legal steps ^[1].