10-Q

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM 10-Q

(Mark one)

x QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the quarterly period ended March 31, 2016

or

¨ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the transition period from                      to                     

Commission File Number	Exact name of registrants as specified in their charters, address of principal executive offices and registrants’ telephone number	I.R.S. Employer Identification Number
001-08489	DOMINION RESOURCES, INC.	54-1229715
000-55337	VIRGINIA ELECTRIC AND POWER COMPANY	54-0418825
001-37591	DOMINION GAS HOLDINGS, LLC	46-3639580

120 Tredegar Street

Richmond, Virginia 23219

(804) 819-2000

State or other jurisdiction of incorporation or organization of the registrants: Virginia

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days.

Dominion Resources, Inc.    Yes  x    No  ¨                         Virginia Electric and Power Company    Yes  x    No  ¨

Dominion Gas Holdings, LLC    Yes  x    No  ¨

Indicate by check mark whether the registrant has submitted electronically and posted on its corporate Web site, if any, every Interactive Data File required to be submitted and posted pursuant to Rule 405 of Regulation S-T (§232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit and post such files).

Dominion Resources, Inc.    Yes  x    No  ¨                         Virginia Electric and Power Company    Yes  x    No  ¨

Dominion Gas Holdings, LLC    Yes  x    No  ¨

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer or a smaller reporting company. See the definitions of “large accelerated filer,” “accelerated filer” and “smaller reporting company” in Rule 12b-2 of the Exchange Act.

Dominion Resources, Inc.

Large accelerated filer	x	Accelerated filer	¨
Non-accelerated filer	¨  (Do not check if a smaller reporting company)	Smaller reporting company	¨

Virginia Electric and Power Company

Large accelerated filer	¨	Accelerated filer	¨
Non-accelerated filer	x  (Do not check if a smaller reporting company)	Smaller reporting company	¨

Dominion Gas Holdings, LLC

Large accelerated filer	¨	Accelerated filer	¨
Non-accelerated filer	x  (Do not check if a smaller reporting company)	Smaller reporting company	¨

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act).

Dominion Resources, Inc.    Yes  ¨    No  x                         Virginia Electric and Power Company    Yes  ¨    No  x

Dominion Gas Holdings, LLC    Yes  ¨    No  x

At April 15, 2016, the latest practicable date for determination, Dominion Resources, Inc. had 616,218,305 shares of common stock outstanding and Virginia Electric and Power Company had 274,723 shares of common stock outstanding. Dominion Resources, Inc. is the sole holder of Virginia Electric and Power Company’s common stock. Dominion Resources, Inc. holds all of the membership interests of Dominion Gas Holdings, LLC.

This combined Form 10-Q represents separate filings by Dominion Resources, Inc., Virginia Electric and Power Company and Dominion Gas Holdings, LLC. Information contained herein relating to an individual registrant is filed by that registrant on its own behalf. Virginia Electric and Power Company and Dominion Gas Holdings, LLC make no representations as to the information relating to Dominion Resources, Inc.’s other operations.

VIRGINIA ELECTRIC AND POWER COMPANY AND DOMINION GAS HOLDINGS, LLC MEET THE CONDITIONS SET FORTH IN GENERAL INSTRUCTION H(1)(a) AND (b) OF FORM 10-Q AND ARE FILING THIS FORM 10-Q UNDER THE REDUCED DISCLOSURE FORMAT.

COMBINED INDEX

		Page Number
	Glossary of Terms		3
	PART I. Financial Information
Item 1.	Financial Statements		6
Item 2.	Management’s Discussion and Analysis of Financial Condition and Results of Operations		72
Item 3.	Quantitative and Qualitative Disclosures About Market Risk		83
Item 4.	Controls and Procedures		85
	PART II. Other Information
Item 1.	Legal Proceedings		86
Item 1A.	Risk Factors		86
Item 2.	Unregistered Sales of Equity Securities and Use of Proceeds		86
Item 6.	Exhibits		87

2

GLOSSARY OF TERMS

The following abbreviations or acronyms used in this Form 10-Q are defined below:

Abbreviation or Acronym	Definition
2013 Equity Units	Dominion’s 2013 Series A Equity Units and 2013 Series B Equity Units issued in June 2013
2014 Equity Units	Dominion’s 2014 Series A Equity Units issued in July 2014
AFUDC	Allowance for funds used during construction
AMR	Automated meter reading program deployed by East Ohio
AOCI	Accumulated other comprehensive income (loss)
AROs	Asset retirement obligations
ARP	Acid Rain Program, a market-based initiative for emissions allowance trading, established pursuant to Title IV of the CAA
Atlantic Coast Pipeline	Atlantic Coast Pipeline, LLC, a limited liability company owned by Dominion, Duke Energy Corporation, Piedmont Natural Gas Company, Inc. and AGL Resources Inc.
bcf	Billion cubic feet
Bear Garden	A 590 MW combined cycle, natural gas-fired power station in Buckingham County, Virginia
Blue Racer	Blue Racer Midstream, LLC, a joint venture between Dominion and Caiman Energy II, LLC
BREDL	Blue Ridge Environmental Defense League
CAA	Clean Air Act
CAIR	Clean Air Interstate Rule
CAISO	California independent system operator
CCR	Coal combustion residual
CEO	Chief Executive Officer
CERCLA	Comprehensive Environmental Response, Compensation and Liability Act of 1980, also known as Superfund
CFO	Chief Financial Officer
CO2	Carbon dioxide
COL	Combined Construction Permit and Operating License
Companies	Dominion, Virginia Power and Dominion Gas, collectively
Cooling degree days	Units measuring the extent to which the average daily temperature is greater than 65 degrees Fahrenheit, calculated as the difference between 65 degrees and the average temperature for that day
Cove Point	Dominion Cove Point LNG, LP
CPCN	Certificate of Public Convenience and Necessity
CSAPR	Cross State Air Pollution Rule
CWA	Clean Water Act
DCG	Dominion Carolina Gas Transmission, LLC (successor by statutory conversion to and formerly known as Carolina Gas Transmission Corporation)
DEI	Dominion Energy, Inc.
Dominion	The legal entity, Dominion Resources, Inc., one or more of its consolidated subsidiaries (other than Virginia Power and Dominion Gas) or operating segments or the entirety of Dominion Resources, Inc. and its consolidated subsidiaries
Dominion Gas	The legal entity, Dominion Gas Holdings, LLC, one or more of its consolidated subsidiaries or operating segment, or the entirety of Dominion Gas Holdings, LLC and its consolidated subsidiaries
Dominion Iroquois	Dominion Iroquois, Inc., which, as of May 2016, holds a 24.07% noncontrolling partnership interest in Iroquois
Dominion Midstream	The legal entity, Dominion Midstream Partners, LP, one or more of its consolidated subsidiaries, Cove Point Holdings, Iroquois GP Holding Company, LLC and DCG (beginning April 1, 2015), or the entirety of Dominion Midstream Partners, LP, and its consolidated subsidiaries
DRS	Dominion Resources Services, Inc.
Dth	Dekatherm
DTI	Dominion Transmission, Inc.
DVP	Dominion Virginia Power operating segment
East Ohio	The East Ohio Gas Company, doing business as Dominion East Ohio
EPA	Environmental Protection Agency
EPS	Earnings per share
FERC	Federal Energy Regulatory Commission

3

Abbreviation or Acronym	Definition
Four Brothers	Four Brothers Solar, LLC, a limited liability company owned by Dominion and Four Brothers Holdings, LLC, a wholly-owned subsidiary of SunEdison
Fowler Ridge	A wind-turbine facility joint venture between Dominion and BP Wind Energy North America Inc. in Benton County, Indiana
FTRs	Financial transmission rights
GAAP	U.S. generally accepted accounting principles
Gal	Gallon
GHG	Greenhouse gas
Granite Mountain	Granite Mountain Holdings, LLC, a limited liability company owned by Dominion and Granite Mountain Renewables, LLC, a wholly-owned subsidiary of SunEdison
Greensville County	An approximately 1,588 MW proposed natural gas-fired combined-cycle power station in Greensville County, Virginia
Heating degree days	Units measuring the extent to which the average daily temperature is less than 65 degrees Fahrenheit, calculated as the difference between 65 degrees and the average temperature for that day
Hope	Hope Gas, Inc., doing business as Dominion Hope
Iron Springs	Iron Springs Holdings, LLC, a limited liability company owned by Dominion and Iron Springs Renewables, LLC, a wholly-owned subsidiary of SunEdison
Iroquois	Iroquois Gas Transmission System L.P.
ISO-NE	Independent system operator New England
June 2006 hybrids	2006 Series A Enhanced Junior Subordinated Notes due 2066
kV	Kilovolt
Liquefaction Project	A natural gas export/liquefaction facility currently under construction by Cove Point
LNG	Liquefied natural gas
MATS	Utility Mercury and Air Toxics Standard Rule
MD&A	Management’s Discussion and Analysis of Financial Condition and Results of Operations
MGD	Million gallons a day
Microsoft	The legal entity, Microsoft Corporation, one or more of its consolidated subsidiaries, or operating segments, or the entirety of Microsoft Corporation and its consolidated subsidiaries
MISO	Midcontinent Independent Transmission System Operator, Inc.
MW	Megawatt
MWh	Megawatt hour
NedPower	A wind-turbine facility joint venture between Dominion and Shell Wind Energy, Inc. in Grant County, West Virginia
NGLs	Natural gas liquids
North Carolina Commission	North Carolina Utilities Commission
NOx	Nitrogen oxide
NRC	Nuclear Regulatory Commission
NSPS	New Source Performance Standards
Ohio Commission	Public Utilities Commission of Ohio
Order 1000	Order issued by FERC adopting new requirements for electric transmission planning, cost allocation and development
PIPP	Percentage of Income Payment Plan deployed by East Ohio
PIR	Pipeline Infrastructure Replacement program deployed by East Ohio
PJM	PJM Interconnection, L.L.C.
Possum Point	Possum Point power station
ppb	Parts-per-billion
PSD	Prevention of Significant Deterioration
Questar	The legal entity, Questar Corporation, one or more of its consolidated subsidiaries, or operating segments, or the entirety of Questar Corporation and its consolidated subsidiaries
Questar Combination	Agreement and plan of merger entered on January 31, 2016 between Dominion and Questar in which Questar will become a wholly-owned subsidiary of Dominion upon closing
Regulation Act	Legislation effective July 1, 2007, that amended the Virginia Electric Utility Restructuring Act and fuel factor statute, which legislation is also known as the Virginia Electric Utility Regulation Act, as amended in 2015
REIT	Real estate investment trust

4

Abbreviation or Acronym	Definition
Rider B	A rate adjustment clause associated with the recovery of costs related to the conversion of three of Virginia Power’s coal-fired power stations to biomass
Rider GV	A rate adjustment clause associated with the recovery of costs related to Greensville County
Rider R	A rate adjustment clause associated with the recovery of costs related to Bear Garden
Rider S	A rate adjustment clause associated with the recovery of costs related to the Virginia City Hybrid Energy Center
Rider T1	A rate adjustment clause to recover the difference between revenues produced from the transmission rates included in base rates, and the new total revenue requirement developed annually for the rate years effective September 1
Rider US-1	A rate adjustment clause associated with the recovery of costs related to Remington solar facility
Rider W	A rate adjustment clause associated with the recovery of costs related to Warren County
Riders C1A and C2A	Rate adjustment clauses associated with the recovery of costs related to certain demand-side management programs approved in demand-side management cases
ROE	Return on equity
RSN	Remarketable subordinated note
SEC	Securities and Exchange Commission
September 2006 hybrids	2006 Series B Enhanced Junior Subordinated Notes due 2066
SO2	Sulfur dioxide
Standard & Poor’s	Standard & Poor’s Ratings Services, a division of McGraw Hill Financial, Inc.
SunEdison	The legal entity, SunEdison, Inc., one or more of its consolidated subsidiaries (including Four Brothers Holdings, LLC, Granite Mountain Renewables, LLC and Iron Springs Renewables, LLC) or operating segments, or the entirety of SunEdison, Inc. and its consolidated subsidiaries
Terra Nova Renewable Partners	A partnership between SunEdison and institutional investors advised by J.P. Morgan Asset Management-Global Real Assets
Three Cedars	Granite Mountain and Iron Springs, collectively
TransCanada	The legal entity, TransCanada Corporation, one or more of its consolidated subsidiaries, or operating segments, or the entirety of TransCanada Corporation and its consolidated subsidiaries
UAO	Unilateral Administrative Order
VDEQ	Virginia Department of Environmental Quality
VEBA	Voluntary Employees’ Beneficiary Association
VIE	Variable interest entity
Virginia City Hybrid Energy Center	A 610 MW baseload carbon-capture compatible, clean coal powered electric generation facility in Wise County, Virginia
Virginia Commission	Virginia State Corporation Commission
Virginia Power	The legal entity, Virginia Electric and Power Company, one or more of its consolidated subsidiaries or operating segments or the entirety of Virginia Power and its consolidated subsidiaries
VOC	Volatile organic compounds
Warren County	A 1,342 MW combined-cycle, natural gas-fired power station in Warren County, Virginia

5

PART I. FINANCIAL INFORMATION

ITEM 1. FINANCIAL STATEMENTS

DOMINION RESOURCES, INC.

CONSOLIDATED STATEMENTS OF INCOME

(Unaudited)

	Three Months Ended March 31,
	2016		2015
(millions, except per share amounts)
Operating Revenue	$	2,921	$	3,409
Operating Expenses
Electric fuel and other energy-related purchases		634		953
Purchased electric capacity		68		94
Purchased gas		119		250
Other operations and maintenance		703		602
Depreciation, depletion and amortization		351		343
Other taxes		164		165
Total operating expenses		2,039		2,407
Income from operations		882		1,002
Other income		54		60
Interest and related charges		226		223
Income from operations including noncontrolling interests before income tax expense		710		839
Income tax expense		179		299
Net Income Including Noncontrolling Interests		531		540
Noncontrolling Interests		7		4
Net Income Attributable to Dominion	$	524	$	536
Earnings Per Common Share - Basic and Diluted
Net income attributable to Dominion	$	0.88	$	0.91
Dividends Declared Per Common Share	$	0.7000	$	0.6475

The accompanying notes are an integral part of Dominion’s Consolidated Financial Statements.

6

DOMINION RESOURCES, INC.

CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME

(Unaudited)

	Three Months Ended March 31,
	2016			2015
(millions)
Net income including noncontrolling interests	$	531		$	540
Other comprehensive income (loss), net of taxes:
Net deferred gains (losses) on derivatives-hedging activities(1)		53			(58	)
Changes in unrealized net gains (losses) on investment securities(2)		15			15
Amounts reclassified to net income:
Net derivative (gains) losses-hedging activities(3)		(63	)		59
Net realized gains on investment securities(4)		(2	)		(21	)
Net pension and other postretirement benefit costs(5)		8			13
Changes in other comprehensive income (loss) from equity method investees		—			(1	)
Total other comprehensive income		11			7
Comprehensive income including noncontrolling interests		542			547
Comprehensive income attributable to noncontrolling interests		7			4
Comprehensive income attributable to Dominion	$	535		$	543

(1) Net of $(33) million and $41 million tax for the three months ended March 31, 2016 and 2015, respectively.

(2) Net of $(10) million and $(11) million tax for the three months ended March 31, 2016 and 2015, respectively.

(3) Net of $39 million and $(39) million tax for the three months ended March 31, 2016 and 2015, respectively.

(4) Net of $1 million and $12 million tax for the three months ended March 31, 2016 and 2015, respectively.

(5) Net of $(6) million and $(9) million tax for the three months ended March 31, 2016 and 2015, respectively.

The accompanying notes are an integral part of Dominion’s Consolidated Financial Statements.

7

DOMINION RESOURCES, INC.

CONSOLIDATED BALANCE SHEETS

(Unaudited)

	March 31,     2016			December 31, 2015(1)
(millions)
ASSETS
Current Assets
Cash and cash equivalents	$	218		$	607
Customer receivables (less allowance for doubtful accounts of $23 and $32)		1,175			1,200
Other receivables (less allowance for doubtful accounts of $2 at both dates)		153			169
Inventories		1,304			1,348
Prepayments		157			198
Other		704			667
Total current assets		3,711			4,189
Investments
Nuclear decommissioning trust funds		4,239			4,183
Investment in equity method affiliates		1,346			1,320
Other		268			271
Total investments		5,853			5,774
Property, Plant and Equipment
Property, plant and equipment		59,154			57,776
Accumulated depreciation, depletion and amortization		(16,531	)		(16,222	)
Total property, plant and equipment, net		42,623			41,554
Deferred Charges and Other Assets
Goodwill		3,294			3,294
Pension and other postretirement benefit assets		978			943
Regulatory assets		1,977			1,865
Other		1,069			1,029
Total deferred charges and other assets		7,318			7,131
Total assets	$	59,505		$	58,648

(1) Dominion’s Consolidated Balance Sheet at December 31, 2015 has been derived from the audited Consolidated Financial Statements at that date.

The accompanying notes are an integral part of Dominion’s Consolidated Financial Statements.

8

DOMINION RESOURCES, INC.

CONSOLIDATED BALANCE SHEETS—(Continued)

(Unaudited)

	March 31,     2016			December 31, 2015(1)
(millions)
LIABILITIES AND EQUITY
Current Liabilities
Securities due within one year	$	1,774		$	1,825
Short-term debt		3,028			3,509
Accounts payable		670			726
Accrued interest, payroll and taxes		583			515
Other(2)		1,463			1,544
Total current liabilities		7,518			8,119
Long-Term Debt
Long-term debt		20,807			20,048
Junior subordinated notes		1,849			1,340
Remarketable subordinated notes		1,530			2,080
Total long-term debt		24,186			23,468
Deferred Credits and Other Liabilities
Deferred income taxes and investment tax credits		7,536			7,414
Asset retirement obligations		1,916			1,887
Regulatory liabilities		2,354			2,285
Other		1,980			1,873
Total deferred credits and other liabilities		13,786			13,459
Total liabilities		45,490			45,046
Commitments and Contingencies (see Note 15)
Equity
Common stock – no par(3)		6,778			6,680
Retained earnings		6,565			6,458
Accumulated other comprehensive loss		(463	)		(474	)
Total common shareholders’ equity		12,880			12,664
Noncontrolling interests		1,135			938
Total equity		14,015			13,602
Total liabilities and equity	$	59,505		$	58,648

(1) Dominion’s Consolidated Balance Sheet at December 31, 2015 has been derived from the audited Consolidated Financial Statements at that date.

(2) See Note 3 for amounts attributable to related parties.

(3) 1 billion shares authorized; 597 million shares and 596 million shares outstanding at March 31, 2016 and December 31, 2015, respectively.

The accompanying notes are an integral part of Dominion’s Consolidated Financial Statements.

9

DOMINION RESOURCES, INC.

CONSOLIDATED STATEMENT OF EQUITY

(Unaudited)

	Common Stock					Dominion Shareholders
	Shares		Amount			Retained Earnings			Accumulated Other Comprehensive Income (Loss)			Total Common Shareholders’ Equity			Noncontrolling Interests			Total Equity
(millions)
December 31, 2015		596	$	6,680		$	6,458		$	(474	)	$	12,664		$	938		$	13,602
Net income including noncontrolling interests							524						524			7			531
Contributions from SunEdison to Four Brothers and Three Cedars													—			94			94
Sale of interest in merchant solar projects				22									22			117			139
Purchase of Dominion Midstream common units				(2	)								(2	)		(8	)		(10	)
Issuance of common stock		1		75									75						75
Dividends and distributions							(417	)					(417	)		(10	)		(427	)
Other comprehensive income, net of tax										11			11						11
Other				3									3			(3	)		—
March 31, 2016		597	$	6,778		$	6,565		$	(463	)	$	12,880		$	1,135		$	14,015

The accompanying notes are an integral part of Dominion’s Consolidated Financial Statements.

10

DOMINION RESOURCES, INC.

CONSOLIDATED STATEMENTS OF CASH FLOWS

(Unaudited)

Three Months Ended March 31	2016			2015
(millions)
Operating Activities
Net income including noncontrolling interests	$	531		$	540
Adjustments to reconcile net income including noncontrolling interests to net cash provided by operating activities:
Depreciation, depletion and amortization (including nuclear fuel)		424			414
Deferred income taxes and investment tax credits		131			277
Gains on the sale of assets and businesses		(5	)		(70	)
Other adjustments		(21	)		(40	)
Changes in:
Accounts receivable		40			(65	)
Inventories		44			148
Deferred fuel and purchased gas costs, net		35			(33	)
Accounts payable		(37	)		(85	)
Accrued interest, payroll and taxes		68			(15	)
Margin deposit assets and liabilities		(21	)		111
Other operating assets and liabilities		3			(51	)
Net cash provided by operating activities		1,192			1,131
Investing Activities
Plant construction and other property additions (including nuclear fuel)		(1,497	)		(1,014	)
Acquisition of DCG		—			(495	)
Proceeds from sales of securities		368			337
Purchases of securities		(393	)		(304	)
Other		(3	)		(23	)
Net cash used in investing activities		(1,525	)		(1,499	)
Financing Activities
Issuance (repayment) of short-term debt, net		(481	)		425
Repurchase of short-term notes		(100	)		—
Issuance of long-term debt		1,250			—
Repayment and repurchase of long-term debt		(496	)		(3	)
Proceeds from sale of interest in merchant solar projects		117			—
Contributions from SunEdison to Four Brothers and Three Cedars		94			—
Issuance of common stock		75			295
Common dividend payments		(417	)		(381	)
Other		(98	)		(11	)
Net cash provided by (used in) financing activities		(56	)		325
Decrease in cash and cash equivalents		(389	)		(43	)
Cash and cash equivalents at beginning of period		607			318
Cash and cash equivalents at end of period	$	218		$	275
Supplemental Cash Flow Information
Significant noncash investing activities:
Accrued capital expenditures	$	472		$	353

The accompanying notes are an integral part of Dominion’s Consolidated Financial Statements.

11

VIRGINIA ELECTRIC AND POWER COMPANY

CONSOLIDATED STATEMENTS OF INCOME

(Unaudited)

	Three Months Ended March 31,
	2016		2015
(millions)
Operating Revenue(1)	$	1,890	$	2,137
Operating Expenses
Electric fuel and other energy-related purchases(1)		536		810
Purchased electric capacity		68		94
Other operations and maintenance:
Affiliated suppliers		101		75
Other		349		321
Depreciation and amortization		248		238
Other taxes		74		74
Total operating expenses		1,376		1,612
Income from operations		514		525
Other income		16		15
Interest and related charges		114		108
Income before income tax expense		416		432
Income tax expense		153		163
Net Income	$	263	$	269

(1) See Note 17 for amounts attributable to affiliates.

The accompanying notes are an integral part of Virginia Power’s Consolidated Financial Statements.

12

VIRGINIA ELECTRIC AND POWER COMPANY

CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME

(Unaudited)

	Three Months Ended March 31,
	2016			2015
(millions)
Net income	$	263		$	269
Other comprehensive income (loss), net of taxes:
Net deferred losses on derivatives-hedging activities(1)		(9	)		(4	)
Changes in unrealized net gains on nuclear decommissioning trust funds(2)		3			1
Amounts reclassified to net income:
Net derivative losses-hedging activities(3)		—			1
Net realized gains on nuclear decommissioning trust funds(4)		—			(1	)
Total other comprehensive loss		(6	)		(3	)
Comprehensive income	$	257		$	266

(1) Net of $5 million and $2 million million tax for the three months ended March 31, 2016 and 2015, respectively.

(2) Net of $(1) million tax for both the three months ended March 31, 2016 and 2015.

(3) Net of $— million tax for both the three months ended March 31, 2016 and 2015.

(4) Net of $— million tax for both the three months ended March 31, 2016 and 2015.

The accompanying notes are an integral part of Virginia Power’s Consolidated Financial Statements.

13

VIRGINIA ELECTRIC AND POWER COMPANY

CONSOLIDATED BALANCE SHEETS

(Unaudited)

	March 31,     2016			December 31, 2015(1)
(millions)
ASSETS
Current Assets
Cash and cash equivalents	$	78		$	18
Customer receivables (less allowance for doubtful accounts of $18 and $27)		798			822
Other receivables (less allowance for doubtful accounts of $1 at both dates)		95			109
Affiliated receivables		3			296
Inventories (average cost method)		833			873
Regulatory assets		343			326
Other(2)		57			60
Total current assets		2,207			2,504
Investments
Nuclear decommissioning trust funds		1,980			1,945
Other		3			3
Total investments		1,983			1,948
Property, Plant and Equipment
Property, plant and equipment		38,177			37,639
Accumulated depreciation and amortization		(11,903	)		(11,708	)
Total property, plant and equipment, net		26,274			25,931
Deferred Charges and Other Assets
Regulatory assets		775			667
Other(2)		543			515
Total deferred charges and other assets		1,318			1,182
Total assets	$	31,782		$	31,565

(1) Virginia Power’s Consolidated Balance Sheet at December 31, 2015 has been derived from the audited Consolidated Financial Statements at that date.

(2) See Note 17 for amounts attributable to affiliates.

The accompanying notes are an integral part of Virginia Power’s Consolidated Financial Statements.

14

VIRGINIA ELECTRIC AND POWER COMPANY

CONSOLIDATED BALANCE SHEETS—(Continued)

(Unaudited)

	March 31,     2016		December 31, 2015(1)
(millions)
LIABILITIES AND SHAREHOLDER’S EQUITY
Current Liabilities
Securities due within one year	$	25	$	476
Short-term debt		1,276		1,656
Accounts payable		338		366
Payables to affiliates		102		73
Affiliated current borrowings		—		376
Accrued interest, payroll and taxes		277		190
Other(2)		592		593
Total current liabilities		2,610		3,730
Long-Term Debt		9,638		8,892
Deferred Credits and Other Liabilities
Deferred income taxes and investment tax credits		4,755		4,654
Asset retirement obligations		1,134		1,104
Regulatory liabilities		1,996		1,929
Other(2)		751		615
Total deferred credits and other liabilities		8,636		8,302
Total liabilities		20,884		20,924
Commitments and Contingencies (see Note 15)
Common Shareholder’s Equity
Common stock – no par(3)		5,738		5,738
Other paid-in capital		1,113		1,113
Retained earnings		4,013		3,750
Accumulated other comprehensive income		34		40
Total common shareholder’s equity		10,898		10,641
Total liabilities and shareholder’s equity	$	31,782	$	31,565

(1) Virginia Power’s Consolidated Balance Sheet at December 31, 2015 has been derived from the audited Consolidated Financial Statements at that date.

(2) See Note 17 for amounts attributable to affiliates.

(3) 500,000 shares authorized; 274,723 shares outstanding at March 31, 2016 and December 31, 2015.

The accompanying notes are an integral part of Virginia Power’s Consolidated Financial Statements.

15

VIRGINIA ELECTRIC AND POWER COMPANY

CONSOLIDATED STATEMENTS OF CASH FLOWS

(Unaudited)

Three Months Ended March 31,	2016			2015
(millions)
Operating Activities
Net income	$	263		$	269
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization (including nuclear fuel)		294			281
Deferred income taxes and investment tax credits		99			67
Other adjustments		(8	)		(7	)
Changes in:
Accounts receivable		38			(20	)
Affiliated receivables and payables		322			(20	)
Inventories		40			85
Prepayments		8			214
Deferred fuel expenses, net		27			(54	)
Accounts payable		(3	)		3
Accrued interest, payroll and taxes		87			116
Other operating assets and liabilities		4			27
Net cash provided by operating activities		1,171			961
Investing Activities
Plant construction and other property additions		(604	)		(583	)
Purchases of nuclear fuel		(22	)		(23	)
Proceeds from sales of securities		193			133
Purchases of securities		(201	)		(138	)
Other		(13	)		(11	)
Net cash used in investing activities		(647	)		(622	)
Financing Activities
Issuance (repayment) of short-term debt, net		(380	)		227
Repayment of affiliated current borrowings, net		(376	)		(417	)
Issuance of long-term debt		750			—
Repayment of long-term debt		(452	)		—
Common dividend payments to parent		—			(149	)
Other		(6	)		1
Net cash used in financing activities		(464	)		(338	)
Increase in cash and cash equivalents		60			1
Cash and cash equivalents at beginning of period		18			15
Cash and cash equivalents at end of period	$	78		$	16
Supplemental Cash Flow Information
Significant noncash investing activities:
Accrued capital expenditures	$	164		$	139

The accompanying notes are an integral part of Virginia Power’s Consolidated Financial Statements.

16

DOMINION GAS HOLDINGS, LLC

CONSOLIDATED STATEMENTS OF INCOME

(Unaudited)

	Three Months Ended March 31,
	2016		2015
(millions)
Operating Revenue(1)	$	431	$	531
Operating Expenses
Purchased gas(1)		34		74
Other energy-related purchases		3		6
Other operations and maintenance:
Affiliated suppliers		27		21
Other		97		53
Depreciation and amortization		43		51
Other taxes		52		55
Total operating expenses		256		260
Income from operations		175		271
Other income		6		9
Interest and related charges		22		17
Income from operations before income taxes		159		263
Income tax expense		61		102
Net Income	$	98	$	161

(1) See Note 17 for amounts attributable to related parties.

The accompanying notes are an integral part of Dominion Gas’ Consolidated Financial Statements.

17

DOMINION GAS HOLDINGS, LLC

CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME

(Unaudited)

	Three Months Ended March 31,
	2016			2015
(millions)
Net income	$	98		$	161
Other comprehensive income (loss), net of taxes:
Net deferred losses on derivatives-hedging activities(1)		(6	)		(4	)
Amounts reclassified to net income:
Net derivative gains-hedging activities(2)		(2	)		—
Net pension and other postretirement benefit costs(3)		—			1
Total other comprehensive loss		(8	)		(3	)
Comprehensive income	$	90		$	158

(1) Net of $4 million and $2 million tax for the three months ended March 31, 2016 and 2015, respectively.

(2) Net of $2 million and $— million tax for the three months ended March 31, 2016 and 2015, respectively.

(3) Net of $(1) million tax for both the three months ended March 31, 2016 and 2015.

The accompanying notes are an integral part of Dominion Gas’ Consolidated Financial Statements.

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DOMINION GAS HOLDINGS, LLC

CONSOLIDATED BALANCE SHEETS

(Unaudited)

	March 31,     2016			December 31, 2015(1)
(millions)
ASSETS
Current Assets
Cash and cash equivalents	$	44		$	13
Customer receivables (less allowance for doubtful accounts of $1 at both dates)(2)		227			219
Other receivables (less allowance for doubtful accounts of $2 at both dates)(2)		17			7
Affiliated receivables		9			98
Inventories		91			78
Prepayments		72			88
Other(2)		46			63
Total current assets		506			566
Investments		104			104
Property, Plant and Equipment
Property, plant and equipment		9,809			9,693
Accumulated depreciation and amortization		(2,726	)		(2,690	)
Total property, plant and equipment, net		7,083			7,003
Deferred Charges and Other Assets
Goodwill		542			542
Pension and other postretirement benefit assets(2)		1,544			1,510
Other(2)		611			583
Total deferred charges and other assets		2,697			2,635
Total assets	$	10,390		$	10,308

(1) Dominion Gas’ Consolidated Balance Sheet at December 31, 2015 has been derived from the audited Consolidated Financial Statements at that date.

(2) See Note 17 for amounts attributable to related parties.

The accompanying notes are an integral part of Dominion Gas’ Consolidated Financial Statements.

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DOMINION GAS HOLDINGS, LLC

CONSOLIDATED BALANCE SHEETS—(Continued)

(Unaudited)

	March 31,     2016			December 31, 2015(1)
(millions)
LIABILITIES AND EQUITY
Current Liabilities
Securities due within one year	$	400		$	400
Short-term debt		403			391
Accounts payable		167			201
Payables to affiliates		32			22
Affiliated current borrowings		40			95
Accrued interest, payroll and taxes		184			183
Other(2)		182			183
Total current liabilities		1,408			1,475
Long-Term Debt		2,871			2,869
Deferred Credits and Other Liabilities
Deferred income taxes and investment tax credits		2,267			2,214
Other(2)		436			432
Total deferred credits and other liabilities		2,703			2,646
Total liabilities		6,982			6,990
Commitments and Contingencies (see Note 15)
Equity
Membership interests		3,515			3,417
Accumulated other comprehensive loss(2)		(107	)		(99	)
Total equity		3,408			3,318
Total liabilities and equity	$	10,390		$	10,308

(1) Dominion Gas’ Consolidated Balance Sheet at December 31, 2015 has been derived from the audited Consolidated Financial Statements at that date.

(2) See Note 17 for amounts attributable to related parties.

The accompanying notes are an integral part of Dominion Gas’ Consolidated Financial Statements.

20

DOMINION GAS HOLDINGS, LLC

CONSOLIDATED STATEMENTS OF CASH FLOWS

(Unaudited)

Three Months Ended March 31,	2016			2015
(millions)
Operating Activities
Net income	$	98		$	161
Adjustments to reconcile net income to net cash provided by operating activities:
Gains on sales of assets		(5	)		(70	)
Depreciation and amortization		43			51
Deferred income taxes and investment tax credits		58			36
Other adjustments		—			3
Changes in:
Accounts receivable		(18	)		(24	)
Affiliated receivables and payables		99			6
Deferred purchased gas costs, net		11			16
Prepayments		16			102
Accounts payable		(25	)		(33	)
Accrued interest, payroll and taxes		1			49
Other operating assets and liabilities		(45	)		(24	)
Net cash provided by operating activities		233			273
Investing Activities
Plant construction and other property additions		(161	)		(128	)
Proceeds from assignments of shale development rights		5			27
Other		(2	)		(1	)
Net cash used in investing activities		(158	)		(102	)
Financing Activities
Issuance of short-term debt, net		12			280
Repayment of affiliated current borrowings, net		(55	)		(345	)
Distribution payments to parent		—			(95	)
Other		(1	)		(1	)
Net cash used in financing activities		(44	)		(161	)
Increase in cash and cash equivalents		31			10
Cash and cash equivalents at beginning of period		13			9
Cash and cash equivalents at end of period	$	44		$	19
Supplemental Cash Flow Information
Significant noncash investing and financing activities:
Accrued capital expenditures	$	36		$	22

The accompanying notes are an integral part of Dominion Gas’ Consolidated Financial Statements.

21

COMBINED NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

(Unaudited)

Note 1. Nature of Operations

Dominion, headquartered in Richmond, Virginia, is one of the nation’s largest producers and transporters of energy. Dominion’s operations are conducted through various subsidiaries, including Virginia Power and Dominion Gas. Virginia Power is a regulated public utility that generates, transmits and distributes electricity for sale in Virginia and northeastern North Carolina. Dominion Gas is a holding company that conducts business activities through a regulated interstate natural gas transmission pipeline and underground storage system in the Northeast, mid-Atlantic and Midwest states, regulated gas transportation and distribution operations in Ohio, and gas gathering and processing activities primarily in West Virginia, Ohio and Pennsylvania. Dominion Gas’ principal wholly-owned subsidiaries are DTI, East Ohio and Dominion Iroquois.

Note 2. Significant Accounting Policies

As permitted by the rules and regulations of the SEC, the Companies’ accompanying unaudited Consolidated Financial Statements contain certain condensed financial information and exclude certain footnote disclosures normally included in annual audited consolidated financial statements prepared in accordance with GAAP. These unaudited Consolidated Financial Statements should be read in conjunction with the Consolidated Financial Statements and Notes in the Companies’ Annual Report on Form 10-K for the year ended December 31, 2015.

In the Companies’ opinion, the accompanying unaudited Consolidated Financial Statements contain all adjustments necessary to present fairly their financial position as of March 31, 2016, their results of operations and cash flows for the three months ended March 31, 2016 and 2015 and Dominion’s statement of equity for the three months ended March 31, 2016. Such adjustments are normal and recurring in nature unless otherwise noted.

The Companies make certain estimates and assumptions in preparing their Consolidated Financial Statements in accordance with GAAP. These estimates and assumptions affect the reported amounts of assets and liabilities, the disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses for the periods presented. Actual results may differ from those estimates.

The Companies’ accompanying unaudited Consolidated Financial Statements include, after eliminating intercompany transactions and balances, their accounts, those of their respective majority-owned subsidiaries and non-wholly-owned entities in which they have a controlling financial interest. For certain partnership structures, income is allocated based on the liquidation value of the underlying contractual arrangements. As of March 31, 2016, Dominion owns the general partner and 64.6% of the limited partner interests in Dominion Midstream. The public’s ownership interest in Dominion Midstream is reflected as noncontrolling interest in Dominion’s Consolidated Financial Statements. Also, as of March 31, 2016, Dominion owns 50% of the units in and consolidates Four Brothers and Three Cedars. SunEdison’s ownership interest in Four Brothers and Three Cedars, as well as Terra Nova Renewable Partners’ 33% interest in certain of Dominion’s merchant solar projects, is reflected as noncontrolling interest in Dominion’s Consolidated Financial Statements. See Note 3 for further information on transactions with SunEdison.

The results of operations for interim periods are not necessarily indicative of the results expected for the full year. Information for quarterly periods is affected by seasonal variations in sales, rate changes, electric fuel and other energy-related purchases, purchased gas expenses and other factors.

Certain amounts in the Companies’ 2015 Consolidated Financial Statements and Notes have been reclassified to conform to the 2016 presentation for comparative purposes. The reclassifications did not affect the Companies’ net income, total assets, liabilities, equity or cash flows, except for the reclassification of debt issuance costs as discussed in Note 2 to the Companies’ Annual Report on Form 10-K for the year ended December 31, 2015.

Amounts disclosed for Dominion are inclusive of Virginia Power and/or Dominion Gas, where applicable.

Note 3. Acquisitions and Dispositions

Dominion

Proposed Acquisition of Questar

Pursuant to the terms of the Questar Combination announced in February 2016, upon closing, each share of Questar common stock issued and outstanding immediately prior to the closing will be converted automatically into the right to receive $25 in cash per share, or approximately $4.4 billion in total. In addition, Questar’s debt, which currently totals approximately $1.5 billion is expected to remain outstanding. Dominion entered into agreements with several of its lending banks pursuant to which they have unfunded financing commitments to provide a $3.9 billion acquisition facility. In connection with receipt of proceeds from Dominion’s issuance of common stock, the acquisition facility was reduced from $3.9 billion to $3.14 billion in

22

April 2016. See Note 14 for more information. Dominion intends to permanently finance the transaction in a manner that supports its existing credit ratings targets by issuing a combination of common stock, mandatory convertibles and debt at Dominion, and indirectly through the issuance of securities at Dominion Midstream, the proceeds of which will be applied to pay Dominion for certain assets of Questar, which are, subject to relevant approvals, expected to be contributed to Dominion Midstream.

The transaction requires approval of Questar’s shareholders and clearance from the Federal Trade Commission under the Hart-Scott-Rodino Act. In February 2016, the Federal Trade Commission granted antitrust approval of the Questar Combination under the Hart-Scott-Rodino Act. In March 2016, Questar and Dominion filed for review and approval, as required, from the Utah Public Service Commission and the Wyoming Public Service Commission, and provided information regarding the transaction to the Idaho Public Utilities Commission. The Questar Combination contains certain termination rights for both Dominion and Questar, and provides that, upon termination of the Questar Combination under specified circumstances, Dominion would be required to pay a termination fee of $154 million to Questar and Questar would be required to pay Dominion a termination fee of $99 million. Subject to receipt of Questar shareholder and any required regulatory approvals and meeting closing conditions, Dominion targets closing by the end of 2016.

Sale of Interest in Merchant Solar Projects

In September 2015, Dominion signed an agreement to sell a noncontrolling interest (consisting of 33% of the equity interests) in all of its then currently wholly-owned merchant solar projects, 24 solar projects totaling approximately 425 MW, to SunEdison. In December 2015, the sale of interest in 15 of the solar projects closed for $184 million with the sale of interest in the remaining projects completed in January 2016 for $117 million. Upon closing, SunEdison sold its interest in these projects to Terra Nova Renewable Partners. Terra Nova Renewable Partners has a future option to buy all or a portion of Dominion’s remaining 67% ownership in the projects upon the occurrence of certain events, none of which had occurred as of March 31, 2016 nor are expected to occur in the remainder of 2016.

Non-Wholly-Owned Merchant Solar Projects

Acquisitions of Four Brothers and Three Cedars

In June 2015, Dominion acquired 50% of the units in Four Brothers from SunEdison for $64 million of consideration, consisting of $2 million in cash and a $62 million payable. As of March 31, 2016, a $20 million payable is included in other current liabilities in Dominion’s Consolidated Balance Sheets. Four Brothers’ purpose is to develop and operate four solar projects located in Utah, which will produce and sell electricity and renewable energy credits. The projects are expected to cost approximately $730 million to construct, including the initial acquisition cost. Dominion is obligated to contribute $445 million of capital to fund the construction of the projects and has contributed $301 million through March 31, 2016. The facilities are expected to begin commercial operations by the end of the third quarter of 2016, with generating capacity of approximately 320 MW.

In September 2015, Dominion acquired 50% of the units in Three Cedars from SunEdison for $43 million of consideration, consisting of $6 million in cash and a $37 million payable. As of March 31, 2016, an $18 million payable is included in other current liabilities in Dominion’s Consolidated Balance Sheets. Three Cedars’ purpose is to develop and operate three solar projects located in Utah, which will produce and sell electricity and renewable energy credits. The projects are expected to cost approximately $425 million to construct. Dominion is obligated to contribute $276 million of capital to fund the construction of the projects and has contributed $144 million through March 31, 2016. The facilities are expected to begin commercial operations by the end of the third quarter of 2016, with generating capacity of approximately 210 MW.

Long-term power purchase, interconnection and operation and maintenance agreements have been executed for both Four Brothers and Three Cedars. Dominion expects to claim 99% of the federal investment tax credits on the projects.

Dominion owns 50% of the voting interests in Four Brothers and Three Cedars and has a controlling financial interest over the entities through its rights to control operations. The allocation of the $64 million purchase price for Four Brothers resulted in $89 million of property, plant and equipment and $25 million of noncontrolling interest. The allocation of the $43 million purchase price for Three Cedars resulted in $65 million of property, plant and equipment and $22 million of noncontrolling interest. The noncontrolling interest for each entity was measured at fair value using the discounted cash flow method, with the primary components of the valuation being future cash flows (both incoming and outgoing) and the discount rate. Dominion determined its discount rate based on the cost of capital a utility-scale investor would expect, as well as the cost of capital an individual project developer could achieve via a combination of non-recourse project financing and outside equity partners. The acquired assets of Four Brothers and Three Cedars are included in the Dominion Generation operating segment.

Four Brothers and Three Cedars entered into agreements with SunEdison to provide administrative and support services in connection with the construction of the projects, operation and maintenance of the facilities, and administrative and technical

23

management services of the solar facilities. Dominion has assumed certain of these agreements from SunEdison and will provide a majority of the administrative and support services as early as May 2016. In addition, Dominion has entered into contracts with SunEdison to provide services related to construction project management and oversight. Costs related to services to be provided under these agreements were immaterial for the three months ended March 31, 2016. Subsequent to Dominion’s acquisition of Four Brothers and Three Cedars through March 31, 2016, SunEdison made contributions to Four Brothers and Three Cedars of $197 million in aggregate, which are reflected as noncontrolling interests in Dominion’s Consolidated Balance Sheets.

In April 2016, SunEdison filed for Chapter 11 bankruptcy; however, this is not expected to have a material adverse effect on Dominion, Four Brothers or Three Cedars.

Acquisition of DCG

In January 2015, Dominion completed the acquisition of 100% of the equity interests of DCG from SCANA Corporation for $497 million in cash, as adjusted for working capital. DCG owns and operates nearly 1,500 miles of FERC-regulated interstate natural gas pipeline in South Carolina and southeastern Georgia. This acquisition supports Dominion’s natural gas expansion into the Southeast. The allocation of the purchase price resulted in $277 million of net property, plant and equipment, $250 million of goodwill, of which approximately $225 million is expected to be deductible for income tax purposes, and $38 million of regulatory liabilities. The goodwill reflects the value associated with enhancing Dominion’s regulated gas position, economic value attributable to future expansion projects as well as increased opportunities for synergies. The acquired assets of DCG are included in the Dominion Energy operating segment.

On March 24, 2015, DCG converted to a limited liability company under the laws of South Carolina and changed its name from Carolina Gas Transmission Corporation to DCG. On April 1, 2015, Dominion contributed 100% of the issued and outstanding membership interests of DCG to Dominion Midstream in exchange for total consideration of $501 million, as adjusted for working capital. Total consideration to Dominion consisted of the issuance of a two-year, $301 million senior unsecured promissory note payable by Dominion Midstream at an annual interest rate of 0.6%, and 5,112,139 common units, valued at $200 million, representing limited partner interests in Dominion Midstream. The number of units was based on the volume weighted average trading price of Dominion Midstream’s common units for the ten trading days prior to April 1, 2015, or $39.12 per unit. Since Dominion consolidates Dominion Midstream for financial reporting purposes, this transaction was eliminated upon consolidation and did not impact Dominion’s financial position or cash flows.

Dominion Gas

Assignments of Shale Development Rights

In December 2013, Dominion Gas closed an agreement with a natural gas producer to convey over time approximately 79,000 acres of Marcellus Shale development rights underneath one of its natural gas storage fields. The agreement provided for payments to Dominion Gas, subject to customary adjustments, of up to approximately $200 million over a period of nine years, and an overriding royalty interest in gas produced from the acreage. In March 2015, Dominion Gas and the natural gas producer closed on an amendment to the agreement, which included the immediate conveyance of approximately 9,000 acres of Marcellus Shale development rights and a two year extension of the term of the original agreement. The conveyance of development rights resulted in the recognition of $43 million ($27 million after-tax) of previously deferred revenue to operations and maintenance expense in Dominion Gas’ Consolidated Statements of Income. At March 31, 2016, deferred revenue totaled $36 million. In April 2016, Dominion Gas and the natural gas producer closed on an amendment to the agreement, which included the immediate conveyance of a 32% partial interest in the remaining approximately 70,000 acres. This conveyance will result in the recognition of the remaining $36 million ($22 million after-tax) of previously deferred revenue to operations and maintenance expense in Dominion Gas’ Consolidated Statements of Income.

In March 2015, Dominion Gas conveyed to a natural gas producer approximately 11,000 acres of Marcellus Shale development rights underneath one of its natural gas storage fields and received proceeds of $27 million and an overriding royalty interest in gas produced from the acreage. This transaction resulted in a $27 million ($16 million after-tax) gain, included in other operations and maintenance expense in Dominion Gas’ Consolidated Statements of Income.

In November 2014, Dominion Gas closed on an agreement with a natural gas producer to convey over time approximately 24,000 acres of Marcellus Shale development rights underneath one of its natural gas storage fields. In connection with that agreement, in January 2016, Dominion Gas conveyed approximately 2,000 acres of Marcellus Shale development rights and received proceeds of $5 million and an overriding royalty interest in gas produced from the acreage. This transaction resulted in a $5 million ($3 million after-tax) gain, included in other operations and maintenance expense in Dominion Gas’ Consolidated Statements of Income.

24

Note 4. Operating Revenue

The Companies’ operating revenue consists of the following:

	Three Months Ended March 31,
	2016		2015
(millions)
Dominion
Electric sales:
Regulated	$	1,842	$	2,112
Nonregulated		389		406
Gas sales:
Regulated		65		116
Nonregulated		118		208
Gas transportation and storage		415		471
Other		92		96
Total operating revenue	$	2,921	$	3,409
Virginia Power
Regulated electric sales	$	1,842	$	2,112
Other		48		25
Total operating revenue	$	1,890	$	2,137
Dominion Gas
Gas sales:
Regulated	$	29	$	57
Nonregulated		1		3
Gas transportation and storage		351		412
NGL revenue		17		29
Other		33		30
Total operating revenue	$	431	$	531

Note 5. Income Taxes

For continuing operations, including noncontrolling interests, the statutory U.S. federal income tax rate reconciles to the Companies’ effective income tax rate as follows:

	Dominion						Virginia Power						Dominion Gas
Three Months Ended March 31,	2016			2015			2016			2015			2016			2015
U.S. statutory rate		35.0	%		35.0	%		35.0	%		35.0	%		35.0	%		35.0	%
Increases (reductions) resulting from:
State taxes, net of federal benefit		4.3			2.9			4.2			3.8			3.9			4.0
Investment tax credits		(10.9	)		(0.8	)		(1.3	)		—			—			—
Production tax credits		(0.8	)		(0.8	)		(0.6	)		(0.4	)		—			—
Other, net		(2.4	)		(0.6	)		(0.6	)		(0.7	)		(0.1	)		(0.1	)
Effective tax rate		25.2	%		35.7	%		36.7	%		37.7	%		38.8	%		38.9	%

As of March 31, 2016, there have been no material changes in the Companies’ unrecognized tax benefits or possible changes that could reasonably be expected to occur during the next twelve months. See Note 5 to the Consolidated Financial Statements in the Companies’ Annual Report on Form 10-K for the year ended December 31, 2015 for a discussion of these unrecognized tax benefits.

25

Note 6. Earnings Per Share

The following table presents the calculation of Dominion’s basic and diluted EPS:

	Three Months Ended March 31,
	2016		2015
(millions, except EPS)
Net income attributable to Dominion	$	524	$	536
Average shares of common stock outstanding – Basic		596.6		587.9
Net effect of dilutive securities(1)		1.6		2.0
Average shares of common stock outstanding – Diluted		598.2		589.9
Earnings Per Common Share – Basic and Diluted	$	0.88	$	0.91

(1) Dilutive securities consist primarily of the 2013 Equity Units. See Note 14 in this report and Note 17 to the Consolidated Financial Statements in the Companies’ Annual Report on Form 10-K for the year ended December 31, 2015 for more information.

The 2014 Equity Units are potentially dilutive securities but were excluded from the calculation of diluted EPS for the three months ended March 31, 2016 and 2015, as the dilutive stock price threshold was not met.

Note 7. Accumulated Other Comprehensive Income

Dominion

The following table presents Dominion’s changes in AOCI by component, net of tax:

	Deferred Gains and Losses on Derivatives- Hedging Activities			Unrealized Gains and Losses on Investment      Securities			Unrecognized Pension and Other Postretirement Benefit Costs			Other Comprehensive Income (Loss) From Equity Method Investee			Total
(millions)
Three Months Ended March 31, 2016
Beginning balance	$	(176	)	$	504		$	(797	)	$	(5	)	$	(474	)
Other comprehensive income before reclassifications: gains (losses)		53			15			—			—			68
Amounts reclassified from AOCI(1): (gains) losses		(63	)		(2	)		8			—			(57	)
Net current-period other comprehensive income (loss)		(10	)		13			8			—			11
Ending balance	$	(186	)	$	517		$	(789	)	$	(5	)	$	(463	)
Three Months Ended March 31, 2015
Beginning balance	$	(178	)	$	548		$	(782	)	$	(4	)	$	(416	)
Other comprehensive income before reclassifications: gains (losses)		(58	)		15			—			(1	)		(44	)
Amounts reclassified from AOCI(1): (gains) losses		59			(21	)		13			—			51
Net current-period other comprehensive income (loss)		1			(6	)		13			(1	)		7
Ending balance	$	(177	)	$	542		$	(769	)	$	(5	)	$	(409	)

(1) See table below for details about these reclassifications.

The following table presents Dominion’s reclassifications out of AOCI by component:

Details About AOCI Components	Amounts Reclassified From AOCI			Affected Line Item in the Consolidated Statements of Income
(millions)
Three Months Ended March 31, 2016
Deferred (gains) and losses on derivatives-hedging activities:
Commodity contracts	$	(114	)	Operating revenue
		6		Purchased gas
		3		Electric fuel and other energy-related purchases
Interest rate contracts		3		Interest and related charges
		(102	)
Tax		39		Income tax expense
	$	(63	)

26

Details About AOCI Components	Amounts Reclassified From AOCI			Affected Line Item in the Consolidated Statements of Income
(millions)
Unrealized (gains) and losses on investment securities:
Realized (gain) loss on sale of securities	$	(10	)	Other income
Impairment		7		Other income
		(3	)
Tax		1		Income tax expense
	$	(2	)
Unrecognized pension and other postretirement benefit costs:
Prior service (credit) costs	$	(3	)	Other operations and maintenance
Actuarial (gains) losses		17		Other operations and maintenance
		14
Tax		(6	)	Income tax expense
	$	8
Three Months Ended March 31, 2015
Deferred (gains) and losses on derivatives-hedging activities:
Commodity contracts	$	92		Operating revenue
		5		Purchased gas
		(1	)	Electric fuel and other energy-related purchases
Interest rate contracts		2		Interest and related charges
		98
Tax		(39	)	Income tax expense
	$	59
Unrealized (gains) and losses on investment securities:
Realized (gain) loss on sale of securities	$	(39	)	Other income
Impairment		6		Other income
		(33	)
Tax		12		Income tax expense
	$	(21	)
Unrecognized pension and other postretirement benefit costs:
Prior service (credit) costs	$	(3	)	Other operations and maintenance
Actuarial (gains) losses		25		Other operations and maintenance
		22
Tax		(9	)	Income tax expense
	$	13

27

Dominion Gas

The following table presents Dominion Gas’ changes in AOCI by component, net of tax:

	Deferred Gains and Losses on Derivatives- Hedging Activities			Unrecognized Pension and Other Postretirement Benefit Costs			Total
(millions)
Three Months Ended March 31, 2016
Beginning balance	$	(17	)	$	(82	)	$	(99	)
Other comprehensive income before reclassifications: gains (losses)		(6	)		—			(6	)
Amounts reclassified from AOCI(1): (gains) losses		(2	)		—			(2	)
Net current-period other comprehensive loss		(8	)		—			(8	)
Ending balance	$	(25	)	$	(82	)	$	(107	)
Three Months Ended March 31, 2015
Beginning balance	$	(20	)	$	(66	)	$	(86	)
Other comprehensive income before reclassifications: gains (losses)		(4	)		—			(4	)
Amounts reclassified from AOCI(1): (gains) losses		—			1			1
Net current-period other comprehensive income (loss)		(4	)		1			(3	)
Ending balance	$	(24	)	$	(65	)	$	(89	)

(1) See table below for details about these reclassifications.

The following table presents Dominion Gas’ reclassifications out of AOCI by component:

Details About AOCI Components	Amounts Reclassified From AOCI			Affected Line Item in the Consolidated Statements of Income
(millions)
Three Months Ended March 31, 2016
Deferred (gains) and losses on derivatives-hedging activities:
Commodity contracts	$	(4	)	Operating revenue
		(4	)
Tax		2		Income tax expense
	$	(2	)
Unrecognized pension and other postretirement benefit costs:
Actuarial (gains) losses	$	1		Other operations and maintenance
		1
Tax		(1	)	Income tax expense
	$	—
Three Months Ended March 31, 2015
Unrecognized pension and other postretirement benefit costs:
Actuarial (gains) losses	$	2		Other operations and maintenance
		2
Tax		(1	)	Income tax expense
	$	1

Note 8. Fair Value Measurements

The Companies’ fair value measurements are made in accordance with the policies discussed in Note 6 to the Consolidated Financial Statements in the Companies’ Annual Report on Form 10-K for the year ended December 31, 2015. See Note 9 in this report for further information about the Companies’ derivatives and hedge accounting activities.

28

The Companies enter into certain physical and financial forwards, futures, options and swaps, which are considered Level 3 as they have one or more inputs that are not observable and are significant to the valuation. The discounted cash flow method is used to value Level 3 physical and financial forwards and futures contracts. An option model is used to value Level 3 physical and financial options. The discounted cash flow model for forwards and futures calculates mark-to-market valuations based on forward market prices, original transaction prices, volumes, risk-free rate of return, and credit spreads. The option model calculates mark-to-market valuations using variations of the Black-Scholes option model. The inputs into the models are the forward market prices, implied price volatilities, risk-free rate of return, the option expiration dates, the option strike prices, the original sales prices, and volumes. For Level 3 fair value measurements, forward market prices, credit spreads and implied price volatilities are considered unobservable. The unobservable inputs are developed and substantiated using historical information, available market data, third-party data, and statistical analysis. Periodically, inputs to valuation models are reviewed and revised as needed, based on historical information, updated market data, market liquidity and relationships, and changes in third-party pricing sources.

The following table presents Dominion’s quantitative information about Level 3 fair value measurements at March 31, 2016. The range and weighted average are presented in dollars for market price inputs and percentages for credit spreads and price volatility.

	Fair Value (millions)		Valuation Techniques	Unobservable Input	Range			Weighted Average(1)
Assets
Physical and financial forwards and futures:
Natural gas(2)	$	115	Discounted cash flow	Market price (per Dth) (3)		(2) - 6			—
				Credit spread (4)		1% - 7	%		3	%
FTRs		4	Discounted cash flow	Market price (per MWh) (3)		(5) - 7			1
Physical and financial options:
Natural gas		5	Option model	Market price (per Dth) (3)		1 - 6			3
				Price volatility (5)		18% - 59	%		22	%
Total assets	$	124
Liabilities
Physical and financial forwards and futures:
Natural gas(2)	$	7	Discounted cash flow	Market price (per Dth) (3)		(1) - 3			2
FTRs		6	Discounted cash flow	Market price (per MWh) (3)		(3) - 5			1
Physical and financial options:
Natural gas		2	Option model	Market price (per Dth) (3)		1 - 4			2
				Price volatility (5)		26% - 59	%		38	%
Total liabilities	$	15

(1) Averages weighted by volume.

(2) Includes basis.

(3) Represents market prices beyond defined terms for Levels 1 and 2.

(4) Represents credit spreads unrepresented in published markets.

(5) Represents volatilities unrepresented in published markets.

29

Sensitivity of the fair value measurements to changes in the significant unobservable inputs is as follows:

Significant Unobservable Inputs	Position	Change to Input	Impact on Fair Value Measurement
Market price	Buy	Increase (decrease)	Gain (loss)
Market price	Sell	Increase (decrease)	Loss (gain)
Price volatility	Buy	Increase (decrease)	Gain (loss)
Price volatility	Sell	Increase (decrease)	Loss (gain)
Credit spread	Asset	Increase (decrease)	Loss (gain)

Recurring Fair Value Measurements

Dominion

The following table presents Dominion’s assets and liabilities that are measured at fair value on a recurring basis for each hierarchy level, including both current and noncurrent portions:

	Level 1		Level 2		Level 3		Total
(millions)
At March 31, 2016
Assets
Derivatives:
Commodity	$	1	$	245	$	124	$	370
Interest rate		—		31		—		31
Investments(1):
Equity securities:
U.S.:
Large cap		2,571		—		—		2,571
Other		5		—		—		5
REIT		67		—		—		67
Non-U.S.:
Large cap		9		—		—		9
Fixed income:
Corporate debt instruments		—		464		—		464
U.S. Treasury securities and agency debentures		451		219		—		670
State and municipal		—		372		—		372
Other		—		99		—		99
Cash equivalents and other		6		1		—		7
Total assets	$	3,110	$	1,431	$	124	$	4,665
Liabilities
Derivatives:
Commodity	$	—	$	124	$	15	$	139
Interest rate		—		291		—		291
Total liabilities	$	—	$	415	$	15	$	430
At December 31, 2015
Assets
Derivatives:
Commodity	$	1	$	249	$	114	$	364
Interest rate		—		24		—		24

30

	Level 1		Level 2		Level 3		Total
Investments(1):
Equity securities:
U.S.:
Large cap		2,547		—		—		2,547
Other		5		—		—		5
REIT		63		—		—		63
Non-U.S.:
Large cap		10		—		—		10
Fixed income:
Corporate debt instruments		—		437		—		437
U.S. Treasury securities and agency debentures		458		201		—		659
State and municipal		—		376		—		376
Other		—		100		—		100
Cash equivalents and other		2		2		—		4
Total assets	$	3,086	$	1,389	$	114	$	4,589
Liabilities
Derivatives:
Commodity	$	—	$	141	$	19	$	160
Interest rate		—		183		—		183
Total liabilities	$	—	$	324	$	19	$	343

(1) Includes investments held in the nuclear decommissioning and rabbi trusts.

The following table presents the net change in Dominion’s assets and liabilities measured at fair value on a recurring basis and included in the Level 3 fair value category:

	Three Months Ended March 31,
	2016			2015
(millions)
Beginning balance	$	95		$	107
Total realized and unrealized gains (losses):
Included in earnings		(7	)		15
Included in other comprehensive income (loss)		3			(11	)
Included in regulatory assets/liabilities		17			(24	)
Settlements		8			(14	)
Transfers out of Level 3		(7	)		3
Ending balance	$	109		$	76

The following table presents Dominion’s classification of gains and losses included in earnings in the Level 3 fair value category. There were no unrealized gains or losses included in earnings in the Level 3 fair value category relating to assets/liabilities still held at the reporting date for the three months ended March 31, 2016 and 2015.

	Operating Revenue		Electric Fuel and Other Energy- Related Purchases			Total
(millions)
Three Months Ended March 31, 2016
Total gains (losses) included in earnings	$	—	$	(7	)	$	(7	)
Three Months Ended March 31, 2015
Total gains (losses) included in earnings		2		13			15

31

Virginia Power

The following table presents Virginia Power’s quantitative information about Level 3 fair value measurements at March 31, 2016. The range and weighted average are presented in dollars for market price inputs and percentages for credit spreads and price volatility.

	Fair Value (millions)		Valuation Techniques	Unobservable Input	Range			Weighted Average(1)
Assets
Physical and financial forwards and futures:
FTRs	$	4	Discounted cash flow	Market price (per MWh) (3)		(5) - 7			1
Natural gas(2)		111	Discounted cash flow	Market price (per Dth) (3)		(2) - 6			—
				Credit spread (4)		1% - 7	%		3	%
Physical and financial options:
Natural gas		1	Option model	Market price (per Dth) (3)		2 - 6			3
				Price volatility (5)		18% - 29	%		21	%
Total assets	$	116
Liabilities
Physical and financial forwards and futures:
FTRs	$	6	Discounted cash flow	Market price (per MWh) (3)		(3) - 5			1
Total liabilities	$	6

(1) Averages weighted by volume.

(2) Includes basis.

(3) Represents market prices beyond defined terms for Levels 1 and 2.

(4) Represents credit spreads unrepresented in published markets.

(5) Represents volatilities unrepresented in published markets.

Sensitivity of the fair value measurements to changes in the significant unobservable inputs is as follows:

Significant Unobservable Inputs	Position	Change to Input	Impact on Fair Value Measurement
Market price	Buy	Increase (decrease)	Gain (loss)
Market price	Sell	Increase (decrease)	Loss (gain)
Credit spread	Asset	Increase (decrease)	Loss (gain)
Price volatility	Buy	Increase (decrease)	Gain (loss)
Price volatility	Sell	Increase (decrease)	Loss (gain)

The following table presents Virginia Power’s assets and liabilities that are measured at fair value on a recurring basis for each hierarchy level, including both current and noncurrent portions:

32

	Level 1		Level 2		Level 3		Total
(millions)
At March 31, 2016
Assets
Derivatives:
Commodity	$	—	$	14	$	116	$	130
Interest rate		—		8		—		8
Investments(1):
Equity securities:
U.S. large cap		1,113		—		—		1,113
REIT		67		—		—		67
Fixed income:
Corporate debt instruments		—		250		—		250
U.S. Treasury securities and agency debentures		164		99		—		263
State and municipal		—		173		—		173
Other		—		46		—		46
Total assets	$	1,344	$	590	$	116	$	2,050
Liabilities
Derivatives:
Commodity	$	—	$	24	$	6	$	30
Interest rate		—		144		—		144
Total liabilities	$	—	$	168	$	6	$	174
At December 31, 2015
Assets
Derivatives:
Commodity	$	—	$	13	$	101	$	114
Interest rate		—		13		—		13
Investments(1):
Equity securities:
U.S. large cap		1,100		—		—		1,100
REIT		63		—		—		63
Fixed income:
Corporate debt instruments		—		238		—		238
U.S. Treasury securities and agency debentures		180		79		—		259
State and municipal		—		175		—		175
Other		—		34		—		34
Total assets	$	1,343	$	552	$	101	$	1,996
Liabilities
Derivatives:
Commodity	$	—	$	19	$	8	$	27
Interest rate		—		59		—		59
Total liabilities	$	—	$	78	$	8	$	86

(1) Includes investments held in the nuclear decommissioning and rabbi trusts.

33

The following table presents the net change in Virginia Power’s assets and liabilities measured at fair value on a recurring basis and included in the Level 3 fair value category:

	Three Months Ended March 31,
	2016			2015
(millions)
Beginning balance	$	93		$	102
Total realized and unrealized gains (losses):
Included in earnings		(8	)		14
Included in regulatory assets/liabilities		17			(24	)
Settlements		8			(14	)
Ending balance	$	110		$	78

The gains and losses included in earnings in the Level 3 fair value category were classified in electric fuel and other energy-related purchases in Virginia Power’s Consolidated Statements of Income for the three months ended March 31, 2016 and 2015. There were no unrealized gains or losses included in earnings in the Level 3 fair value category relating to assets/liabilities still held at the reporting date for the three months ended March 31, 2016 and 2015.

Dominion Gas

The following table presents Dominion Gas’ assets and liabilities for derivatives that are measured at fair value on a recurring basis for each hierarchy level, including both current and noncurrent portions:

	Level 1		Level 2		Level 3		Total
(millions)
At March 31, 2016
Assets
Commodity	$	—	$	6	$	—	$	6
Total Assets	$	—	$	6	$	—	$	6
Liabilities
Interest rate	$	—	$	23	$	—	$	23
Total liabilities	$	—	$	23	$	—	$	23
At December 31, 2015
Assets
Commodity	$	—	$	5	$	6	$	11
Total Assets	$	—	$	5	$	6	$	11
Liabilities
Interest rate	$	—	$	14	$	—	$	14
Total liabilities	$	—	$	14	$	—	$	14

The following table presents the net change in Dominion Gas’ assets and liabilities for derivatives measured at fair value on a recurring basis and included in the Level 3 fair value category:

	Three Months Ended March 31,
	2016			2015
(millions)
Beginning balance	$	6		$	2
Total realized and unrealized gains (losses):
Included in earnings		—			1
Included in other comprehensive income (loss)		2			(11	)
Settlements		—			(1	)
Transfers out of Level 3		(8	)		9
Ending balance	$	—		$	—

34

The gains and losses included in earnings in the Level 3 fair value category were classified in operating revenue in Dominion Gas’ Consolidated Statements of Income for the three months ended March 31, 2016 and 2015. There were no unrealized gains or losses included in earnings in the Level 3 fair value category relating to assets/liabilities still held at the reporting date for the three months ended March 31, 2016 and 2015.

Fair Value of Financial Instruments

Substantially all of the Companies’ financial instruments are recorded at fair value, with the exception of the instruments described below, which are reported at historical cost. Estimated fair values have been determined using available market information and valuation methodologies considered appropriate by management. The carrying amount of cash and cash equivalents, restricted cash (which is recorded in other current assets), customer and other receivables, short-term debt, affiliated current borrowings, payables to affiliates and accounts payable are representative of fair value because of the short-term nature of these instruments. For the Companies’ financial instruments that are not recorded at fair value, the carrying amounts and estimated fair values are as follows:

	March 31, 2016				December 31, 2015
	Carrying       Amount		Estimated Fair Value(1)		Carrying       Amount		Estimated Fair Value(1)
(millions)
Dominion
Long-term debt, including securities due within one year(2)	$	22,581	$	24,443	$	21,873	$	23,210
Junior subordinated notes(3)		1,849		1,696		1,340		1,192
Remarketable subordinated notes(3)		1,530		1,647		2,080		2,129
Virginia Power
Long-term debt, including securities due within one year(3)	$	9,663	$	11,020	$	9,368	$	10,400
Dominion Gas
Long-term debt, including securities due within one year(3)	$	3,271	$	3,375	$	3,269	$	3,299

(1) Fair value is estimated using market prices, where available, and interest rates currently available for issuance of debt with similar terms and remaining maturities. All fair value measurements are classified as Level 2. The carrying amount of debt issues with short-term maturities and variable rates refinanced at current market rates is a reasonable estimate of their fair value.

(2) Carrying amount includes amounts which represent the unamortized debt issuance costs, discount and/or premium. At March 31, 2016 and December 31, 2015, includes the valuation of certain fair value hedges associated with fixed rate debt of $19 million and $7 million, respectively.

(3) Carrying amount includes amounts which represent the unamortized debt issuance costs, discount and/or premium.

Note 9. Derivatives and Hedge Accounting Activities

The Companies’ accounting policies and objectives and strategies for using derivative instruments are discussed in Note 2 to the Consolidated Financial Statements in the Companies’ Annual Report on Form 10-K for the year ended December 31, 2015. See Note 8 in this report for further information about fair value measurements and associated valuation methods for derivatives.

Derivative assets and liabilities are presented gross on the Companies’ Consolidated Balance Sheets. Dominion’s derivative contracts include both over-the-counter transactions and those that are executed on an exchange or other trading platform (exchange contracts) and centrally cleared. Dominion Gas’ and Virginia Power’s derivative contracts consist of over-the-counter transactions. Over-the-counter contracts are bilateral contracts that are transacted directly with a counterparty. Exchange contracts utilize a financial intermediary, exchange, or clearinghouse to enter, execute, or clear the transactions. Certain over-the-counter and exchange contracts contain contractual rights of setoff through master netting arrangements, derivative clearing agreements, and contract default provisions. In addition, the contracts are subject to conditional rights of setoff through counterparty nonperformance, insolvency, or other conditions.

In general, most over-the-counter transactions and all exchange contracts are subject to collateral requirements. Types of collateral for over-the-counter and exchange contracts include cash, letters of credit, and in some cases other forms of security, none of which are subject to restrictions. Cash collateral is used in the table below to offset derivative assets and liabilities. Certain accounts receivable and accounts payable recognized on the Companies’ Consolidated Balance Sheets, as well as letters of credit and other forms of security, all of which are not included in the tables below, are subject to offset under master netting or similar arrangements and would reduce the net exposure.

35

Dominion

Balance Sheet Presentation

The tables below present Dominion’s derivative asset and liability balances by type of financial instrument, before and after the effects of offsetting:

	March 31, 2016						December 31, 2015
	Gross Amounts of Recognized Assets		Gross Amounts Offset in the Consolidated Balance Sheet		Net Amounts of Assets Presented in the Consolidated Balance Sheet		Gross Amounts of Recognized Assets		Gross Amounts Offset in the Consolidated Balance Sheet		Net Amounts of Assets Presented in the Consolidated Balance Sheet
(millions)
Interest rate contracts:
Over-the-counter	$	31	$	—	$	31	$	24	$	—	$	24
Commodity contracts:
Over-the-counter		244		—		244		217		—		217
Exchange		119		—		119		138		—		138
Total derivatives, subject to a master netting or similar arrangement		394		—		394		379		—		379
Total derivatives, not subject to a master netting or similar arrangement		7		—		7		9		—		9
Total	$	401	$	—	$	401	$	388	$	—	$	388

			March 31, 2016								December 31, 2015
			Gross Amounts Not Offset in the Consolidated Balance Sheet								Gross Amounts Not Offset in the Consolidated Balance Sheet
	Net Amounts of Assets Presented in the Consolidated Balance Sheet		Financial Instruments		Cash Collateral Received		Net Amounts		Net Amounts of Assets Presented in the Consolidated Balance Sheet		Financial Instruments		Cash Collateral Received		Net Amounts
(millions)
Interest rate contracts:
Over-the-counter	$	31	$	19	$	—	$	12	$	24	$	22	$	—	$	2
Commodity contracts:
Over-the-counter		244		20		—		224		217		37		—		180
Exchange		119		84		—		35		138		82		—		56
Total	$	394	$	123	$	—	$	271	$	379	$	141	$	—	$	238

36

	March 31, 2016						December 31, 2015
	Gross Amounts of Recognized Liabilities		Gross Amounts Offset in the Consolidated Balance Sheet		Net Amounts of Liabilities Presented in the Consolidated Balance Sheet		Gross Amounts of Recognized Liabilities		Gross Amounts Offset in the Consolidated Balance Sheet		Net Amounts of Liabilities Presented in the Consolidated Balance Sheet
(millions)
Interest rate contracts:
Over-the-counter	$	291	$	—	$	291	$	183	$	—	$	183
Commodity contracts:
Over-the-counter		48		—		48		70		—		70
Exchange		84		—		84		82		—		82
Total derivatives, subject to a master netting or similar arrangement		423		—		423		335		—		335
Total derivatives, not subject to a master netting or similar arrangement		7		—		7		8		—		8
Total	$	430	$	—	$	430	$	343	$	—	$	343

			March 31, 2016								December 31, 2015
			Gross Amounts Not Offset in the Consolidated Balance Sheet								Gross Amounts Not Offset in the Consolidated Balance Sheet
	Net Amounts of Liabilities Presented in the Consolidated Balance Sheet		Financial Instruments		Cash Collateral Paid		Net Amounts		Net Amounts of Liabilities Presented in the Consolidated Balance Sheet		Financial Instruments		Cash Collateral Paid		Net Amounts
(millions)
Interest rate contracts:
Over-the-counter	$	291	$	19	$	—	$	272	$	183	$	22	$	—	$	161
Commodity contracts:
Over-the-counter		48		20		—		28		70		37		—		33
Exchange		84		84		—		—		82		82		—		—
Total	$	423	$	123	$	—	$	300	$	335	$	141	$	—	$	194

Volumes

The following table presents the volume of Dominion’s derivative activity at March 31, 2016. These volumes are based on open derivative positions and represent the combined absolute value of their long and short positions, except in the case of offsetting transactions, for which they represent the absolute value of the net volume of their long and short positions.

	Current		Noncurrent
Natural Gas (bcf):
Fixed price(1)		99		29
Basis		229		591
Electricity (MWh):
Fixed price		13,212,481		1,940,000
FTRs		14,308,210		—
Capacity (MW)		3,050		—
Liquids (Gal)(2)		76,692,000		—
Interest rate	$	2,200,000,000	$	3,100,000,000

(1) Includes options.

(2) Includes NGLs and oil.

37

Ineffectiveness and AOCI

For the three months ended March 31, 2016 and 2015, gains or losses on hedging instruments determined to be ineffective and amounts excluded from the assessment of effectiveness were not material. Amounts excluded from the assessment of effectiveness include gains or losses attributable to changes in the time value of options and changes in the differences between spot prices and forward prices.

The following table presents selected information related to gains (losses) on cash flow hedges included in AOCI in Dominion’s Consolidated Balance Sheet at March 31, 2016:

	AOCI After-Tax			Amounts Expected to be Reclassified to Earnings During the Next 12 Months After-Tax			Maximum Term
(millions)
Commodities:
Gas	$	(7	)	$	(7	)		24 months
Electricity		120			119			21 months
Other		4			4			12 months
Interest rate		(303	)		(15	)		384 months
Total	$	(186	)	$	101

The amounts that will be reclassified from AOCI to earnings will generally be offset by the recognition of the hedged transactions (e.g., anticipated sales) in earnings, thereby achieving the realization of prices contemplated by the underlying risk management strategies and will vary from the expected amounts presented above as a result of changes in market prices and interest rates.

38

Fair Value and Gains and Losses on Derivative Instruments

The following table presents the fair values of Dominion’s derivatives and where they are presented in its Consolidated Balance Sheets:

	Fair Value – Derivatives under Hedge Accounting		Fair Value – Derivatives not under Hedge Accounting		Total Fair Value
(millions)
At March 31, 2016
ASSETS
Current Assets
Commodity	$	96	$	148	$	244
Interest rate		16		—		16
Total current derivative assets(1)		112		148		260
Noncurrent Assets
Commodity		3		123		126
Interest rate		15		—		15
Total noncurrent derivative assets(2)		18		123		141
Total derivative assets	$	130	$	271	$	401
LIABILITIES
Current Liabilities
Commodity	$	26	$	96	$	122
Interest rate		148		—		148
Total current derivative liabilities(3)		174		96		270
Noncurrent Liabilities
Commodity		1		16		17
Interest Rate		143		—		143
Total noncurrent derivative liabilities(4)		144		16		160
Total derivative liabilities	$	318	$	112	$	430
At December 31, 2015
ASSETS
Current Assets
Commodity	$	101	$	151	$	252
Interest rate		3		—		3
Total current derivative assets(1)		104		151		255
Noncurrent Assets
Commodity		3		109		112
Interest rate		21		—		21
Total noncurrent derivative assets(2)		24		109		133
Total derivative assets	$	128	$	260	$	388
LIABILITIES
Current Liabilities
Commodity	$	32	$	116	$	148
Interest rate		164		—		164
Total current derivative liabilities(3)		196		116		312
Noncurrent Liabilities
Commodity		—		12		12
Interest rate		19		—		19
Total noncurrent derivative liabilities(4)		19		12		31
Total derivative liabilities	$	215	$	128	$	343

39

(1) Current derivative assets are presented in other current assets in Dominion’s Consolidated Balance Sheets.

(2) Noncurrent derivative assets are presented in other deferred charges and other assets in Dominion’s Consolidated Balance Sheets.

(3) Current derivative liabilities are presented in other current liabilities in Dominion’s Consolidated Balance Sheets.

(4) Noncurrent derivative liabilities are presented in other deferred credits and other liabilities in Dominion’s Consolidated Balance Sheets.

The following tables present the gains and losses on Dominion’s derivatives, as well as where the associated activity is presented in its Consolidated Balance Sheets and Statements of Income:

Derivatives in Cash Flow Hedging Relationships	Amount of Gain (Loss) Recognized in AOCI on Derivatives (Effective Portion) (1)			Amount of Gain (Loss) Reclassified From AOCI to Income			Increase (Decrease) in Derivatives Subject to Regulatory Treatment(2)
(millions)
Three Months Ended March 31, 2016
Derivative type and location of gains (losses):
Commodity:
Operating revenue				$	114
Purchased gas					(6	)
Electric fuel and other energy-related purchases					(3	)
Total commodity	$	173		$	105		$	—
Interest rate(3)		(87	)		(3	)		(133	)
Total	$	86		$	102		$	(133	)
Three Months Ended March 31, 2015
Derivative type and location of gains (losses):
Commodity:
Operating revenue				$	(92	)
Purchased gas					(5	)
Electric fuel and other energy-related purchases					1
Total commodity	$	(41	)	$	(96	)	$	3
Interest rate(3)		(58	)		(2	)		(49	)
Total	$	(99	)	$	(98	)	$	(46	)

(1) Amounts deferred into AOCI have no associated effect in Dominion’s Consolidated Statements of Income.

(2) Represents net derivative activity deferred into and amortized out of regulatory assets/liabilities. Amounts deferred into regulatory assets/liabilities have no associated effect in Dominion’s Consolidated Statements of Income.

(3) Amounts recorded in Dominion’s Consolidated Statements of Income are classified in interest and related charges.

	Amount of Gain (Loss) Recognized in Income on Derivatives(1)
	Three Months Ended March 31,
Derivatives Not Designated as Hedging Instruments	2016			2015
(millions)
Derivative type and location of gains (losses):
Commodity:
Operating revenue	$	2		$	3
Purchased gas		—			(2	)
Electric fuel and other energy-related purchases		(23	)		6
Total	$	(21	)	$	7

(1) Includes derivative activity amortized out of regulatory assets/liabilities. Amounts deferred into regulatory assets/liabilities have no associated effect in Dominion’s Consolidated Statements of Income.

40

Virginia Power

Balance Sheet Presentation

The tables below present Virginia Power’s derivative asset and liability balances by type of financial instrument, before and after the effects of offsetting:

	March 31, 2016						December 31, 2015
	Gross Amounts of Recognized Assets		Gross Amounts Offset in the Consolidated Balance Sheet		Net Amounts of Assets Presented in the Consolidated Balance Sheet		Gross Amounts of Recognized Assets		Gross Amounts Offset in the Consolidated Balance Sheet		Net Amounts of Assets Presented in the Consolidated Balance Sheet
(millions)
Interest rate contracts:
Over-the-counter	$	8	$	—	$	8	$	13	$	—	$	13
Commodity contracts:
Over-the-counter		115		—		115		101		—		101
Total derivatives, subject to a master netting or similar arrangement		123		—		123		114		—		114
Total derivatives, not subject to a master netting or similar arrangement		15		—		15		13		—		13
Total	$	138	$	—	$	138	$	127	$	—	$	127

			March 31, 2016								December 31, 2015
			Gross Amounts Not Offset in the Consolidated Balance Sheet								Gross Amounts Not Offset in the Consolidated Balance Sheet
	Net Amounts of Assets Presented in the Consolidated Balance Sheet		Financial Instruments		Cash Collateral Received		Net Amounts		Net Amounts of Assets Presented in the Consolidated Balance Sheet		Financial Instruments		Cash Collateral Received		Net Amounts
(millions)
Interest rate contracts:
Over-the-counter	$	8	$	3	$	—	$	5	$	13	$	10	$	—	$	3
Commodity contracts:
Over-the-counter		115		4		—		111		101		3		—		98
Total	$	123	$	7	$	—	$	116	$	114	$	13	$	—	$	101

	March 31, 2016						December 31, 2015
	Gross Amounts of Recognized Liabilities		Gross Amounts Offset in the Consolidated Balance Sheet		Net Amounts of Liabilities Presented in the Consolidated Balance Sheet		Gross Amounts of Recognized Liabilities		Gross Amounts Offset in the Consolidated Balance Sheet		Net Amounts of Liabilities Presented in the Consolidated Balance Sheet
(millions)
Interest rate contracts:
Over-the-counter	$	144	$	—	$	144	$	59	$	—	$	59
Commodity contracts:
Over-the-counter		15		—		15		5		—		5
Total derivatives, subject to a master netting or similar arrangement		159		—		159		64		—		64
Total derivatives, not subject to a master netting or similar arrangement		15		—		15		22		—		22
Total	$	174	$	—	$	174	$	86	$	—	$	86

41

			March 31, 2016								December 31, 2015
			Gross Amounts Not Offset in the Consolidated Balance Sheet								Gross Amounts Not Offset in the Consolidated Balance Sheet
	Net Amounts of Liabilities Presented in the Consolidated Balance Sheet		Financial Instruments		Cash Collateral Paid		Net Amounts		Net Amounts of Liabilities Presented in the Consolidated Balance Sheet		Financial Instruments		Cash Collateral Paid		Net Amounts
(millions)
Interest rate contracts:
Over-the-counter	$	144	$	3	$	—	$	141	$	59	$	10	$	—	$	49
Commodity contracts:
Over-the-counter		15		4		—		11		5		3		—		2
Total	$	159	$	7	$	—	$	152	$	64	$	13	$	—	$	51

Volumes

The following table presents the volume of Virginia Power’s derivative activity at March 31, 2016. These volumes are based on open derivative positions and represent the combined absolute value of their long and short positions, except in the case of offsetting transactions, for which they represent the absolute value of the net volume of their long and short positions.

	Current		Noncurrent
Natural Gas (bcf):
Fixed price(1)		36		17
Basis		106		545
Electricity (MWh):
FTRs		11,952,866		—
Capacity (MW)		3,050		—
Interest rate	$	700,000,000	$	1,100,000,000

(1) Includes options.

Ineffectiveness and AOCI

For the three months ended March 31, 2016 and 2015, gains or losses on hedging instruments determined to be ineffective were not material.

The following table presents selected information related to gains (losses) on cash flow hedges included in AOCI in Virginia Power’s Consolidated Balance Sheet at March 31, 2016:

	AOCI After-Tax			Amounts Expected to be Reclassified to Earnings During the Next 12 Months After-Tax			Maximum Term
(millions)
Interest rate	$	(15	)		(1	)		384 months
Total	$	(15	)	$	(1	)

The amounts that will be reclassified from AOCI to earnings will generally be offset by the recognition of the hedged transactions (e.g., anticipated sales) in earnings, thereby achieving the realization of prices contemplated by the underlying risk management strategies and will vary from the expected amounts presented above as a result of changes in interest rates.

42

Fair Value and Gains and Losses on Derivative Instruments

The following table presents the fair values of Virginia Power’s derivatives and where they are presented in its Consolidated Balance Sheets:

	Fair Value – Derivatives under Hedge Accounting		Fair Value – Derivatives not under Hedge Accounting		Total Fair Value
(millions)
At March 31, 2016
ASSETS
Current Assets
Commodity	$	—	$	17	$	17
Interest rate		8		—		8
Total current derivative assets(1)		8		17		25
Noncurrent Assets
Commodity		—		113		113
Total noncurrent derivative assets(2)		—		113		113
Total derivative assets	$	8	$	130	$	138
LIABILITIES
Current Liabilities
Commodity	$	—	$	20	$	20
Interest rate		40		—		40
Total current derivative liabilities(3)		40		20		60
Noncurrent Liabilities
Commodity		—		10		10
Interest rate		104		—		104
Total noncurrent derivatives liabilities (4)		104		10		114
Total derivative liabilities	$	144	$	30	$	174
At December 31, 2015
ASSETS
Current Assets
Commodity	$	—	$	18	$	18
Total current derivative assets(1)		—		18		18
Noncurrent Assets
Commodity		—		96		96
Interest rate		13		—		13
Total noncurrent derivative assets(2)		13		96		109
Total derivative assets	$	13	$	114	$	127
LIABILITIES
Current Liabilities
Commodity	$	—	$	23	$	23
Interest rate		57		—		57
Total current derivative liabilities(3)		57		23		80
Noncurrent Liabilities
Commodity		—		4		4
Interest rate		2		—		2
Total noncurrent derivative liabilities(4)		2		4		6
Total derivative liabilities	$	59	$	27	$	86

(1) Current derivative assets are presented in other current assets in Virginia Power’s Consolidated Balance Sheets.

(2) Noncurrent derivative assets are presented in other deferred charges and other assets in Virginia Power’s Consolidated Balance Sheets.

(3) Current derivative liabilities are presented in other current liabilities in Virginia Power’s Consolidated Balance Sheets.

(4) Noncurrent derivative liabilities are presented in other deferred credits and other liabilities in Virginia Power’s Consolidated Balance Sheets.

43

The following tables present the gains and losses on Virginia Power’s derivatives, as well as where the associated activity is presented in its Consolidated Balance Sheets and Statements of Income:

Derivatives in Cash Flow Hedging Relationships	Amount of Gain (Loss) Recognized in AOCI on Derivatives (Effective Portion)(1)			Amount of Gain (Loss) Reclassified From AOCI to Income			Increase (Decrease) in Derivatives Subject to Regulatory Treatment(2)
(millions)
Three Months Ended March 31, 2016
Derivative type and location of gains (losses):
Interest rate(3)	$	(14	)	$	—		$	(133	)
Total	$	(14	)	$	—		$	(133	)
Three Months Ended March 31, 2015
Derivative type and location of gains (losses):
Commodity:
Electric fuel and other energy-related purchases				$	(1	)
Total commodity	$	—		$	(1	)	$	3
Interest rate(3)		(6	)		—			(49	)
Total	$	(6	)	$	(1	)	$	(46	)

(1) Amounts deferred into AOCI have no associated effect in Virginia Power’s Consolidated Statements of Income.

(2) Represents net derivative activity deferred into and amortized out of regulatory assets/liabilities. Amounts deferred into regulatory assets/liabilities have no associated effect in Virginia Power’s Consolidated Statements of Income.

(3) Amounts recorded in Virginia Power’s Consolidated Statements of Income are classified in interest and related charges.

	Amount of Gain (Loss) Recognized in Income on Derivatives(1)
	Three Months Ended March 31,
Derivatives Not Designated as Hedging Instruments	2016			2015
(millions)
Derivative type and location of gains (losses):
Commodity(2)	$	(20	)	$	7
Total	$	(20	)	$	7

(1) Includes derivative activity amortized out of regulatory assets/liabilities. Amounts deferred into regulatory assets/liabilities have no associated effect in Virginia Power’s Consolidated Statements of Income.

(2) Amounts recorded in Virginia Power’s Consolidated Statements of Income are classified in electric fuel and other energy-related purchases.

Dominion Gas

Balance Sheet Presentation

The tables below present Dominion Gas’ derivative asset and liability balances by type of financial instrument, before and after the effects of offsetting.

	March 31, 2016						December 31, 2015
	Gross Amounts of Recognized Assets		Gross Amounts Offset in the Consolidated Balance Sheet		Net Amounts of Assets Presented in the Consolidated Balance Sheet		Gross Amounts of Recognized Assets		Gross Amounts Offset in the Consolidated Balance Sheet		Net Amounts of Assets Presented in the Consolidated Balance Sheet
(millions)
Commodity contracts:
Over-the-counter	$	6	$	—	$	6	$	11	$	—	$	11
Total derivatives, subject to a master netting or similar arrangement	$	6	$	—	$	6	$	11	$	—	$	11

44

			March 31, 2016								December 31, 2015
			Gross Amounts Not Offset in the Consolidated Balance Sheet								Gross Amounts Not Offset in the Consolidated Balance Sheet
	Net Amounts of Assets Presented in the Consolidated Balance Sheet		Financial Instruments		Cash Collateral Received		Net Amounts		Net Amounts of Assets Presented in the Consolidated Balance Sheet		Financial Instruments		Cash Collateral Received		Net Amounts
(millions)
Commodity contracts:
Over-the-counter	$	6	$	—	$	—	$	6	$	11	$	—	$	—	$	11
Total	$	6	$	—	$	—	$	6	$	11	$	—	$	—	$	11

	March 31, 2016						December 31, 2015
	Gross Amounts of Recognized Liabilities		Gross Amounts Offset in the Consolidated Balance Sheet		Net Amounts of Liabilities Presented in the Consolidated Balance Sheet		Gross Amounts of Recognized Liabilities		Gross Amounts Offset in the Consolidated Balance Sheet		Net Amounts of Liabilities Presented in the Consolidated Balance Sheet
(millions)
Interest rate contracts:
Over-the-counter	$	23	$	—	$	23	$	14	$	—	$	14
Total derivatives, subject to a master netting or similar arrangement	$	23	$	—	$	23	$	14	$	—	$	14

			March 31, 2016								December 31, 2015
			Gross Amounts Not Offset in the Consolidated Balance Sheet								Gross Amounts Not Offset in the Consolidated Balance Sheet
	Net Amounts of Liabilities Presented in the Consolidated Balance Sheet		Financial Instruments		Cash Collateral Paid		Net Amounts		Net Amounts of Liabilities Presented in the Consolidated Balance Sheet		Financial Instruments		Cash Collateral Paid		Net Amounts
(millions)
Interest rate contracts:
Over-the-counter	$	23	$	—	$	—	$	23	$	14	$	—	$	—	$	14
Total	$	23	$	—	$	—	$	23	$	14	$	—	$	—	$	14

Volumes

The following table presents the volume of Dominion Gas’ derivative activity at March 31, 2016. These volumes are based on open derivative positions and represent the combined absolute value of their long and short positions, except in the case of offsetting transactions, for which they represent the absolute value of the net volume of their long and short positions.

	Current		Noncurrent
NGLs (Gal)		67,704,000		—
Interest rate	$	250,000,000	$	—

Ineffectiveness and AOCI

For the three months ended March 31, 2016 and 2015, gains or losses on hedging instruments determined to be ineffective were not material.

45

The following table presents selected information related to losses on cash flow hedges included in AOCI in Dominion Gas’ Consolidated Balance Sheet at March 31, 2016:

	AOCI After-Tax			Amounts Expected to be Reclassified to Earnings During the Next 12 Months After-Tax		Maximum Term
(millions)
Commodities:
NGLs	$	4		$	4		12 months
Interest rate		(29	)		—		345 months
Total	$	(25	)	$	4

The amounts that will be reclassified from AOCI to earnings will generally be offset by the recognition of the hedged transactions (e.g., anticipated sales) in earnings, thereby achieving the realization of prices contemplated by the underlying risk management strategies and will vary from the expected amounts presented above as a result of changes in market prices and interest rates.

Fair Value and Gains and Losses on Derivative Instruments

The following tables present the fair values of Dominion Gas’ commodity and interest rate derivatives and where they are presented in its Consolidated Balance Sheets:

	Fair Value-Derivatives Under Hedge Accounting		Fair Value-Derivatives Not Under Hedge Accounting		Total Fair Value
(millions)
At March 31, 2016
ASSETS
Current Assets
Commodity	$	6	$	—	$	6
Total current derivative assets(1)		6		—		6
Total derivative assets	$	6	$	—	$	6
LIABILITIES
Current Liabilities
Interest rate	$	23	$	—	$	23
Total current derivative liabilities(3)		23		—		23
Total derivative liabilities	$	23	$	—	$	23
At December 31, 2015
ASSETS
Current Assets
Commodity	$	10	$	—	$	10
Total current derivative assets(1)		10		—		10
Noncurrent Assets
Commodity		1		—		1
Total noncurrent derivatives assets(2)		1		—		1
Total derivative assets	$	11	$	—	$	11
LIABILITIES
Noncurrent Liabilities
Interest rate	$	14	$	—	$	14
Total noncurrent derivative liabilities(4)		14		—		14
Total derivative liabilities	$	14	$	—	$	14

(1) Current derivative assets are presented in other current assets in Dominion Gas’ Consolidated Balance Sheets.

(2) Noncurrent derivative assets are presented in other deferred charges and other assets in Dominion Gas’ Consolidated Balance Sheets.

(3) Current derivative liabilities are presented in other current liabilities in Dominion Gas’ Consolidated Balance Sheets.

46

(4) Noncurrent derivative liabilities are presented in other deferred credits and other liabilities in Dominion Gas’ Consolidated Balance Sheets.

The following table presents the gains and losses on Dominion Gas’ derivatives, as well as where the associated activity is presented in its Consolidated Balance Sheets and Statements of Income:

Derivatives in Cash Flow Hedging Relationships	Amount of Gain (Loss) Recognized in AOCI on Derivatives (Effective Portion)(1)			Amount of Gain (Loss) Reclassified From AOCI to Income
(millions)
Three Months Ended March 31, 2016
Derivative type and location of gains (losses):
Commodity:
Operating revenue				$	4
Total commodity	$	(1	)	$	4
Interest rate(2)		(9	)		—
Total	$	(10	)	$	4
Three Months Ended March 31, 2015
Derivative type and location of gains (losses):
Commodity:
Operating revenue				$	—
Total commodity	$	(2	)	$	—
Interest rate(2)		(4	)		—
Total	$	(6	)	$	—

(1) Amounts deferred into AOCI have no associated effect in Dominion Gas’ Consolidated Statements of Income.

(2) Amounts recorded in Dominion Gas’ Consolidated Statements of Income are classified in interest and related charges.

Note 10. Investments

Dominion

Equity and Debt Securities

Rabbi Trust Securities

Marketable equity and debt securities and cash equivalents held in Dominion’s rabbi trusts and classified as trading totaled $98 million and $100 million at March 31, 2016 and December 31, 2015, respectively.

47

Decommissioning Trust Securities

Dominion holds marketable equity and debt securities (classified as available-for-sale), cash equivalents and cost method investments in nuclear decommissioning trust funds to fund future decommissioning costs for its nuclear plants. Dominion’s decommissioning trust funds are summarized below:

	Amortized             Cost		Total Unrealized Gains(1)		Total Unrealized Losses(1)			Fair Value
(millions)
At March 31, 2016
Marketable equity securities:
U.S. large cap	$	1,317	$	1,218	$	—		$	2,535
REIT		60		7		—			67
Marketable debt securities:
Corporate bonds		448		19		(3	)		464
U.S. Treasury securities and agency debentures		650		20		—			670
State and municipal		308		25		—			333
Other		96		—		—			96
Cost method investments		70		—		—			70
Cash equivalents and other(2)		4		—		—			4
Total	$	2,953	$	1,289	$	(3	) (3)	$	4,239
At December 31, 2015
Marketable equity securities:
U.S. large cap	$	1,295	$	1,213	$	—		$	2,508
REIT		59		4		—			63
Marketable debt securities:
Corporate bonds		433		11		(7	)		437
U.S. Treasury securities and agency debentures		654		8		(4	)		658
State and municipal		312		22		—			334
Other		99		—		—			99
Cost method investments		70		—		—			70
Cash equivalents and other(2)		14		—		—			14
Total	$	2,936	$	1,258	$	(11	) (3)	$	4,183

(1) Included in AOCI and the nuclear decommissioning trust regulatory liability.

(2) Includes pending sales of securities of $2 million and $12 million at March 31, 2016 and December 31, 2015, respectively.

(3) The fair value of securities in an unrealized loss position was $151 million and $592 million at March 31, 2016 and December 31, 2015, respectively.

The fair value of Dominion’s marketable debt securities held in nuclear decommissioning trust funds at March 31, 2016 by contractual maturity is as follows:

	Amount
(millions)
Due in one year or less	$	211
Due after one year through five years		423
Due after five years through ten years		380
Due after ten years		549
Total	$	1,563

Presented below is selected information regarding Dominion’s marketable equity and debt securities held in nuclear decommissioning trust funds.

48

	Three Months Ended March 31,
	2016		2015
(millions)
Proceeds from sales	$	368	$	337
Realized gains(1)		25		56
Realized losses(1)		19		17

(1) Includes realized gains and losses recorded to the nuclear decommissioning trust regulatory liability.

Other-than-temporary impairment losses on investments held in nuclear decommissioning trust funds for Dominion were not material for the three months ended March 31, 2016 and 2015.

Virginia Power

Virginia Power holds marketable equity and debt securities (classified as available-for-sale), cash equivalents and cost method investments in nuclear decommissioning trust funds to fund future decommissioning costs for its nuclear plants. Virginia Power’s decommissioning trust funds are summarized below:

	Amortized             Cost		Total Unrealized Gains(1)		Total Unrealized Losses(1)			Fair Value
(millions)
At March 31, 2016
Marketable equity securities:
U.S. large cap	$	583	$	529	$	—		$	1,112
REIT		60		7		—			67
Marketable debt securities:
Corporate bonds		242		9		(1	)		250
U.S. Treasury securities and agency debentures		257		6		—			263
State and municipal		159		13		—			172
Other		46		—		—			46
Cost method investments		70		—		—			70
Total	$	1,417	$	564	$	(1	) (3)	$	1,980
At December 31, 2015
Marketable equity securities:
U.S. large cap	$	574	$	525	$	—		$	1,099
REIT		59		4		—			63
Marketable debt securities:
Corporate bonds		237		5		(4	)		238
U.S. Treasury securities and agency debentures		260		1		(2	)		259
State and municipal		162		13		(1	)		174
Other		34		—		—			34
Cost method investments		70		—		—			70
Cash equivalents and other(2)		8		—		—			8
Total	$	1,404	$	548	$	(7	) (3)	$	1,945

(1) Included in AOCI and the nuclear decommissioning trust regulatory liability.

(2) Includes pending sales of securities of $8 million at December 31, 2015. There were no pending sales of securities at March 31, 2016.

(3) The fair value of securities in an unrealized loss position was $91 million and $281 million at March 31, 2016 and December 31, 2015, respectively.

49

The fair value of Virginia Power’s marketable debt securities held in nuclear decommissioning trust funds at March 31, 2016 by contractual maturity is as follows:

	Amount
(millions)
Due in one year or less	$	74
Due after one year through five years		191
Due after five years through ten years		196
Due after ten years		270
Total	$	731

Presented below is selected information regarding Virginia Power’s marketable equity and debt securities held in nuclear decommissioning trust funds.

	Three Months Ended March 31,
	2016		2015
(millions)
Proceeds from sales	$	193	$	133
Realized gains(1)		12		18
Realized losses(1)		10		11

(1) Includes realized gains and losses recorded to the nuclear decommissioning trust regulatory liability.

Other-than-temporary impairment losses on investments held in nuclear decommissioning trust funds for Virginia Power were not material for the three months ended March 31, 2016 and 2015.

Equity Method Investments

Dominion Gas

Iroquois

Dominion Gas’ equity earnings totaled $6 million and $8 million for the three months ended March 31, 2016 and 2015, respectively. Dominion Gas received distributions from this investment of $6 million and $12 million for the three months ended March 31, 2016 and 2015, respectively. At both March 31, 2016 and December 31, 2015, the carrying amount of Dominion Gas’ investment of $102 million exceeded its share of underlying equity in net assets by $8 million. The difference reflects equity method goodwill and is not being amortized. In May 2016, Dominion Gas sold 0.65% of the non-controlling partnership interest in Iroquois to TransCanada for approximately $7 million, which resulted in a $5 million ($3 million after-tax) gain.

Note 11. Regulatory Assets and Liabilities

Regulatory assets and liabilities include the following:

	March 31, 2016		December 31, 2015
(millions)
Dominion
Regulatory assets:
Deferred rate adjustment clause costs(1)	$	109	$	90
Deferred cost of fuel used in electric generation(2)		103		111
Deferred nuclear refueling outage costs(3)		77		75
Other		62		75
Regulatory assets-current(4)		351		351
Unrecognized pension and other postretirement benefit costs(5)		1,004		1,015
Deferred rate adjustment clause costs(1)		255		295
Derivatives(6)		245		110
PJM transmission rates(7)		192		192
Income taxes recoverable through future rates(8)		132		126
Other		149		127
Regulatory assets-non-current		1,977		1,865
Total regulatory assets	$	2,328	$	2,216

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	March 31, 2016		December 31, 2015
(millions)
Regulatory liabilities:
PIPP(9)	$	30	$	46
Other		45		54
Regulatory liabilities-current(10)		75		100
Provision for future cost of removal and AROs(11)		1,132		1,120
Nuclear decommissioning trust(12)		822		804
Deferred cost of fuel used in electric generation(2)		129		97
Derivatives(6)		94		79
Other		177		185
Regulatory liabilities-non-current		2,354		2,285
Total regulatory liabilities	$	2,429	$	2,385
Virginia Power
Regulatory assets:
Deferred rate adjustment clause costs(1)	$	106	$	80
Deferred cost of fuel used in electric generation(2)		103		111
Deferred nuclear refueling outage costs(3)		77		75
Other		57		60
Regulatory assets-current		343		326
Derivatives(6)		245		110
PJM transmission rates(7)		192		192
Deferred rate adjustment clause costs(1)		170		213
Income taxes recoverable through future rates(8)		102		97
Other		66		55
Regulatory assets-non-current		775		667
Total regulatory assets	$	1,118	$	993
Regulatory liabilities:
Other	$	19	$	35
Regulatory liabilities-current(10)		19		35
Provision for future cost of removal(11)		899		890
Nuclear decommissioning trust(12)		822		804
Deferred cost of fuel used in electric generation(2)		129		97
Derivatives(6)		94		79
Other		52		59
Regulatory liabilities-non-current		1,996		1,929
Total regulatory liabilities	$	2,015	$	1,964
Dominion Gas
Regulatory assets:
Deferred rate adjustment clause costs(1)	$	3	$	10
Other		2		13
Regulatory assets-current(4)		5		23
Unrecognized pension and other postretirement benefit costs(5)		280		282
Deferred rate adjustment clause costs(1)		85		82
Income taxes recoverable through future rates(8)		20		20
Other		75		65
Regulatory assets-non-current(13)		460		449
Total regulatory assets	$	465	$	472

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	March 31, 2016		December 31, 2015
(millions)
Regulatory liabilities:
PIPP(9)	$	30	$	46
Other		19		9
Regulatory liabilities-current(10)		49		55
Provision for future cost of removal and AROs(11)		172		170
Other		35		31
Regulatory liabilities-non-current(14)		207		201
Total regulatory liabilities	$	256	$	256

(1) Reflects deferrals under the electric transmission FERC formula rate and the deferral of costs associated with certain current and prospective rider projects for Virginia Power. Reflects deferrals of costs associated with certain current and prospective rider projects for Dominion Gas. See Note 12 for more information.

(2) Primarily reflects deferred fuel expenses for the Virginia jurisdiction of Dominion’s and Virginia Power’s generation operations. See Note 12 for more information.

(3) Legislation enacted in Virginia in April 2014 requires Virginia Power to defer operation and maintenance costs incurred in connection with the refueling of any nuclear-powered generating plant. These deferred costs will be amortized over the refueling cycle, not to exceed 18 months.

(4) Current regulatory assets are presented in other current assets in Dominion’s and Dominion Gas’ Consolidated Balance Sheets.

(5) Represents unrecognized pension and other postretirement employee benefit costs expected to be recovered through future rates generally over the expected remaining service period of plan participants by certain of Dominion’s and Dominion Gas’ rate-regulated subsidiaries.

(6) For jurisdictions subject to cost-based rate regulation, changes in the fair value of derivative instruments result in the recognition of regulatory assets or regulatory liabilities as they are expected to be recovered from or refunded to customers.

(7) Reflects amounts related to PJM transmission cost allocation matter. See Note 12 for more information.

(8) Amounts to be recovered through future rates to pay income taxes that become payable when rate revenue is provided to recover AFUDC-equity and depreciation of property, plant and equipment for which deferred income taxes were not recognized for ratemaking purposes, including amounts attributable to tax rate changes.

(9) Under PIPP, eligible customers can make reduced payments based on their ability to pay. The difference between the customer’s total bill and the PIPP plan amount is deferred and collected or returned annually under the PIPP rate adjustment clause according to East Ohio tariff provisions.

(10) Current regulatory liabilities are presented in other current liabilities in the Companies’ Consolidated Balance Sheets.

(11) Rates charged to customers by the Companies’ regulated businesses include a provision for the cost of future activities to remove assets that are expected to be incurred at the time of retirement.

(12) Primarily reflects a regulatory liability representing amounts collected from Virginia jurisdictional customers and placed in external trusts (including income, losses and changes in fair value thereon) for the future decommissioning of Virginia Power’s utility nuclear generation stations, in excess of the related AROs.

(13) Noncurrent regulatory assets are presented in other deferred charges and other assets in Dominion Gas’ Consolidated Balance Sheets.

(14) Noncurrent regulatory liabilities are presented in other deferred credits and other liabilities in Dominion Gas’ Consolidated Balance Sheets.

At March 31, 2016, $289 million of Dominion’s, $269 million of Virginia Power’s and $18 million of Dominion Gas’ regulatory assets represented past expenditures on which they do not currently earn a return. These expenditures are expected to be recovered within the next two years.

Note 12. Regulatory Matters

Regulatory Matters Involving Potential Loss Contingencies

As a result of issues generated in the ordinary course of business, the Companies are involved in various regulatory matters. Certain regulatory matters may ultimately result in a loss; however, as such matters are in an initial procedural phase, involve uncertainty as to the outcome of pending reviews or orders, and/or involve significant factual issues that need to be resolved, it is not possible for the Companies to estimate a range of possible loss. For matters for which the Companies cannot estimate a range of possible loss, a statement to this effect is made in the description of the matter. Other matters may have progressed sufficiently through the regulatory process such that the Companies are able to estimate a range of possible loss. For regulatory matters for which the Companies are able to reasonably estimate a range of possible losses, an estimated range of possible loss is provided, in excess of the accrued liability (if any) for such matters. Any estimated range is based on currently available information, involves elements of judgment and significant uncertainties and may not represent the Companies’ maximum possible loss exposure. The circumstances of such regulatory matters will change from time to time and actual results may vary significantly from the current estimate. For current matters not specifically reported below, management does not anticipate that the outcome from such matters would have a material effect on the Companies’ financial position, liquidity or results of operations.

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FERC - Electric

Under the Federal Power Act, FERC regulates wholesale sales and transmission of electricity in interstate commerce by public utilities. Dominion’s merchant generators sell electricity in the PJM, MISO, CAISO and ISO-NE wholesale markets, and to wholesale purchasers in the states of Tennessee, Georgia, California and Utah under Dominion’s market-based sales tariffs authorized by FERC. Virginia Power purchases and, under its FERC market-based rate authority, sells electricity in the wholesale market. In addition, Virginia Power has FERC approval of a tariff to sell wholesale power at capped rates based on its embedded cost of generation. This cost-based sales tariff could be used to sell to loads within or outside Virginia Power’s service territory. Any such sales would be voluntary.

Rates

In April 2008, FERC granted an application for Virginia Power’s electric transmission operations to establish a forward-looking formula rate mechanism that updates transmission rates on an annual basis and approved an ROE of 11.4%, effective as of January 1, 2008. The formula rate is designed to recover the expected revenue requirement for each calendar year and is updated based on actual costs. The FERC-approved formula method, which is based on projected costs, allows Virginia Power to earn a current return on its growing investment in electric transmission infrastructure.

In March 2010, Old Dominion Electric Cooperative and North Carolina Electric Membership Corporation filed a complaint with FERC against Virginia Power claiming that $223 million in transmission costs related to specific projects were unjust, unreasonable and unduly discriminatory or preferential and should be excluded from Virginia Power’s transmission formula rate. In October 2010, FERC issued an order dismissing the complaint in part and established hearings and settlement procedures on the remaining part of the complaint. In February 2012, Virginia Power submitted to FERC a settlement agreement to resolve all issues set for hearing. The settlement was accepted by FERC in May 2012 and provides for payment by Virginia Power to the transmission customer parties collectively of $250,000 per year for ten years and resolves all matters other than allocation of the incremental cost of certain underground transmission facilities.

In March 2014, FERC issued an order excluding from Virginia Power’s transmission rates for wholesale transmission customers located outside Virginia the incremental costs of undergrounding certain transmission line projects. FERC found it is not just and reasonable for non-Virginia wholesale transmission customers to be allocated the incremental costs of undergrounding the facilities because the projects are a direct result of Virginia legislation and Virginia Commission pilot programs intended to benefit the citizens of Virginia. The order is retroactively effective as of March 2010 and will cause the reallocation of the costs charged to wholesale transmission customers with loads outside Virginia to wholesale transmission customers with loads in Virginia. FERC determined that there was not sufficient evidence on the record to determine the magnitude of the underground increment and held a hearing to determine the appropriate amount of undergrounding cost to be allocated to each wholesale transmission customer in Virginia. While Virginia Power cannot predict the outcome of the hearing, it is not expected to have a material effect on results of operations.

PJM Transmission Rates

In April 2007, FERC issued an order regarding its transmission rate design for the allocation of costs among PJM transmission customers, including Virginia Power, for transmission service provided by PJM. For new PJM-planned transmission facilities that operate at or above 500 kV, FERC established a PJM regional rate design where customers pay according to each customer’s share of the region’s load. For recovery of costs of existing facilities, FERC approved the existing methodology whereby a customer pays the cost of facilities located in the same zone as the customer. A number of parties appealed the order to the U.S. Court of Appeals for the Seventh Circuit.

In August 2009, the court issued its decision affirming the FERC order with regard to the existing facilities, but remanded to FERC the issue of the cost allocation associated with the new facilities 500 kV and above for further consideration by FERC. On remand, FERC reaffirmed its earlier decision to allocate the costs of new facilities 500 kV and above according to the customer’s share of the region’s load. A number of parties filed appeals of the order to the U.S. Court of Appeals for the Seventh Circuit. In June 2014, the court again remanded the cost allocation issue to FERC. In December 2014, FERC issued an order setting an evidentiary hearing and settlement proceeding regarding the cost allocation issue. The hearing only concerns the costs of new facilities approved by PJM prior to February 1, 2013. Transmission facilities approved after February 1, 2013 are allocated on a hybrid cost allocation method approved by FERC and not subject to any court review.

Virginia Power expects that a settlement agreement will be executed regarding this matter. Under the terms of the settlement, Virginia Power would be required to pay $200 million to PJM over the next 10 years. Although no FERC order has been issued and the expected settlement agreement has not been filed and accepted by FERC, Virginia Power believes it is probable it will be required to make payment as an outcome of the hearing and settlement proceedings. Accordingly, as of March 31, 2016, Virginia Power has recorded a contingent liability of $200 million in other deferred credits and other liabilities, which is offset by a $192 million regulatory asset for the amount that will be recovered through retail rates in Virginia.

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Other Regulatory Matters

Other than the following matters, there have been no significant developments regarding the pending regulatory matters disclosed in Note 13 to the Consolidated Financial Statements in the Companies’ Annual Report on Form 10-K for the year ended December 31, 2015.

Regulation Act Legislation

In February 2015, the Virginia Governor signed legislation into law which will keep Virginia Power’s base rates unchanged until at least December 1, 2022. In addition, no biennial reviews will be conducted by the Virginia Commission for the five successive 12-month test periods beginning January 1, 2015, and ending December 31, 2019. The legislation states that Virginia Power’s 2015 biennial review, filed in March 2015, would proceed for the sole purpose of reviewing and determining whether any refunds are due to customers based on earnings performance for generation and distribution services during the 2013 and 2014 test periods. In addition the legislation requires the Virginia Commission to conduct proceedings in 2017 and 2019 to determine the utility’s ROE for use in connection with rate adjustment clauses and requires utilities to file integrated resource plans annually rather than biennially. In November 2015, the Virginia Commission ordered testimony, briefs and a separate bifurcated hearing in Virginia Power’s then-pending Rider B, R, S, and W cases on whether the Virginia Commission can adjust the ROE applicable to these rate adjustment clauses prior to 2017. In February 2016, the Virginia Commission issued final orders in these cases, stating that it could adjust the ROE and setting a base ROE of 9.6% for the projects, which results in a 10.6% ROE for Riders R, S and W and a 11.6% ROE for Rider B, effective April 1, 2016. In April 2016, the Virginia Commission issued a final order setting a 9.6% ROE for Riders C1A and C2A, effective May 1, 2016.

2015 Biennial Review

Pursuant to the Regulation Act, in March 2015, Virginia Power filed its base rate case and schedules for the Virginia Commission’s 2015 biennial review of Virginia Power’s rates, terms and conditions. Per legislation enacted in February 2015, this biennial review was limited to reviewing Virginia Power’s earnings on rates for generation and distribution services for the combined 2013 and 2014 test period, and determining whether credits are due to customers in the event Virginia Power’s earnings exceeded the earnings band determined in the 2013 Biennial Review Order. In November 2015, the Virginia Commission issued the 2015 Biennial Review Order. In December 2015, a group of large industrial customers filed notices of appeal with the Supreme Court of Virginia from both the 2015 Biennial Review Order and the Virginia Commission’s order denying their petition for rehearing or reconsideration. In April 2016, the Supreme Court of Virginia granted these appeals as a matter of right. In April 2016, the Attorney General filed an unopposed motion to suspend appellate briefing pending the outcome of a separate case at the Virginia Commission raising the same issues. These appeals are pending.

Virginia Fuel Expenses

In May 2016, Virginia Power submitted its annual fuel factor to the Virginia Commission to recover an estimated $1.4 billion in Virginia jurisdictional projected fuel expenses for the rate year beginning July 1, 2016. Virginia Power’s proposed fuel rate represents a fuel revenue decrease of $286 million when applied to projected kilowatt-hour sales for the period July 1, 2016 to June 30, 2017. This case is pending.

Solar Facility Project

In January 2015, Virginia Power applied for a CPCN to construct and operate a 20 MW utility-scale solar facility near its existing Remington power station in Fauquier County, Virginia. The total estimated cost of the Remington solar facility was approximately $47 million, excluding financing costs. Virginia Power also applied for approval of Rider US-1 to recover the projected costs of the facility. In October 2015, the Virginia Commission denied approval of the CPCN and Rider US-1 based on the evidence in the record but stated that an application could be re-filed to address the concerns cited by the Virginia Commission. In May 2016, Virginia Power filed an application with the Virginia Commission for a CPCN to construct and operate the Remington solar facility and related distribution interconnection facilities. The facility is the subject of a public-private partnership whereby the Commonwealth of Virginia, a non-jurisdictional customer, will compensate Virginia Power for the facility’s net electrical energy output, and Microsoft will purchase all environmental attributes (including renewable energy certificates) generated by the facility. There is not a rate adjustment clause associated with this CPCN filing, nor will any costs of the project be recovered from jurisdictional customers. This case is pending.

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Rate Adjustment Clauses

Below is a discussion of significant riders associated with various Virginia Power projects:

• The Virginia Commission previously approved Rider S in conjunction with the Virginia City Hybrid Energy Center. In February 2016, the Virginia Commission approved a $251 million revenue requirement, subject to true-up, for the rate year beginning April 1, 2016. It also established a 10.6% ROE for Rider S effective April 1, 2016.

• The Virginia Commission previously approved Rider R in conjunction with Bear Garden. In February 2016, the Virginia Commission approved a $74 million revenue requirement, subject to true-up, for the rate year beginning April 1, 2016. It also established a 10.6% ROE for Rider R effective April 1, 2016.

• The Virginia Commission previously approved Rider W in conjunction with Warren County. In February 2016, the Virginia Commission approved a $118 million revenue requirement, subject to true-up, for the rate year beginning April 1, 2016. It also established a 10.6% ROE for Rider W effective April 1, 2016.

• The Virginia Commission previously approved Rider B in conjunction with the conversion of three power stations to biomass. In February 2016, the Virginia Commission approved a $30 million revenue requirement for the rate year beginning April 1, 2016. It also established an 11.6% ROE for Rider B effective April 1, 2016.

• In July 2015, Virginia Power filed an application with the Virginia Commission for a CPCN to construct and operate Greensville County and related transmission interconnection facilities. Virginia Power also applied for approval of Rider GV to recover the costs of Greensville County. In March 2016, the Virginia Commission granted the requested CPCN and approved a $40 million revenue requirement for the rate year beginning April 1, 2016. It also established a 9.6% ROE for Rider GV effective April 1, 2016.

• The Virginia Commission previously approved Riders C1A and C2A in connection with cost recovery for demand-side management programs. In April 2016, the Virginia Commission approved a $46 million revenue requirement, subject to true-up, for the rate year beginning May 1, 2016. The Virginia Commission approved one new energy efficiency program at a reduced cost cap, denied a second energy efficiency program, and approved the extension of an existing peak shaving program recovered in base rates at no additional incremental cost.

• The Virginia Commission previously approved Rider T1 concerning transmission rates. In May 2016, Virginia Power proposed a $639 million total revenue requirement for the rate year beginning September 1, 2016, which represents a $29 million decrease over the previous year. This case is pending.

North Anna

Virginia Power is considering the construction of a third nuclear unit at a site located at North Anna nuclear power station. If Virginia Power decides to build a new unit, it must first receive a COL from the NRC, approval of the Virginia Commission and certain environmental permits and other approvals. The COL is expected in 2017. Virginia Power has not yet committed to building a new nuclear unit at North Anna nuclear power station.

The motions and petitions filed by BREDL prior to April 2015 have been dismissed, and under a previous ruling of the NRC, the contested portion of the COL proceeding remains terminated. The NRC is required to conduct a hearing in all COL proceedings, and if a new contention is not admitted, the mandatory NRC hearing will be uncontested.

In April 2015, BREDL filed a new motion and petition seeking to object to the NRC’s reliance on the continued storage rule in licensing proceedings. The BREDL filings are substantially the same as those filed in other COL proceedings in which final environmental impact statements were issued prior to promulgation of the continued storage rule, like North Anna 3. In June 2015, the NRC denied the April 2015 motion and petition.

In August 2015, BREDL filed a petition in the U.S. Court of Appeals for the D.C. Circuit seeking review of the NRC’s June 2015 decision. Along with the petition for judicial review, BREDL also filed a motion to hold this judicial review in abeyance pending the outcome of the ongoing judicial review of the NRC’s rule pertaining to the continued onsite storage of spent nuclear fuel in litigation pending before the same court. Similar petitions were filed seeking judicial review of the NRC’s decision as it applies to other COL and license renewal proceedings. In March 2016, the court granted Virginia Power’s motion to intervene in the proceeding. This case is pending.

North Carolina Regulation

North Carolina Base Rate Case

In March 2016, Virginia Power filed its base rate case and schedules with the North Carolina Commission. Virginia Power proposed a non-fuel, base rate increase of $51 million effective November 1, 2016 on a temporary basis subject to refund, with any permanent rates ordered by the North Carolina Commission effective January 1, 2017. This base rate increase was proposed to recover the significant investments in generation, transmission, and distribution infrastructure for the benefit of North Carolina customers. Virginia Power also proposed an accelerated implementation of a new lower fuel rate, to be filed in August 2016, as part of the temporary rate effective November 1, 2016 subject to refund, along with a new Rider EDIT to return certain excess accumulated deferred income taxes to its North Carolina customers over a two-year period. Virginia Power presented an earned return of 5.06%, based upon a fully-adjusted test period, compared to its authorized 10.2% return, and proposed a 10.5% ROE going forward within the 10.25% to 10.75% range of its current cost of equity. This case is pending.

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Ohio Regulation

PIR Program

In 2008, East Ohio began PIR, aimed at replacing approximately 25% of its pipeline system. In February 2016, East Ohio filed an application to adjust the PIR cost recovery for 2015 costs. The filing reflects gross plant investment for 2015 of $171 million, cumulative gross plant investment of $1 billion and a revenue requirement of $131 million. This application was approved by the Ohio Commission in April 2016.

AMR Program

In 2007, East Ohio began installing automated meter reading technology for its 1.2 million customers in Ohio. In February 2016, East Ohio filed an application to adjust the AMR cost recovery for costs incurred during the calendar year 2015. The filing reflects a revenue requirement of approximately $7 million. This application was approved by the Ohio Commission in April 2016.

FERC - Gas

In 2013, DTI executed binding precedent agreements with several local distribution company customers for the New Market project. The project is expected to cost approximately $159 million and provide 112,000 Dths per day of firm transportation service from Leidy, Pennsylvania to interconnects with Iroquois and Niagara Mohawk Power Corporation’s distribution system in the Albany, New York market. In April 2016, DTI received FERC authorization to construct, operate and maintain the project facilities, which are expected to be placed into service in the fourth quarter of 2016.

In 2014, DCG executed three binding precedent agreements for the approximately $120 million Transco to Charleston project, which will provide 80,000 Dths per day of firm transportation service from an existing interconnect with Transcontinental Gas Pipe Line Company, LLC in Spartanburg County, South Carolina to customers in Dillon, Marlboro, Sumter, Charleston, Lexington and Richland counties, South Carolina. In March 2016, DCG filed an application to request FERC authorization to construct and operate the project facilities, which are expected to be placed into service in the fourth quarter of 2017.

In April 2016, FERC issued an order authorizing DTI to abandon by sale its gathering and processing facilities to Dominion Gathering and Processing, Inc., a newly-formed wholly-owned subsidiary of Dominion Gas. These gathering and processing facilities, with a carrying value of approximately $430 million, are expected to be transferred in the second half of 2016.

Note 13. Variable Interest Entities

The primary beneficiary of a VIE is required to consolidate the VIE and to disclose certain information about its significant variable interests in the VIE. The primary beneficiary of a VIE is the entity that has both 1) the power to direct the activities that most significantly impact the entity’s economic performance and 2) the obligation to absorb losses or receive benefits from the entity that could potentially be significant to the VIE.

Dominion

Dominion owns the general partner interest and 64.6% of the limited partnership interests in Dominion Midstream, which owns a preferred equity interest and the general partner interest in Cove Point. Additionally, Dominion owns the manager and 67% of the membership interest in certain merchant solar facilities, as discussed in Note 2. Dominion has concluded that these entities are VIEs due to the limited partners or members lacking the characteristics of a controlling financial interest. Dominion is the primary beneficiary of Dominion Midstream and the merchant solar facilities, and Dominion Midstream is the primary beneficiary of Cove Point, as they have the power to direct the activities that most significantly impact their economic performance as well as the obligation to absorb losses and benefits which could be significant to them.

Dominion has an initial 45% membership interest in Atlantic Coast Pipeline. See Note 9 to the Companies’ Annual Report on Form 10-K for the year ended December 31, 2015 for more details regarding the nature of this entity. Dominion concluded that Atlantic Coast Pipeline is a VIE because it has insufficient equity to finance its activities without additional subordinated financial support. Dominion has concluded that it is not the primary beneficiary of Atlantic Coast Pipeline as it does not have the power to direct the activities of Atlantic Coast Pipeline that most significantly impact its economic performance, as the power to direct is shared among multiple unrelated parties. Dominion is obligated to provide capital contributions based on its ownership percentage. Dominion’s maximum exposure to loss is limited to its current and future investment.

Dominion and Virginia Power

Dominion and Virginia Power’s nuclear decommissioning trust funds and Dominion’s rabbi trusts hold investments in limited partnerships or similar type entities (see Note 10 for further details). Dominion and Virginia Power concluded that these

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partnership investments are VIEs due to the limited partners lacking the characteristics of a controlling financial interest. Dominion and Virginia Power have concluded neither is the primary beneficiary as they do not have the power to direct the activities that most significantly impact these VIEs’ economic performance. Dominion and Virginia Power are obligated to provide capital contributions to the partnerships as required by each partnership agreement based on their ownership percentages. Dominion and Virginia Power’s maximum exposure to loss is limited to their current and future investments.

Dominion and Dominion Gas

Dominion previously concluded that Iroquois was a VIE because a non-affiliated Iroquois equity holder had the ability during a limited period of time to transfer its ownership interests to another Iroquois equity holder or its affiliate. As such right no longer exists at March 31, 2016, Dominion concluded that Iroquois is no longer a VIE.

Virginia Power

Virginia Power had long-term power and capacity contracts with five non-utility generators; however, contracts with two of these generators expired in 2015, leaving three non-utility generators with an aggregate summer generation capacity of approximately 418 MW. These contracts contain certain variable pricing mechanisms in the form of partial fuel reimbursement that Virginia Power considers to be variable interests. After an evaluation of the information provided by these entities, Virginia Power was unable to determine whether they were VIEs. However, the information they provided, as well as Virginia Power’s knowledge of generation facilities in Virginia, enabled Virginia Power to conclude that, if they were VIEs, it would not be the primary beneficiary. This conclusion reflects Virginia Power’s determination that its variable interests do not convey the power to direct the most significant activities that impact the economic performance of the entities during the remaining terms of Virginia Power’s contracts and for the years the entities are expected to operate after its contractual relationships expire. The contracts expire at various dates ranging from 2017 to 2021. Virginia Power is not subject to any risk of loss from these potential VIEs other than its remaining purchase commitments which totaled $394 million as of March 31, 2016. Virginia Power paid $37 million and $53 million for electric capacity and $7 million and $37 million for electric energy to these entities in the three months ended March 31, 2016 and 2015, respectively.

Dominion Gas

DTI has been engaged to oversee the construction of, and to subsequently operate and maintain, the projects undertaken by Atlantic Coast Pipeline based on the overall direction and oversight of Atlantic Coast Pipeline’s members. An affiliate of DTI holds a membership interest in Atlantic Coast Pipeline, therefore DTI is considered to have a variable interest in Atlantic Coast Pipeline. The members of Atlantic Coast Pipeline hold the power to direct the construction, operations and maintenance activities of the entity. DTI has concluded it is not the primary beneficiary of Atlantic Coast Pipeline as it does not have the power to direct the activities of Atlantic Coast Pipeline that most significantly impact its economic performance. DTI has no obligation to absorb any losses of the VIE. See Note 17 for information about associated related party receivable balances.

Virginia Power and Dominion Gas

Virginia Power and Dominion Gas purchased shared services from DRS, an affiliated VIE, of $114 million and $35 million for the three months ended March 31, 2016 and $83 million and $28 million for the three months ended March 31, 2015, respectively. Virginia Power and Dominion Gas determined that neither is the primary beneficiary of DRS as neither has both the power to direct the activities that most significantly impact its economic performance as well as the obligation to absorb losses and benefits which could be significant to it. DRS provides accounting, legal, finance and certain administrative and technical services to all Dominion subsidiaries, including Virginia Power and Dominion Gas. Virginia Power and Dominion Gas have no obligation to absorb more than their allocated shares of DRS costs.

Note 14. Significant Financing Transactions

Credit Facilities and Short-term Debt

The Companies use short-term debt to fund working capital requirements and as a bridge to long-term debt financings. The levels of borrowing may vary significantly during the course of the year, depending upon the timing and amount of cash requirements not satisfied by cash from operations. In addition, Dominion utilizes cash and letters of credit to fund collateral requirements. Collateral requirements are impacted by commodity prices, hedging levels, Dominion’s credit ratings and the credit quality of its counterparties.

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Dominion

At March 31, 2016, Dominion’s commercial paper and letters of credit outstanding, as well as its capacity available under credit facilities, were as follows:

	Facility Limit		Outstanding Commercial Paper		Outstanding Letters of Credit		Facility Capacity Available
(millions)
Joint revolving credit facility(1)	$	5,000	$	3,028	$	—	$	1,972
Joint revolving credit facility(1)		500		—		57		443
Total	$	5,500	$	3,028	$	57	$	2,415

(1) These credit facilities mature in April 2019, and can be used to support bank borrowings and the issuance of commercial paper, as well as to support up to a combined $2.0 billion of letters of credit.

Virginia Power

Virginia Power’s short-term financing is supported through its access as co-borrower to the two joint revolving credit facilities. These credit facilities can be used for working capital, as support for the combined commercial paper programs of the Companies and for other general corporate purposes.

At March 31, 2016, Virginia Power’s share of commercial paper and letters of credit outstanding under its joint credit facilities with Dominion and Dominion Gas, were as follows:

	Facility Limit(1)		Outstanding Commercial Paper		Outstanding Letters of Credit
(millions)
Joint revolving credit facility(1)	$	5,000	$	1,276	$	—
Joint revolving credit facility(1)		500		—		—
Total	$	5,500	$	1,276	$	—

(1) The full amount of the facilities is available to Virginia Power, less any amounts outstanding to co-borrowers Dominion and Dominion Gas. Sub-limits for Virginia Power are set within the facility limit but can be changed at the option of the Companies multiple times per year. In March 2016, the aggregate sub-limit for Virginia Power was increased from $1.75 billion to $2.0 billion. If Virginia Power has liquidity needs in excess of its sub-limit, the sub-limit may be changed or such needs may be satisfied through short-term intercompany borrowings from Dominion. These credit facilities mature in April 2019, and can be used to support bank borrowings and the issuance of commercial paper, as well as to support up to $2.0 billion (or the sub-limit, whichever is less) of letters of credit.

In addition to the credit facility commitments mentioned above, Virginia Power also has a $120 million credit facility with a maturity date of April 2019. As of March 31, 2016, this facility supports $119 million of certain variable rate tax-exempt financings of Virginia Power.

Dominion Gas

Dominion Gas’ short-term financing is supported by its access as co-borrower to the two joint revolving credit facilities. These credit facilities can be used for working capital, as support for the combined commercial paper programs of the Companies and for other general corporate purposes.

At March 31, 2016, Dominion Gas’ share of commercial paper and letters of credit outstanding under its joint credit facilities with Dominion and Virginia Power were as follows:

	Facility Limit(1)		Outstanding Commercial Paper		Outstanding Letters of Credit
(millions)
Joint revolving credit facility(1)	$	1,000	$	403	$	—
Joint revolving credit facility(1)		500		—		—
Total	$	1,500	$	403	$	—

(1) A maximum of a combined $1.5 billion of the facilities is available to Dominion Gas, assuming adequate capacity is available after giving effect to uses by co-borrowers Dominion and Virginia Power. Sub-limits for Dominion Gas are set within the facility limit but can be changed at the option of the Companies multiple times per year. At March 31, 2016, the aggregate sub-limit for Dominion Gas was $1.0 billion. If Dominion Gas has liquidity needs in excess of its sub-limit, the sub-limit may be changed or such needs may be satisfied through short-term intercompany borrowings from Dominion. These credit facilities mature in April 2019, and can be used to support bank borrowings and the issuance of commercial paper, as well as to support up to $1.5 billion (or the sub-limit, whichever is less) of letters of credit.

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Remarketable Subordinated Notes

In March 2016, Dominion successfully remarketed the $550 million 2013 Series A 1.07% RSNs due 2021 pursuant to the terms of the 2013 Equity Units. In connection with the remarketing, the interest rate on the Series A junior subordinated notes was reset to 4.104%, payable on a semi-annual basis and Dominion ceased to have the ability to redeem the notes at its option or defer interest payments. At March 31, 2016, these securities are included in junior subordinated notes in Dominion’s Consolidated Balance Sheets. Dominion did not receive any proceeds from the remarketing. Remarketing proceeds belonged to the investors holding the related 2013 Equity Units and were temporarily used to purchase a portfolio of treasury securities. Upon maturity of the portfolio, the proceeds were applied on behalf of investors on the related stock purchase contract settlement date of April 1, 2016 to pay the purchase price to Dominion for issuance of 8.5 million shares of its common stock. See Issuance of Common Stock below for a description of common stock issued by Dominion in April 2016 under the stock purchase contract.

Enhanced Junior Subordinated Notes

In the first quarter of 2016, Dominion purchased and cancelled $38 million and $4 million of the June 2006 hybrids and the September 2006 hybrids, respectively. The purchases were conducted in compliance with the applicable replacement capital covenants.

Issuance of Common Stock

Dominion maintains Dominion Direct^® and a number of employee savings plans through which contributions may be invested in Dominion’s common stock. These shares may either be newly issued or purchased on the open market with proceeds contributed to these plans.

In December 2014, Dominion filed an SEC shelf registration for the sale of debt and equity securities including the ability to sell common stock through an at-the-market program. Also in December 2014, Dominion entered into four separate sales agency agreements to effect sales under the program and pursuant to which it may offer from time to time up to $500 million aggregate amount of its common stock. Sales of common stock can be made by means of privately negotiated transactions, as transactions on the New York Stock Exchange at market prices or in such other transactions as are agreed upon by Dominion and the sales agents and in conformance with applicable securities laws. Following issuances during the first and second quarters of 2015, Dominion has the ability to issue up to approximately $200 million of stock under the 2014 sales agency agreements; however, no additional issuances have occurred under these agreements in 2016.

In April 2016, Dominion issued 8.5 million shares under the stock purchase contract entered into as part of Dominion’s 2013 Series A Equity Units. Additionally, Dominion completed a market issuance of equity in April 2016 of 10.2 million shares and receipt of proceeds of $756 million through a registered underwritten public offering. In connection with receipt of these proceeds, the acquisition financing commitments for the Questar Combination were reduced from $3.9 billion to $3.14 billion in April 2016.

Note 15. Commitments and Contingencies

As a result of issues generated in the ordinary course of business, the Companies are involved in legal proceedings before various courts and are periodically subject to governmental examinations (including by regulatory authorities), inquiries and investigations. Certain legal proceedings and governmental examinations involve demands for unspecified amounts of damages, are in an initial procedural phase, involve uncertainty as to the outcome of pending appeals or motions, or involve significant factual issues that need to be resolved, such that it is not possible for the Companies to estimate a range of possible loss. For such matters for which the Companies cannot estimate a range of possible loss, a statement to this effect is made in the description of the matter. Other matters may have progressed sufficiently through the litigation or investigative processes such that the Companies are able to estimate a range of possible loss. For legal proceedings and governmental examinations for which the Companies are able to reasonably estimate a range of possible losses, an estimated range of possible loss is provided, in excess of the accrued liability (if any) for such matters. Any accrued liability is recorded on a gross basis with a receivable also recorded for any probable insurance recoveries. Estimated ranges of loss are inclusive of legal fees and net of any anticipated insurance recoveries. Any estimated range is based on currently available information and involves elements of judgment and significant uncertainties. Any estimated range of possible loss may not represent the Companies’ maximum possible loss exposure. The circumstances of such legal proceedings and governmental examinations will change from time to time and actual results may vary significantly from the current estimate. For current proceedings not specifically reported below, management does not anticipate that the liabilities, if any, arising from such proceedings would have a material effect on the financial position, liquidity or results of operations of the Companies.

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Environmental Matters

The Companies are subject to costs resulting from a number of federal, state and local laws and regulations designed to protect human health and the environment. These laws and regulations affect future planning and existing operations. They can result in increased capital, operating and other costs as a result of compliance, remediation, containment and monitoring obligations.

Air

CAA

The CAA, as amended, is a comprehensive program utilizing a broad range of regulatory tools to protect and preserve the nation’s air quality. At a minimum, states are required to establish regulatory programs to address all requirements of the CAA. However, states may choose to develop regulatory programs that are more restrictive. Many of the Companies’ facilities are subject to the CAA’s permitting and other requirements.

MATS

In December 2011, the EPA issued MATS for coal- and oil-fired electric utility steam generating units. The rule establishes strict emission limits for mercury, particulate matter as a surrogate for toxic metals and hydrogen chloride as a surrogate for acid gases. The rule includes a limited use provision for oil-fired units with annual capacity factors under 8% that provides an exemption from emission limits, and allows compliance with operational work practice standards. Compliance was required by April 16, 2015, with certain limited exceptions. However, in June 2014, the VDEQ granted a one-year MATS compliance extension for two coal-fired units at Yorktown to defer planned retirements and allow for continued operation of the units to address reliability concerns while necessary electric transmission upgrades are being completed. These coal units will need to continue operating until at least April 2017 due to delays in transmission upgrades needed to maintain electric reliability, which based on assumptions about the timing for required agency actions and construction schedules are expected to be completed by no earlier than the second quarter of 2017. Therefore, in October 2015, Virginia Power submitted a request to the EPA for an additional one year compliance extension under an EPA Administrative Order. The order was signed by the EPA in April 2016 allowing the Yorktown units to operate for up to one additional year, as required to maintain reliable power availability while transmission upgrades are being made.

In June 2015, the U.S. Supreme Court issued a decision holding that the EPA failed to take cost into account when the agency first decided to regulate the emissions from coal- and oil-fired plants, and remanded the MATS rule back to the U.S. Court of Appeals for the D.C. Circuit. However, the Supreme Court did not vacate or stay the effective date and implementation of the MATS rule. In November 2015, in response to the Supreme Court decision, the EPA proposed a supplemental finding that consideration of cost does not alter the agency’s previous conclusion that it is appropriate and necessary to regulate coal- and oil-fired electric utility steam generating units under Section 112 of the CAA. In December 2015, the D.C. Court of Appeals issued an order remanding the MATS rulemaking proceeding back to the EPA without setting aside judgment, noting that EPA had represented it was on track to issue a final finding regarding its consideration of cost. In April 2016, the EPA issued a final supplemental finding that consideration of costs does not alter its conclusion regarding appropriateness and necessity for the regulation. These actions do not change Virginia Power’s plans to close coal units at Yorktown or the need to complete necessary electricity transmission upgrades by 2017. Since the MATS rule remains in effect and Dominion is complying with the requirements of the rule, Dominion does not expect any adverse impacts to its operations at this time.

CAIR

The EPA established CAIR with the intent to require significant reductions in SO₂ and NO_X emissions from electric generating facilities. In July 2008, the U.S. Court of Appeals for the D.C. Circuit issued a ruling vacating CAIR. In December 2008, the Court denied rehearing, but also issued a decision to remand CAIR to the EPA. In July 2011, the EPA issued a replacement rule for CAIR, called CSAPR, that required 28 states to reduce power plant emissions that cross state lines. CSAPR established new SO₂ and NO_X emissions cap and trade programs that were completely independent of the current ARP. Specifically, CSAPR required reductions in SO₂ and NO_X emissions from fossil fuel-fired electric generating units of 25 MW or more through annual NO_X emissions caps, NO_X emissions caps during the ozone season (May 1 through September 30) and annual SO₂ emission caps with differing requirements for two groups of affected states.

CSAPR

Following numerous petitions by industry participants for review and a successful motion for stay, in October 2014, the U.S. Court of Appeals for the D.C. Circuit ordered that the EPA’s motion to lift the stay of CSAPR be granted. Further, the Court granted the EPA’s request to shift the CSAPR compliance deadlines by three years, so that Phase 1 emissions budgets (which would have gone into effect in 2012 and 2013) will apply in 2015 and 2016, and Phase 2 emissions budgets will apply in 2017 and beyond. CSAPR replaced CAIR beginning in January 2015. The cost to comply is not expected to be material to Dominion’s or Virginia Power’s Consolidated Financial Statements. Future outcomes of any additional litigation and/or any action to issue a revised rule, including the EPA’s recent proposal to reduce the ozone season NO_X emission budgets beginning in 2017, could affect the assessment regarding cost of compliance.

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Ozone Standards

In October 2015, the EPA issued a final rule tightening the ozone standard from 75-ppb to 70-ppb. The EPA is expected to complete attainment designations for a new standard by December 2017 and states will have until 2020 or 2021 to develop plans to address the new standard. In April 2016, Dominion submitted the NO_X Reasonable Available Control Technology analysis for Unit 5 at Possum Point power station. Until the states have developed implementation plans, the Companies are unable to predict whether or to what extent the new rules will ultimately require additional controls. However, if significant expenditures are required to implement additional controls, it could adversely affect the Companies’ results of operations and cash flows.

Hazardous Air Pollutants Standards

In August 2010, the EPA issued revised National Emission Standards for Hazardous Air Pollutants for Reciprocating Internal Combustion Engines, which was amended in March 2011 and January 2013. The rule establishes emission standards for control of hazardous air pollutants for engines at smaller facilities, known as area sources. As a result of these regulations, Dominion Gas has spent $2 million to install emissions controls on several compressor engines. Further capital spending is not expected to be material.

NSPS

In August 2012, the EPA issued the first NSPS impacting the natural gas production and gathering sectors and made revisions to the NSPS for natural gas processing and transmission facilities. These rules establish equipment performance specifications and emissions standards for control of VOC emissions for natural gas production wells, tanks, pneumatic controllers, and compressors in the upstream sector. In September 2015, the EPA issued a proposed NSPS to regulate methane and VOC emissions from transmission and storage, gathering and boosting, production and processing facilities. The proposed regulation is expected to be finalized in summer 2016. All projects which commenced construction after September 2015 will be required to comply with this regulation. Dominion and Dominion Gas are evaluating the proposed regulation and cannot currently estimate the potential impacts on results of operations, financial condition and/or cash flows related to this matter.

Methane Emissions

In January 2015, as part of its Climate Action Plan, the EPA announced plans to reduce methane emissions from the oil and gas sector including natural gas processing and transmission sources. In July 2015, the EPA announced the next generation of its voluntary Natural Gas STAR program, the Natural Gas STAR Methane Challenge Program. The proposed program covers the entire natural gas sector from production to distribution, with more emphasis on transparency and increased reporting for both annual emissions and reductions achieved through implementation measures. In March 2016, Dominion joined the EPA as a founding partner in this program for its distribution companies, East Ohio and Hope, and DTI.

In March 2016, President Obama directed the EPA to develop regulations for reducing methane emissions from existing sources in the oil and natural gas sectors. The EPA intends to issue an Information Collection Request to collect information on existing sources in this sector in fall 2016. Depending on the results of this Information Collection Request effort, the EPA may propose new regulations on existing sources. Dominion and Dominion Gas cannot currently estimate the potential impacts on results of operations, financial condition and/or cash flows related to this matter.

NO_x and VOC Emissions

In April 2014, the Pennsylvania Department of Environmental Protection issued proposed regulations to reduce NO_X and VOC emissions from combustion sources. The regulations were finalized in April 2016. To comply with the regulations, Dominion Gas anticipates installing emission control systems on existing engines at several compressor stations in Pennsylvania. The compliance costs associated with engineering and installation of controls and compliance demonstration with the regulation are expected to be approximately $25 million.

Climate Change Legislation and Regulation

In October 2013, the U.S. Supreme Court granted petitions filed by several industry groups, states, and the U.S. Chamber of Commerce seeking review of the U.S. Court of Appeals for the D.C. Circuit’s June 2012 decision upholding the EPA’s regulation of GHG emissions from stationary sources under the CAA’s permitting programs. In June 2014, the U.S. Supreme Court ruled that the EPA lacked the authority under the CAA to require PSD or Title V permits for stationary sources based solely on GHG emissions. However, the Court upheld the EPA’s ability to require BACT for GHG for sources that are otherwise subject to PSD or Title V permitting for conventional pollutants. In July 2014, the EPA issued a memorandum specifying that it will no longer apply or enforce federal regulations or EPA-approved PSD state implementation plan provisions that require new and modified stationary sources to obtain a PSD permit when GHGs are the only pollutant that would be emitted at levels that exceed the permitting thresholds. In August 2015, the EPA published a final rule rescinding the requirement for all new and modified major sources to obtain permits based solely on their GHG emissions. In addition, the

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EPA stated that it will continue to use the existing thresholds to apply to sources that are otherwise subject to PSD for conventional pollutants until it completes a new rulemaking either justifying and upholding those thresholds or setting new ones. Some states have issued interim guidance that follows the EPA guidance. Due to uncertainty regarding what additional actions states may take to amend their existing regulations and what action the EPA ultimately takes to address the Court ruling under a new rulemaking, the Companies cannot predict the impact to their financial statements at this time.

In July 2011, the EPA signed a final rule deferring the need for PSD and Title V permitting for CO₂ emissions for biomass projects. This rule temporarily deferred for a period of up to three years the consideration of CO₂ emissions from biomass projects when determining whether a stationary source meets the PSD and Title V applicability thresholds, including those for the application of BACT. The deferral policy expired in July 2014. In July 2013, the U.S. Court of Appeals for the D.C. Circuit vacated this rule; however, a mandate making this decision effective has not been issued. Virginia Power converted three coal-fired generating stations, Altavista, Hopewell and Southampton, to biomass during the CO₂ deferral period. It is unclear how the court’s decision or the EPA’s final policy regarding the treatment of specific feedstock will affect biomass sources that were permitted during the deferral period; however, the expenditures to comply with any new requirements could be material to Dominion’s and Virginia Power’s financial statements.

Water

The CWA, as amended, is a comprehensive program requiring a broad range of regulatory tools including a permit program to authorize and regulate discharges to surface waters with strong enforcement mechanisms. The Companies must comply with applicable aspects of the CWA programs at their operating facilities.

In October 2014, the final regulations under Section 316(b) of the CWA that govern existing facilities and new units at existing facilities that employ a cooling water intake structure and that have flow levels exceeding a minimum threshold became effective. The rule establishes a national standard for impingement based on seven compliance options, but forgoes the creation of a single technology standard for entrainment. Instead, the EPA has delegated entrainment technology decisions to state regulators. State regulators are to make case-by-case entrainment technology determinations after an examination of five mandatory facility-specific factors, including a social cost-benefit test, and six optional facility-specific factors. The rule governs all electric generating stations with water withdrawals above two MGD, with a heightened entrainment analysis for those facilities over 125 MGD. Dominion and Virginia Power have 14 and 11 facilities, respectively, that may be subject to the final regulations. Dominion anticipates that it will have to install impingement control technologies at many of these stations that have once-through cooling systems. Dominion and Virginia Power are currently evaluating the need or potential for entrainment controls under the final rule as these decisions will be made on a case-by-case basis after a thorough review of detailed biological, technology, cost and benefit studies. While the impacts of this rule could be material to Dominion’s and Virginia Power’s results of operations, financial condition and/or cash flows, the existing regulatory framework in Virginia provides rate recovery mechanisms that could substantially mitigate any such impacts for Virginia Power.

In September 2015, the EPA released a final rule to revise the Effluent Limitations Guidelines for the Steam Electric Power Generating Category. The final rule establishes updated standards for wastewater discharges that apply primarily at coal and oil steam generating stations. Affected facilities are required to convert from wet to dry or closed cycle coal ash management, improve existing wastewater treatment systems and/or install new wastewater treatment technologies in order to meet the new discharge limits. Virginia Power has eight facilities that may be subject to additional wastewater treatment requirements associated with the final rule. The expenditures to comply with these new requirements are expected to be material.

Solid and Hazardous Waste

The CERCLA, as amended, provides for immediate response and removal actions coordinated by the EPA in the event of threatened releases of hazardous substances into the environment and authorizes the U.S. government either to clean up sites at which hazardous substances have created actual or potential environmental hazards or to order persons responsible for the situation to do so. Under the CERCLA, as amended, generators and transporters of hazardous substances, as well as past and present owners and operators of contaminated sites, can be jointly, severally and strictly liable for the cost of cleanup. These potentially responsible parties can be ordered to perform a cleanup, be sued for costs associated with an EPA-directed cleanup, voluntarily settle with the U.S. government concerning their liability for cleanup costs, or voluntarily begin a site investigation and site remediation under state oversight.

From time to time, Dominion, Virginia Power, or Dominion Gas may be identified as a potentially responsible party to a Superfund site. The EPA (or a state) can either allow such a party to conduct and pay for a remedial investigation, feasibility study and remedial action or conduct the remedial investigation and action itself and then seek reimbursement from the potentially responsible parties. Each party can be held jointly, severally and strictly liable for the cleanup costs. These parties can also bring contribution actions against each other and seek reimbursement from their insurance companies. As a result,

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Dominion, Virginia Power, or Dominion Gas may be responsible for the costs of remedial investigation and actions under the Superfund law or other laws or regulations regarding the remediation of waste. Except as noted below, the Companies do not believe this will have a material effect on results of operations, financial condition and/or cash flows.

In September 2011, the EPA issued a UAO to Virginia Power and 22 other parties, ordering specific remedial action of certain areas at the Ward Transformer Superfund site located in Raleigh, North Carolina. Virginia Power does not believe it is a liable party under CERCLA based on its alleged connection to the site. In November 2011, Virginia Power and a number of other parties notified the EPA that they are declining to undertake the work set forth in the UAO.

The EPA may seek to enforce a UAO in court pursuant to its enforcement authority under CERCLA, and may seek recovery of its costs in undertaking removal or remedial action. If the court determines that a respondent failed to comply with the UAO without sufficient cause, the EPA may also seek civil penalties of up to $37,500 per day for the violation and punitive damages of up to three times the costs incurred by the EPA as a result of the party’s failure to comply with the UAO. Virginia Power is currently unable to make an estimate of the potential financial statement impacts related to the Ward Transformer matter.

Dominion has determined that it is associated with 17 former manufactured gas plant sites, three of which pertain to Virginia Power and 12 of which pertain to Dominion Gas. Studies conducted by other utilities at their former manufactured gas plant sites have indicated that those sites contain coal tar and other potentially harmful materials. None of the former sites with which the Companies are associated is under investigation by any state or federal environmental agency. At one of the former sites, Dominion is conducting a state-approved post closure groundwater monitoring program and an environmental land use restriction has been recorded. Another site has been accepted into a state-based voluntary remediation program. Virginia Power is currently evaluating the nature and extent of the contamination from this site as well as potential remedial options. Preliminary costs for options under evaluation for the site range from $1 million to $22 million. Due to the uncertainty surrounding the other sites, the Companies are unable to make an estimate of the potential financial statement impacts.

See below for discussion on ash pond and landfill closure costs.

Other Legal Matters

The Companies are defendants in a number of lawsuits and claims involving unrelated incidents of property damage and personal injury. Due to the uncertainty surrounding these matters, the Companies are unable to make an estimate of the potential financial statement impacts; however, they could have a material impact on results of operations, financial condition and/or cash flows.

Appalachian Gateway

Following the completion of the Appalachian Gateway project in 2012, DTI received multiple change order requests and other claims for additional payments from a pipeline contractor for the project. In July 2013, DTI filed a complaint in U.S. District Court for the Eastern District of Virginia for breach of contract as well as accounting and declaratory relief. The contractor filed a motion to dismiss, or in the alternative, a motion to transfer venue to Pennsylvania and/or West Virginia, where the pipelines were constructed. DTI filed an opposition to the contractor’s motion in August 2013. In November 2013, the court granted the contractor’s motion on the basis that DTI must first comply with the dispute resolution process. In July 2015, the contractor filed a complaint against DTI in U.S. District Court for the Western District of Pennsylvania. In August 2015, DTI filed a motion to dismiss, or in the alternative, a motion to transfer venue to Virginia. In March 2016, the Pennsylvania court granted the motion to dismiss and transferred the case to the U.S. District Court for the Eastern District of Virginia. In April 2016, the Virginia court issued an order staying the proceedings and ordering mediation. This case is pending. DTI has accrued a liability of $6 million for this matter. Dominion Gas cannot currently estimate additional financial statement impacts, but there could be a material impact to its financial condition and/or cash flows.

Ash Pond and Landfill Closure Costs

In September 2014, Virginia Power received a notice from the Southern Environmental Law Center on behalf of the Potomac Riverkeeper and Sierra Club alleging CWA violations at Possum Point power station. The notice alleges unpermitted discharges to surface water and groundwater from Possum Point power station’s historical and active ash storage facilities. A similar notice from the Southern Environmental Law Center on behalf of the Sierra Club was subsequently received related to Chesapeake power station. In December 2014, Virginia Power offered to close all of its coal ash ponds and landfills at Possum Point, Chesapeake and Bremo power stations as settlement of the potential litigation. While the issue is open to potential further negotiations, the Southern Environmental Law Center declined the offer as presented in January 2015 and, in March 2015, filed a lawsuit related to its claims of the alleged CWA violations at Chesapeake power station. Virginia Power filed a motion to dismiss in April 2015, which was denied in November 2015. A trial is scheduled for June 2016. This case is pending. As a result of the December 2014 settlement offer, Virginia Power recognized a charge of $121 million in other operations and maintenance expense in its Consolidated Statements of Income in the Companies’ Annual Report on Form 10-K for the year ended December 31, 2014.

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In April 2015, the EPA’s final rule regulating the management of CCRs stored in impoundments (ash ponds) and landfills was published in the Federal Register. The final rule regulates CCR landfills, existing ash ponds that still receive and manage CCRs, and inactive ash ponds that do not receive, but still store CCRs. Virginia Power currently operates inactive ash ponds, existing ash ponds, and CCR landfills subject to the final rule at eight different facilities. The enactment of the final rule in April 2015 created a legal obligation for Virginia Power to retrofit or close all of its inactive and existing ash ponds over a certain period of time, as well as perform required monitoring, corrective action, and post-closure care activities as necessary. In April 2016, the EPA announced a partial settlement with certain environmental and industry organizations that had challenged the final CCR rule in the U.S. Court of Appeals for the D.C. Circuit. As part of the settlement, certain exemptions included in the final rule for inactive ponds that closed by April 2018 will be removed, resulting in inactive ponds ultimately being subject to the same requirements as existing ponds. Virginia Power does not believe this change will substantially impact its closure plans for inactive ponds.

In 2015, Virginia Power recorded a $386 million ARO related to future ash pond and landfill closure costs. Recognition of the ARO also resulted in a $99 million incremental charge recorded in other operations and maintenance expense in its Consolidated Statement of Income, a $166 million increase in property, plant, and equipment associated with asset retirement costs, and a $121 million reduction in other noncurrent liabilities related to reversal of the contingent liability described above since the ARO obligation created by the final CCR rule represents similar activities. Virginia Power is in the process of obtaining the necessary permits to complete the work. In February and March 2016, respectively, two parties filed administrative appeals in the Circuit Court for the City of Richmond challenging certain provisions, relating to ash pond dewatering activities, of Possum Point power station’s wastewater discharge permit issued by the VDEQ in January 2016. Virginia Power cannot predict the financial impact associated with these appeals, but believes that it will not be material. The actual AROs related to the CCR rule may vary substantially from the estimates used to record the increased obligation in 2015.

Cove Point

Dominion is constructing the Liquefaction Project at the Cove Point facility, which would enable the facility to liquefy domestically-produced natural gas and export it as LNG. In September 2014, FERC issued an order granting authorization for Cove Point to construct, modify and operate the Liquefaction Project. In October 2014, several parties filed a motion with FERC to stay the order and requested rehearing. In May 2015, FERC denied the requests for stay and rehearing.

Two parties have separately filed petitions for review of the FERC order in the U.S. Court of Appeals for the D.C. Circuit, which petitions have been consolidated. Separately, one party requested a stay of the FERC order until the judicial proceedings are complete, which the court denied in June 2015.

Nuclear Matters

In March 2011, a magnitude 9.0 earthquake and subsequent tsunami caused significant damage at the Fukushima Daiichi nuclear power station in northeast Japan. These events have resulted in significant nuclear safety reviews required by the NRC and industry groups such as the Institute of Nuclear Power Operations. Like other U.S. nuclear operators, Dominion has been gathering supporting data and participating in industry initiatives focused on the ability to respond to and mitigate the consequences of design-basis and beyond-design-basis events at its stations.

In July 2011, an NRC task force provided initial recommendations based on its review of the Fukushima Daiichi accident and in October 2011 the NRC staff prioritized these recommendations into Tiers 1, 2 and 3, with the Tier 1 recommendations consisting of actions which the staff determined should be started without unnecessary delay. In December 2011, the NRC Commissioners approved the agency staff’s prioritization and recommendations, and that same month an appropriations act directed the NRC to require reevaluation of external hazards (not limited to seismic and flooding hazards) as soon as possible.

Based on the prioritized recommendations, in March 2012, the NRC issued orders and information requests requiring specific reviews and actions to all operating reactors, construction permit holders and combined license holders based on the lessons learned from the Fukushima Daiichi event. The orders applicable to Dominion requiring implementation of safety enhancements related to mitigation strategies to respond to extreme natural events resulting in the loss of power at plants, and enhancing spent fuel pool instrumentation have been implemented. The information requests issued by the NRC request each reactor to reevaluate the seismic and external flooding hazards at their site using present-day methods and information, conduct walkdowns of their facilities to ensure protection against the hazards in their current design basis, and to reevaluate their emergency communications systems and staffing levels. The walkdowns of each unit have been completed, audited by the NRC and found to be adequate. Reevaluation of the emergency communications systems and staffing levels was completed as part of the effort to comply with the orders. Reevaluation of the seismic and external flooding hazards is expected to continue through

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2018. Dominion and Virginia Power do not currently expect that compliance with the NRC’s information requests will materially impact their financial position, results of operations or cash flows during the implementation period. The NRC staff is evaluating the implementation of the longer term Tier 2 and Tier 3 recommendations. Dominion and Virginia Power do not expect material financial impacts related to compliance with Tier 2 and Tier 3 recommendations.

Guarantees, Surety Bonds and Letters of Credit

Dominion

At March 31, 2016, Dominion had issued $73 million of guarantees, primarily to support equity method investees. No significant amounts related to these guarantees have been recorded. As of March 31, 2016, Dominion’s exposure under these guarantees was $38 million, primarily related to certain reserve requirements associated with non-recourse financing.

Dominion also enters into guarantee arrangements on behalf of its consolidated subsidiaries, primarily to facilitate their commercial transactions with third parties. To the extent that a liability subject to a guarantee has been incurred by one of Dominion’s consolidated subsidiaries, that liability is included in the Consolidated Financial Statements. Dominion is not required to recognize liabilities for guarantees issued on behalf of its subsidiaries unless it becomes probable that it will have to perform under the guarantees. Terms of the guarantees typically end once obligations have been paid. Dominion currently believes it is unlikely that it would be required to perform or otherwise incur any losses associated with guarantees of its subsidiaries’ obligations.

At March 31, 2016, Dominion had issued the following subsidiary guarantees:

	Stated Limit		Value(1)
(millions)
Subsidiary debt(2)	$	27	$	27
Commodity transactions(3)		2,136		887
Nuclear obligations(4)		189		82
Cove Point(5)		1,900		—
Solar(6)		1,565		326
Other(7)		433		28
Total	$	6,250	$	1,350

(1) Represents the estimated portion of the guarantee’s stated limit that is utilized as of March 31, 2016 based upon prevailing economic conditions and fact patterns specific to each guarantee arrangement. For those guarantees related to obligations that are recorded as liabilities by Dominion’s subsidiaries, the value includes the recorded amount.

(2) Guarantee of debt of a DEI subsidiary. In the event of default by the subsidiary, Dominion would be obligated to repay such amounts.

(3) Guarantees related to commodity commitments of certain subsidiaries, including subsidiaries of Virginia Power, Dominion Gas and DEI. These guarantees were provided to counterparties in order to facilitate physical and financial transactions in gas, oil, electricity, pipeline capacity, transportation and related commodities and services. If any of these subsidiaries fail to perform or pay under the contracts and the counterparties seek performance or payment, Dominion would be obligated to satisfy such obligation. Dominion and its subsidiaries receive similar guarantees as collateral for credit extended to others. The value provided includes certain guarantees that do not have stated limits.

(4) Guarantees related to certain DEI subsidiaries’ potential retrospective premiums that could be assessed if there is a nuclear incident under Dominion’s nuclear insurance programs and guarantees for a DEI subsidiary’s and Virginia Power’s commitment to buy nuclear fuel. Excludes Dominion’s agreement to provide up to $150 million and $60 million to two DEI subsidiaries to pay the operating expenses of Millstone nuclear power station (in the event of a prolonged outage) and Kewaunee nuclear power station, respectively, as part of satisfying certain NRC requirements concerned with ensuring adequate funding for the operations of nuclear power stations. The agreement for Kewaunee nuclear power station also provides for funds through the completion of decommissioning.

(5) Guarantees related to Cove Point, in support of terminal services, transportation and construction. Two of the guarantees have no stated limit, one guarantee has a $150 million limit, and one guarantee has a $1.75 billion aggregate limit with an annual draw limit of $175 million.

(6) Includes guarantees to facilitate the development of solar projects including guarantees that do not have stated limits. Also includes guarantees entered into by DEI on behalf of certain subsidiaries to facilitate the acquisition and development of solar projects.

(7) Guarantees related to other miscellaneous contractual obligations such as leases, environmental obligations and construction projects. Also includes guarantees related to certain DEI subsidiaries’ obligations for equity capital contributions and energy generation associated with Fowler Ridge and NedPower. As of March 31, 2016, Dominion’s maximum remaining cumulative exposure under these equity funding agreements is $45 million through 2019 and its maximum annual future contributions could range from approximately $4 million to $19 million. The value provided includes certain guarantees that do not have stated limits.

Additionally, at March 31, 2016, Dominion had purchased $94 million of surety bonds, including $34 million at Virginia Power and $23 million at Dominion Gas, and authorized the issuance of letters of credit by financial institutions of $57 million to facilitate commercial transactions by its subsidiaries with third parties. Under the terms of surety bonds, the Companies are obligated to indemnify the respective surety bond company for any amounts paid.

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Note 16. Credit Risk

The Companies’ accounting policies for credit risk are discussed in Note 23 to the Consolidated Financial Statements in the Companies’ Annual Report on Form 10-K for the year ended December 31, 2015.

At March 31, 2016, Dominion’s credit exposure related to energy marketing and price risk management activities totaled $175 million. Of this amount, investment grade counterparties, including those internally rated, represented 71%. No single counterparty, whether investment grade or non-investment grade, exceeded $30 million of exposure.

Credit-Related Contingent Provisions

The majority of Dominion’s derivative instruments contain credit-related contingent provisions. These provisions require Dominion to provide collateral upon the occurrence of specific events, primarily a credit rating downgrade. If the credit-related contingent features underlying these instruments that are in a liability position and not fully collateralized with cash were fully triggered as of March 31, 2016 and December 31, 2015, Dominion would have been required to post an additional $7 million and $12 million, respectively, of collateral to its counterparties. The collateral that would be required to be posted includes the impacts of any offsetting asset positions and any amounts already posted for derivatives, non-derivative contracts and derivatives elected under the normal purchases and normal sales exception, per contractual terms. Dominion had not posted any collateral at March 31, 2016 or December 31, 2015 related to derivatives with credit-related contingent provisions that are in a liability position and not fully collateralized with cash. The collateral posted includes any amounts paid related to non-derivative contracts and derivatives elected under the normal purchases and normal sales exception, per contractual terms. The aggregate fair value of all derivative instruments with credit-related contingent provisions that are in a liability position and not fully collateralized with cash as of March 31, 2016 and December 31, 2015 was $19 million and $49 million, respectively, which does not include the impact of any offsetting asset positions. Credit-related contingent provisions for Virginia Power and Dominion Gas were not material as of March 31, 2016 and December 31, 2015. See Note 9 for further information about derivative instruments.

Note 17. Related-Party Transactions

Virginia Power and Dominion Gas engage in related-party transactions primarily with other Dominion subsidiaries (affiliates). Virginia Power’s and Dominion Gas’ receivable and payable balances with affiliates are settled based on contractual terms or on a monthly basis, depending on the nature of the underlying transactions. Virginia Power and Dominion Gas are included in Dominion’s consolidated federal income tax return. Dominion’s transactions with equity method investments are described in Note 10. A discussion of significant related-party transactions follows.

Virginia Power

Transactions with Affiliates

Virginia Power transacts with affiliates for certain quantities of natural gas and other commodities in the ordinary course of business. Virginia Power also enters into certain commodity derivative contracts with affiliates. Virginia Power uses these contracts, which are principally comprised of commodity physical forwards and options, to manage commodity price risks associated with purchases of natural gas. As of March 31, 2016, Virginia Power’s derivative assets and liabilities with affiliates were each $14 million. As of December 31, 2015, Virginia Power’s derivative assets and liabilities with affiliates were $13 million and $22 million, respectively. See Note 9 for more information.

Virginia Power participates in certain Dominion benefit plans described in Note 18. In Virginia Power’s Consolidated Balance Sheets at March 31, 2016 and December 31, 2015, amounts due to Dominion associated with these benefit plans included in other deferred credits and other liabilities were $336 million and $316 million, respectively, and amounts due from Dominion at March 31, 2016 and December 31, 2015 included in other deferred charges and other assets were $87 million and $77 million, respectively.

DRS and other affiliates provide accounting, legal, finance and certain administrative and technical services to Virginia Power. In addition, Virginia Power provides certain services to affiliates, including charges for facilities and equipment usage.

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Presented below are Virginia Power’s significant transactions with DRS and other affiliates:

	Three Months Ended March 31,
	2016		2015
(millions)
Commodity purchases from affiliates	$	145	$	252
Services provided by affiliates(1)		140		110
Services provided to affiliates		5		5

(1) Includes capitalized expenditures of $39 million and $35 million for the three months ended March 31, 2016 and 2015, respectively.

Virginia Power has borrowed funds from Dominion under short-term borrowing arrangements. Virginia Power had no short-term demand note borrowings from Dominion as of March 31, 2016. There were $376 million in short-term demand note borrowings from Dominion as of December 31, 2015. Virginia Power had no outstanding borrowings under the Dominion money pool for its nonregulated subsidiaries as of March 31, 2016 and December 31, 2015. Interest charges related to Virginia Power’s borrowings from Dominion were immaterial for the three months ended March 31, 2016 and 2015.

There were no issuances of Virginia Power’s common stock to Dominion for the three months ended March 31, 2016 and 2015.

Dominion Gas

Transactions with Related Parties

Dominion Gas transacts with affiliates for certain quantities of natural gas and other commodities at market prices in the ordinary course of business. Additionally, Dominion Gas provides transportation and storage services to affiliates. Dominion Gas also enters into certain other contracts with affiliates, which are presented separately from contracts involving commodities or services. As of March 31, 2016 and December 31, 2015, all of Dominion Gas’ commodity derivatives were with affiliates. See Notes 7 and 9 for more information.

Dominion Gas participates in certain Dominion benefit plans as described in Note 18. In Dominion Gas’ Consolidated Balance Sheets at March 31, 2016 and December 31, 2015, amounts due from Dominion associated with these benefit plans included in noncurrent pension and other postretirement benefit assets were $663 million and $652 million, respectively, and amounts due to Dominion at March 31, 2016 and December 31, 2015 included in other deferred credits and other liabilities were $1 million and $2 million, respectively.

DRS and other affiliates provide accounting, legal, finance and certain administrative and technical services to Dominion Gas. Dominion Gas provides certain services to related parties, including technical services. The amounts recognized for these services were as follows:

	Three Months Ended March 31,
	2016		2015
(millions)
Purchases of natural gas and transportation and storage services from affiliates	$	3	$	2
Sales of natural gas and transportation and storage services to affiliates		17		18
Services provided by related parties(1)		39		34
Services provided to related parties (2)		27		20

(1) Includes capitalized expenditures of $12 million and $13 million for the three months ended March 31, 2016 and 2015, respectively.

(2) Amounts primarily attributable to Atlantic Coast Pipeline.

The following table presents affiliated and related-party activity reflected in Dominion Gas’ Consolidated Balance Sheets:

	March 31, 2016		December 31, 2015
(millions)
Other receivables (1)	$	8	$	7
Customer receivables from related parties		2		4
Imbalances receivable from affiliates(2)		3		1
Affiliated notes receivable(3)		15		14

(1) Represents amounts due from Atlantic Coast Pipeline, a related-party VIE.

(2) Amounts are presented in other current assets in Dominion Gas’ Consolidated Balance Sheets.

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(3) Amounts are presented in other deferred charges and other assets in Dominion Gas’ Consolidated Balance Sheets.

Dominion Gas’ borrowings under the intercompany revolving credit agreement with Dominion totaled $40 million and $95 million as of March 31, 2016 and December 31, 2015, respectively. Interest charges related to Dominion Gas’ total borrowings from Dominion were immaterial for the three months ended March 31, 2016 and 2015.

Note 18. Employee Benefit Plans

In the first quarter of 2016, the Companies announced an organizational design initiative that will reduce their total workforces during 2016. The goal of the organizational design initiative was to streamline our leadership structure and push decision making lower while also improving efficiency. In the first quarter of 2016, Dominion recorded a $70 million ($43 million after-tax) charge, including $40 million ($25 million after-tax) at Virginia Power and $8 million ($5 million after-tax) at Dominion Gas, primarily reflected in other operations and maintenance expense in their Consolidated Statements of Income due to severance pay and other costs related to the organizational design initiative. The terms of the severance under the organizational design initiative were consistent with the Companies’ existing severance plans.

Dominion

The components of Dominion’s provision for net periodic benefit cost (credit) were as follows:

	Pension Benefits						Other Postretirement Benefits
	2016			2015			2016			2015
(millions)
Three Months Ended March 31,
Service cost	$	29		$	32		$	8		$	10
Interest cost		77			72			17			17
Expected return on plan assets		(139	)		(133	)		(29	)		(29	)
Amortization of prior service credit		—			—			(7	)		(7	)
Amortization of net actuarial loss		28			40			1			1
Net periodic benefit cost (credit)	$	(5	)	$	11		$	(10	)	$	(8	)

Employer Contributions

During the three months ended March 31, 2016, Dominion made no contributions to its defined benefit pension plans or other postretirement benefit plans. Dominion expects to contribute approximately $12 million to its other postretirement benefit plans through VEBAs during the remainder of 2016.

Dominion Gas

Dominion Gas participates in certain Dominion benefit plans as described in Note 21 to the Consolidated Financial Statements in the Companies’ Annual Report on Form 10-K for the year ended December 31, 2015. See Note 17 for more information.

The components of Dominion Gas’ provision for net periodic benefit credit for employees represented by collective bargaining units were as follows:

	Pension Benefits						Other Postretirement Benefits
	2016			2015			2016			2015
(millions)
Three Months Ended March 31,
Service cost	$	3		$	3		$	1		$	2
Interest cost		8			7			3			3
Expected return on plan assets		(33	)		(31	)		(5	)		(6	)
Amortization of net actuarial loss		3			5			—			1
Net periodic benefit credit	$	(19	)	$	(16	)	$	(1	)	$	—

Employer Contributions

During the three months ended March 31, 2016, Dominion Gas made no contributions to its defined benefit pension plans or other postretirement benefit plans. Dominion Gas expects to contribute approximately $12 million to its other postretirement benefit plans through VEBAs, for both employees represented by collective bargaining units and employees not represented by collective bargaining units, during the remainder of 2016.

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Note 19. Operating Segments

The Companies are organized primarily on the basis of products and services sold in the U.S. A description of the operations included in the Companies’ primary operating segments is as follows:

Primary Operating Segment	Description of Operations	Dominion	Virginia Power	Dominion Gas
DVP	Regulated electric distribution	X	X
	Regulated electric transmission	X	X
Dominion Generation	Regulated electric fleet	X	X
	Merchant electric fleet	X
Dominion Energy	Gas transmission and storage(1)	X		X
	Gas distribution and storage	X		X
	Gas gathering and processing	X		X
	LNG import and storage	X
	Nonregulated retail energy marketing(2)	X

(1) Includes remaining producer services activities for Dominion.

(2) As a result of Dominion’s decision to realign its business units effective for 2015 year-end reporting, nonregulated retail energy marketing operations were moved from the Dominion Generation segment to the Dominion Energy segment.

In addition to the operating segments above, the Companies also report a Corporate and Other segment.

Dominion

The Corporate and Other Segment of Dominion includes its corporate, service company and other functions (including unallocated debt) and the net impact of operations that are discontinued or sold. In addition, Corporate and Other includes specific items attributable to Dominion’s operating segments that are not included in profit measures evaluated by executive management in assessing the segments’ performance or in allocating resources.

In the three months ended March 31, 2016, Dominion reported an after-tax net expense of $48 million for specific items in the Corporate and Other segment, with $38 million of these net expenses attributable to its operating segments. In the three months ended March 31, 2015, Dominion reported an after-tax net expense of $48 million for specific items in the Corporate and Other segment, with $45 million of these net expenses attributable to its operating segments.

The net expense for specific items attributable to Dominion’s operating segments in 2016 primarily related to the impact of the following item:

• A $66 million ($41 million after-tax) charge related to an organizational design initiative, attributable to:

• DVP ($6 million after-tax);

• Dominion Energy ($12 million after-tax); and

• Dominion Generation ($23 million after-tax).

The net expense for specific items in 2015 primarily related to the impact of the following items, all of which were attributable to Dominion Generation:

• An $85 million ($52 million after-tax) write-off of deferred fuel costs associated with Virginia legislation enacted in February 2015; and

• A $17 million ($10 million after-tax) billing adjustment related to PJM; partially offset by

• A $27 million ($17 million after-tax) net gain on investments held in nuclear decommissioning trust funds.

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The following table presents segment information pertaining to Dominion’s operations:

	DVP		Dominion Generation(1)		Dominion Energy(1)		Corporate and Other			Adjustments/ Eliminations(1)			Consolidated Total
(millions)
Three Months Ended March 31, 2016
Total revenue from external customers	$	556	$	1,693	$	485	$	3		$	184		$	2,921
Intersegment revenue		5		3		178		192			(378	)		—
Total operating revenue		561		1,696		663		195			(194	)		2,921
Net income (loss) attributable to Dominion		120		245		186		(27	)		—			524
Three Months Ended March 31, 2015
Total revenue from external customers	$	564	$	1,989	$	536	$	(13	)	$	333		$	3,409
Intersegment revenue		5		3		310		142			(460	)		—
Total operating revenue		569		1,992		846		129			(127	)		3,409
Net income (loss) attributable to Dominion		140		262		227		(93	)		—			536

(1) 2015 amounts have been recast to reflect nonregulated retail energy marketing operations in the Dominion Energy segment.

Intersegment sales and transfers for Dominion are based on contractual arrangements and may result in intersegment profit or loss that is eliminated in consolidation.

Virginia Power

The Corporate and Other Segment of Virginia Power primarily includes specific items attributable to its operating segments that are not included in profit measures evaluated by executive management in assessing the segments’ performance or in allocating resources.

In the three months ended March 31, 2016, Virginia Power reported an after-tax net expense of $26 million for specific items in the Corporate and Other segment, with $25 million of these net expenses attributable to its operating segments. In the three months ended March 31, 2015, Virginia Power reported an after-tax net expense of $61 million for specific items in the Corporate and Other segment, all of which was attributable to its operating segments.

The net expense for specific items attributable to Virginia Power’s operating segments in 2016 primarily related to the impact of the following item:

• A $40 million ($25 million after-tax) charge related to an organizational design initiative, attributable to:

• DVP ($6 million after-tax); and

• Dominion Generation ($19 million after-tax).

The net expense for specific items in 2015 primarily related to the impact of the following items, all of which were attributable to Dominion Generation:

• An $85 million ($52 million after-tax) write-off of deferred fuel costs associated with Virginia legislation enacted in February 2015; and

• A $15 million ($9 million after-tax) billing adjustment related to PJM.

The following table presents segment information pertaining to Virginia Power’s operations:

	DVP		Dominion Generation		Corporate and Other			Consolidated Total
(millions)
Three Months Ended March 31, 2016
Operating revenue	$	557	$	1,333	$	—		$	1,890
Net income (loss)		118		166		(21	)		263
Three Months Ended March 31, 2015
Operating revenue	$	567	$	1,585	$	(15	)	$	2,137
Net income (loss)		140		190		(61	)		269

Dominion Gas

The Corporate and Other Segment of Dominion Gas primarily includes specific items attributable to Dominion Gas’ operating segment that are not included in profit measures evaluated by executive management in assessing the segment’s performance or in allocating resources and the effect of certain items recorded at Dominion Gas as a result of Dominion’s basis in the net assets contributed.

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In the three months ended March 31, 2016, Dominion Gas reported an after-tax net expense of $2 million for specific items in the Corporate and Other segment, all of which was attributable to its operating segment. In the three months ended March 31, 2015, Dominion Gas reported no amounts for specific items in the Corporate and Other segment.

The net expense for specific items in 2016 primarily related to an $8 million ($5 million after-tax) charge related to an organizational design initiative.

The following table presents segment information pertaining to Dominion Gas’ operations:

	Dominion Energy		Corporate and Other			Consolidated Total
(millions)
Three Months Ended March 31, 2016
Operating revenue	$	431	$	—		$	431
Net income (loss)		103		(5	)		98
Three Months Ended March 31, 2015
Operating revenue	$	531	$	—		$	531
Net income (loss)		164		(3	)		161

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ITEM 2. MANAGEMENT’S DISCUSSION AND ANALYSIS

OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS

MD&A discusses Dominion’s results of operations and general financial condition and Virginia Power’s and Dominion Gas’ results of operations. MD&A should be read in conjunction with the Companies’ Consolidated Financial Statements. Virginia Power and Dominion Gas meet the conditions to file under the reduced disclosure format, and therefore have omitted certain sections of MD&A.

Contents of MD&A

MD&A consists of the following information:

• Forward-Looking Statements

• Accounting Matters - Dominion

• Dominion

• Results of Operations

• Segment Results of Operations

• Virginia Power

• Results of Operations

• Dominion Gas

• Results of Operations

• Liquidity and Capital Resources - Dominion

• Future Issues and Other Matters - Dominion

Forward-Looking Statements

This report contains statements concerning the Companies’ expectations, plans, objectives, future financial performance and other statements that are not historical facts. These statements are “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. In most cases, the reader can identify these forward-looking statements by such words as “anticipate,” “estimate,” “forecast,” “expect,” “believe,” “should,” “could,” “plan,” “may,” “continue,” “target” or other similar words.

The Companies make forward-looking statements with full knowledge that risks and uncertainties exist that may cause actual results to differ materially from predicted results. Factors that may cause actual results to differ are often presented with the forward-looking statements themselves. Additionally, other factors may cause actual results to differ materially from those indicated in any forward-looking statement. These factors include but are not limited to:

• Unusual weather conditions and their effect on energy sales to customers and energy commodity prices;

• Extreme weather events and other natural disasters, including hurricanes, high winds, severe storms, earthquakes, flooding and changes in water temperatures and availability that can cause outages and property damage to facilities;

• Federal, state and local legislative and regulatory developments, including changes in federal and state tax laws and regulations;

• Changes to federal, state and local environmental laws and regulations, including those related to climate change, the tightening of emission or discharge limits for GHGs and other emissions, more extensive permitting requirements and the regulation of additional substances;

• Cost of environmental compliance, including those costs related to climate change;

• Changes in implementation and enforcement practices of regulators relating to environmental standards and litigation exposure for remedial activities;

• Difficulty in anticipating mitigation requirements associated with environmental and other regulatory approvals;

• Risks associated with the operation of nuclear facilities, including costs associated with the disposal of spent nuclear fuel, decommissioning, plant maintenance and changes in existing regulations governing such facilities;

• Unplanned outages at facilities in which the Companies have an ownership interest;

• Fluctuations in energy-related commodity prices and the effect these could have on Dominion’s and Dominion Gas’ earnings and the Companies’ liquidity position and the underlying value of their assets;

• Counterparty credit and performance risk;

• Capital market conditions, including the availability of credit and the ability to obtain financing on reasonable terms;

• Risks associated with Virginia Power’s membership and participation in PJM, including risks related to obligations created by the default of other participants;

• Fluctuations in the value of investments held in nuclear decommissioning trusts by Dominion and Virginia Power and in benefit plan trusts by Dominion and Dominion Gas;

• Fluctuations in interest rates;

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• Changes in rating agency requirements or credit ratings and their effect on availability and cost of capital;

• Changes in financial or regulatory accounting principles or policies imposed by governing bodies;

• Employee workforce factors including collective bargaining agreements and labor negotiations with union employees;

• Risks of operating businesses in regulated industries that are subject to changing regulatory structures;

• Impacts of acquisitions, divestitures, transfers of assets to joint ventures or Dominion Midstream, and retirements of assets based on asset portfolio reviews;

• The expected timing and likelihood of completion of the Questar Combination, including the ability to obtain the requisite approvals of Questar’s shareholders and the terms and conditions of any required regulatory approvals;

• Receipt of approvals for, and timing of, closing dates for other acquisitions and divestitures;

• The timing and execution of Dominion Midstream’s growth strategy;

• Changes in rules for regional transmission organizations and independent system operators in which Dominion and Virginia Power participate, including changes in rate designs, changes in FERC’s interpretation of market rules and new and evolving capacity models;

• Political and economic conditions, including inflation and deflation;

• Domestic terrorism and other threats to the Companies’ physical and intangible assets, as well as threats to cybersecurity;

• Changes in demand for the Companies’ services, including industrial, commercial and residential growth or decline in the Companies’ service areas, changes in supplies of natural gas delivered to Dominion and Dominion Gas’ pipeline and processing systems, failure to maintain or replace customer contracts on favorable terms, changes in customer growth or usage patterns, including as a result of energy conservation programs, the availability of energy efficient devices and the use of distributed generation methods;

• Additional competition in industries in which the Companies operate, including in electric markets in which Dominion’s merchant generation facilities operate, and competition in the development, construction and ownership of certain electric transmission facilities in Virginia Power’s service territory in connection with FERC Order 1000;

• Changes in technology, particularly with respect to new, developing or alternative sources of generation and smart grid technologies;

• Changes to regulated electric rates collected by Virginia Power and regulated gas distribution, transportation and storage rates, including LNG storage, collected by Dominion and Dominion Gas;

• Changes in operating, maintenance and construction costs;

• Timing and receipt of regulatory approvals necessary for planned construction or expansion projects and compliance with conditions associated with such regulatory approvals;

• The inability to complete planned construction, conversion or expansion projects at all, or with the outcomes or within the terms and time frames initially anticipated;

• Adverse outcomes in litigation matters or regulatory proceedings; and

• The impact of operational hazards, including adverse developments with respect to pipeline and plant safety or integrity, equipment loss, malfunction or failure, operator error, and other catastrophic events.

Additionally, other risks that could cause actual results to differ from predicted results are set forth in Item 1A. Risk Factors in the Companies’ Annual Report on Form 10-K for the year ended December 31, 2015.

The Companies’ forward-looking statements are based on beliefs and assumptions using information available at the time the statements are made. The Companies caution the reader not to place undue reliance on their forward-looking statements because the assumptions, beliefs, expectations and projections about future events may, and often do, differ materially from actual results. The Companies undertake no obligation to update any forward-looking statement to reflect developments occurring after the statement is made.

Accounting Matters

Critical Accounting Policies and Estimates

As of March 31, 2016, there have been no significant changes with regard to the critical accounting policies and estimates disclosed in MD&A in the Companies’ Annual Report on Form 10-K for the year ended December 31, 2015. The policies disclosed included the accounting for regulated operations, AROs, income taxes, derivative contracts and other instruments at fair value, goodwill and long-lived asset impairment testing and employee benefit plans.

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Dominion

Results of Operations

Presented below is a summary of Dominion’s consolidated results:

	2016		2015		$ Change
(millions, except EPS)
First Quarter
Net income attributable to Dominion	$	524	$	536	$	(12	)
Diluted EPS		0.88		0.91		(0.03	)

Overview

First Quarter 2016 vs. 2015

Net income attributable to Dominion decreased 2%, primarily due to a decrease in sales to retail customers from a reduction in heating degree days, organizational design initiative costs and a decrease in gains from agreements to convey shale development rights underneath several natural gas storage fields. These decreases were partially offset by the absence of the write-off of deferred fuel costs associated with Virginia legislation enacted in February 2015 and an increase in renewable energy investment tax credits.

Analysis of Consolidated Operations

Presented below are selected amounts related to Dominion’s results of operations:

	First Quarter
	2016		2015		$ Change
(millions)
Operating revenue	$	2,921	$	3,409	$	(488	)
Electric fuel and other energy-related purchases		634		953		(319	)
Purchased electric capacity		68		94		(26	)
Purchased gas		119		250		(131	)
Net revenue		2,100		2,112		(12	)
Other operations and maintenance		703		602		101
Depreciation, depletion and amortization		351		343		8
Other taxes		164		165		(1	)
Other income		54		60		(6	)
Interest and related charges		226		223		3
Income tax expense		179		299		(120	)

An analysis of Dominion’s results of operations follows:

First Quarter 2016 vs. 2015

Net revenue decreased 1%, primarily reflecting:

• A $38 million decrease from regulated natural gas distribution operations, primarily reflecting:

• A decrease in rate adjustment clause revenue related to low income assistance programs ($27 million); and

• A decrease in sales to customers due to a reduction in heating degree days ($13 million); partially offset by

• An increase in AMR and PIR program revenues ($5 million);

• A $19 million decrease from regulated natural gas transmission operations, primarily reflecting:

• A $17 million decrease in gas transportation and storage activities, primarily due to decreased fuel retained ($10 million), decreased demand charges ($9 million) and decreased regulated gas sales ($8 million), partially offset by the addition of DCG ($7 million); and

• A $7 million decrease in NGL activities, due to decreased prices ($4 million) and volumes ($3 million); partially offset by

• A $6 million net increase primarily due to services performed for Atlantic Coast Pipeline and Blue Racer; and

• A $14 million decrease from merchant generation operations, primarily due to lower realized prices ($14 million) and an increase in unplanned outage days in the first quarter of 2016 ($4 million), partially offset by an increase in output at solar generating facilities ($7 million).

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These decreases were partially offset by a $53 million increase from electric utility operations, primarily reflecting:

• The absence of an $85 million write-off of deferred fuel costs associated with Virginia legislation enacted in February 2015;

• A net decrease in capacity related expenses ($23 million); and

• An increase from rate adjustment clauses ($18 million); partially offset by

• A decrease in sales to retail customers from a reduction in heating degree days ($74 million); and

• A decrease in sales to customers due to the effect of changes in customer usage and other factors ($14 million).

Other operations and maintenance increased 17%, primarily reflecting:

• Organizational design initiative costs ($69 million);

• A decrease in gains from agreements to convey shale development rights underneath several natural gas storage fields ($65 million); and

• A $5 million net increase due to services performed for Atlantic Coast Pipeline and Blue Racer. These expenses are billed to these entities and do not significantly impact net income; partially offset by

• A decrease in bad debt expense at regulated natural gas distribution operations primarily related to low income assistance programs ($27 million). These bad debt expenses are recovered through rates and do not impact net income.

Income tax expense decreased 40%, primarily due to higher anticipated renewable energy investment tax credits ($69 million) in Dominion’s estimated annual effective income tax rate and lower pre-tax income ($51 million).

Segment Results of Operations

Segment results include the impact of intersegment revenues and expenses, which may result in intersegment profit and loss. Presented below is a summary of contributions by Dominion’s operating segments to net income attributable to Dominion:

	Net Income attributable to Dominion									Diluted EPS
	2016			2015			$ Change			2016			2015			$ Change
(millions, except EPS)
First Quarter
DVP	$	120		$	140		$	(20	)	$	0.20		$	0.24		$	(0.04	)
Dominion Generation(1)		245			262			(17	)		0.41			0.44			(0.03	)
Dominion Energy(1)		186			227			(41	)		0.31			0.39			(0.08	)
Primary operating segments		551			629			(78	)		0.92			1.07			(0.15	)
Corporate and Other		(27	)		(93	)		66			(0.04	)		(0.16	)		0.12
Consolidated	$	524		$	536		$	(12	)	$	0.88		$	0.91		$	(0.03	)

(1) 2015 amounts have been recast to reflect nonregulated retail energy marketing operations in the Dominion Energy segment.

DVP

Presented below are selected operating statistics related to DVP’s operations:

	First Quarter
	2016		2015		% Change
Electricity delivered (million MWh)		21.2		22.9		(7	)%
Degree days (electric distribution service area):
Cooling		4		—		100
Heating		1,880		2,364		(20	)
Average electric distribution customer accounts (thousands)(1)		2,541		2,518		1

(1) Period average.

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Presented below, on an after-tax basis, are the key factors impacting DVP’s net income contribution:

	First Quarter 2016 vs. 2015 Increase (Decrease)
	Amount			EPS
(millions, except EPS)
Regulated electric sales:
Weather	$	(15	)	$	(0.03	)
Other		(5	)		(0.01	)
FERC transmission equity return		11			0.02
Storm damage and service restoration		(2	)		—
Other		(9	)		(0.02	)
Change in net income contribution	$	(20	)	$	(0.04	)

Dominion Generation

Presented below are selected operating statistics related to Dominion Generation’s operations:

	First Quarter
	2016		2015		% Change
Electricity supplied (million MWh):
Utility		22.2		22.9		(3	)%
Merchant		7.1		6.4		11
Degree days (electric utility service area):
Cooling		4		—		100
Heating		1,880		2,364		(20	)

Presented below, on an after-tax basis, are the key factors impacting Dominion Generation’s net income contribution:

	First Quarter 2016 vs. 2015 Increase (Decrease)
	Amount			EPS
(millions, except EPS)
Regulated electric sales:
Weather	$	(31	)	$	(0.05	)
Other		(3	)		(0.01	)
Capacity related expenses		14			0.03
Merchant generation margin		(8	)		(0.02	)
Other		11			0.02
Change in net income contribution	$	(17	)	$	(0.03	)

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Dominion Energy

Presented below are selected operating statistics related to Dominion Energy’s operations:

	First Quarter
	2016		2015		% Change
Gas distribution throughput (bcf):
Sales		13		16		(19	)%
Transportation		159		162		(2	)
Heating degree days (gas distribution service area)		2,684		3,575		(25	)
Average gas distribution customer accounts (thousands)(1):
Sales		240		245		(2	)
Transportation		1,069		1,063		1
Average retail energy marketing customer accounts (thousands)(1)		1,354		1,250		8

(1) Period average.

Presented below, on an after-tax basis, are the key factors impacting Dominion Energy’s net income contribution:

	First Quarter 2016 vs. 2015 Increase (Decrease)
	Amount			EPS
(millions, except EPS)
Gas distribution margin:
Weather	$	(8	)	$	(0.02	)
Other		5			0.01
Assignment of shale development rights		(41	)		(0.08	)
Other		3			0.01
Change in net income contribution	$	(41	)	$	(0.08	)

Corporate and Other

Presented below are the Corporate and Other segment’s after-tax results:

	First Quarter
	2016			2015			$ Change
(millions, except EPS)
Specific items attributable to operating segments	$	(38	)	$	(45	)	$	7
Specific items attributable to corporate operations		(10	)		(3	)		(7	)
Total specific items		(48	)		(48	)		—
Other corporate operations
Renewable energy investment tax credits		81			6			75
Other		(60	)		(51	)		(9	)
Total other corporate operations		21			(45	)		66
Total net expense	$	(27	)	$	(93	)	$	66
EPS impact	$	(0.04	)	$	(0.16	)	$	0.12

Total Specific Items

Corporate and Other includes specific items attributable to Dominion’s primary operating segments that are not included in profit measures evaluated by executive management in assessing those segments’ performance or in allocating resources. See Note 19 to the Consolidated Financial Statements in this report for discussion of these items in more detail.

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Virginia Power

Results of Operations

Presented below is a summary of Virginia Power’s consolidated results:

	First Quarter
	2016		2015		$ Change
(millions)
Net income	$	263	$	269	$	(6	)

Overview

First Quarter 2016 vs. 2015

Net income decreased 2%, primarily due to a decrease in sales to retail customers from a reduction in heating degree days and organizational design initiative costs, partially offset by the absence of the write-off of deferred fuel costs associated with Virginia legislation enacted in February 2015 and a decrease in capacity related expenses.

Analysis of Consolidated Operations

Presented below are selected amounts related to Virginia Power’s results of operations:

	First Quarter
	2016		2015		$ Change
(millions)
Operating revenue	$	1,890	$	2,137	$	(247	)
Electric fuel and other energy-related purchases		536		810		(274	)
Purchased electric capacity		68		94		(26	)
Net revenue		1,286		1,233		53
Other operations and maintenance		450		396		54
Depreciation and amortization		248		238		10
Other taxes		74		74		—
Other income		16		15		1
Interest and related charges		114		108		6
Income tax expense		153		163		(10	)

An analysis of Virginia Power’s results of operations follows:

First Quarter 2016 vs. 2015

Net revenue increased 4%, primarily reflecting:

• The absence of an $85 million write-off of deferred fuel costs associated with Virginia legislation enacted in February 2015;

• A net decrease in capacity related expenses ($23 million); and

• An increase from rate adjustment clauses ($18 million); partially offset by

• A decrease in sales to retail customers from a reduction in heating degree days ($74 million); and

• A decrease in sales to customers due to the effect of changes in customer usage and other factors ($14 million).

Other operations and maintenance increased 14%, primarily reflecting organizational design initiative costs.

Dominion Gas

Results of Operations

Presented below is a summary of Dominion Gas’ consolidated results:

	First Quarter
	2016		2015		$ Change
(millions)
Net income	$	98	$	161	$	(63	)

Overview

First Quarter 2016 vs. 2015

Net income decreased 39%, primarily due to a decrease in gains from agreements to convey shale development rights underneath several natural gas storage fields.

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Analysis of Consolidated Operations

Presented below are selected amounts related to Dominion Gas’ results of operations:

	First Quarter
	2016		2015		$ Change
(millions)
Operating revenue	$	431	$	531	$	(100	)
Purchased gas		34		74		(40	)
Other energy-related purchases		3		6		(3	)
Net revenue		394		451		(57	)
Other operations and maintenance		124		74		50
Depreciation and amortization		43		51		(8	)
Other taxes		52		55		(3	)
Other income		6		9		(3	)
Interest and related charges		22		17		5
Income tax expense		61		102		(41	)

An analysis of Dominion Gas’ results of operations follows:

First Quarter 2016 vs. 2015

Net revenue decreased 13%, primarily reflecting:

• An $33 million decrease from regulated natural gas distribution operations, primarily reflecting:

• A decrease in rate adjustment clause revenue related to low income assistance programs ($27 million); and

• A decrease in sales to customers due to a reduction in heating degree days ($8 million); partially offset by

• An increase in AMR and PIR program revenues ($5 million); and

• A $24 million decrease from regulated natural gas transmission operations, primarily reflecting:

• A $24 million decrease in gas transportation and storage activities, primarily due to decreased fuel retained ($8 million), decreased demand charges ($8 million) and decreased regulated gas sales ($8 million); and

• A $6 million decrease in NGL activities, due to decreased prices ($3 million) and volumes ($3 million); partially offset by

• A $6 million net increase primarily due to services performed for Atlantic Coast Pipeline and Blue Racer.

Other operations and maintenance increased 68%, primarily reflecting:

• A decrease in gains from agreements to convey shale development rights underneath several natural gas storage fields ($65 million);

• Organizational design initiative costs ($7 million); and

• A $5 million net increase due to services performed for Atlantic Coast Pipeline and Blue Racer. These expenses are billed to these entities and do not significantly impact net income; partially offset by

• A decrease in bad debt expense at regulated natural gas distribution operations primarily related to low income assistance programs ($27 million). These bad debt expenses are recovered through rates and do not impact net income.

Other income decreased 33%, primarily due to a decrease in equity earnings from Iroquois.

Interest and related charges increased 29%, primarily due to higher interest expense on long-term debt resulting from a debt issuance in November 2015.

Income tax expense decreased 40%, primarily reflecting lower pre-tax income.

Liquidity and Capital Resources

Dominion depends on both internal and external sources of liquidity to provide working capital and as a bridge to long-term debt financings. Short-term cash requirements not met by cash provided by operations are generally satisfied with proceeds from short-term borrowings. Long-term cash needs are met through issuances of debt and/or equity securities.

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In September 2015, Dominion initiated a program to purchase from the market up to $50 million of common units representing limited partner interests in Dominion Midstream. The common units may be acquired by Dominion over the 12 month period following commencement of the program at the discretion of management. During the first quarter of 2016, Dominion purchased approximately 377,000 common units for $10 million. As of March 31, 2016, Dominion still has the ability to purchase $15 million of common units under the program.

Given the sufficiency of operating and other cash flows at the Dominion level, no dividends were declared or paid to Dominion by either Virginia Power or Dominion Gas during the first quarter.

At March 31, 2016, Dominion had $2.4 billion of unused capacity under its credit facilities.

A summary of Dominion’s cash flows is presented below:

	2016			2015
(millions)
Cash and cash equivalents at January 1	$	607		$	318
Cash flows provided by (used in):
Operating activities		1,192			1,131
Investing activities		(1,525	)		(1,499	)
Financing activities		(56	)		325
Net decrease in cash and cash equivalents		(389	)		(43	)
Cash and cash equivalents at March 31	$	218		$	275

Operating Cash Flows

Net cash provided by Dominion’s operating activities increased $61 million, primarily due to higher deferred fuel cost recoveries in its Virginia jurisdiction and changes in other working capital items, partially offset by higher net margin collateral requirements and the impact from unfavorable weather in 2016.

Dominion believes that its operations provide a stable source of cash flow to contribute to planned levels of capital expenditures and maintain or grow the dividend on common shares.

Dominion’s operations are subject to risks and uncertainties that may negatively impact the timing or amounts of operating cash flows, which are discussed in Item 1A. Risk Factors in the Companies’ Annual Report on Form 10-K for the year ended December 31, 2015.

Credit Risk

Dominion’s exposure to potential concentrations of credit risk results primarily from its energy marketing and price risk management activities. Presented below is a summary of Dominion’s credit exposure as of March 31, 2016 for these activities. Gross credit exposure for each counterparty is calculated prior to the application of collateral and represents outstanding receivables plus any unrealized on- or off-balance sheet exposure, taking into account contractual netting rights.

	Gross Credit Exposure		Credit Collateral		Net Credit Exposure
(millions)
Investment grade(1)	$	121	$	75	$	46
Non-investment grade(2)		2		—		2
No external ratings:
Internally rated—investment grade(3)		4		—		4
Internally rated—non-investment grade(4)		48		—		48
Total	$	175	$	75	$	100

(1) Designations as investment grade are based upon minimum credit ratings assigned by Moody’s Investors Service and Standard & Poor’s. The five largest counterparty exposures, combined, for this category represented approximately 40% of the total net credit exposure.

(2) The five largest counterparty exposures, combined, for this category represented approximately 2% of the total net credit exposure.

(3) The five largest counterparty exposures, combined, for this category represented approximately 4% of the total net credit exposure.

(4) The five largest counterparty exposures, combined, for this category represented approximately 36% of the total net credit exposure.

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Investing Cash Flows

Net cash used in Dominion’s investing activities increased $26 million, primarily due to higher capital expenditures, partially offset by the absence of Dominion’s acquisition of DCG in 2015.

Financing Cash Flows and Liquidity

Dominion relies on capital markets as significant sources of funding for capital requirements not satisfied by cash provided by its operations. As discussed further in Credit Ratings and Debt Covenants in MD&A in the Companies’ Annual Report on Form 10-K for the year ended December 31, 2015, the ability to borrow funds or issue securities and the return demanded by investors are affected by credit ratings. In addition, the raising of external capital is subject to certain regulatory requirements, including registration with the SEC for certain issuances.

Dominion currently meets the definition of a well-known seasoned issuer under SEC rules governing the registration, communications and offering processes under the Securities Act of 1933, as amended. The rules provide for a streamlined shelf registration process to provide registrants with timely access to capital. This allows Dominion to use automatic shelf registration statements to register any offering of securities, other than those for exchange offers or business combination transactions.

Net cash used in Dominion’s financing activities was $56 million in 2016, as compared to net cash provided by financing activities of $325 million in 2015, primarily reflecting lower net debt issuances and a decrease in common stock issuances.

See Note 14 to the Consolidated Financial Statements in this report for further information regarding Dominion’s credit facilities, liquidity and significant financing transactions.

Credit Ratings

Credit ratings are intended to provide banks and capital market participants with a framework for comparing the credit quality of securities and are not a recommendation to buy, sell or hold securities. In the Credit Ratings section of MD&A in the Companies’ Annual Report on Form 10-K for the year ended December 31, 2015, there is a discussion on the use of capital markets by Dominion as well as the impact of credit ratings on the accessibility and costs of using these markets.

In March 2016, Fitch Ratings Ltd. and Standard & Poor’s changed the rating for Dominion’s junior subordinated debt securities to account for its inability to defer interest payments on the remarketed 2013 Series A RSNs. Junior subordinated debt securities with an interest deferral feature are rated one notch lower by Fitch Ratings Ltd. and Standard & Poor’s (BBB-) than junior subordinated debt securities without an interest deferral feature (BBB). See Note 14 to the Consolidated Financial Statements for a description of the remarketed notes.

Debt Covenants

In the Debt Covenants section of MD&A in the Companies’ Annual Report on Form 10-K for the year ended December 31, 2015, there is a discussion on the various covenants present in the enabling agreements underlying Dominion’s debt. As of March 31, 2016, there have been no material changes to debt covenants, nor any events of default under Dominion’s debt covenants. Pursuant to a waiver received in April 2016, the 65% maximum debt to total capital ratio in Dominion’s credit agreements will, with respect to Dominion only and upon closing of the Questar Combination, be temporarily increased to 70% until the end of the fourth fiscal quarter following closing (including the fiscal quarter in which the closing occurs).

Future Cash Payments for Contractual Obligations and Planned Capital Expenditures

As of March 31, 2016, there have been no material changes outside the ordinary course of business to Dominion’s contractual obligations nor any material changes to planned capital expenditures as disclosed in MD&A in the Companies’ Annual Report on Form 10-K for the year ended December 31, 2015.

Use of Off-Balance Sheet Arrangements

As of March 31, 2016, there have been no material changes in the off-balance sheet arrangements disclosed in MD&A in the Companies’ Annual Report on Form 10-K for the year ended December 31, 2015.

Future Issues and Other Matters

The following discussion of future issues and other information includes current developments of previously disclosed matters and new issues arising during the period covered by, and subsequent to, the dates of Dominion’s Consolidated Financial Statements that may impact future results of operations, financial condition and/or cash flows. This section should be read in conjunction with Item 1. Business and Future Issues and Other Matters in MD&A in the Companies’ Annual Report on Form 10-K for the year ended December 31, 2015.

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Environmental Matters

Dominion is subject to costs resulting from a number of federal, state and local laws and regulations designed to protect human health and the environment. These laws and regulations affect future planning and existing operations. They can result in increased capital, operating and other costs as a result of compliance, remediation, containment and monitoring obligations. See Note 22 to the Consolidated Financial Statements in the Companies’ Annual Report on Form 10-K for the year ended December 31, 2015, and Note 15 to the Consolidated Financial Statements in this report for additional information on various environmental matters.

Legal Matters

See Item 3. Legal Proceedings in the Companies’ Annual Report on Form 10-K for the year ended December 31, 2015, and Notes 12 and 15 to the Consolidated Financial Statements and Item 1. Legal Proceedings in this report for additional information on various legal matters.

Regulatory Matters

See Note 13 to the Consolidated Financial Statements in the Companies’ Annual Report on Form 10-K for the year ended December 31, 2015, and Note 12 to the Consolidated Financial Statements in this report for additional information on various regulatory matters.

Electric Transmission Project

In March 2016, Virginia Power filed an application with the Virginia Commission for a CPCN to rebuild and operate in multiple Virginia counties approximately 33 miles of the existing 500 kV transmission line between the Cunningham switching station and the Dooms substation, along with associated station work. The total estimated cost of the project is approximately $59 million. This case is pending.

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ITEM 3.

QUANTITATIVE AND QUALITATIVE

DISCLOSURES ABOUT MARKET RISK

The matters discussed in this Item may contain “forward-looking statements” as described in the introductory paragraphs under Part I, Item 2. MD&A in this report. The reader’s attention is directed to those paragraphs for discussion of various risks and uncertainties that may impact the Companies.

Market Risk Sensitive Instruments and Risk Management

The Companies’ financial instruments, commodity contracts and related financial derivative instruments are exposed to potential losses due to adverse changes in commodity prices, interest rates and equity security prices as described below. Commodity price risk is present in Dominion’s and Virginia Power’s electric operations and Dominion’s and Dominion Gas’ natural gas procurement and marketing operations due to the exposure to market shifts in prices received and paid for electricity, natural gas and other commodities. The Companies use commodity derivative contracts to manage price risk exposures for these operations. Interest rate risk is generally related to their outstanding debt and future issuances of debt. In addition, the Companies are exposed to investment price risk through various portfolios of equity and debt securities.

The following sensitivity analysis estimates the potential loss of future earnings or fair value from market risk sensitive instruments over a selected time period due to a 10% change in commodity prices or interest rates.

Commodity Price Risk

To manage price risk, Dominion and Virginia Power hold commodity-based derivative instruments held for non-trading purposes associated with purchases and sales of electricity, natural gas and other energy-related products and Dominion Gas holds commodity-based financial derivative instruments held for non-trading purposes associated with purchases and sales of natural gas and other energy-related products.

The derivatives used to manage commodity price risk are executed within established policies and procedures and may include instruments such as futures, forwards, swaps, options and FTRs that are sensitive to changes in the related commodity prices. For sensitivity analysis purposes, the hypothetical change in market prices of commodity-based derivative instruments is determined based on models that consider the market prices of commodities in future periods, the volatility of the market prices in each period, as well as the time value factors of the derivative instruments. Prices and volatility are principally determined based on observable market prices.

A hypothetical 10% increase in commodity prices would have resulted in a decrease in fair value of $2 million and $24 million of Dominion’s commodity-based derivative instruments as of March 31, 2016 and December 31, 2015, respectively. The decline in sensitivity is largely due to decreased commodity derivative activity and lower commodity prices.

A hypothetical 10% decrease in commodity prices would have resulted in a decrease in the fair value of $41 million and $42 million of Virginia Power’s commodity-based derivative instruments as of March 31, 2016 and December 31, 2015, respectively.

A hypothetical 10% increase in commodity prices would have resulted in a decrease in fair value of $4 million and $5 million of Dominion Gas’ commodity-based derivative instruments as of March 31, 2016 and December 31, 2015, respectively.

The impact of a change in energy commodity prices on the Companies’ commodity-based derivative instruments at a point in time is not necessarily representative of the results that will be realized when the contracts are ultimately settled. Net losses from commodity-based financial derivative instruments used for hedging purposes, to the extent realized, will generally be offset by recognition of the hedged transaction, such as revenue from physical sales of the commodity. Physical commodity-based derivative instruments will be recognized as a gross revenue or expense based upon the transaction price and volume.

Interest Rate Risk

The Companies manage their interest rate risk exposure predominantly by maintaining a balance of fixed and variable rate debt. They also enter into interest rate sensitive derivatives, including interest rate swaps and interest rate lock agreements. For variable rate debt and interest rate swaps designated under fair value hedging and outstanding for the Companies, a hypothetical 10% increase in market interest rates would not have resulted in a material change in earnings at March 31, 2016 or December 31, 2015.

The Companies may also use forward-starting interest rate swaps and interest rate lock agreements as anticipatory hedges.

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As of March 31, 2016, Dominion, Virginia Power and Dominion Gas had $3.9 billion, $1.8 billion and $250 million, respectively, in aggregate notional amounts of these interest rate derivatives outstanding. A hypothetical 10% decrease in market interest rates would have resulted in a decrease of $58 million, $47 million and $1 million, respectively, in the fair value of Dominion’s, Virginia Power’s and Dominion Gas’ interest rate derivatives at March 31, 2016. As of December 31, 2015, Dominion, Virginia Power and Dominion Gas had $4.6 billion, $2.0 billion and $250 million, respectively, in aggregate notional amounts of these interest rate derivatives outstanding. A hypothetical 10% decrease in market interest rates would have resulted in a decrease of $71 million, $52 million and $2 million, respectively, in the fair value of Dominion’s, Virginia Power’s and Dominion Gas’ interest rate derivatives at December 31, 2015.

The impact of a change in interest rates on the Companies’ interest rate-based financial derivative instruments at a point in time is not necessarily representative of the results that will be realized when the contracts are ultimately settled. Net gains and/or losses from interest rate derivative instruments used for hedging purposes, to the extent realized, will generally be offset by recognition of the hedged transaction.

Investment Price Risk

Dominion and Virginia Power are subject to investment price risk due to securities held as investments in nuclear decommissioning and rabbi trust funds that are managed by third-party investment managers. These trust funds primarily hold marketable securities that are reported in Dominion’s and Virginia Power’s Consolidated Balance Sheets at fair value.

Dominion recognized net realized gains (including investment income) on nuclear decommissioning and rabbi trust investments of $28 million and $60 million for the three months ended March 31, 2016 and 2015, respectively, and $184 million for the year ended December 31, 2015. Net realized gains and losses include gains and losses from the sale of investments as well as any other-than-temporary declines in fair value. Dominion recorded, in AOCI and regulatory liabilities, a net increase in unrealized gains on these investments of $38 million for the three months ended March 31, 2016. Dominion recorded in AOCI and regulatory liabilities, a net decrease in unrealized gains on these investments of $3 million for the three months ended March 31, 2015 and $157 million for the year ended December 31, 2015.

Virginia Power recognized net realized gains (including investment income) on nuclear decommissioning trust investments of $13 million and $17 million for the three months ended March 31, 2016 and 2015, respectively, and $88 million for the year ended December 31, 2015. Net realized gains and losses include gains and losses from the sale of investments as well as any other-than-temporary declines in fair value. Virginia Power recorded, in AOCI and regulatory liabilities, a net increase in unrealized gains on these investments of $23 million and $3 million for the three months ended March 31, 2016 and 2015, respectively, and a net decrease in unrealized gains on these investments of $76 million for the year ended December 31, 2015.

Dominion sponsors pension and other postretirement employee benefit plans that hold investments in trusts to fund employee benefit payments. Virginia Power and Dominion Gas employees participate in these plans. Differences between actual and expected returns on plan assets are accumulated and amortized during future periods. As such, any investment-related declines in these trusts will result in future increases in the net periodic cost recognized for employee benefit plans and will be included in the determination of the amount of cash to be contributed to the employee benefit plans.

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ITEM 4. CONTROLS AND PROCEDURES

Senior management of each of Dominion, Virginia Power, and Dominion Gas, including Dominion’s, Virginia Power’s, and Dominion Gas’ CEO and CFO, evaluated the effectiveness of each of their respective Company’s disclosure controls and procedures as of the end of the period covered by this report. Based on this evaluation process, each of Dominion’s, Virginia Power’s, and Dominion Gas’ CEO and CFO have concluded that each of their respective Company’s disclosure controls and procedures are effective.

There were no changes in Dominion’s, Virginia Power’s, or Dominion Gas’ internal control over financial reporting that occurred during the last fiscal quarter that have materially affected, or are reasonably likely to materially affect, the Companies’ internal control over financial reporting.

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PART II. OTHER INFORMATION

ITEM 1. LEGAL PROCEEDINGS

From time to time, the Companies are alleged to be in violation or in default under orders, statutes, rules or regulations relating to the environment, compliance plans imposed upon or agreed to by the Companies, or permits issued by various local, state and/or federal agencies for the construction or operation of facilities. Administrative proceedings may also be pending on these matters. In addition, in the ordinary course of business, the Companies and their subsidiaries are involved in various legal proceedings.

See the following for discussions on various environmental and other regulatory proceedings to which the Companies are a party:

• Notes 13 and 22 to the Consolidated Financial Statements and Future Issues and Other Matters in MD&A in the Companies’ Annual Report on Form 10-K for the year ended December 31, 2015, which information is incorporated herein by reference, for discussion of various environmental and other regulatory proceedings to which the Companies are a party.

• Notes 12 and 15 in this report, which information is incorporated herein by reference, for discussion of various environmental and other regulatory proceedings to which the Companies are a party.

ITEM 1A. RISK FACTORS

The Companies businesses are influenced by many factors that are difficult to predict, involve uncertainties that may materially affect actual results and are often beyond the Companies’ control. A number of these risk factors have been identified in the Companies’ Annual Report on Form 10-K for the year ended December 31, 2015, which should be taken into consideration when reviewing the information contained in this report. There have been no material changes with regard to the risk factors previously disclosed in the Companies’ Annual Report on Form 10-K for the year ended December 31, 2015. For other factors that may cause actual results to differ materially from those indicated in any forward-looking statement or projection contained in this report, see Forward-Looking Statements in MD&A.

ITEM 2. UNREGISTERED SALES OF EQUITY SECURITIES AND USE OF PROCEEDS

Dominion

ISSUER PURCHASES OF EQUITY SECURITIES

Period	Total Number of Shares (or Units) Purchased(1)		Average Price Paid per Share (or Unit)(2)		Total Number of Shares (or Units) Purchased as Part of Publicly Announced Plans or Programs		Maximum Number (or Approximate Dollar Value) of Shares (or Units) that May Yet Be Purchased under the Plans or Programs(3)
1/1/16-1/31/16		2,013	$	67.64		—	19,629,059 shares/ $1.18 billion
2/1/16-2/29/16		105,109		70.17		—	19,629,059 shares/ $1.18 billion
3/1/16-3/31/16		447		69.99		—	19,629,059 shares/ $1.18 billion
Total		107,569	$	70.12		—	19,629,059 shares/ $1.18 billion

(1) In January, February and March 2016, 2,013 shares, 99,602 shares and 447 shares, respectively, were tendered by employees to satisfy tax withholding obligations on vested restricted stock. In February 2016, 5,507 shares were retained to satisfy tax withholding obligations under Dominion’s Deferred Compensation Plan.

(2) Represents the weighted-average price paid per share.

(3) The remaining repurchase authorization is pursuant to repurchase authority granted by the Dominion Board of Directors in February 2005, as modified in June 2007. The aggregate authorization granted by the Dominion Board of Directors was 86 million shares (as adjusted to reflect a two-for-one stock split distributed in November 2007) not to exceed $4 billion.

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ITEM 6. EXHIBITS

Exhibit Number	Description	Dominion	Virginia Power	Dominion Gas
3.1.a	Dominion Resources, Inc. Articles of Incorporation as amended and restated, effective May 20, 2010 (Exhibit 3.1, Form 8-K filed May 20, 2010, File No. 1-8489).	X
3.1.b	Virginia Electric and Power Company Amended and Restated Articles of Incorporation, as in effect on October 30, 2014 (Exhibit 3.1.b, Form 10-Q filed November 3, 2014, File No. 1-2255).		X
3.1.c	Articles of Organization of Dominion Gas Holdings, LLC (Exhibit 3.1, Form S-4 filed April 4, 2014, File No. 333-195066).			X
3.2.a	Dominion Resources, Inc. Amended and Restated Bylaws, effective December 17, 2015 (Exhibit 3.1, Form 8-K filed December 17, 2015, File No. 1-8489).	X
3.2.b	Virginia Electric and Power Company Amended and Restated Bylaws, effective June 1, 2009 (Exhibit 3.1, Form 8-K filed June 3, 2009, File No. 1-2255).		X
3.2.c	Operating Agreement of Dominion Gas Holdings, LLC dated as of September 12, 2013 (Exhibit 3.2, Form S-4 filed April 4, 2014, File No. 333-195066).			X
4	Dominion Resources, Inc., Virginia Electric and Power Company and Dominion Gas Holdings, LLC agree to furnish to the Securities and Exchange Commission upon request any other instrument with respect to long-term debt as to which the total amount of securities authorized does not exceed 10% of either of their total consolidated assets.	X	X	X
4.1	Indenture, dated as of June 1, 2015, between Dominion Resources, Inc. and Deutsche Bank Trust Company Americas, as Trustee (Exhibit 4.1, Form 8-K filed June 15, 2015, File No. 1-8489); First Supplemental Indenture, dated as of June 1, 2015 (Exhibit 4.2, Form 8-K filed June 15, 2015, File No. 1-8489); Second Supplemental Indenture, dated as of September 1, 2015 (Exhibit 4.2, Form 8-K filed September 24, 2015, File No. 1-8489); Third Supplemental Indenture, dated as of February 1, 2016 (Exhibit 4.7, Form 10-K for the fiscal year ended December 31, 2015 filed February 26, 2016, File No. 1-8489).	X
4.2	Junior Subordinated Indenture II, dated June 1, 2006, between Dominion Resources, Inc. and The Bank of New York Mellon (successor to JPMorgan Chase Bank, N.A.), as Trustee (Exhibit 4.1, Form 10-Q for the quarter ended June 30, 2006 filed August 3, 2006, File No. 1-8489); First Supplemental Indenture dated as of June 1, 2006 (Exhibit 4.2, Form 10-Q for the quarter ended June 30, 2006 filed August 3, 2006, File No. 1-8489); Second Supplemental Indenture, dated as of September 1, 2006 (Exhibit 4.2, Form 10-Q for the quarter ended September 30, 2006 filed November 1, 2006, File No. 1-8489); Fourth Supplemental Indenture, dated as of June 1, 2013 (Exhibit 4.3, Form 8-K filed June 7, 2013, File No. 1-8489); Fifth Supplemental Indenture, dated as of June 1, 2013 (Exhibit 4.4, Form 8-K filed June 7, 2013, File No. 1-8489); Sixth Supplemental Indenture, dated as of June 1, 2014 (Exhibit 4.3, Form 8-K filed July 1, 2014, File No. 1-8489); Seventh Supplemental Indenture, dated as of September 1, 2014 (Exhibit 4.3, Form 8-K filed October 3, 2013, File No. 1-8489); Eighth Supplemental Indenture, dated March 7, 2016 (Exhibit 4.4, Form 8-K filed March 7, 2016, File No. 1-8489).	X

87

Exhibit Number	Description	Dominion	Virginia Power	Dominion Gas
4.3	Form of Senior Indenture, dated June 1, 1998, between Virginia Electric and Power Company and The Bank of New York Mellon (as successor trustee to JP Morgan Chase Bank (formerly The Chase Manhattan Bank)), as Trustee (Exhibit 4(iii), Form S-3 Registration Statement filed February 27, 1998, File No. 333-47119); Form of Tenth Supplemental Indenture, dated December 1, 2003 (Exhibit 4.3, Form 8-K filed December 4, 2003, File No. 1-2255); Form of Twelfth Supplemental Indenture, dated January 1, 2006 (Exhibit 4.2, Form 8-K filed January 12, 2006, File No. 1-2255); Form of Thirteenth Supplemental Indenture, dated as of January 1, 2006 (Exhibit 4.3, Form 8-K filed January 12, 2006, File No. 1-2255); Form of Fourteenth Supplemental Indenture, dated May 1, 2007 (Exhibit 4.2, Form 8-K filed May 16, 2007, File No. 1-2255); Form of Fifteenth Supplemental Indenture, dated September 1, 2007 (Exhibit 4.2, Form 8-K filed September 10, 2007, File No. 1-2255); Form of Seventeenth Supplemental Indenture, dated November 1, 2007 (Exhibit 4.3, Form 8-K filed November 30, 2007, File No. 1-2255); Form of Eighteenth Supplemental Indenture, dated April 1, 2008 (Exhibit 4.2, Form 8-K filed April 15, 2008, File No. 1-2255); Form of Nineteenth Supplemental and Amending Indenture, dated November 1, 2008 (Exhibit 4.2, Form 8-K filed November 5, 2008, File No. 1-2255); Form of Twentieth Supplemental Indenture, dated June 1, 2009 (Exhibit 4.3, Form 8-K filed June 24, 2009, File No. 1-2255); Form of Twenty-First Supplemental Indenture, dated August 1, 2010 (Exhibit 4.3, Form 8-K filed September 1, 2010, File No. 1-2255); Twenty-Second Supplemental Indenture, dated as of January 1, 2012 (Exhibit 4.3, Form 8-K filed January 12, 2012, File No. 1-2255); Twenty-Third Supplemental Indenture, dated as of January 1, 2013 (Exhibit 4.3, Form 8-K filed January 8, 2013, File No. 1-2255); Twenty-Fourth Supplemental Indenture, dated as of January 1, 2013 (Exhibit 4.4, Form 8-K filed January 8, 2013, File No. 1-2255); Twenty-Fifth Supplemental Indenture, dated as of March 1, 2013 (Exhibit 4.3, Form 8-K filed March 14, 2013, File No. 1-2255); Twenty-Sixth Supplemental Indenture, dated as of August 1, 2013 (Exhibit 4.3, Form 8-K filed August 15, 2013, File No. 1-2255); Twenty-Seventh Supplemental Indenture, dated February 1, 2014 (Exhibit 4.3, Form 8-K filed February 7, 2014, File No. 1-2255); Twenty-Eighth Supplemental Indenture, dated February 1, 2014 (Exhibit 4.4, Form 8-K filed February 7, 2014, File No. 1-2255); Twenty-Ninth Supplemental Indenture, dated May 1, 2015 (Exhibit 4.3, Form 8-K filed May 13, 2015, File No. 1-02255); Thirtieth Supplemental Indenture, dated May 1, 2015 (Exhibit 4.4, Form 8-K filed May 13, 2015, File No. 1-02255); Thirty-First Supplemental Indenture, dated January 1, 2016 (Exhibit 4.3, Form 8-K filed January 14, 2016, File No. 000-55337).	X	X
10.1*	2016 Performance Grant Plan under 2016 Long-Term Incentive Program approved January 21, 2016 (Exhibit 10.47, Form 10-K for the fiscal year ended December 31, 2015 filed February 26, 2016, File No. 1-8489).	X	X	X
10.2*	Form of Restricted Stock Award Agreement under the 2016 Long-term Incentive Program approved January 21, 2016 (Exhibit 10.48, Form 10-K for the fiscal year ended December 31, 2015 filed February 26, 2016, File No. 1-8489).	X	X	X
12.1	Ratio of earnings to fixed charges for Dominion Resources, Inc. (filed herewith).	X
12.2	Ratio of earnings to fixed charges for Virginia Electric and Power Company (filed herewith).		X
12.3	Ratio of earnings to fixed charges for Dominion Gas Holdings, LLC (filed herewith).			X
31.a	Certification by Chief Executive Officer of Dominion Resources, Inc. pursuant to Section 302 of the Sarbanes-Oxley Act of 2002 (filed herewith).	X
31.b	Certification by Chief Financial Officer of Dominion Resources, Inc. pursuant to Section 302 of the Sarbanes-Oxley Act of 2002 (filed herewith).	X

88

Exhibit Number	Description	Dominion	Virginia Power	Dominion Gas
31.c	Certification by Chief Executive Officer of Virginia Electric and Power Company pursuant to Section 302 of the Sarbanes-Oxley Act of 2002 (filed herewith).		X
31.d	Certification by Chief Financial Officer of Virginia Electric and Power Company pursuant to Section 302 of the Sarbanes-Oxley Act of 2002 (filed herewith).		X
31.e	Certification by Chief Executive Officer of Dominion Gas Holdings, LLC pursuant to Section 302 of the Sarbanes-Oxley Act of 2002 (filed herewith).			X
31.f	Certification by Chief Financial Officer of Dominion Gas Holdings, LLC pursuant to Section 302 of the Sarbanes-Oxley Act of 2002 (filed herewith).			X
32.a	Certification to the Securities and Exchange Commission by Chief Executive Officer and Chief Financial Officer of Dominion Resources, Inc. as required by Section 906 of the Sarbanes-Oxley Act of 2002 (furnished herewith).	X
32.b	Certification to the Securities and Exchange Commission by Chief Executive Officer and Chief Financial Officer of Virginia Electric and Power Company as required by Section 906 of the Sarbanes-Oxley Act of 2002 (furnished herewith).		X
32.c	Certification to the Securities and Exchange Commission by Chief Executive Officer and Chief Financial Officer of Dominion Gas Holdings, LLC as required by Section 906 of the Sarbanes-Oxley Act of 2002 (furnished herewith).			X
99	Condensed consolidated earnings statements (filed herewith).	X	X	X
101	The following financial statements from Dominion Resources, Inc.’s Quarterly Report on Form 10-Q for the quarter ended March 31, 2016, filed on May 5, 2016, formatted in XBRL: (i) Consolidated Statements of Income, (ii) Consolidated Balance Sheets, (iii) Consolidated Statement of Equity, (iv) Consolidated Statements of Comprehensive Income (v) Consolidated Statements of Cash Flows, and (vi) the Notes to Consolidated Financial Statements. The following financial statements from Virginia Electric and Power Company’s and Dominion Gas Holdings, LLC’s Quarterly Report on Form 10-Q for the quarter ended March 31, 2016, filed on May 5, 2016, formatted in XBRL: (i) Consolidated Statements of Income, (ii) Consolidated Balance Sheets, (iii) Consolidated Statements of Comprehensive Income (iv) Consolidated Statements of Cash Flows, and (v) the Notes to Consolidated Financial Statements.	X	X	X

* Indicates management contract or compensatory plan or arrangement

89

SIGNATURE

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized.

	DOMINION RESOURCES, INC. Registrant
May 5, 2016	/s/ Michele L. Cardiff
	Michele L. Cardiff Vice President, Controller and Chief Accounting Officer
	VIRGINIA ELECTRIC AND POWER COMPANY Registrant
May 5, 2016	/s/ Michele L. Cardiff
	Michele L. Cardiff Vice President, Controller and Chief Accounting Officer
	DOMINION GAS HOLDINGS, LLC Registrant
May 5, 2016	/s/ Michele L. Cardiff
	Michele L. Cardiff Vice President, Controller and Chief Accounting Officer

90

EXHIBIT INDEX

Exhibit Number	Description	Dominion	Virginia Power	Dominion Gas
3.1.a	Dominion Resources, Inc. Articles of Incorporation as amended and restated, effective May 20, 2010 (Exhibit 3.1, Form 8-K filed May 20, 2010, File No. 1-8489).	X
3.1.b	Virginia Electric and Power Company Amended and Restated Articles of Incorporation, as in effect on October 30, 2014 (Exhibit 3.1.b, Form 10-Q filed November 3, 2014, File No. 1-2255).		X
3.1.c	Articles of Organization of Dominion Gas Holdings, LLC (Exhibit 3.1, Form S-4 filed April 4, 2014, File No. 333-195066).			X
3.2.a	Dominion Resources, Inc. Amended and Restated Bylaws, effective December 17, 2015 (Exhibit 3.1, Form 8-K filed December 17, 2015, File No. 1-8489).	X
3.2.b	Virginia Electric and Power Company Amended and Restated Bylaws, effective June 1, 2009 (Exhibit 3.1, Form 8-K filed June 3, 2009, File No. 1-2255).		X
3.2.c	Operating Agreement of Dominion Gas Holdings, LLC dated as of September 12, 2013 (Exhibit 3.2, Form S-4 filed April 4, 2014, File No. 333-195066).			X
4	Dominion Resources, Inc., Virginia Electric and Power Company and Dominion Gas Holdings, LLC agree to furnish to the Securities and Exchange Commission upon request any other instrument with respect to long-term debt as to which the total amount of securities authorized does not exceed 10% of either of their total consolidated assets.	X	X	X
4.1	Indenture, dated as of June 1, 2015, between Dominion Resources, Inc. and Deutsche Bank Trust Company Americas, as Trustee (Exhibit 4.1, Form 8-K filed June 15, 2015, File No. 1-8489); First Supplemental Indenture, dated as of June 1, 2015 (Exhibit 4.2, Form 8-K filed June 15, 2015, File No. 1-8489); Second Supplemental Indenture, dated as of September 1, 2015 (Exhibit 4.2, Form 8-K filed September 24, 2015, File No. 1-8489); Third Supplemental Indenture, dated as of February 1, 2016 (Exhibit 4.7, Form 10-K for the fiscal year ended December 31, 2015 filed February 26, 2016, File No. 1-8489).	X
4.2	Junior Subordinated Indenture II, dated June 1, 2006, between Dominion Resources, Inc. and The Bank of New York Mellon (successor to JPMorgan Chase Bank, N.A.), as Trustee (Exhibit 4.1, Form 10-Q for the quarter ended June 30, 2006 filed August 3, 2006, File No. 1-8489); First Supplemental Indenture dated as of June 1, 2006 (Exhibit 4.2, Form 10-Q for the quarter ended June 30, 2006 filed August 3, 2006, File No. 1-8489); Second Supplemental Indenture, dated as of September 1, 2006 (Exhibit 4.2, Form 10-Q for the quarter ended September 30, 2006 filed November 1, 2006, File No. 1-8489); Fourth Supplemental Indenture, dated as of June 1, 2013 (Exhibit 4.3, Form 8-K filed June 7, 2013, File No. 1-8489); Fifth Supplemental Indenture, dated as of June 1, 2013 (Exhibit 4.4, Form 8-K filed June 7, 2013, File No. 1-8489); Sixth Supplemental Indenture, dated as of June 1, 2014 (Exhibit 4.3, Form 8-K filed July 1, 2014, File No. 1-8489); Seventh Supplemental Indenture, dated as of September 1, 2014 (Exhibit 4.3, Form 8-K filed October 3, 2013, File No. 1-8489); Eighth Supplemental Indenture, dated March 7, 2016 (Exhibit 4.4, Form 8-K filed March 7, 2016, File No. 1-8489).	X

91

Exhibit Number	Description	Dominion	Virginia Power	Dominion Gas
4.3	Form of Senior Indenture, dated June 1, 1998, between Virginia Electric and Power Company and The Bank of New York Mellon (as successor trustee to JP Morgan Chase Bank (formerly The Chase Manhattan Bank)), as Trustee (Exhibit 4(iii), Form S-3 Registration Statement filed February 27, 1998, File No. 333-47119); Form of Tenth Supplemental Indenture, dated December 1, 2003 (Exhibit 4.3, Form 8-K filed December 4, 2003, File No. 1-2255); Form of Twelfth Supplemental Indenture, dated January 1, 2006 (Exhibit 4.2, Form 8-K filed January 12, 2006, File No. 1-2255); Form of Thirteenth Supplemental Indenture, dated as of January 1, 2006 (Exhibit 4.3, Form 8-K filed January 12, 2006, File No. 1-2255); Form of Fourteenth Supplemental Indenture, dated May 1, 2007 (Exhibit 4.2, Form 8-K filed May 16, 2007, File No. 1-2255); Form of Fifteenth Supplemental Indenture, dated September 1, 2007 (Exhibit 4.2, Form 8-K filed September 10, 2007, File No. 1-2255); Form of Seventeenth Supplemental Indenture, dated November 1, 2007 (Exhibit 4.3, Form 8-K filed November 30, 2007, File No. 1-2255); Form of Eighteenth Supplemental Indenture, dated April 1, 2008 (Exhibit 4.2, Form 8-K filed April 15, 2008, File No. 1-2255); Form of Nineteenth Supplemental and Amending Indenture, dated November 1, 2008 (Exhibit 4.2, Form 8-K filed November 5, 2008, File No. 1-2255); Form of Twentieth Supplemental Indenture, dated June 1, 2009 (Exhibit 4.3, Form 8-K filed June 24, 2009, File No. 1-2255); Form of Twenty-First Supplemental Indenture, dated August 1, 2010 (Exhibit 4.3, Form 8-K filed September 1, 2010, File No. 1-2255); Twenty-Second Supplemental Indenture, dated as of January 1, 2012 (Exhibit 4.3, Form 8-K filed January 12, 2012, File No. 1-2255); Twenty-Third Supplemental Indenture, dated as of January 1, 2013 (Exhibit 4.3, Form 8-K filed January 8, 2013, File No. 1-2255); Twenty-Fourth Supplemental Indenture, dated as of January 1, 2013 (Exhibit 4.4, Form 8-K filed January 8, 2013, File No. 1-2255); Twenty-Fifth Supplemental Indenture, dated as of March 1, 2013 (Exhibit 4.3, Form 8-K filed March 14, 2013, File No. 1-2255); Twenty-Sixth Supplemental Indenture, dated as of August 1, 2013 (Exhibit 4.3, Form 8-K filed August 15, 2013, File No. 1-2255); Twenty-Seventh Supplemental Indenture, dated February 1, 2014 (Exhibit 4.3, Form 8-K filed February 7, 2014, File No. 1-2255); Twenty-Eighth Supplemental Indenture, dated February 1, 2014 (Exhibit 4.4, Form 8-K filed February 7, 2014, File No. 1-2255); Twenty-Ninth Supplemental Indenture, dated May 1, 2015 (Exhibit 4.3, Form 8-K filed May 13, 2015, File No. 1-02255); Thirtieth Supplemental Indenture, dated May 1, 2015 (Exhibit 4.4, Form 8-K filed May 13, 2015, File No. 1-02255); Thirty-First Supplemental Indenture, dated January 1, 2016 (Exhibit 4.3, Form 8-K filed January 14, 2016, File No. 000-55337).	X	X
10.1*	2016 Performance Grant Plan under 2016 Long-Term Incentive Program approved January 21, 2016 (Exhibit 10.47, Form 10-K for the fiscal year ended December 31, 2015 filed February 26, 2016, File No. 1-8489).	X	X	X
10.2*	Form of Restricted Stock Award Agreement under the 2016 Long-term Incentive Program approved January 21, 2016 (Exhibit 10.48, Form 10-K for the fiscal year ended December 31, 2015 filed February 26, 2016, File No. 1-8489).	X	X	X
12.1	Ratio of earnings to fixed charges for Dominion Resources, Inc. (filed herewith).	X
12.2	Ratio of earnings to fixed charges for Virginia Electric and Power Company (filed herewith).		X
12.3	Ratio of earnings to fixed charges for Dominion Gas Holdings, LLC (filed herewith).			X
31.a	Certification by Chief Executive Officer of Dominion Resources, Inc. pursuant to Section 302 of the Sarbanes-Oxley Act of 2002 (filed herewith).	X
31.b	Certification by Chief Financial Officer of Dominion Resources, Inc. pursuant to Section 302 of the Sarbanes-Oxley Act of 2002 (filed herewith).	X
31.c	Certification by Chief Executive Officer of Virginia Electric and Power Company pursuant to Section 302 of the Sarbanes-Oxley Act of 2002 (filed herewith).		X
31.d	Certification by Chief Financial Officer of Virginia Electric and Power Company pursuant to Section 302 of the Sarbanes-Oxley Act of 2002 (filed herewith).		X
31.e	Certification by Chief Executive Officer of Dominion Gas Holdings, LLC pursuant to Section 302 of the Sarbanes-Oxley Act of 2002 (filed herewith).			X

92

Exhibit Number	Description	Dominion	Virginia Power	Dominion Gas
31.f	Certification by Chief Financial Officer of Dominion Gas Holdings, LLC pursuant to Section 302 of the Sarbanes-Oxley Act of 2002 (filed herewith).			X
32.a	Certification to the Securities and Exchange Commission by Chief Executive Officer and Chief Financial Officer of Dominion Resources, Inc. as required by Section 906 of the Sarbanes-Oxley Act of 2002 (furnished herewith).	X
32.b	Certification to the Securities and Exchange Commission by Chief Executive Officer and Chief Financial Officer of Virginia Electric and Power Company as required by Section 906 of the Sarbanes-Oxley Act of 2002 (furnished herewith).		X
32.c	Certification to the Securities and Exchange Commission by Chief Executive Officer and Chief Financial Officer of Dominion Gas Holdings, LLC as required by Section 906 of the Sarbanes-Oxley Act of 2002 (furnished herewith).			X
99	Condensed consolidated earnings statements (filed herewith).	X	X	X
101	The following financial statements from Dominion Resources, Inc.’s Quarterly Report on Form 10-Q for the quarter ended March 31, 2016, filed on May 5, 2016, formatted in XBRL: (i) Consolidated Statements of Income, (ii) Consolidated Balance Sheets, (iii) Consolidated Statement of Equity, (iv) Consolidated Statements of Comprehensive Income, (v) Consolidated Statements of Cash Flows, and (vi) the Notes to Consolidated Financial Statements. The following financial statements from Virginia Electric and Power Company’s and Dominion Gas Holdings, LLC’s Quarterly Report on Form 10-Q for the quarter ended March 31, 2016, filed on May 5, 2016, formatted in XBRL: (i) Consolidated Statements of Income, (ii) Consolidated Balance Sheets, (iii) Consolidated Statements of Comprehensive Income, (iv) Consolidated Statements of Cash Flows, and (v) the Notes to Consolidated Financial Statements.	X	X	X

* Indicates management contract or compensatory plan or arrangement

93

EX-12.1

Exhibit 12.1

Dominion Resources, Inc. and Subsidiaries

Computation of Ratio of Earnings to Fixed Charges

(millions of dollars)

						Years Ended December 31,
	Three Months Ended March 31, 2016(a)			Twelve Months Ended March 31, 2016(b)		2015(c)		2014(d)			2013(e)		2012(f)			2011(e)
Earnings, as defined:
Income from continuing operations including noncontrolling interest before income tax expense	$	710		$	2,699	$	2,828	$	1,778		$	2,704	$	2,265		$	2,262
Distributed income from unconsolidated investees, less equity in earnings		(5	)		7		12		(8	)		17		(13	)		(23	)
Fixed charges included in income		240			959		953		1,237			930		880			867
Total earnings, as defined	$	945		$	3,665	$	3,793	$	3,007		$	3,651	$	3,132		$	3,106
Fixed charges, as defined:
Interest charges	$	232		$	925	$	920	$	1,208		$	899	$	845		$	818
Rental interest factor		8			34		33		29			31		35			49
Fixed charges included in income	$	240		$	959	$	953	$	1,237		$	930	$	880		$	867
Preference security dividend requirement of consolidated subsidiary		0			0		0		17			25		25			25
Capitalized Interest		25			80		67		39			28		24			11
Interest from discontinued operations		0			0		0		0			85		80			99
Total fixed charges, as defined	$	265		$	1,039	$	1,020	$	1,293		$	1,068	$	1,009		$	1,002
Ratio of Earnings to Fixed Charges		3.57			3.53		3.72		2.33			3.42		3.10			3.10

(a) Earnings for the three months ended March 31, 2016 include $70 million charge associated with an organizational design initiative; and $8 million net charge related to other items. Excluding the effect of these items from the calculation would result in a higher ratio of earnings to fixed charges for the three months ended March 31, 2016.

(b) Earnings for the twelve months ended March 31, 2016 include $99 million charge associated with ash pond and landfill closure costs; $70 million charge associated with an organizational design initiative; and $52 million net charge related to other items. Excluding the effect of these items from the calculation would result in a higher ratio of earnings to fixed charges for the twelve months ended March 31, 2016.

(c) Earnings for the twelve months ended December 31, 2015 include $85 million write-off of prior-period deferred fuel costs associated with Virginia legislation; $99 million charge associated with ash pond and landfill closure costs; and $78 million charge related to other items; partially offset by $60 million of net gain related to our investments in nuclear decommissioning trust funds. Excluding the effect of these items from the calculation would result in a higher ratio of earnings to fixed charges for the twelve months ended December 31, 2015.

(d) Earnings for the twelve months ended December 31, 2014 include $374 million charge related to North Anna and offshore wind facilities; $284 million charge associated with our liability management effort, which is included in fixed charges; $121 million accrued charge associated with ash pond and landfill closure costs; and $93 million charge related to other items; partially offset by $100 million net gain on the sale of our electric retail energy marketing business and $72 million of net gain related to our investments in nuclear decommissioning trust funds. Excluding the effect of these items from the calculation would result in a higher ratio of earnings to fixed charges for the twelve months ended December 31, 2014.

(e) Earnings for the twelve months ended December 31, 2013 include $55 million impairment charge related to certain natural gas infrastructure assets; $40 million charge in connection with the Virginia Commission’s final ruling associated with its biennial review of Virginia Power’s base rates for 2011-2012 test years; $28 million charge associated with our operating expense reduction initiative, primarily reflecting severance pay and other employee related costs; $26 million charge related

to the expected early shutdown of certain coal-fired generating units; and $29 million charge related to other items, partially offset by $81 million of net gain related to our investments in nuclear decommissioning trust funds; $47 million benefit due to a downward revision in the nuclear decommissioning asset retirement obligations for certain merchant nuclear units that are no longer in service; and $29 million net benefit primarily resulting from the sale of Elwood. Excluding the net effect of these items from the calculation would result in a higher ratio of earnings to fixed charges for the twelve months ended December 31, 2013.

(f) Earnings for the twelve months ended December 31, 2012 include $438 million of impairment and other charges related the planned shut-down of Kewaunee; and $87 million of restoration costs associated with severe storms affecting our Dominion Virginia Power and Dominion North Carolina service territories; partially offset by a $36 million net gain related to our investments in nuclear decommissioning trust funds and $4 million net benefit related to other items. Excluding the net effect of these items from the calculation would result in a higher ratio of earnings to fixed charges for the twelve months ended December 31, 2012.

(g) Earnings for the twelve months ended December 31, 2011 include $228 million of impairment charges related to electric utility generation assets; $96 million of restoration costs associated with Hurricane Irene; $43 million impairment of excess emission allowances resulting from a new EPA Air Pollution Rule; $31 million net charge in connection with the Virginia State Corporation Commission’s final ruling associated with its biennial review of Virginia Power’s base rates for 2009 and 2010 test years; $21 million of earthquake related costs, largely related to inspections following the safe shutdown of reactors at our North Anna nuclear power station; and $45 million net charge related to other items; partially offset by $24 million benefit related to litigation with the Department of Energy for spent nuclear fuel-related costs at our Millstone nuclear power station. Excluding the net effect of these items from the calculation would result in a higher ratio of earnings to fixed charges for the twelve months ended December 31, 2011.

EX-12.2

Exhibit 12.2

Virginia Electric and Power Company

Computation of Ratio of Earnings to Fixed Charges

(millions of dollars)

					Years Ended December 31,
	Three Months Ended March 31, 2016		Twelve Months Ended March 31, 2016		2015		2014		2013		2012		2011
Earnings, as defined:
Income from continuing operations before income tax expense	$	416	$	1,730	$	1,746	$	1,406	$	1,797	$	1,703	$	1,362
Fixed charges included in income		123		482		474		438		401		418		361
Total earnings, as defined	$	539	$	2,212	$	2,220	$	1,844	$	2,198	$	2,121	$	1,723
Fixed charges, as defined:
Interest charges	$	119	$	465	$	457	$	425	$	388	$	404	$	346
Rental interest factor		4		17		17		13		13		14		15
Total fixed charges, as defined	$	123	$	482	$	474	$	438	$	401	$	418	$	361
Ratio of Earnings to Fixed Charges		4.38		4.59		4.68		4.21		5.48		5.07		4.77

EX-12.3

Exhibit 12.3

Dominion Gas Holdings, LLC

Computation of Ratio of Earnings to Fixed Charges

(millions of dollars)

						Years Ended December 31,
	Three Months Ended March 31, 2016		Twelve Months Ended March 31, 2016			2015			2014			2013			2012		2011
Earnings, as defined:
Income from continuing operations before income tax expense	$	159	$	636		$	740		$	846		$	762		$	747	$	549
Distributed income from unconsolidated investees, less equity in earnings		0		(5	)		(3	)		(1	)		(2	)		2		2
Fixed charges included in income		25		91			86			39			43			65		64
Total earnings, as defined	$	184	$	722		$	823		$	884		$	803		$	814	$	615
Fixed charges, as defined:
Interest charges	$	22	$	79		$	74		$	28		$	30		$	51	$	51
Rental interest factor		3		12			12			11			13			14		13
Total fixed charges, as defined	$	25	$	91		$	86		$	39		$	43		$	65	$	64
Ratio of Earnings to Fixed Charges		7.36		7.93			9.57			22.67			18.67			12.52		9.61

EX-31.A

Exhibit 31.a

I, Thomas F. Farrell II, certify that:

1. I have reviewed this report on Form 10-Q of Dominion Resources, Inc.;

2. Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

3. Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;

4. The registrant’s other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:

(a) Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

(b) Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

(c) Evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

(d) Disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter (the registrant’s fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting; and

5. The registrant’s other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant’s auditors and the audit committee of the registrant’s board of directors (or persons performing the equivalent functions):

(a) All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize and report financial information; and

(b) Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting.

Date: May 5, 2016	/s/ Thomas F. Farrell II
	Thomas F. Farrell II President and Chief Executive Officer

EX-31.B

Exhibit 31.b

I, Mark F. McGettrick, certify that:

1. I have reviewed this report on Form 10-Q of Dominion Resources, Inc.;

2. Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

3. Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;

4. The registrant’s other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:

(a) Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

(b) Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

(c) Evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

(d) Disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter (the registrant’s fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting; and

5. The registrant’s other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant’s auditors and the audit committee of the registrant’s board of directors (or persons performing the equivalent functions):

(a) All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize and report financial information; and

(b) Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting.

Date: May 5, 2016	/s/ Mark F. McGettrick
	Mark F. McGettrick Executive Vice President and Chief Financial Officer

EX-31.C

Exhibit 31.c

I, Thomas F. Farrell II, certify that:

1. I have reviewed this report on Form 10-Q of Virginia Electric and Power Company;

2. Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

3. Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;

4. The registrant’s other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:

(a) Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

(b) Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

(c) Evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

(d) Disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter (the registrant’s fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting; and

5. The registrant’s other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant’s auditors and the audit committee of the registrant’s board of directors (or persons performing the equivalent functions):

(a) All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize and report financial information; and

(b) Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting.

Date: May 5, 2016	/s/ Thomas F. Farrell II
	Thomas F. Farrell II Chief Executive Officer

EX-31.D

Exhibit 31.d

I, Mark F. McGettrick, certify that:

1. I have reviewed this report on Form 10-Q of Virginia Electric and Power Company;

2. Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

3. Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;

4. The registrant’s other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:

(a) Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

(b) Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

(c) Evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

(d) Disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter (the registrant’s fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting; and

5. The registrant’s other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant’s auditors and the audit committee of the registrant’s board of directors (or persons performing the equivalent functions):

(a) All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize and report financial information; and

(b) Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting.

Date: May 5, 2016	/s/ Mark F. McGettrick
	Mark F. McGettrick Executive Vice President and Chief Financial Officer

EX-31.E

Exhibit 31.e

I, Thomas F. Farrell II, certify that:

1. I have reviewed this report on Form 10-Q of Dominion Gas Holdings, LLC;

2. Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

3. Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;

4. The registrant’s other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:

(a) Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

(b) Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

(c) Evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

(d) Disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter (the registrant’s fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting; and

5. The registrant’s other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant’s auditors and the audit committee of the registrant’s board of directors (or persons performing the equivalent functions):

(a) All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize and report financial information; and

(b) Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting.

Date: May 5, 2016	/s/ Thomas F. Farrell II
	Thomas F. Farrell II Chief Executive Officer

EX-31.F

Exhibit 31.f

I, Mark F. McGettrick, certify that:

1. I have reviewed this report on Form 10-Q of Dominion Gas Holdings, LLC;

2. Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

3. Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;

4. The registrant’s other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:

(a) Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

(b) Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

(c) Evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

(d) Disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter (the registrant’s fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting; and

5. The registrant’s other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant’s auditors and the audit committee of the registrant’s board of directors (or persons performing the equivalent functions):

(a) All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize and report financial information; and

(b) Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting.

Date: May 5, 2016	/s/ Mark F. McGettrick
	Mark F. McGettrick Executive Vice President and Chief Financial Officer

EX-32.A

Exhibit 32.a

CERTIFICATION PURSUANT TO

18 U.S.C. SECTION 1350,

AS ADOPTED PURSUANT TO

SECTION 906 OF THE SARBANES-OXLEY ACT OF 2002

Pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002, each of the undersigned officers of Dominion Resources, Inc. (the “Company”), certify that:

1. the Quarterly Report on Form 10-Q for the quarter ended March 31, 2016 (the “Report”), of the Company to which this certification is an exhibit fully complies with the requirements of section 13(a) or 15(d) of the Securities Exchange Act of 1934 (15 U.S.C. 78m(a) or 78o(d)).

2. the information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of the Company as of March 31, 2016, and for the period then ended.

 /s/ Thomas F. Farrell II

Thomas F. Farrell II

President and Chief Executive Officer

May 5, 2016

 /s/ Mark F. McGettrick

Mark F. McGettrick

Executive Vice President and Chief Financial Officer

May 5, 2016

EX-32.B

Exhibit 32.b

CERTIFICATION PURSUANT TO

18 U.S.C. SECTION 1350,

AS ADOPTED PURSUANT TO

SECTION 906 OF THE SARBANES-OXLEY ACT OF 2002

Pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002, each of the undersigned officers of Virginia Electric and Power Company (the “Company”), certify that:

1. the Quarterly Report on Form 10-Q for the quarter ended March 31, 2016 (the “Report”), of the Company to which this certification is an exhibit fully complies with the requirements of section 13(a) or 15(d) of the Securities Exchange Act of 1934 (15 U.S.C. 78m(a) or 78o(d)).

2. the information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of the Company as of March 31, 2016, and for the period then ended.

 /s/ Thomas F. Farrell II                                

Thomas F. Farrell II

Chief Executive Officer

May 5, 2016

 /s/ Mark F. McGettrick                                

Mark F. McGettrick

Executive Vice President and Chief Financial Officer

May 5, 2016

EX-32.C

Exhibit 32.c

CERTIFICATION PURSUANT TO

18 U.S.C. SECTION 1350,

AS ADOPTED PURSUANT TO

SECTION 906 OF THE SARBANES-OXLEY ACT OF 2002

Pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002, each of the undersigned officers of Dominion Gas Holdings, LLC (the “Company”), certify that:

1. the Quarterly Report on Form 10-Q for the quarter ended March 31, 2016 (the “Report”), of the Company to which this certification is an exhibit fully complies with the requirements of section 13(a) or 15(d) of the Securities Exchange Act of 1934 (15 U.S.C. 78m(a) or 78o(d)).

2. the information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of the Company as of March 31, 2016, and for the period then ended.

 /s/ Thomas F. Farrell II                                

Thomas F. Farrell II

Chief Executive Officer

May 5, 2016

 /s/ Mark F. McGettrick                                

Mark F. McGettrick

Executive Vice President and Chief Financial Officer

May 5, 2016

EX-99

Exhibit 99

DOMINION RESOURCES, INC.

CONDENSED CONSOLIDATED EARNINGS STATEMENT

(Unaudited)

	Twelve Months Ended March 31, 2016
(millions, except per share amounts)
Operating Revenue	$	11,194
Operating Expenses		7,778
Income from operations		3,416
Other income		190
Interest and related charges		907
Income from operations including noncontrolling interests before income tax expense		2,699
Income tax expense		784
Net income including noncontrolling interests		1,915
Noncontrolling interests		27
Net income Attributable to Dominion	$	1,888
Earnings Per Common Share – Basic
Income from operations	$	3.22
Noncontrolling interests		(0.05	)
Net income attributable to Dominion	$	3.17
Earnings Per Common Share – Diluted
Income from operations	$	3.21
Noncontrolling interests		(0.05	)
Net income attributable to Dominion	$	3.16

VIRGINIA ELECTRIC AND POWER COMPANY

CONDENSED CONSOLIDATED EARNINGS STATEMENT

(Unaudited)

	Twelve Months Ended March 31, 2016
(millions)
Operating Revenue	$	7,375
Operating Expenses		5,265
Income from operations		2,110
Other income		69
Interest and related charges		449
Income before income tax expense		1,730
Income tax expense		649
Net Income	$	1,081

DOMINION GAS HOLDINGS, LLC

CONDENSED CONSOLIDATED EARNINGS STATEMENT

(Unaudited)

	Twelve Months Ended March 31, 2016
(millions)
Operating Revenue	$	1,616
Operating Expenses		923
Income from operations		693
Other income		21
Interest and related charges		78
Income before income tax expense		636
Income tax expense		243
Net Income	$	393

XML

Document and Entity Information - shares	3 Months Ended
	Mar. 31, 2016	Apr. 15, 2016
Entity Information [Line Items]
Document Type	10-Q
Amendment Flag	false
Document Period End Date	Mar. 31, 2016
Document Fiscal Year Focus	2016
Document Fiscal Period Focus	Q1
Trading Symbol	D
Entity Registrant Name	DOMINION RESOURCES INC /VA/
Entity Central Index Key	0000715957
Current Fiscal Year End Date	--12-31
Entity Filer Category	Large Accelerated Filer
Entity Common Stock, Shares Outstanding		616,218,305
Virginia Electric and Power Company
Entity Information [Line Items]
Document Type	10-Q
Amendment Flag	false
Document Period End Date	Mar. 31, 2016
Document Fiscal Year Focus	2016
Document Fiscal Period Focus	Q1
Trading Symbol	VEL - PE
Entity Registrant Name	VIRGINIA ELECTRIC & POWER CO
Entity Central Index Key	0000103682
Current Fiscal Year End Date	--12-31
Entity Filer Category	Non-accelerated Filer
Entity Common Stock, Shares Outstanding		274,723
Dominion Gas Holdings, LLC
Entity Information [Line Items]
Document Type	10-Q
Amendment Flag	false
Document Period End Date	Mar. 31, 2016
Document Fiscal Year Focus	2016
Document Fiscal Period Focus	Q1
Entity Registrant Name	Dominion Gas Holdings, LLC
Entity Central Index Key	0001603291
Current Fiscal Year End Date	--12-31
Entity Filer Category	Non-accelerated Filer
Entity Common Stock, Shares Outstanding		0

XML

Consolidated Statements of Income - USD ($) $ in Millions		3 Months Ended
		Mar. 31, 2016	Mar. 31, 2015
Operating Revenue		$ 2,921	$ 3,409
Operating Expenses
Electric fuel and other energy-related purchases		634	953
Purchased electric capacity		68	94
Purchased gas		119	250
Other operations and maintenance		703	602
Depreciation, depletion and amortization		351	343
Other taxes		164	165
Total operating expenses		2,039	2,407
Income from operations		882	1,002
Other income		54	60
Interest and related charges		226	223
Income from operations including noncontrolling interests before income tax expense		710	839
Income tax expense		179	299
Net Income Including Noncontrolling Interests		531	540
Noncontrolling Interests		7	4
Net Income Attributable to Dominion		$ 524	$ 536
Earnings Per Common Share - Basic and Diluted
Net income attributable to Dominion - Basic and Diluted (in dollars per share)		$ 0.88	$ 0.91
Dividends Declared Per Common Share (dollars per share)		$ 0.7000	$ 0.6475
Virginia Electric and Power Company
Operating Revenue	[1]	$ 1,890	$ 2,137
Operating Expenses
Electric fuel and other energy-related purchases	[1]	536	810
Purchased electric capacity		68	94
Affiliated suppliers		101	75
Other		349	321
Depreciation, depletion and amortization		248	238
Other taxes		74	74
Total operating expenses		1,376	1,612
Income from operations		514	525
Other income		16	15
Interest and related charges		114	108
Income from operations including noncontrolling interests before income tax expense		416	432
Income tax expense		153	163
Net Income Attributable to Dominion		263	269
Dominion Gas Holdings, LLC
Operating Revenue	[2]	431	531
Operating Expenses
Purchased gas	[2]	34	74
Other energy-related purchases		3	6
Affiliated suppliers		27	21
Other		97	53
Depreciation, depletion and amortization		43	51
Other taxes		52	55
Total operating expenses		256	260
Income from operations		175	271
Other income		6	9
Interest and related charges		22	17
Income from operations including noncontrolling interests before income tax expense		159	263
Income tax expense		61	102
Net Income Attributable to Dominion		$ 98	$ 161

[1] See Note 17 for amounts attributable to affiliates.

[2] See Note 17 for amounts attributable to related parties.

XML

Consolidated Statements of Comprehensive Income - USD ($) $ in Millions		3 Months Ended
		Mar. 31, 2016	Mar. 31, 2015
Net income including noncontrolling interests		$ 531	$ 540
Net income		524	536
Other comprehensive income (loss), net of taxes:
Net deferred gains (losses) on derivatives-hedging activities	[1]	53	(58)
Changes in unrealized net gains (losses) on investment securities	[2]	15	15
Amounts reclassified to net income:
Net derivative (gains) losses-hedging activities	[3]	(63)	59
Net realized gains on investment securities	[4]	(2)	(21)
Net pension and other postretirement benefit costs	[5]	8	13
Changes in other comprehensive income (loss) from equity method investees		0	(1)
Total other comprehensive income		11	7
Comprehensive income including noncontrolling interests		542	547
Comprehensive income attributable to noncontrolling interests		7	4
Comprehensive income attributable to Dominion		535	543
Virginia Electric and Power Company
Net income		263	269
Other comprehensive income (loss), net of taxes:
Net deferred gains (losses) on derivatives-hedging activities	[6]	(9)	(4)
Changes in unrealized net gains (losses) on investment securities	[7]	3	1
Amounts reclassified to net income:
Net derivative (gains) losses-hedging activities	[8]	0	1
Net realized gains on investment securities	[9]	0	(1)
Total other comprehensive income		(6)	(3)
Comprehensive income attributable to Dominion		257	266
Dominion Gas Holdings, LLC
Net income		98	161
Other comprehensive income (loss), net of taxes:
Net deferred gains (losses) on derivatives-hedging activities	[10]	(6)	(4)
Amounts reclassified to net income:
Net derivative (gains) losses-hedging activities	[11]	(2)	0
Net pension and other postretirement benefit costs	[12]	0	1
Total other comprehensive income		(8)	(3)
Comprehensive income attributable to Dominion		$ 90	$ 158

[1] Net of $(33) million and $41 million tax for the three months ended March 31, 2016 and 2015, respectively.

[2] Net of $(10) million and $(11) million tax for the three months ended March 31, 2016 and 2015, respectively.

[3] Net of $39 million and $(39) million tax for the three months ended March 31, 2016 and 2015, respectively.

[4] Net of $1 million and $12 million tax for the three months ended March 31, 2016 and 2015, respectively.

[5] Net of $(6) million and $(9) million tax for the three months ended March 31, 2016 and 2015, respectively.

[6] Net of $5 million and $2 million million tax for the three months ended March 31, 2016 and 2015, respectively.

[7] Net of $(1) million tax for both the three months ended March 31, 2016 and 2015.

[8] Net of $--- million tax for both the three months ended March 31, 2016 and 2015.

[9] Net of $--- million tax for both the three months ended March 31, 2016 and 2015.

[10] Net of $4 million and $2 million tax for the three months ended March 31, 2016 and 2015, respectively

[11] Net of $2 million and $--- million tax for the three months ended March 31, 2016 and 2015, respectively

[12] Net of $(1) million tax for both the three months ended March 31, 2016 and 2015

XML

Consolidated Statements of Comprehensive Income (Parenthetical) - USD ($) $ in Millions	3 Months Ended
	Mar. 31, 2016	Mar. 31, 2015
Net deferred gains (losses) on derivative-hedging activities, tax	$ (33)	$ 41
Changes in unrealized net gains (losses) on investment securities, tax	(10)	(11)
Net derivative (gains) losses-hedging activities, tax	39	(39)
Net realized gains on investment securities, tax	1	12
Net pension and other postretirement benefit costs, tax	(6)	(9)
Virginia Electric and Power Company
Net deferred gains (losses) on derivative-hedging activities, tax	5	2
Changes in unrealized net gains (losses) on investment securities, tax	(1)	(1)
Net derivative (gains) losses-hedging activities, tax	0	0
Net realized gains on investment securities, tax	0	0
Dominion Gas Holdings, LLC
Net deferred gains (losses) on derivative-hedging activities, tax	4	2
Net derivative (gains) losses-hedging activities, tax	2	0
Net pension and other postretirement benefit costs, tax	$ (1)	$ (1)

XML

Consolidated Balance Sheets - USD ($) $ in Millions		Mar. 31, 2016	Dec. 31, 2015
Current Assets
Cash and cash equivalents		$ 218	$ 607	[1]
Customer receivables (less allowance for doubtful accounts)		1,175	1,200	[1]
Other receivables (less allowance for doubtful accounts)		153	169	[1]
Inventories		1,304	1,348	[1]
Prepayments		157	198	[1]
Regulatory assets	[2]	351	351
Other		704	667	[1]
Total current assets		3,711	4,189	[1]
Investments
Nuclear decommissioning trust funds		4,239	4,183	[1]
Investment in equity method affiliates		1,346	1,320	[1]
Other		268	271	[1]
Total investments		5,853	5,774	[1]
Property, Plant and Equipment
Property, plant and equipment		59,154	57,776	[1]
Accumulated depreciation, depletion and amortization		(16,531)	(16,222)	[1]
Total property, plant and equipment, net		42,623	41,554	[1]
Deferred Charges and Other Assets
Goodwill		3,294	3,294	[1]
Pension and other postretirement benefit assets		978	943	[1]
Regulatory assets		1,977	1,865	[1]
Other		1,069	1,029	[1]
Total deferred charges and other assets		7,318	7,131	[1]
Total assets		59,505	58,648	[1]
Current Liabilities
Securities due within one year		1,774	1,825	[1]
Short-term debt		3,028	3,509	[1]
Accounts payable		670	726	[1]
Accrued interest, payroll and taxes		583	515	[1]
Other	[3]	1,463	1,544	[1]
Total current liabilities		7,518	8,119	[1]
Long-Term Debt
Long-term debt		20,807	20,048	[1]
Junior subordinated notes		1,849	1,340	[1]
Remarketable subordinated notes		1,530	2,080	[1]
Total long-term debt		24,186	23,468	[1]
Deferred Credits and Other Liabilities
Deferred income taxes and investment tax credits		7,536	7,414	[1]
Asset retirement obligations		1,916	1,887	[1]
Regulatory liabilities		2,354	2,285	[1]
Other		1,980	1,873	[1]
Total deferred credits and other liabilities		13,786	13,459	[1]
Total liabilities		$ 45,490	$ 45,046	[1]
Commitments and Contingencies (see Note 15)				[1]
Equity
Common stock - no par	[4]	$ 6,778	$ 6,680	[1]
Retained earnings		6,565	6,458	[1]
Accumulated other comprehensive loss		(463)	(474)	[1]
Total common shareholders' equity		12,880	12,664	[1]
Noncontrolling interests		1,135	938	[1]
Total equity		14,015	13,602	[1]
Total liabilities and equity		59,505	58,648	[1]
Virginia Electric and Power Company
Current Assets
Cash and cash equivalents		78	18	[5]
Customer receivables (less allowance for doubtful accounts)		798	822	[5]
Other receivables (less allowance for doubtful accounts)		95	109	[5]
Affiliated receivables		3	296	[5]
Inventories		833	873	[5]
Regulatory assets		343	326	[5]
Other	[6]	57	60	[5]
Total current assets		2,207	2,504	[5]
Investments
Nuclear decommissioning trust funds		1,980	1,945	[5]
Other		3	3	[5]
Total investments		1,983	1,948	[5]
Property, Plant and Equipment
Property, plant and equipment		38,177	37,639	[5]
Accumulated depreciation, depletion and amortization		(11,903)	(11,708)	[5]
Total property, plant and equipment, net		26,274	25,931	[5]
Deferred Charges and Other Assets
Regulatory assets		775	667	[5]
Other	[6]	543	515	[5]
Total deferred charges and other assets		1,318	1,182	[5]
Total assets		31,782	31,565	[5]
Current Liabilities
Securities due within one year		25	476	[5]
Short-term debt		1,276	1,656	[5]
Accounts payable		338	366	[5]
Accrued interest, payroll and taxes		277	190	[5]
Payables to affiliates		102	73	[5]
Affiliated current borrowings		0	376	[5]
Other	[6]	592	593	[5]
Total current liabilities		2,610	3,730	[5]
Long-Term Debt
Total long-term debt		9,638	8,892	[5]
Deferred Credits and Other Liabilities
Deferred income taxes and investment tax credits		4,755	4,654	[5]
Asset retirement obligations		1,134	1,104	[5]
Regulatory liabilities		1,996	1,929	[5]
Other	[6]	751	615	[5]
Total deferred credits and other liabilities		8,636	8,302	[5]
Total liabilities		$ 20,884	$ 20,924	[5]
Commitments and Contingencies (see Note 15)				[5]
Equity
Common stock - no par	[7]	$ 5,738	$ 5,738	[5]
Other paid-in capital		1,113	1,113	[5]
Retained earnings		4,013	3,750	[5]
Accumulated other comprehensive loss		34	40	[5]
Total common shareholders' equity		10,898	10,641	[5]
Total liabilities and equity		31,782	31,565	[5]
Dominion Gas Holdings, LLC
Current Assets
Cash and cash equivalents		44	13	[8]
Customer receivables (less allowance for doubtful accounts)	[9]	227	219	[8]
Other receivables (less allowance for doubtful accounts)	[9]	17	7	[8]
Affiliated receivables		9	98	[8]
Inventories		91	78	[8]
Prepayments		72	88	[8]
Regulatory assets	[2]	5	23
Other	[9]	46	63	[8]
Total current assets		506	566	[8]
Investments
Total investments		104	104	[8]
Property, Plant and Equipment
Property, plant and equipment		9,809	9,693	[8]
Accumulated depreciation, depletion and amortization		(2,726)	(2,690)	[8]
Total property, plant and equipment, net		7,083	7,003	[8]
Deferred Charges and Other Assets
Goodwill		542	542	[8]
Regulatory assets	[10]	460	449
Pension and other postretirement benefit assets	[9]	1,544	1,510	[8]
Other	[9]	611	583	[8]
Total deferred charges and other assets		2,697	2,635	[8]
Total assets		10,390	10,308	[8]
Current Liabilities
Securities due within one year		400	400	[8]
Short-term debt		403	391	[8]
Accounts payable		167	201	[8]
Accrued interest, payroll and taxes		184	183	[8]
Payables to affiliates		32	22	[8]
Affiliated current borrowings		40	95	[8]
Other	[9]	182	183	[8]
Total current liabilities		1,408	1,475	[8]
Long-Term Debt
Total long-term debt		2,871	2,869	[8]
Deferred Credits and Other Liabilities
Deferred income taxes and investment tax credits		2,267	2,214	[8]
Regulatory liabilities	[11]	207	201
Other	[9]	436	432	[8]
Total deferred credits and other liabilities		2,703	2,646	[8]
Total liabilities		$ 6,982	$ 6,990	[8]
Commitments and Contingencies (see Note 15)				[8]
Equity
Membership interests		$ 3,515	$ 3,417	[8]
Accumulated other comprehensive loss	[9]	(107)	(99)	[8]
Total common shareholders' equity		3,408	3,318	[8]
Total liabilities and equity		$ 10,390	$ 10,308	[8]

[1] Dominion’s Consolidated Balance Sheet at December 31, 2015 has been derived from the audited Consolidated Financial Statements at that date.

[2] Current regulatory assets are presented in other current assets in Dominion's and Dominion Gas' Consolidated Balance Sheets.

[3] See Note 3 for amounts attributable to related parties.

[4] 1 billion shares authorized; 597 million shares and 596 million shares outstanding at March 31, 2016 and December 31, 2015, respectively.

[5] Virginia Power’s Consolidated Balance Sheet at December 31, 2015 has been derived from the audited Consolidated Financial Statements at that date.

[6] See Note 17 for amounts attributable to affiliates.

[7] 500,000 shares authorized; 274,723 shares outstanding at March 31, 2016 and December 31, 2015.

[8] Dominion Gas’ Consolidated Balance Sheet at December 31, 2015 has been derived from the audited Consolidated Financial Statements at that date.

[9] See Note 17 for amounts attributable to related parties.

[10] Noncurrent regulatory assets are presented in other deferred charges and other assets in Dominion Gas' Consolidated Balance Sheets.

[11] Noncurrent regulatory liabilities are presented in other deferred credits and other liabilities in Dominion Gas' Consolidated Balance Sheets.

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Consolidated Balance Sheets (Parenthetical) - USD ($) $ in Millions		Mar. 31, 2016	Dec. 31, 2015
Customer receivables, allowance for doubtful accounts		$ 23	$ 32	[1]
Other receivables, allowance for doubtful accounts		$ 2	$ 2	[1]
Common stock, shares authorized		1,000,000,000	1,000,000,000	[1]
Common stock, shares outstanding		597,000,000	596,000,000
Virginia Electric and Power Company
Customer receivables, allowance for doubtful accounts		$ 18	$ 27	[1]
Other receivables, allowance for doubtful accounts		$ 1	$ 1	[1]
Common stock, shares authorized		500,000	500,000	[1]
Common stock, shares outstanding		274,723	274,723	[1]
Dominion Gas Holdings, LLC
Customer receivables, allowance for doubtful accounts	[2]	$ 1	$ 1	[3]
Other receivables, allowance for doubtful accounts	[2]	$ 2	$ 2	[3]

[1] Dominion’s Consolidated Balance Sheet at December 31, 2015 has been derived from the audited Consolidated Financial Statements at that date.

[2] See Note 17 for amounts attributable to related parties.

[3] Dominion Gas’ Consolidated Balance Sheet at December 31, 2015 has been derived from the audited Consolidated Financial Statements at that date.

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Consolidated Statement of Equity - USD ($) shares in Millions, $ in Millions	Total		Total Common Shareholders' Equity	Common Stock	Retained Earnings	Accumulated Other Comprehensive Income (Loss)	Noncontrolling Interests
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Other comprehensive income, net of tax	$ 7
Beginning Balance (in shares) at Dec. 31, 2015				596
Beginning balance at Dec. 31, 2015	13,602	[1]	$ 12,664	$ 6,680	$ 6,458	$ (474)	$ 938
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income including noncontrolling interests	531		524		524		7
Contributions from SunEdison to Four Brothers and Three Cedars	94		0				94
Sale of interest in merchant solar projects	139		22	22			117
Purchase of Dominion Midstream common units	(10)		(2)	$ (2)			(8)
Issuance of common stock (in shares)				1
Issuance of common stock	75		75	$ 75
Dividends and distributions	(427)		(417)		(417)		(10)
Other comprehensive income, net of tax	11		11			11
Other	0		3	$ 3			(3)
Ending Balance (in shares) at Mar. 31, 2016				597
Ending balance at Mar. 31, 2016	$ 14,015		$ 12,880	$ 6,778	$ 6,565	$ (463)	$ 1,135

[1] Dominion’s Consolidated Balance Sheet at December 31, 2015 has been derived from the audited Consolidated Financial Statements at that date.

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Consolidated Statements of Cash Flows - USD ($) $ in Millions	3 Months Ended
	Mar. 31, 2016		Mar. 31, 2015
Operating Activities
Net income including noncontrolling interests	$ 531		$ 540
Net income	524		536
Adjustments to reconcile net income including noncontrolling interests to net cash provided by operating activities:
Depreciation and amortization (including nuclear fuel)	424		414
Deferred income taxes and investment tax credits	131		277
Gains on the sale of assets and businesses	(5)		(70)
Other adjustments	(21)		(40)
Changes in:
Accounts receivable	40		(65)
Inventories	44		148
Deferred fuel and purchased gas costs, net	35		(33)
Accounts payable	(37)		(85)
Accrued interest, payroll and taxes	68		(15)
Margin deposit assets and liabilities	(21)		111
Other operating assets and liabilities	3		(51)
Net cash provided by operating activities	1,192		1,131
Investing Activities
Plant construction and other property additions (including nuclear fuel)	(1,497)		(1,014)
Acquisition of DCG	0		(495)
Proceeds from sales of securities	368		337
Purchases of securities	(393)		(304)
Other	(3)		(23)
Net cash used in investing activities	(1,525)		(1,499)
Financing Activities
Issuance (repayment) of short-term debt, net	(481)		425
Repurchase of short-term notes	(100)		0
Issuance of long-term debt	1,250		0
Repayment and repurchase of long-term debt	(496)		(3)
Proceeds from sale of interest in merchant solar projects	117		0
Contributions from SunEdison to Four Brothers and Three Cedars	94		0
Issuance of common stock	75		295
Common dividend payments	(417)		(381)
Other	(98)		(11)
Net cash provided by (used in) financing activities	(56)		325
Decrease in cash and cash equivalents	(389)		(43)
Cash and cash equivalents at beginning of period	607	[1]	318
Cash and cash equivalents at end of period	218		275
Significant noncash investing activities:
Accrued capital expenditures	472		353
Virginia Electric and Power Company
Operating Activities
Net income	263		269
Adjustments to reconcile net income including noncontrolling interests to net cash provided by operating activities:
Depreciation and amortization (including nuclear fuel)	294		281
Deferred income taxes and investment tax credits	99		67
Other adjustments	(8)		(7)
Changes in:
Accounts receivable	38		(20)
Affiliated receivables and payables	322		(20)
Inventories	40		85
Deferred fuel and purchased gas costs, net	27		(54)
Prepayments	8		214
Accounts payable	(3)		3
Accrued interest, payroll and taxes	87		116
Other operating assets and liabilities	4		27
Net cash provided by operating activities	1,171		961
Investing Activities
Plant construction and other property additions (including nuclear fuel)	(604)		(583)
Purchases of nuclear fuel	(22)		(23)
Proceeds from sales of securities	193		133
Purchases of securities	(201)		(138)
Other	(13)		(11)
Net cash used in investing activities	(647)		(622)
Financing Activities
Issuance (repayment) of short-term debt, net	(380)		227
Repayment of affiliated current borrowings, net	(376)		(417)
Issuance of long-term debt	750		0
Repayment and repurchase of long-term debt	(452)		0
Distribution payments to parent	0		(149)
Other	(6)		1
Net cash provided by (used in) financing activities	(464)		(338)
Decrease in cash and cash equivalents	60		1
Cash and cash equivalents at beginning of period	18	[2]	15
Cash and cash equivalents at end of period	78		16
Significant noncash investing activities:
Accrued capital expenditures	164		139
Dominion Gas Holdings, LLC
Operating Activities
Net income	98		161
Adjustments to reconcile net income including noncontrolling interests to net cash provided by operating activities:
Depreciation and amortization	43		51
Deferred income taxes and investment tax credits	58		36
Gains on the sale of assets and businesses	(5)		(70)
Other adjustments	0		3
Changes in:
Accounts receivable	(18)		(24)
Affiliated receivables and payables	99		6
Deferred fuel and purchased gas costs, net	11		16
Prepayments	16		102
Accounts payable	(25)		(33)
Accrued interest, payroll and taxes	1		49
Other operating assets and liabilities	(45)		(24)
Net cash provided by operating activities	233		273
Investing Activities
Plant construction and other property additions (including nuclear fuel)	(161)		(128)
Proceeds from assignments of shale development rights	5		27
Other	(2)		(1)
Net cash used in investing activities	(158)		(102)
Financing Activities
Issuance (repayment) of short-term debt, net	12		280
Repayment of affiliated current borrowings, net	(55)		(345)
Distribution payments to parent	0		(95)
Other	(1)		(1)
Net cash provided by (used in) financing activities	(44)		(161)
Decrease in cash and cash equivalents	31		10
Cash and cash equivalents at beginning of period	13	[3]	9
Cash and cash equivalents at end of period	44		19
Significant noncash investing activities:
Accrued capital expenditures	$ 36		$ 22

[1] Dominion’s Consolidated Balance Sheet at December 31, 2015 has been derived from the audited Consolidated Financial Statements at that date.

[2] Virginia Power’s Consolidated Balance Sheet at December 31, 2015 has been derived from the audited Consolidated Financial Statements at that date.

[3] Dominion Gas’ Consolidated Balance Sheet at December 31, 2015 has been derived from the audited Consolidated Financial Statements at that date.

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Nature of Operations

3 Months Ended

Mar. 31, 2016

Organization, Consolidation and Presentation of Financial Statements [Abstract]

Nature of Operations

Nature of Operations

Dominion, headquartered in Richmond, Virginia, is one of the nation’s largest producers and transporters of energy. Dominion’s operations are conducted through various subsidiaries, including Virginia Power and Dominion Gas. Virginia Power is a regulated public utility that generates, transmits and distributes electricity for sale in Virginia and northeastern North Carolina. Dominion Gas is a holding company that conducts business activities through a regulated interstate natural gas transmission pipeline and underground storage system in the Northeast, mid-Atlantic and Midwest states, regulated gas transportation and distribution operations in Ohio, and gas gathering and processing activities primarily in West Virginia, Ohio and Pennsylvania. Dominion Gas' principal wholly-owned subsidiaries are DTI, East Ohio and Dominion Iroquois.

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Significant Accounting Policies

3 Months Ended

Mar. 31, 2016

Accounting Policies [Abstract]

Significant Accounting Policies

Significant Accounting Policies

As permitted by the rules and regulations of the SEC, the Companies' accompanying unaudited Consolidated Financial Statements contain certain condensed financial information and exclude certain footnote disclosures normally included in annual audited consolidated financial statements prepared in accordance with GAAP. These unaudited Consolidated Financial Statements should be read in conjunction with the Consolidated Financial Statements and Notes in the Companies' Annual Report on Form 10-K for the year ended December 31, 2015.

In the Companies' opinion, the accompanying unaudited Consolidated Financial Statements contain all adjustments necessary to present fairly their financial position as of March 31, 2016, their results of operations and cash flows for the three months ended March 31, 2016 and 2015 and Dominion's statement of equity for the three months ended March 31, 2016. Such adjustments are normal and recurring in nature unless otherwise noted.

The Companies make certain estimates and assumptions in preparing their Consolidated Financial Statements in accordance with GAAP. These estimates and assumptions affect the reported amounts of assets and liabilities, the disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses for the periods presented. Actual results may differ from those estimates.

The Companies' accompanying unaudited Consolidated Financial Statements include, after eliminating intercompany transactions and balances, their accounts, those of their respective majority-owned subsidiaries and non-wholly-owned entities in which they have a controlling financial interest. For certain partnership structures, income is allocated based on the liquidation value of the underlying contractual arrangements. As of March 31, 2016, Dominion owns the general partner and 64.6% of the limited partner interests in Dominion Midstream. The public’s ownership interest in Dominion Midstream is reflected as noncontrolling interest in Dominion’s Consolidated Financial Statements. Also, as of March 31, 2016, Dominion owns 50% of the units in and consolidates Four Brothers and Three Cedars. SunEdison’s ownership interest in Four Brothers and Three Cedars, as well as Terra Nova Renewable Partners' 33% interest in certain of Dominion's merchant solar projects, is reflected as noncontrolling interest in Dominion’s Consolidated Financial Statements. See Note 3 for further information on transactions with SunEdison.

The results of operations for interim periods are not necessarily indicative of the results expected for the full year. Information for quarterly periods is affected by seasonal variations in sales, rate changes, electric fuel and other energy-related purchases, purchased gas expenses and other factors.

Certain amounts in the Companies' 2015 Consolidated Financial Statements and Notes have been reclassified to conform to the 2016 presentation for comparative purposes. The reclassifications did not affect the Companies’ net income, total assets, liabilities, equity or cash flows, except for the reclassification of debt issuance costs as discussed in Note 2 to the Companies' Annual Report on Form 10-K for the year ended December 31, 2015.

Amounts disclosed for Dominion are inclusive of Virginia Power and/or Dominion Gas, where applicable.

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Acquisitions and Dispositions

3 Months Ended

Mar. 31, 2016

Business Combinations, Discontinued Operations and Disposal Groups [Abstract]

Acquisitions and Dispositions

Acquisitions and Dispositions

Dominion

Proposed Acquisition of Questar

Pursuant to the terms of the Questar Combination announced in February 2016, upon closing, each share of Questar common stock issued and outstanding immediately prior to the closing will be converted automatically into the right to receive $25 in cash per share, or approximately $4.4 billion in total. In addition, Questar’s debt, which currently totals approximately $1.5 billion is expected to remain outstanding. Dominion entered into agreements with several of its lending banks pursuant to which they have unfunded financing commitments to provide a $3.9 billion acquisition facility. In connection with receipt of proceeds from Dominion’s issuance of common stock, the acquisition facility was reduced from $3.9 billion to $3.14 billion in April 2016. See Note 14 for more information. Dominion intends to permanently finance the transaction in a manner that supports its existing credit ratings targets by issuing a combination of common stock, mandatory convertibles and debt at Dominion, and indirectly through the issuance of securities at Dominion Midstream, the proceeds of which will be applied to pay Dominion for certain assets of Questar, which are, subject to relevant approvals, expected to be contributed to Dominion Midstream.

The transaction requires approval of Questar’s shareholders and clearance from the Federal Trade Commission under the Hart-Scott-Rodino Act. In February 2016, the Federal Trade Commission granted antitrust approval of the Questar Combination under the Hart-Scott-Rodino Act. In March 2016, Questar and Dominion filed for review and approval, as required, from the Utah Public Service Commission and the Wyoming Public Service Commission, and provided information regarding the transaction to the Idaho Public Utilities Commission. The Questar Combination contains certain termination rights for both Dominion and Questar, and provides that, upon termination of the Questar Combination under specified circumstances, Dominion would be required to pay a termination fee of $154 million to Questar and Questar would be required to pay Dominion a termination fee of $99 million. Subject to receipt of Questar shareholder and any required regulatory approvals and meeting closing conditions, Dominion targets closing by the end of 2016.

Sale of Interest in Merchant Solar Projects

In September 2015, Dominion signed an agreement to sell a noncontrolling interest (consisting of 33% of the equity interests) in all of its then currently wholly-owned merchant solar projects, 24 solar projects totaling approximately 425 MW, to SunEdison. In December 2015, the sale of interest in 15 of the solar projects closed for $184 million with the sale of interest in the remaining projects completed in January 2016 for $117 million. Upon closing, SunEdison sold its interest in these projects to Terra Nova Renewable Partners. Terra Nova Renewable Partners has a future option to buy all or a portion of Dominion’s remaining 67% ownership in the projects upon the occurrence of certain events, none of which had occurred as of March 31, 2016 nor are expected to occur in the remainder of 2016.

Non-Wholly-Owned Merchant Solar Projects

Acquisitions of Four Brothers and Three Cedars

In June 2015, Dominion acquired 50% of the units in Four Brothers from SunEdison for $64 million of consideration, consisting of $2 million in cash and a $62 million payable. As of March 31, 2016, a $20 million payable is included in other current liabilities in Dominion's Consolidated Balance Sheets. Four Brothers' purpose is to develop and operate four solar projects located in Utah, which will produce and sell electricity and renewable energy credits. The projects are expected to cost approximately $730 million to construct, including the initial acquisition cost. Dominion is obligated to contribute $445 million of capital to fund the construction of the projects and has contributed $301 million through March 31, 2016. The facilities are expected to begin commercial operations by the end of the third quarter of 2016, with generating capacity of approximately 320 MW.

In September 2015, Dominion acquired 50% of the units in Three Cedars from SunEdison for $43 million of consideration, consisting of $6 million in cash and a $37 million payable. As of March 31, 2016, an $18 million payable is included in other current liabilities in Dominion’s Consolidated Balance Sheets. Three Cedars’ purpose is to develop and operate three solar projects located in Utah, which will produce and sell electricity and renewable energy credits. The projects are expected to cost approximately $425 million to construct. Dominion is obligated to contribute $276 million of capital to fund the construction of the projects and has contributed $144 million through March 31, 2016. The facilities are expected to begin commercial operations by the end of the third quarter of 2016, with generating capacity of approximately 210 MW.

Long-term power purchase, interconnection and operation and maintenance agreements have been executed for both Four Brothers and Three Cedars. Dominion expects to claim 99% of the federal investment tax credits on the projects.

Dominion owns 50% of the voting interests in Four Brothers and Three Cedars and has a controlling financial interest over the entities through its rights to control operations. The allocation of the $64 million purchase price for Four Brothers resulted in $89 million of property, plant and equipment and $25 million of noncontrolling interest. The allocation of the $43 million purchase price for Three Cedars resulted in $65 million of property, plant and equipment and $22 million of noncontrolling interest. The noncontrolling interest for each entity was measured at fair value using the discounted cash flow method, with the primary components of the valuation being future cash flows (both incoming and outgoing) and the discount rate. Dominion determined its discount rate based on the cost of capital a utility-scale investor would expect, as well as the cost of capital an individual project developer could achieve via a combination of non-recourse project financing and outside equity partners. The acquired assets of Four Brothers and Three Cedars are included in the Dominion Generation operating segment.

Four Brothers and Three Cedars entered into agreements with SunEdison to provide administrative and support services in connection with the construction of the projects, operation and maintenance of the facilities, and administrative and technical management services of the solar facilities. Dominion has assumed certain of these agreements from SunEdison and will provide a majority of the administrative and support services as early as May 2016. In addition, Dominion has entered into contracts with SunEdison to provide services related to construction project management and oversight. Costs related to services to be provided under these agreements were immaterial for the three months ended March 31, 2016. Subsequent to Dominion’s acquisition of Four Brothers and Three Cedars through March 31, 2016, SunEdison made contributions to Four Brothers and Three Cedars of $197 million in aggregate, which are reflected as noncontrolling interests in Dominion's Consolidated Balance Sheets.

In April 2016, SunEdison filed for Chapter 11 bankruptcy; however, this is not expected to have a material adverse effect on Dominion, Four Brothers or Three Cedars.

Acquisition of DCG

In January 2015, Dominion completed the acquisition of 100% of the equity interests of DCG from SCANA Corporation for $497 million in cash, as adjusted for working capital. DCG owns and operates nearly 1,500 miles of FERC-regulated interstate natural gas pipeline in South Carolina and southeastern Georgia. This acquisition supports Dominion’s natural gas expansion into the Southeast. The allocation of the purchase price resulted in $277 million of net property, plant and equipment, $250 million of goodwill, of which approximately $225 million is expected to be deductible for income tax purposes, and $38 million of regulatory liabilities. The goodwill reflects the value associated with enhancing Dominion's regulated gas position, economic value attributable to future expansion projects as well as increased opportunities for synergies. The acquired assets of DCG are included in the Dominion Energy operating segment.

On March 24, 2015, DCG converted to a limited liability company under the laws of South Carolina and changed its name from Carolina Gas Transmission Corporation to DCG. On April 1, 2015, Dominion contributed 100% of the issued and outstanding membership interests of DCG to Dominion Midstream in exchange for total consideration of $501 million, as adjusted for working capital. Total consideration to Dominion consisted of the issuance of a two-year, $301 million senior unsecured promissory note payable by Dominion Midstream at an annual interest rate of 0.6%, and 5,112,139 common units, valued at $200 million, representing limited partner interests in Dominion Midstream. The number of units was based on the volume weighted average trading price of Dominion Midstream's common units for the ten trading days prior to April 1, 2015, or $39.12 per unit. Since Dominion consolidates Dominion Midstream for financial reporting purposes, this transaction was eliminated upon consolidation and did not impact Dominion's financial position or cash flows.

Dominion Gas

Assignments of Shale Development Rights

In December 2013, Dominion Gas closed an agreement with a natural gas producer to convey over time approximately 79,000 acres of Marcellus Shale development rights underneath one of its natural gas storage fields. The agreement provided for payments to Dominion Gas, subject to customary adjustments, of up to approximately $200 million over a period of nine years, and an overriding royalty interest in gas produced from the acreage. In March 2015, Dominion Gas and the natural gas producer closed on an amendment to the agreement, which included the immediate conveyance of approximately 9,000 acres of Marcellus Shale development rights and a two year extension of the term of the original agreement. The conveyance of development rights resulted in the recognition of $43 million ($27 million after-tax) of previously deferred revenue to operations and maintenance expense in Dominion Gas' Consolidated Statements of Income. At March 31, 2016, deferred revenue totaled $36 million. In April 2016, Dominion Gas and the natural gas producer closed on an amendment to the agreement, which included the immediate conveyance of a 32% partial interest in the remaining approximately 70,000 acres. This conveyance will result in the recognition of the remaining $36 million ($22 million after-tax) of previously deferred revenue to operations and maintenance expense in Dominion Gas’ Consolidated Statements of Income.

In March 2015, Dominion Gas conveyed to a natural gas producer approximately 11,000 acres of Marcellus Shale development rights underneath one of its natural gas storage fields and received proceeds of $27 million and an overriding royalty interest in gas produced from the acreage. This transaction resulted in a $27 million ($16 million after-tax) gain, included in other operations and maintenance expense in Dominion Gas' Consolidated Statements of Income.

In November 2014, Dominion Gas closed on an agreement with a natural gas producer to convey over time approximately 24,000 acres of Marcellus Shale development rights underneath one of its natural gas storage fields. In connection with that agreement, in January 2016, Dominion Gas conveyed approximately 2,000 acres of Marcellus Shale development rights and received proceeds of $5 million and an overriding royalty interest in gas produced from the acreage. This transaction resulted in a $5 million ($3 million after-tax) gain, included in other operations and maintenance expense in Dominion Gas' Consolidated Statements of Income.

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Operating Revenue

3 Months Ended

Mar. 31, 2016

Regulated and Unregulated Operating Revenue [Abstract]

Operating Revenue

Operating Revenue

The Companies’ operating revenue consists of the following:

	Three Months Ended March 31,
	2016		2015
(millions)
Dominion
Electric sales:
Regulated	$	1,842	$	2,112
Nonregulated	389		406
Gas sales:
Regulated	65		116
Nonregulated	118		208
Gas transportation and storage	415		471
Other	92		96
Total operating revenue	$	2,921	$	3,409
Virginia Power
Regulated electric sales	$	1,842	$	2,112
Other	48		25
Total operating revenue	$	1,890	$	2,137
Dominion Gas
Gas sales:
Regulated	$	29	$	57
Nonregulated	1		3
Gas transportation and storage	351		412
NGL revenue	17		29
Other	33		30
Total operating revenue	$	431	$	531

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Income Taxes

3 Months Ended

Mar. 31, 2016

Income Tax Disclosure [Abstract]

Income Taxes

Income Taxes

For continuing operations, including noncontrolling interests, the statutory U.S. federal income tax rate reconciles to the Companies' effective income tax rate as follows:

	Dominion				Virginia Power				Dominion Gas
Three Months Ended March 31,	2016		2015		2016		2015		2016		2015
U.S. statutory rate	35.0	%	35.0	%	35.0	%	35.0	%	35.0	%	35.0	%
Increases (reductions) resulting from:
State taxes, net of federal benefit	4.3		2.9		4.2		3.8		3.9		4.0
Investment tax credits	(10.9	)	(0.8	)	(1.3	)	—		—		—
Production tax credits	(0.8	)	(0.8	)	(0.6	)	(0.4	)	—		—
Other, net	(2.4	)	(0.6	)	(0.6	)	(0.7	)	(0.1	)	(0.1	)
Effective tax rate	25.2	%	35.7	%	36.7	%	37.7	%	38.8	%	38.9	%

As of March 31, 2016, there have been no material changes in the Companies' unrecognized tax benefits or possible changes that could reasonably be expected to occur during the next twelve months. See Note 5 to the Consolidated Financial Statements in the Companies' Annual Report on Form 10-K for the year ended December 31, 2015 for a discussion of these unrecognized tax benefits.

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Earnings Per Share

3 Months Ended

Mar. 31, 2016

Earnings Per Share [Abstract]

Earnings Per Share

Earnings Per Share

The following table presents the calculation of Dominion’s basic and diluted EPS:

	Three Months Ended March 31,
	2016		2015
(millions, except EPS)
Net income attributable to Dominion	$	524	$	536
Average shares of common stock outstanding – Basic	596.6		587.9
Net effect of dilutive securities(1)	1.6		2.0
Average shares of common stock outstanding – Diluted	598.2		589.9
Earnings Per Common Share – Basic and Diluted	$	0.88	$	0.91

(1) Dilutive securities consist primarily of the 2013 Equity Units. See Note 14 in this report and Note 17 to the Consolidated Financial Statements in the Companies' Annual Report on Form 10-K for the year ended December 31, 2015 for more information.

The 2014 Equity Units are potentially dilutive securities but were excluded from the calculation of diluted EPS for the three months ended March 31, 2016 and 2015, as the dilutive stock price threshold was not met.

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Accumulated Other Comprehensive Income

3 Months Ended

Mar. 31, 2016

Equity [Abstract]

Accumulated Other Comprehensive Income

Accumulated Other Comprehensive Income

Dominion

The following table presents Dominion’s changes in AOCI by component, net of tax:

	Deferred Gains and Losses on Derivatives-Hedging Activities			Unrealized Gains and Losses on Investment Securities			Unrecognized Pension and Other Postretirement Benefit Costs			Other Comprehensive Income (Loss) From Equity Method Investee			Total
(millions)
Three Months Ended March 31, 2016
Beginning balance	$	(176	)	$	504		$	(797	)	$	(5	)	$	(474	)
Other comprehensive income before reclassifications: gains (losses)	53			15			—			—			68
Amounts reclassified from AOCI(1): (gains) losses	(63		)	(2		)	8			—			(57		)
Net current-period other comprehensive income (loss)	(10		)	13			8			—			11
Ending balance	$	(186	)	$	517		$	(789	)	$	(5	)	$	(463	)
Three Months Ended March 31, 2015
Beginning balance	$	(178	)	$	548		$	(782	)	$	(4	)	$	(416	)
Other comprehensive income before reclassifications: gains (losses)	(58		)	15			—			(1		)	(44		)
Amounts reclassified from AOCI(1): (gains) losses	59			(21		)	13			—			51
Net current-period other comprehensive income (loss)	1			(6		)	13			(1		)	7
Ending balance	$	(177	)	$	542		$	(769	)	$	(5	)	$	(409	)

(1) See table below for details about these reclassifications.

The following table presents Dominion’s reclassifications out of AOCI by component:

Details About AOCI Components	Amounts Reclassified From AOCI			Affected Line Item in the Consolidated Statements of Income
(millions)
Three Months Ended March 31, 2016
Deferred (gains) and losses on derivatives-hedging activities:
Commodity contracts	$	(114	)	Operating revenue
	6			Purchased gas
	3			Electric fuel and other energy-related purchases
Interest rate contracts	3			Interest and related charges

	(102		)
Tax	39			Income tax expense
	$	(63	)
Unrealized (gains) and losses on investment securities:
Realized (gain) loss on sale of securities	$	(10	)	Other income
Impairment	7			Other income
	(3		)
Tax	1			Income tax expense
	$	(2	)
Unrecognized pension and other postretirement benefit costs:
Prior service (credit) costs	$	(3	)	Other operations and maintenance
Actuarial (gains) losses	17			Other operations and maintenance
	14
Tax	(6		)	Income tax expense
	$	8
Three Months Ended March 31, 2015
Deferred (gains) and losses on derivatives-hedging activities:
Commodity contracts	$	92		Operating revenue
	5			Purchased gas
	(1		)	Electric fuel and other energy-related purchases
Interest rate contracts	2			Interest and related charges
	98
Tax	(39		)	Income tax expense
	$	59
Unrealized (gains) and losses on investment securities:
Realized (gain) loss on sale of securities	$	(39	)	Other income
Impairment	6			Other income
	(33		)
Tax	12			Income tax expense
	$	(21	)
Unrecognized pension and other postretirement benefit costs:
Prior service (credit) costs	$	(3	)	Other operations and maintenance
Actuarial (gains) losses	25			Other operations and maintenance
	22
Tax	(9		)	Income tax expense
	$	13

Dominion Gas

The following table presents Dominion Gas’ changes in AOCI by component, net of tax:

	Deferred Gains and Losses on Derivatives-Hedging Activities			Unrecognized Pension and Other Postretirement Benefit Costs			Total
(millions)
Three Months Ended March 31, 2016
Beginning balance	$	(17	)	$	(82	)	$	(99	)
Other comprehensive income before reclassifications: gains (losses)	(6		)	—			(6		)
Amounts reclassified from AOCI(1): (gains) losses	(2		)	—			(2		)
Net current-period other comprehensive loss	(8		)	—			(8		)
Ending balance	$	(25	)	$	(82	)	$	(107	)
Three Months Ended March 31, 2015
Beginning balance	$	(20	)	$	(66	)	$	(86	)
Other comprehensive income before reclassifications: gains (losses)	(4		)	—			(4		)
Amounts reclassified from AOCI(1): (gains) losses	—			1			1
Net current-period other comprehensive income (loss)	(4		)	1			(3		)
Ending balance	$	(24	)	$	(65	)	$	(89	)

(1) See table below for details about these reclassifications.

The following table presents Dominion Gas' reclassifications out of AOCI by component:

Details About AOCI Components	Amounts Reclassified From AOCI			Affected Line Item in the Consolidated Statements of Income
(millions)
Three Months Ended March 31, 2016
Deferred (gains) and losses on derivatives-hedging activities:
Commodity contracts	$	(4	)	Operating revenue
	(4		)
Tax	2			Income tax expense
	$	(2	)
Unrecognized pension and other postretirement benefit costs:
Actuarial (gains) losses	$	1		Other operations and maintenance
	1
Tax	(1		)	Income tax expense
	$	—
Three Months Ended March 31, 2015
Unrecognized pension and other postretirement benefit costs:
Actuarial (gains) losses	$	2		Other operations and maintenance
	2
Tax	(1		)	Income tax expense
	$	1

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Fair Value Measurements

3 Months Ended

Mar. 31, 2016

Fair Value Disclosures [Abstract]

Fair Value Measurements

Fair Value Measurements

The Companies' fair value measurements are made in accordance with the policies discussed in Note 6 to the Consolidated Financial Statements in the Companies' Annual Report on Form 10-K for the year ended December 31, 2015. See Note 9 in this report for further information about the Companies' derivatives and hedge accounting activities.

The Companies enter into certain physical and financial forwards, futures, options and swaps, which are considered Level 3 as they have one or more inputs that are not observable and are significant to the valuation. The discounted cash flow method is used to value Level 3 physical and financial forwards and futures contracts. An option model is used to value Level 3 physical and financial options. The discounted cash flow model for forwards and futures calculates mark-to-market valuations based on forward market prices, original transaction prices, volumes, risk-free rate of return, and credit spreads. The option model calculates mark-to-market valuations using variations of the Black-Scholes option model. The inputs into the models are the forward market prices, implied price volatilities, risk-free rate of return, the option expiration dates, the option strike prices, the original sales prices, and volumes. For Level 3 fair value measurements, forward market prices, credit spreads and implied price volatilities are considered unobservable. The unobservable inputs are developed and substantiated using historical information, available market data, third-party data, and statistical analysis. Periodically, inputs to valuation models are reviewed and revised as needed, based on historical information, updated market data, market liquidity and relationships, and changes in third-party pricing sources.

The following table presents Dominion's quantitative information about Level 3 fair value measurements at March 31, 2016. The range and weighted average are presented in dollars for market price inputs and percentages for credit spreads and price volatility.

	Fair Value (millions)		Valuation Techniques	Unobservable Input		Range	Weighted Average(1)
Assets
Physical and financial forwards and futures:
Natural gas(2)	$	115	Discounted cash flow	Market price (per Dth)	(3)	(2) - 6	—
				Credit spread	(4)	1% - 7%	3	%
FTRs	4		Discounted cash flow	Market price (per MWh)	(3)	(5) - 7	1
Physical and financial options:
Natural gas	5		Option model	Market price (per Dth)	(3)	1 - 6	3
				Price volatility	(5)	18% - 59%	22	%
Total assets	$	124
Liabilities
Physical and financial forwards and futures:
Natural gas(2)	$	7	Discounted cash flow	Market price (per Dth)	(3)	(1) - 3	2
FTRs	6		Discounted cash flow	Market price (per MWh)	(3)	(3) - 5	1
Physical and financial options:
Natural gas	2		Option model	Market price (per Dth)	(3)	1 - 4	2
				Price volatility	(5)	26% - 59%	38	%
Total liabilities	$	15

(1) Averages weighted by volume.

(2) Includes basis.

(3) Represents market prices beyond defined terms for Levels 1 and 2.

(4) Represents credit spreads unrepresented in published markets.

(5) Represents volatilities unrepresented in published markets.

Sensitivity of the fair value measurements to changes in the significant unobservable inputs is as follows:

Significant Unobservable Inputs	Position	Change to Input	Impact on Fair Value Measurement
Market price	Buy	Increase (decrease)	Gain (loss)
Market price	Sell	Increase (decrease)	Loss (gain)
Price volatility	Buy	Increase (decrease)	Gain (loss)
Price volatility	Sell	Increase (decrease)	Loss (gain)
Credit spread	Asset	Increase (decrease)	Loss (gain)

Recurring Fair Value Measurements

Dominion

The following table presents Dominion’s assets and liabilities that are measured at fair value on a recurring basis for each hierarchy level, including both current and noncurrent portions:

	Level 1		Level 2		Level 3		Total
(millions)
At March 31, 2016
Assets
Derivatives:
Commodity	$	1	$	245	$	124	$	370
Interest rate	—		31		—		31
Investments(1):
Equity securities:
U.S.:
Large cap	2,571		—		—		2,571
Other	5		—		—		5
REIT	67		—		—		67
Non-U.S.:
Large cap	9		—		—		9
Fixed income:
Corporate debt instruments	—		464		—		464
U.S. Treasury securities and agency debentures	451		219		—		670
State and municipal	—		372		—		372
Other	—		99		—		99
Cash equivalents and other	6		1		—		7
Total assets	$	3,110	$	1,431	$	124	$	4,665
Liabilities
Derivatives:
Commodity	$	—	$	124	$	15	$	139
Interest rate	—		291		—		291
Total liabilities	$	—	$	415	$	15	$	430
At December 31, 2015
Assets
Derivatives:
Commodity	$	1	$	249	$	114	$	364
Interest rate	—		24		—		24
Investments(1):
Equity securities:

U.S.:
Large cap	2,547		—		—		2,547
Other	5		—		—		5
REIT	63		—		—		63
Non-U.S.:
Large cap	10		—		—		10
Fixed income:
Corporate debt instruments	—		437		—		437
U.S. Treasury securities and agency debentures	458		201		—		659
State and municipal	—		376		—		376
Other	—		100		—		100
Cash equivalents and other	2		2		—		4
Total assets	$	3,086	$	1,389	$	114	$	4,589
Liabilities
Derivatives:
Commodity	$	—	$	141	$	19	$	160
Interest rate	—		183		—		183
Total liabilities	$	—	$	324	$	19	$	343

(1) Includes investments held in the nuclear decommissioning and rabbi trusts.

The following table presents the net change in Dominion's assets and liabilities measured at fair value on a recurring basis and included in the Level 3 fair value category:

	Three Months Ended March 31,
	2016			2015
(millions)
Beginning balance	$	95		$	107
Total realized and unrealized gains (losses):
Included in earnings	(7		)	15
Included in other comprehensive income (loss)	3			(11		)
Included in regulatory assets/liabilities	17			(24		)
Settlements	8			(14		)
Transfers out of Level 3	(7		)	3
Ending balance	$	109		$	76

The following table presents Dominion's classification of gains and losses included in earnings in the Level 3 fair value category. There were no unrealized gains or losses included in earnings in the Level 3 fair value category relating to assets/liabilities still held at the reporting date for the three months ended March 31, 2016 and 2015.

	Operating Revenue		Electric Fuel and Other Energy-Related Purchases			Total
(millions)
Three Months Ended March 31, 2016
Total gains (losses) included in earnings	$	—	$	(7	)	$	(7	)
Three Months Ended March 31, 2015
Total gains (losses) included in earnings	2		13			15

Virginia Power

The following table presents Virginia Power's quantitative information about Level 3 fair value measurements at March 31, 2016. The range and weighted average are presented in dollars for market price inputs and percentages for credit spreads and price volatility.

	Fair Value (millions)		Valuation Techniques	Unobservable Input		Range	Weighted Average(1)
Assets
Physical and financial forwards and futures:
FTRs	$	4	Discounted cash flow	Market price (per MWh)	(3)	(5) - 7	1
Natural gas(2)	111		Discounted cash flow	Market price (per Dth)	(3)	(2) - 6	—
				Credit spread	(4)	1% - 7%	3	%
Physical and financial options:
Natural gas	1		Option model	Market price (per Dth)	(3)	2 - 6	3
				Price volatility	(5)	18% - 29%	21	%
Total assets	$	116
Liabilities
Physical and financial forwards and futures:
FTRs	$	6	Discounted cash flow	Market price (per MWh)	(3)	(3) - 5	1
Total liabilities	$	6

(1) Averages weighted by volume.

(2) Includes basis.

(3) Represents market prices beyond defined terms for Levels 1 and 2.

(4) Represents credit spreads unrepresented in published markets.

(5) Represents volatilities unrepresented in published markets.

Sensitivity of the fair value measurements to changes in the significant unobservable inputs is as follows:

Significant Unobservable Inputs	Position	Change to Input	Impact on Fair Value Measurement
Market price	Buy	Increase (decrease)	Gain (loss)
Market price	Sell	Increase (decrease)	Loss (gain)
Credit spread	Asset	Increase (decrease)	Loss (gain)
Price volatility	Buy	Increase (decrease)	Gain (loss)
Price volatility	Sell	Increase (decrease)	Loss (gain)

The following table presents Virginia Power’s assets and liabilities that are measured at fair value on a recurring basis for each hierarchy level, including both current and noncurrent portions:

	Level 1		Level 2		Level 3		Total
(millions)
At March 31, 2016
Assets
Derivatives:
Commodity	$	—	$	14	$	116	$	130
Interest rate	—		8		—		8
Investments(1):
Equity securities:
U.S. large cap	1,113		—		—		1,113
REIT	67		—		—		67
Fixed income:
Corporate debt instruments	—		250		—		250
U.S. Treasury securities and agency debentures	164		99		—		263
State and municipal	—		173		—		173
Other	—		46		—		46
Total assets	$	1,344	$	590	$	116	$	2,050
Liabilities
Derivatives:
Commodity	$	—	$	24	$	6	$	30
Interest rate	—		144		—		144
Total liabilities	$	—	$	168	$	6	$	174
At December 31, 2015
Assets
Derivatives:
Commodity	$	—	$	13	$	101	$	114
Interest rate	—		13		—		13
Investments(1):
Equity securities:
U.S. large cap	1,100		—		—		1,100
REIT	63		—		—		63
Fixed income:
Corporate debt instruments	—		238		—		238
U.S. Treasury securities and agency debentures	180		79		—		259
State and municipal	—		175		—		175
Other	—		34		—		34
Total assets	$	1,343	$	552	$	101	$	1,996
Liabilities
Derivatives:
Commodity	$	—	$	19	$	8	$	27
Interest rate	—		59		—		59
Total liabilities	$	—	$	78	$	8	$	86

(1) Includes investments held in the nuclear decommissioning and rabbi trusts.

The following table presents the net change in Virginia Power’s assets and liabilities measured at fair value on a recurring basis and included in the Level 3 fair value category:

	Three Months Ended March 31,
	2016			2015
(millions)
Beginning balance	$	93		$	102
Total realized and unrealized gains (losses):
Included in earnings	(8		)	14
Included in regulatory assets/liabilities	17			(24		)
Settlements	8			(14		)
Ending balance	$	110		$	78

The gains and losses included in earnings in the Level 3 fair value category were classified in electric fuel and other energy-related purchases in Virginia Power's Consolidated Statements of Income for the three months ended March 31, 2016 and 2015. There were no unrealized gains or losses included in earnings in the Level 3 fair value category relating to assets/liabilities still held at the reporting date for the three months ended March 31, 2016 and 2015.

Dominion Gas

The following table presents Dominion Gas' assets and liabilities for derivatives that are measured at fair value on a recurring basis for each hierarchy level, including both current and noncurrent portions:

	Level 1		Level 2		Level 3		Total
(millions)
At March 31, 2016
Assets
Commodity	$	—	$	6	$	—	$	6
Total Assets	$	—	$	6	$	—	$	6
Liabilities
Interest rate	$	—	$	23	$	—	$	23
Total liabilities	$	—	$	23	$	—	$	23
At December 31, 2015
Assets
Commodity	$	—	$	5	$	6	$	11
Total Assets	$	—	$	5	$	6	$	11
Liabilities
Interest rate	$	—	$	14	$	—	$	14
Total liabilities	$	—	$	14	$	—	$	14

The following table presents the net change in Dominion Gas' assets and liabilities for derivatives measured at fair value on a recurring basis and included in the Level 3 fair value category:

	Three Months Ended March 31,
	2016			2015
(millions)
Beginning balance	$	6		$	2
Total realized and unrealized gains (losses):
Included in earnings	—			1
Included in other comprehensive income (loss)	2			(11		)
Settlements	—			(1		)
Transfers out of Level 3	(8		)	9
Ending balance	$	—		$	—

The gains and losses included in earnings in the Level 3 fair value category were classified in operating revenue in Dominion Gas' Consolidated Statements of Income for the three months ended March 31, 2016 and 2015. There were no unrealized gains or losses included in earnings in the Level 3 fair value category relating to assets/liabilities still held at the reporting date for the three months ended March 31, 2016 and 2015.

Fair Value of Financial Instruments

Substantially all of the Companies' financial instruments are recorded at fair value, with the exception of the instruments described below, which are reported at historical cost. Estimated fair values have been determined using available market information and valuation methodologies considered appropriate by management. The carrying amount of cash and cash equivalents, restricted cash (which is recorded in other current assets), customer and other receivables, short-term debt, affiliated current borrowings, payables to affiliates and accounts payable are representative of fair value because of the short-term nature of these instruments. For the Companies' financial instruments that are not recorded at fair value, the carrying amounts and estimated fair values are as follows:

	March 31, 2016				December 31, 2015
	Carrying Amount		Estimated Fair Value(1)		Carrying Amount		Estimated Fair Value(1)
(millions)
Dominion
Long-term debt, including securities due within one year(2)	$	22,581	$	24,443	$	21,873	$	23,210
Junior subordinated notes(3)	1,849		1,696		1,340		1,192
Remarketable subordinated notes(3)	1,530		1,647		2,080		2,129
Virginia Power
Long-term debt, including securities due within one year(3)	$	9,663	$	11,020	$	9,368	$	10,400
Dominion Gas
Long-term debt, including securities due within one year(3)	$	3,271	$	3,375	$	3,269	$	3,299

(1) Fair value is estimated using market prices, where available, and interest rates currently available for issuance of debt with similar terms and remaining maturities. All fair value measurements are classified as Level 2. The carrying amount of debt issues with short-term maturities and variable rates refinanced at current market rates is a reasonable estimate of their fair value.

(2) Carrying amount includes amounts which represent the unamortized debt issuance costs, discount and/or premium. At March 31, 2016 and December 31, 2015, includes the valuation of certain fair value hedges associated with fixed rate debt of $19 million and $7 million, respectively.

(3) Carrying amount includes amounts which represent the unamortized debt issuance costs, discount and/or premium.

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Derivatives and Hedge Accounting Activities

3 Months Ended

Mar. 31, 2016

Derivative Instruments and Hedging Activities Disclosure [Abstract]

Derivatives and Hedge Accounting Activities

Derivatives and Hedge Accounting Activities

The Companies' accounting policies and objectives and strategies for using derivative instruments are discussed in Note 2 to the Consolidated Financial Statements in the Companies' Annual Report on Form 10-K for the year ended December 31, 2015. See Note 8 in this report for further information about fair value measurements and associated valuation methods for derivatives.

Derivative assets and liabilities are presented gross on the Companies' Consolidated Balance Sheets. Dominion's derivative contracts include both over-the-counter transactions and those that are executed on an exchange or other trading platform (exchange contracts) and centrally cleared. Dominion Gas' and Virginia Power's derivative contracts consist of over-the-counter transactions. Over-the-counter contracts are bilateral contracts that are transacted directly with a counterparty. Exchange contracts utilize a financial intermediary, exchange, or clearinghouse to enter, execute, or clear the transactions. Certain over-the-counter and exchange contracts contain contractual rights of setoff through master netting arrangements, derivative clearing agreements, and contract default provisions. In addition, the contracts are subject to conditional rights of setoff through counterparty nonperformance, insolvency, or other conditions.

In general, most over-the-counter transactions and all exchange contracts are subject to collateral requirements. Types of collateral for over-the-counter and exchange contracts include cash, letters of credit, and in some cases other forms of security, none of which are subject to restrictions. Cash collateral is used in the table below to offset derivative assets and liabilities. Certain accounts receivable and accounts payable recognized on the Companies' Consolidated Balance Sheets, as well as letters of credit and other forms of security, all of which are not included in the tables below, are subject to offset under master netting or similar arrangements and would reduce the net exposure.

Dominion

Balance Sheet Presentation

The tables below present Dominion's derivative asset and liability balances by type of financial instrument, before and after the effects of offsetting:

	March 31, 2016						December 31, 2015
	Gross Amounts of Recognized Assets		Gross Amounts Offset in the Consolidated Balance Sheet		Net Amounts of Assets Presented in the Consolidated Balance Sheet		Gross Amounts of Recognized Assets		Gross Amounts Offset in the Consolidated Balance Sheet		Net Amounts of Assets Presented in the Consolidated Balance Sheet
(millions)
Interest rate contracts:
Over-the-counter	$	31	$	—	$	31	$	24	$	—	$	24
Commodity contracts:
Over-the-counter	244		—		244		217		—		217
Exchange	119		—		119		138		—		138
Total derivatives, subject to a master netting or similar arrangement	394		—		394		379		—		379
Total derivatives, not subject to a master netting or similar arrangement	7		—		7		9		—		9
Total	$	401	$	—	$	401	$	388	$	—	$	388

			March 31, 2016								December 31, 2015
			Gross Amounts Not Offset in the Consolidated Balance Sheet								Gross Amounts Not Offset in the Consolidated Balance Sheet
	Net Amounts of Assets Presented in the Consolidated Balance Sheet		Financial Instruments		Cash Collateral Received		Net Amounts		Net Amounts of Assets Presented in the Consolidated Balance Sheet		Financial Instruments		Cash Collateral Received		Net Amounts
(millions)
Interest rate contracts:
Over-the-counter	$	31	$	19	$	—	$	12	$	24	$	22	$	—	$	2
Commodity contracts:
Over-the-counter	244		20		—		224		217		37		—		180
Exchange	119		84		—		35		138		82		—		56
Total	$	394	$	123	$	—	$	271	$	379	$	141	$	—	$	238

	March 31, 2016						December 31, 2015
	Gross Amounts of Recognized Liabilities		Gross Amounts Offset in the Consolidated Balance Sheet		Net Amounts of Liabilities Presented in the Consolidated Balance Sheet		Gross Amounts of Recognized Liabilities		Gross Amounts Offset in the Consolidated Balance Sheet		Net Amounts of Liabilities Presented in the Consolidated Balance Sheet
(millions)
Interest rate contracts:
Over-the-counter	$	291	$	—	$	291	$	183	$	—	$	183
Commodity contracts:
Over-the-counter	48		—		48		70		—		70
Exchange	84		—		84		82		—		82
Total derivatives, subject to a master netting or similar arrangement	423		—		423		335		—		335
Total derivatives, not subject to a master netting or similar arrangement	7		—		7		8		—		8
Total	$	430	$	—	$	430	$	343	$	—	$	343

			March 31, 2016								December 31, 2015
			Gross Amounts Not Offset in the Consolidated Balance Sheet								Gross Amounts Not Offset in the Consolidated Balance Sheet
	Net Amounts of Liabilities Presented in the Consolidated Balance Sheet		Financial Instruments		Cash Collateral Paid		Net Amounts		Net Amounts of Liabilities Presented in the Consolidated Balance Sheet		Financial Instruments		Cash Collateral Paid		Net Amounts
(millions)
Interest rate contracts:
Over-the-counter	$	291	$	19	$	—	$	272	$	183	$	22	$	—	$	161
Commodity contracts:
Over-the-counter	48		20		—		28		70		37		—		33
Exchange	84		84		—		—		82		82		—		—
Total	$	423	$	123	$	—	$	300	$	335	$	141	$	—	$	194

Volumes

The following table presents the volume of Dominion’s derivative activity at March 31, 2016. These volumes are based on open derivative positions and represent the combined absolute value of their long and short positions, except in the case of offsetting transactions, for which they represent the absolute value of the net volume of their long and short positions.

	Current		Noncurrent
Natural Gas (bcf):
Fixed price(1)	99		29
Basis	229		591
Electricity (MWh):
Fixed price	13,212,481		1,940,000
FTRs	14,308,210		—
Capacity (MW)	3,050		—
Liquids (Gal)(2)	76,692,000		—
Interest rate	$	2,200,000,000	$	3,100,000,000

(1) Includes options.

(2) Includes NGLs and oil.

Ineffectiveness and AOCI

For the three months ended March 31, 2016 and 2015, gains or losses on hedging instruments determined to be ineffective and amounts excluded from the assessment of effectiveness were not material. Amounts excluded from the assessment of effectiveness include gains or losses attributable to changes in the time value of options and changes in the differences between spot prices and forward prices.

The following table presents selected information related to gains (losses) on cash flow hedges included in AOCI in Dominion’s Consolidated Balance Sheet at March 31, 2016:

	AOCI After-Tax			Amounts Expected to be Reclassified to Earnings During the Next 12 Months After-Tax			Maximum Term
(millions)
Commodities:
Gas	$	(7	)	$	(7	)	24 months
Electricity	120			119			21 months
Other	4			4			12 months
Interest rate	(303		)	(15		)	384 months
Total	$	(186	)	$	101

The amounts that will be reclassified from AOCI to earnings will generally be offset by the recognition of the hedged transactions (e.g., anticipated sales) in earnings, thereby achieving the realization of prices contemplated by the underlying risk management strategies and will vary from the expected amounts presented above as a result of changes in market prices and interest rates.

Fair Value and Gains and Losses on Derivative Instruments

The following table presents the fair values of Dominion’s derivatives and where they are presented in its Consolidated Balance Sheets:

	Fair Value – Derivatives under Hedge  Accounting		Fair Value – Derivatives not under Hedge  Accounting		Total Fair Value
(millions)
At March 31, 2016
ASSETS
Current Assets
Commodity	$	96	$	148	$	244
Interest rate	16		—		16
Total current derivative assets(1)	112		148		260
Noncurrent Assets
Commodity	3		123		126
Interest rate	15		—		15
Total noncurrent derivative assets(2)	18		123		141
Total derivative assets	$	130	$	271	$	401
LIABILITIES
Current Liabilities
Commodity	$	26	$	96	$	122
Interest rate	148		—		148
Total current derivative liabilities(3)	174		96		270
Noncurrent Liabilities
Commodity	1		16		17
Interest Rate	143		—		143
Total noncurrent derivative liabilities(4)	144		16		160
Total derivative liabilities	$	318	$	112	$	430
At December 31, 2015
ASSETS
Current Assets
Commodity	$	101	$	151	$	252
Interest rate	3		—		3
Total current derivative assets(1)	104		151		255
Noncurrent Assets
Commodity	3		109		112
Interest rate	21		—		21
Total noncurrent derivative assets(2)	24		109		133
Total derivative assets	$	128	$	260	$	388
LIABILITIES
Current Liabilities
Commodity	$	32	$	116	$	148
Interest rate	164		—		164
Total current derivative liabilities(3)	196		116		312
Noncurrent Liabilities
Commodity	—		12		12
Interest rate	19		—		19
Total noncurrent derivative liabilities(4)	19		12		31
Total derivative liabilities	$	215	$	128	$	343

(1) Current derivative assets are presented in other current assets in Dominion’s Consolidated Balance Sheets.

(2) Noncurrent derivative assets are presented in other deferred charges and other assets in Dominion’s Consolidated Balance Sheets.

(3) Current derivative liabilities are presented in other current liabilities in Dominion's Consolidated Balance Sheets.

(4) Noncurrent derivative liabilities are presented in other deferred credits and other liabilities in Dominion’s Consolidated Balance Sheets.

The following tables present the gains and losses on Dominion's derivatives, as well as where the associated activity is presented in its Consolidated Balance Sheets and Statements of Income:

Derivatives in Cash Flow Hedging Relationships	Amount of Gain (Loss)  Recognized in AOCI on Derivatives (Effective Portion) (1)			Amount of Gain (Loss) Reclassified From AOCI to Income			Increase (Decrease) in Derivatives Subject to Regulatory Treatment(2)
(millions)
Three Months Ended March 31, 2016
Derivative type and location of gains (losses):
Commodity:
Operating revenue				$	114
Purchased gas				(6		)
Electric fuel and other energy-related purchases				(3		)
Total commodity	$	173		$	105		$	—
Interest rate(3)	(87		)	(3		)	(133		)
Total	$	86		$	102		$	(133	)
Three Months Ended March 31, 2015
Derivative type and location of gains (losses):
Commodity:
Operating revenue				$	(92	)
Purchased gas				(5		)
Electric fuel and other energy-related purchases				1
Total commodity	$	(41	)	$	(96	)	$	3
Interest rate(3)	(58		)	(2		)	(49		)
Total	$	(99	)	$	(98	)	$	(46	)

(1) Amounts deferred into AOCI have no associated effect in Dominion’s Consolidated Statements of Income.

(2) Represents net derivative activity deferred into and amortized out of regulatory assets/liabilities. Amounts deferred into regulatory assets/liabilities have no associated effect in Dominion’s Consolidated Statements of Income.

(3) Amounts recorded in Dominion’s Consolidated Statements of Income are classified in interest and related charges.

	Amount of Gain (Loss) Recognized in Income on Derivatives(1)
	Three Months Ended March 31,
Derivatives Not Designated as Hedging Instruments	2016			2015
(millions)
Derivative type and location of gains (losses):
Commodity:
Operating revenue	$	2		$	3
Purchased gas	—			(2		)
Electric fuel and other energy-related purchases	(23		)	6
Total	$	(21	)	$	7

(1) Includes derivative activity amortized out of regulatory assets/liabilities. Amounts deferred into regulatory assets/liabilities have no associated effect in Dominion’s Consolidated Statements of Income.

Virginia Power

Balance Sheet Presentation

The tables below present Virginia Power's derivative asset and liability balances by type of financial instrument, before and after the effects of offsetting:

	March 31, 2016						December 31, 2015
	Gross Amounts of Recognized Assets		Gross Amounts Offset in the Consolidated Balance Sheet		Net Amounts of Assets Presented in the Consolidated Balance Sheet		Gross Amounts of Recognized Assets		Gross Amounts Offset in the Consolidated Balance Sheet		Net Amounts of Assets Presented in the Consolidated Balance Sheet
(millions)
Interest rate contracts:
Over-the-counter	$	8	$	—	$	8	$	13	$	—	$	13
Commodity contracts:
Over-the-counter	115		—		115		101		—		101
Total derivatives, subject to a master netting or similar arrangement	123		—		123		114		—		114
Total derivatives, not subject to a master netting or similar arrangement	15		—		15		13		—		13
Total	$	138	$	—	$	138	$	127	$	—	$	127

			March 31, 2016								December 31, 2015
			Gross Amounts Not Offset in the Consolidated Balance Sheet								Gross Amounts Not Offset in the Consolidated Balance Sheet
	Net Amounts of Assets Presented in the Consolidated Balance Sheet		Financial Instruments		Cash Collateral Received		Net Amounts		Net Amounts of Assets Presented in the Consolidated Balance Sheet		Financial Instruments		Cash Collateral Received		Net Amounts
(millions)
Interest rate contracts:
Over-the-counter	$	8	$	3	$	—	$	5	$	13	$	10	$	—	$	3
Commodity contracts:
Over-the-counter	115		4		—		111		101		3		—		98
Total	$	123	$	7	$	—	$	116	$	114	$	13	$	—	$	101

	March 31, 2016						December 31, 2015
	Gross Amounts of Recognized Liabilities		Gross Amounts Offset in the Consolidated Balance Sheet		Net Amounts of Liabilities Presented in the Consolidated Balance Sheet		Gross Amounts of Recognized Liabilities		Gross Amounts Offset in the Consolidated Balance Sheet		Net Amounts of Liabilities Presented in the Consolidated Balance Sheet
(millions)
Interest rate contracts:
Over-the-counter	$	144	$	—	$	144	$	59	$	—	$	59
Commodity contracts:
Over-the-counter	15		—		15		5		—		5
Total derivatives, subject to a master netting or similar arrangement	159		—		159		64		—		64
Total derivatives, not subject to a master netting or similar arrangement	15		—		15		22		—		22
Total	$	174	$	—	$	174	$	86	$	—	$	86

			March 31, 2016								December 31, 2015
			Gross Amounts Not Offset in the Consolidated Balance Sheet								Gross Amounts Not Offset in the Consolidated Balance Sheet
	Net Amounts of Liabilities Presented in the Consolidated Balance Sheet		Financial Instruments		Cash Collateral Paid		Net Amounts		Net Amounts of Liabilities Presented in the Consolidated Balance Sheet		Financial Instruments		Cash Collateral Paid		Net Amounts
(millions)
Interest rate contracts:
Over-the-counter	$	144	$	3	$	—	$	141	$	59	$	10	$	—	$	49
Commodity contracts:
Over-the-counter	15		4		—		11		5		3		—		2
Total	$	159	$	7	$	—	$	152	$	64	$	13	$	—	$	51

Volumes

The following table presents the volume of Virginia Power’s derivative activity at March 31, 2016. These volumes are based on open derivative positions and represent the combined absolute value of their long and short positions, except in the case of offsetting transactions, for which they represent the absolute value of the net volume of their long and short positions.

	Current		Noncurrent
Natural Gas (bcf):
Fixed price(1)	36		17
Basis	106		545
Electricity (MWh):
FTRs	11,952,866		—
Capacity (MW)	3,050		—
Interest rate	$	700,000,000	$	1,100,000,000

(1) Includes options.

Ineffectiveness and AOCI

For the three months ended March 31, 2016 and 2015, gains or losses on hedging instruments determined to be ineffective were not material.

The following table presents selected information related to gains (losses) on cash flow hedges included in AOCI in Virginia Power’s Consolidated Balance Sheet at March 31, 2016:

	AOCI After-Tax			Amounts Expected to be Reclassified to Earnings During the Next 12 Months After-Tax			Maximum Term
(millions)
Interest rate	$	(15	)	(1		)	384 months
Total	$	(15	)	$	(1	)

The amounts that will be reclassified from AOCI to earnings will generally be offset by the recognition of the hedged transactions (e.g., anticipated sales) in earnings, thereby achieving the realization of prices contemplated by the underlying risk management strategies and will vary from the expected amounts presented above as a result of changes in interest rates.

Fair Value and Gains and Losses on Derivative Instruments

The following table presents the fair values of Virginia Power’s derivatives and where they are presented in its Consolidated

Balance Sheets:

	Fair Value – Derivatives under Hedge  Accounting		Fair Value – Derivatives not under Hedge  Accounting		Total Fair Value
(millions)
At March 31, 2016
ASSETS
Current Assets
Commodity	$	—	$	17	$	17
Interest rate	8		—		8
Total current derivative assets(1)	8		17		25
Noncurrent Assets
Commodity	—		113		113
Total noncurrent derivative assets(2)	—		113		113
Total derivative assets	$	8	$	130	$	138
LIABILITIES
Current Liabilities
Commodity	$	—	$	20	$	20
Interest rate	40		—		40
Total current derivative liabilities(3)	40		20		60
Noncurrent Liabilities
Commodity	—		10		10
Interest rate	104		—		104
Total noncurrent derivatives liabilities (4)	104		10		114
Total derivative liabilities	$	144	$	30	$	174
At December 31, 2015
ASSETS
Current Assets
Commodity	$	—	$	18	$	18
Total current derivative assets(1)	—		18		18
Noncurrent Assets
Commodity	—		96		96
Interest rate	13		—		13
Total noncurrent derivative assets(2)	13		96		109
Total derivative assets	$	13	$	114	$	127
LIABILITIES
Current Liabilities
Commodity	$	—	$	23	$	23
Interest rate	57		—		57
Total current derivative liabilities(3)	57		23		80
Noncurrent Liabilities
Commodity	—		4		4
Interest rate	2		—		2
Total noncurrent derivative liabilities(4)	2		4		6
Total derivative liabilities	$	59	$	27	$	86

(1) Current derivative assets are presented in other current assets in Virginia Power's Consolidated Balance Sheets.

(2) Noncurrent derivative assets are presented in other deferred charges and other assets in Virginia Power's Consolidated Balance Sheets.

(3) Current derivative liabilities are presented in other current liabilities in Virginia Power's Consolidated Balance Sheets.

(4) Noncurrent derivative liabilities are presented in other deferred credits and other liabilities in Virginia Power’s Consolidated Balance Sheets.

The following tables present the gains and losses on Virginia Power's derivatives, as well as where the associated activity is presented in its Consolidated Balance Sheets and Statements of Income:

Derivatives in Cash Flow Hedging Relationships	Amount of Gain (Loss) Recognized in AOCI on Derivatives (Effective Portion)(1)			Amount of Gain (Loss) Reclassified From AOCI to Income			Increase(Decrease) in Derivatives Subject to Regulatory Treatment(2)
(millions)
Three Months Ended March 31, 2016
Derivative type and location of gains (losses):
Interest rate(3)	$	(14	)	$	—		$	(133	)
Total	$	(14	)	$	—		$	(133	)
Three Months Ended March 31, 2015
Derivative type and location of gains (losses):
Commodity:
Electric fuel and other energy-related purchases				$	(1	)
Total commodity	$	—		$	(1	)	$	3
Interest rate(3)	(6		)	—			(49		)
Total	$	(6	)	$	(1	)	$	(46	)

(1) Amounts deferred into AOCI have no associated effect in Virginia Power’s Consolidated Statements of Income.

(2) Represents net derivative activity deferred into and amortized out of regulatory assets/liabilities. Amounts deferred into regulatory assets/liabilities have no associated effect in Virginia Power’s Consolidated Statements of Income.

(3) Amounts recorded in Virginia Power’s Consolidated Statements of Income are classified in interest and related charges.

	Amount of Gain (Loss) Recognized in Income on Derivatives(1)
	Three Months Ended March 31,
Derivatives Not Designated as Hedging Instruments	2016			2015
(millions)
Derivative type and location of gains (losses):
Commodity(2)	$	(20	)	$	7
Total	$	(20	)	$	7

(1) Includes derivative activity amortized out of regulatory assets/liabilities. Amounts deferred into regulatory assets/liabilities have no associated effect in Virginia Power’s Consolidated Statements of Income.

(2) Amounts recorded in Virginia Power's Consolidated Statements of Income are classified in electric fuel and other energy-related purchases.

Dominion Gas

Balance Sheet Presentation

The tables below present Dominion Gas' derivative asset and liability balances by type of financial instrument, before and after the effects of offsetting.

	March 31, 2016						December 31, 2015
	Gross Amounts of Recognized Assets		Gross Amounts Offset in the Consolidated Balance Sheet		Net Amounts of Assets Presented in the Consolidated Balance Sheet		Gross Amounts of Recognized Assets		Gross Amounts Offset in the Consolidated Balance Sheet		Net Amounts of Assets Presented in the Consolidated Balance Sheet
(millions)
Commodity contracts:
Over-the-counter	$	6	$	—	$	6	$	11	$	—	$	11
Total derivatives, subject to a master netting or similar arrangement	$	6	$	—	$	6	$	11	$	—	$	11

			March 31, 2016								December 31, 2015
			Gross Amounts Not Offset in the Consolidated Balance Sheet								Gross Amounts Not Offset in the Consolidated Balance Sheet
	Net Amounts of Assets Presented in the Consolidated Balance Sheet		Financial Instruments		Cash Collateral Received		Net Amounts		Net Amounts of Assets Presented in the Consolidated Balance Sheet		Financial Instruments		Cash Collateral Received		Net Amounts
(millions)
Commodity contracts:
Over-the-counter	$	6	$	—	$	—	$	6	$	11	$	—	$	—	$	11
Total	$	6	$	—	$	—	$	6	$	11	$	—	$	—	$	11

	March 31, 2016						December 31, 2015
	Gross Amounts of Recognized Liabilities		Gross Amounts Offset in the Consolidated Balance Sheet		Net Amounts of Liabilities Presented in the Consolidated Balance Sheet		Gross Amounts of Recognized Liabilities		Gross Amounts Offset in the Consolidated Balance Sheet		Net Amounts of Liabilities Presented in the Consolidated Balance Sheet
(millions)
Interest rate contracts:
Over-the-counter	$	23	$	—	$	23	$	14	$	—	$	14
Total derivatives, subject to a master netting or similar arrangement	$	23	$	—	$	23	$	14	$	—	$	14

			March 31, 2016								December 31, 2015
			Gross Amounts Not Offset in the Consolidated Balance Sheet								Gross Amounts Not Offset in the Consolidated Balance Sheet
	Net Amounts of Liabilities Presented in the Consolidated Balance Sheet		Financial Instruments		Cash Collateral Paid		Net Amounts		Net Amounts of Liabilities Presented in the Consolidated Balance Sheet		Financial Instruments		Cash Collateral Paid		Net Amounts
(millions)
Interest rate contracts:
Over-the-counter	$	23	$	—	$	—	$	23	$	14	$	—	$	—	$	14
Total	$	23	$	—	$	—	$	23	$	14	$	—	$	—	$	14

Volumes

The following table presents the volume of Dominion Gas' derivative activity at March 31, 2016. These volumes are based on open derivative positions and represent the combined absolute value of their long and short positions, except in the case of offsetting transactions, for which they represent the absolute value of the net volume of their long and short positions.

	Current		Noncurrent
NGLs (Gal)	67,704,000		—
Interest rate	$	250,000,000	$	—

Ineffectiveness and AOCI

For the three months ended March 31, 2016 and 2015, gains or losses on hedging instruments determined to be ineffective were not material.

The following table presents selected information related to losses on cash flow hedges included in AOCI in Dominion Gas' Consolidated Balance Sheet at March 31, 2016:

	AOCI After-Tax			Amounts Expected to be Reclassified to Earnings During the Next 12 Months After-Tax		Maximum Term
(millions)
Commodities:
NGLs	$	4		$	4	12 months
Interest rate	(29		)	—		345 months
Total	$	(25	)	$	4

The amounts that will be reclassified from AOCI to earnings will generally be offset by the recognition of the hedged transactions (e.g., anticipated sales) in earnings, thereby achieving the realization of prices contemplated by the underlying risk management strategies and will vary from the expected amounts presented above as a result of changes in market prices and interest rates.

Fair Value and Gains and Losses on Derivative Instruments

The following tables present the fair values of Dominion Gas' commodity and interest rate derivatives and where they are presented in its Consolidated Balance Sheets:

	Fair Value-Derivatives Under Hedge Accounting		Fair Value-Derivatives Not Under Hedge Accounting		Total Fair Value
(millions)
At March 31, 2016
ASSETS
Current Assets
Commodity	$	6	$	—	$	6
Total current derivative assets(1)	6		—		6
Total derivative assets	$	6	$	—	$	6
LIABILITIES
Current Liabilities
Interest rate	$	23	$	—	$	23
Total current derivative liabilities(3)	23		—		23
Total derivative liabilities	$	23	$	—	$	23
At December 31, 2015
ASSETS
Current Assets
Commodity	$	10	$	—	$	10
Total current derivative assets(1)	10		—		10
Noncurrent Assets
Commodity	1		—		1
Total noncurrent derivatives assets(2)	1		—		1
Total derivative assets	$	11	$	—	$	11
LIABILITIES
Noncurrent Liabilities
Interest rate	$	14	$	—	$	14
Total noncurrent derivative liabilities(4)	14		—		14
Total derivative liabilities	$	14	$	—	$	14

(1) Current derivative assets are presented in other current assets in Dominion Gas' Consolidated Balance Sheets.

(2) Noncurrent derivative assets are presented in other deferred charges and other assets in Dominion Gas’ Consolidated Balance Sheets.

(3) Current derivative liabilities are presented in other current liabilities in Dominion Gas' Consolidated Balance Sheets.

(4) Noncurrent derivative liabilities are presented in other deferred credits and other liabilities in Dominion Gas’ Consolidated Balance Sheets.

The following table presents the gains and losses on Dominion Gas' derivatives, as well as where the associated activity is presented in its Consolidated Balance Sheets and Statements of Income:

Derivatives in Cash Flow Hedging Relationships	Amount of Gain (Loss) Recognized in AOCI on Derivatives (Effective Portion)(1)			Amount of Gain (Loss) Reclassified From AOCI to Income
(millions)
Three Months Ended March 31, 2016
Derivative type and location of gains (losses):
Commodity:
Operating revenue				$	4
Total commodity	$	(1	)	$	4
Interest rate(2)	(9		)	—
Total	$	(10	)	$	4
Three Months Ended March 31, 2015
Derivative type and location of gains (losses):
Commodity:
Operating revenue				$	—
Total commodity	$	(2	)	$	—
Interest rate(2)	(4		)	—
Total	$	(6	)	$	—

(1) Amounts deferred into AOCI have no associated effect in Dominion Gas' Consolidated Statements of Income.

(2) Amounts recorded in Dominion Gas' Consolidated Statements of Income are classified in interest and related charges.

XML

Investments

3 Months Ended

Mar. 31, 2016

Investments, Debt and Equity Securities [Abstract]

Investments

Investments

Dominion

Equity and Debt Securities

Rabbi Trust Securities

Marketable equity and debt securities and cash equivalents held in Dominion’s rabbi trusts and classified as trading totaled $98 million and $100 million at March 31, 2016 and December 31, 2015, respectively.

Decommissioning Trust Securities

Dominion holds marketable equity and debt securities (classified as available-for-sale), cash equivalents and cost method investments in nuclear decommissioning trust funds to fund future decommissioning costs for its nuclear plants. Dominion’s decommissioning trust funds are summarized below:

	Amortized Cost		Total  Unrealized Gains(1)		Total  Unrealized Losses(1)				Fair Value
(millions)
At March 31, 2016
Marketable equity securities:
U.S. large cap	$	1,317	$	1,218	$	—			$	2,535
REIT	60		7		—				67
Marketable debt securities:
Corporate bonds	448		19		(3		)		464
U.S. Treasury securities and agency debentures	650		20		—				670
State and municipal	308		25		—				333
Other	96		—		—				96
Cost method investments	70		—		—				70
Cash equivalents and other(2)	4		—		—				4
Total	$	2,953	$	1,289	$	(3	)	(3)	$	4,239
At December 31, 2015
Marketable equity securities:
U.S. large cap	$	1,295	$	1,213	$	—			$	2,508
REIT	59		4		—				63
Marketable debt securities:
Corporate bonds	433		11		(7		)		437
U.S. Treasury securities and agency debentures	654		8		(4		)		658
State and municipal	312		22		—				334
Other	99		—		—				99
Cost method investments	70		—		—				70
Cash equivalents and other(2)	14		—		—				14
Total	$	2,936	$	1,258	$	(11	)	(3)	$	4,183

(1) Included in AOCI and the nuclear decommissioning trust regulatory liability.

(2) Includes pending sales of securities of $2 million and $12 million at March 31, 2016 and December 31, 2015, respectively.

(3) The fair value of securities in an unrealized loss position was $151 million and $592 million at March 31, 2016 and December 31, 2015, respectively.

The fair value of Dominion’s marketable debt securities held in nuclear decommissioning trust funds at March 31, 2016 by contractual maturity is as follows:

	Amount
(millions)
Due in one year or less	$	211
Due after one year through five years	423
Due after five years through ten years	380
Due after ten years	549
Total	$	1,563

Presented below is selected information regarding Dominion’s marketable equity and debt securities held in nuclear decommissioning trust funds.

	Three Months Ended March 31,
	2016		2015
(millions)
Proceeds from sales	$	368	$	337
Realized gains(1)	25		56
Realized losses(1)	19		17

(1) Includes realized gains and losses recorded to the nuclear decommissioning trust regulatory liability.

Other-than-temporary impairment losses on investments held in nuclear decommissioning trust funds for Dominion were not material for the three months ended March 31, 2016 and 2015.

Virginia Power

Virginia Power holds marketable equity and debt securities (classified as available-for-sale), cash equivalents and cost method investments in nuclear decommissioning trust funds to fund future decommissioning costs for its nuclear plants. Virginia Power’s decommissioning trust funds are summarized below:

	Amortized Cost		Total  Unrealized Gains(1)		Total  Unrealized Losses(1)				Fair Value
(millions)
At March 31, 2016
Marketable equity securities:
U.S. large cap	$	583	$	529	$	—			$	1,112
REIT	60		7		—				67
Marketable debt securities:
Corporate bonds	242		9		(1		)		250
U.S. Treasury securities and agency debentures	257		6		—				263
State and municipal	159		13		—				172
Other	46		—		—				46
Cost method investments	70		—		—				70
Total	$	1,417	$	564	$	(1	)	(3)	$	1,980
At December 31, 2015
Marketable equity securities:
U.S. large cap	$	574	$	525	$	—			$	1,099
REIT	59		4		—				63
Marketable debt securities:
Corporate bonds	237		5		(4		)		238
U.S. Treasury securities and agency debentures	260		1		(2		)		259
State and municipal	162		13		(1		)		174
Other	34		—		—				34
Cost method investments	70		—		—				70
Cash equivalents and other(2)	8		—		—				8
Total	$	1,404	$	548	$	(7	)	(3)	$	1,945

(1) Included in AOCI and the nuclear decommissioning trust regulatory liability.

(2) Includes pending sales of securities of $8 million at December 31, 2015. There were no pending sales of securities at March 31, 2016.

(3) The fair value of securities in an unrealized loss position was $91 million and $281 million at March 31, 2016 and December 31, 2015, respectively.

The fair value of Virginia Power’s marketable debt securities held in nuclear decommissioning trust funds at March 31, 2016 by contractual maturity is as follows:

	Amount
(millions)
Due in one year or less	$	74
Due after one year through five years	191
Due after five years through ten years	196
Due after ten years	270
Total	$	731

Presented below is selected information regarding Virginia Power’s marketable equity and debt securities held in nuclear decommissioning trust funds.

	Three Months Ended March 31,
	2016		2015
(millions)
Proceeds from sales	$	193	$	133
Realized gains(1)	12		18
Realized losses(1)	10		11

(1) Includes realized gains and losses recorded to the nuclear decommissioning trust regulatory liability.

Other-than-temporary impairment losses on investments held in nuclear decommissioning trust funds for Virginia Power were not material for the three months ended March 31, 2016 and 2015.

Equity Method Investments

Dominion Gas

Iroquois

Dominion Gas' equity earnings totaled $6 million and $8 million for the three months ended March 31, 2016 and 2015, respectively. Dominion Gas received distributions from this investment of $6 million and $12 million for the three months ended March 31, 2016 and 2015, respectively. At both March 31, 2016 and December 31, 2015, the carrying amount of Dominion Gas' investment of $102 million exceeded its share of underlying equity in net assets by $8 million. The difference reflects equity method goodwill and is not being amortized. In May 2016, Dominion Gas sold 0.65% of the non-controlling partnership interest in Iroquois to TransCanada for approximately $7 million, which resulted in a $5 million ($3 million after-tax) gain.

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Regulatory Assets and Liabilities

3 Months Ended

Mar. 31, 2016

Regulatory Assets and Liabilities Disclosure [Abstract]

Regulatory Assets and Liabilities

Regulatory Assets and Liabilities

Regulatory assets and liabilities include the following:

	March 31, 2016		December 31, 2015
(millions)
Dominion
Regulatory assets:
Deferred rate adjustment clause costs(1)	$	109	$	90
Deferred cost of fuel used in electric generation(2)	103		111
Deferred nuclear refueling outage costs(3)	77		75
Other	62		75
Regulatory assets-current(4)	351		351
Unrecognized pension and other postretirement benefit costs(5)	1,004		1,015
Deferred rate adjustment clause costs(1)	255		295
Derivatives(6)	245		110
PJM transmission rates(7)	192		192
Income taxes recoverable through future rates(8)	132		126
Other	149		127
Regulatory assets-non-current	1,977		1,865

Total regulatory assets	$	2,328	$	2,216
Regulatory liabilities:
PIPP(9)	$	30	$	46
Other	45		54
Regulatory liabilities-current(10)	75		100
Provision for future cost of removal and AROs(11)	1,132		1,120
Nuclear decommissioning trust(12)	822		804
Deferred cost of fuel used in electric generation(2)	129		97
Derivatives(6)	94		79
Other	177		185
Regulatory liabilities-non-current	2,354		2,285
Total regulatory liabilities	$	2,429	$	2,385
Virginia Power
Regulatory assets:
Deferred rate adjustment clause costs(1)	$	106	$	80
Deferred cost of fuel used in electric generation(2)	103		111
Deferred nuclear refueling outage costs(3)	77		75
Other	57		60
Regulatory assets-current	343		326
Derivatives(6)	245		110
PJM transmission rates(7)	192		192
Deferred rate adjustment clause costs(1)	170		213
Income taxes recoverable through future rates(8)	102		97
Other	66		55
Regulatory assets-non-current	775		667
Total regulatory assets	$	1,118	$	993
Regulatory liabilities:
Other	$	19	$	35
Regulatory liabilities-current(10)	19		35
Provision for future cost of removal(11)	899		890
Nuclear decommissioning trust(12)	822		804
Deferred cost of fuel used in electric generation(2)	129		97
Derivatives(6)	94		79
Other	52		59
Regulatory liabilities-non-current	1,996		1,929
Total regulatory liabilities	$	2,015	$	1,964
Dominion Gas
Regulatory assets:
Deferred rate adjustment clause costs(1)	$	3	$	10
Other	2		13
Regulatory assets-current(4)	5		23
Unrecognized pension and other postretirement benefit costs(5)	280		282
Deferred rate adjustment clause costs(1)	85		82
Income taxes recoverable through future rates(8)	20		20
Other	75		65
Regulatory assets-non-current(13)	460		449

Total regulatory assets	$	465	$	472
Regulatory liabilities:
PIPP(9)	$	30	$	46
Other	19		9
Regulatory liabilities-current(10)	49		55
Provision for future cost of removal and AROs(11)	172		170
Other	35		31
Regulatory liabilities-non-current(14)	207		201
Total regulatory liabilities	$	256	$	256

(1) Reflects deferrals under the electric transmission FERC formula rate and the deferral of costs associated with certain current and prospective rider projects for Virginia Power. Reflects deferrals of costs associated with certain current and prospective rider projects for Dominion Gas. See Note 12 for more information.

(2) Primarily reflects deferred fuel expenses for the Virginia jurisdiction of Dominion's and Virginia Power's generation operations. See Note 12 for more information.

(3) Legislation enacted in Virginia in April 2014 requires Virginia Power to defer operation and maintenance costs incurred in connection with the refueling of any nuclear-powered generating plant. These deferred costs will be amortized over the refueling cycle, not to exceed 18 months.

(4) Current regulatory assets are presented in other current assets in Dominion's and Dominion Gas' Consolidated Balance Sheets.

(5) Represents unrecognized pension and other postretirement employee benefit costs expected to be recovered through future rates generally over the expected remaining service period of plan participants by certain of Dominion's and Dominion Gas' rate-regulated subsidiaries.

(6) For jurisdictions subject to cost-based rate regulation, changes in the fair value of derivative instruments result in the recognition of regulatory assets or regulatory liabilities as they are expected to be recovered from or refunded to customers.

(7) Reflects amounts related to PJM transmission cost allocation matter. See Note 12 for more information.

(8) Amounts to be recovered through future rates to pay income taxes that become payable when rate revenue is provided to recover AFUDC-equity and depreciation of property, plant and equipment for which deferred income taxes were not recognized for ratemaking purposes, including amounts attributable to tax rate changes.

(9) Under PIPP, eligible customers can make reduced payments based on their ability to pay. The difference between the customer's total bill and the PIPP plan amount is deferred and collected or returned annually under the PIPP rate adjustment clause according to East Ohio tariff provisions.

(10) Current regulatory liabilities are presented in other current liabilities in the Companies' Consolidated Balance Sheets.

(11) Rates charged to customers by the Companies' regulated businesses include a provision for the cost of future activities to remove assets that are expected to be incurred at the time of retirement.

(12) Primarily reflects a regulatory liability representing amounts collected from Virginia jurisdictional customers and placed in external trusts (including income, losses and changes in fair value thereon) for the future decommissioning of Virginia Power's utility nuclear generation stations, in excess of the related AROs.

(13) Noncurrent regulatory assets are presented in other deferred charges and other assets in Dominion Gas' Consolidated Balance Sheets.

(14) Noncurrent regulatory liabilities are presented in other deferred credits and other liabilities in Dominion Gas' Consolidated Balance Sheets.

At March 31, 2016, $289 million of Dominion's, $269 million of Virginia Power's and $18 million of Dominion Gas' regulatory assets represented past expenditures on which they do not currently earn a return. These expenditures are expected to be recovered within the next two years.

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Regulatory Matters

3 Months Ended

Mar. 31, 2016

Regulatory Matters [Abstract]

Regulatory Matters

Regulatory Matters

Regulatory Matters Involving Potential Loss Contingencies

As a result of issues generated in the ordinary course of business, the Companies are involved in various regulatory matters. Certain regulatory matters may ultimately result in a loss; however, as such matters are in an initial procedural phase, involve uncertainty as to the outcome of pending reviews or orders, and/or involve significant factual issues that need to be resolved, it is not possible for the Companies to estimate a range of possible loss. For matters for which the Companies cannot estimate a range of possible loss, a statement to this effect is made in the description of the matter. Other matters may have progressed sufficiently through the regulatory process such that the Companies are able to estimate a range of possible loss. For regulatory matters for which the Companies are able to reasonably estimate a range of possible losses, an estimated range of possible loss is provided, in excess of the accrued liability (if any) for such matters. Any estimated range is based on currently available information, involves elements of judgment and significant uncertainties and may not represent the Companies' maximum possible loss exposure. The circumstances of such regulatory matters will change from time to time and actual results may vary significantly from the current estimate. For current matters not specifically reported below, management does not anticipate that the outcome from such matters would have a material effect on the Companies' financial position, liquidity or results of operations.

FERC - Electric

Under the Federal Power Act, FERC regulates wholesale sales and transmission of electricity in interstate commerce by public utilities. Dominion's merchant generators sell electricity in the PJM, MISO, CAISO and ISO-NE wholesale markets, and to wholesale purchasers in the states of Tennessee, Georgia, California and Utah under Dominion's market-based sales tariffs authorized by FERC. Virginia Power purchases and, under its FERC market-based rate authority, sells electricity in the wholesale market. In addition, Virginia Power has FERC approval of a tariff to sell wholesale power at capped rates based on its embedded cost of generation. This cost-based sales tariff could be used to sell to loads within or outside Virginia Power's service territory. Any such sales would be voluntary.

Rates

In April 2008, FERC granted an application for Virginia Power's electric transmission operations to establish a forward-looking formula rate mechanism that updates transmission rates on an annual basis and approved an ROE of 11.4%, effective as of January 1, 2008. The formula rate is designed to recover the expected revenue requirement for each calendar year and is updated based on actual costs. The FERC-approved formula method, which is based on projected costs, allows Virginia Power to earn a current return on its growing investment in electric transmission infrastructure.

In March 2010, Old Dominion Electric Cooperative and North Carolina Electric Membership Corporation filed a complaint with FERC against Virginia Power claiming that $223 million in transmission costs related to specific projects were unjust, unreasonable and unduly discriminatory or preferential and should be excluded from Virginia Power's transmission formula rate. In October 2010, FERC issued an order dismissing the complaint in part and established hearings and settlement procedures on the remaining part of the complaint. In February 2012, Virginia Power submitted to FERC a settlement agreement to resolve all issues set for hearing. The settlement was accepted by FERC in May 2012 and provides for payment by Virginia Power to the transmission customer parties collectively of $250,000 per year for ten years and resolves all matters other than allocation of the incremental cost of certain underground transmission facilities.

In March 2014, FERC issued an order excluding from Virginia Power’s transmission rates for wholesale transmission customers located outside Virginia the incremental costs of undergrounding certain transmission line projects.  FERC found it is not just and reasonable for non-Virginia wholesale transmission customers to be allocated the incremental costs of undergrounding the facilities because the projects are a direct result of Virginia legislation and Virginia Commission pilot programs intended to benefit the citizens of Virginia. The order is retroactively effective as of March 2010 and will cause the reallocation of the costs charged to wholesale transmission customers with loads outside Virginia to wholesale transmission customers with loads in Virginia.  FERC determined that there was not sufficient evidence on the record to determine the magnitude of the underground increment and held a hearing to determine the appropriate amount of undergrounding cost to be allocated to each wholesale transmission customer in Virginia. While Virginia Power cannot predict the outcome of the hearing, it is not expected to have a material effect on results of operations.

PJM Transmission Rates

In April 2007, FERC issued an order regarding its transmission rate design for the allocation of costs among PJM transmission customers, including Virginia Power, for transmission service provided by PJM. For new PJM-planned transmission facilities that operate at or above 500 kV, FERC established a PJM regional rate design where customers pay according to each customer's share of the region's load. For recovery of costs of existing facilities, FERC approved the existing methodology whereby a customer pays the cost of facilities located in the same zone as the customer. A number of parties appealed the order to the U.S. Court of Appeals for the Seventh Circuit.

In August 2009, the court issued its decision affirming the FERC order with regard to the existing facilities, but remanded to FERC the issue of the cost allocation associated with the new facilities 500 kV and above for further consideration by FERC. On remand, FERC reaffirmed its earlier decision to allocate the costs of new facilities 500 kV and above according to the customer’s share of the region’s load. A number of parties filed appeals of the order to the U.S. Court of Appeals for the Seventh Circuit. In June 2014, the court again remanded the cost allocation issue to FERC. In December 2014, FERC issued an order setting an evidentiary hearing and settlement proceeding regarding the cost allocation issue. The hearing only concerns the costs of new facilities approved by PJM prior to February 1, 2013. Transmission facilities approved after February 1, 2013 are allocated on a hybrid cost allocation method approved by FERC and not subject to any court review.

Virginia Power expects that a settlement agreement will be executed regarding this matter. Under the terms of the settlement,

Virginia Power would be required to pay $200 million to PJM over the next 10 years. Although no FERC order has been issued and the expected settlement agreement has not been filed and accepted by FERC, Virginia Power believes it is probable it will be required to make payment as an outcome of the hearing and settlement proceedings. Accordingly, as of March 31, 2016, Virginia Power has recorded a contingent liability of $200 million in other deferred credits and other liabilities, which is offset by a $192 million regulatory asset for the amount that will be recovered through retail rates in Virginia.

Other Regulatory Matters

Other than the following matters, there have been no significant developments regarding the pending regulatory matters disclosed in Note 13 to the Consolidated Financial Statements in the Companies' Annual Report on Form 10-K for the year ended December 31, 2015.

Regulation Act Legislation

In February 2015, the Virginia Governor signed legislation into law which will keep Virginia Power’s base rates unchanged until at least December 1, 2022. In addition, no biennial reviews will be conducted by the Virginia Commission for the five successive 12-month test periods beginning January 1, 2015, and ending December 31, 2019. The legislation states that Virginia Power’s 2015 biennial review, filed in March 2015, would proceed for the sole purpose of reviewing and determining whether any refunds are due to customers based on earnings performance for generation and distribution services during the 2013 and 2014 test periods. In addition the legislation requires the Virginia Commission to conduct proceedings in 2017 and 2019 to determine the utility’s ROE for use in connection with rate adjustment clauses and requires utilities to file integrated resource plans annually rather than biennially. In November 2015, the Virginia Commission ordered testimony, briefs and a separate bifurcated hearing in Virginia Power's then-pending Rider B, R, S, and W cases on whether the Virginia Commission can adjust the ROE applicable to these rate adjustment clauses prior to 2017.  In February 2016, the Virginia Commission issued final orders in these cases, stating that it could adjust the ROE and setting a base ROE of 9.6% for the projects, which results in a 10.6% ROE for Riders R, S and W and a 11.6% ROE for Rider B, effective April 1, 2016. In April 2016, the Virginia Commission issued a final order setting a 9.6% ROE for Riders C1A and C2A, effective May 1, 2016.

2015 Biennial Review

Pursuant to the Regulation Act, in March 2015, Virginia Power filed its base rate case and schedules for the Virginia Commission’s 2015 biennial review of Virginia Power’s rates, terms and conditions. Per legislation enacted in February 2015, this biennial review was limited to reviewing Virginia Power’s earnings on rates for generation and distribution services for the combined 2013 and 2014 test period, and determining whether credits are due to customers in the event Virginia Power’s earnings exceeded the earnings band determined in the 2013 Biennial Review Order. In November 2015, the Virginia Commission issued the 2015 Biennial Review Order. In December 2015, a group of large industrial customers filed notices of appeal with the Supreme Court of Virginia from both the 2015 Biennial Review Order and the Virginia Commission’s order denying their petition for rehearing or reconsideration. In April 2016, the Supreme Court of Virginia granted these appeals as a matter of right. In April 2016, the Attorney General filed an unopposed motion to suspend appellate briefing pending the outcome of a separate case at the Virginia Commission raising the same issues. These appeals are pending.

Virginia Fuel Expenses

In May 2016, Virginia Power submitted its annual fuel factor to the Virginia Commission to recover an estimated $1.4 billion in Virginia jurisdictional projected fuel expenses for the rate year beginning July 1, 2016. Virginia Power's proposed fuel rate represents a fuel revenue decrease of $286 million when applied to projected kilowatt-hour sales for the period July 1, 2016 to June 30, 2017. This case is pending.

Solar Facility Project

In January 2015, Virginia Power applied for a CPCN to construct and operate a 20 MW utility-scale solar facility near its existing Remington power station in Fauquier County, Virginia. The total estimated cost of the Remington solar facility was approximately $47 million, excluding financing costs.Virginia Power also applied for approval of Rider US-1 to recover the projected costs of the facility. In October 2015, the Virginia Commission denied approval of the CPCN and Rider US-1 based on the evidence in the record but stated that an application could be re-filed to address the concerns cited by the Virginia Commission. In May 2016, Virginia Power filed an application with the Virginia Commission for a CPCN to construct and operate the Remington solar facility and related distribution interconnection facilities. The facility is the subject of a public-private partnership whereby the Commonwealth of Virginia, a non-jurisdictional customer, will compensate Virginia Power for the facility's net electrical energy output, and Microsoft will purchase all environmental attributes (including renewable energy certificates) generated by the facility.  There is not a rate adjustment clause associated with this CPCN filing, nor will any costs of the project be recovered from jurisdictional customers. This case is pending.

Rate Adjustment Clauses

Below is a discussion of significant riders associated with various Virginia Power projects:

• The Virginia Commission previously approved Rider S in conjunction with the Virginia City Hybrid Energy Center. In February 2016, the Virginia Commission approved a $251 million revenue requirement, subject to true-up, for the rate year beginning April 1, 2016. It also established a 10.6% ROE for Rider S effective April 1, 2016.

• The Virginia Commission previously approved Rider R in conjunction with Bear Garden. In February 2016, the Virginia Commission approved a $74 million revenue requirement, subject to true-up, for the rate year beginning April 1, 2016. It also established a 10.6% ROE for Rider R effective April 1, 2016.

• The Virginia Commission previously approved Rider W in conjunction with Warren County. In February 2016, the Virginia Commission approved a $118 million revenue requirement, subject to true-up, for the rate year beginning April 1, 2016. It also established a 10.6% ROE for Rider W effective April 1, 2016.

• The Virginia Commission previously approved Rider B in conjunction with the conversion of three power stations to biomass. In February 2016, the Virginia Commission approved a $30 million revenue requirement for the rate year beginning April 1, 2016. It also established an 11.6% ROE for Rider B effective April 1, 2016.

• In July 2015, Virginia Power filed an application with the Virginia Commission for a CPCN to construct and operate Greensville County and related transmission interconnection facilities. Virginia Power also applied for approval of Rider GV to recover the costs of Greensville County. In March 2016, the Virginia Commission granted the requested CPCN and approved a $40 million revenue requirement for the rate year beginning April 1, 2016. It also established a 9.6% ROE for Rider GV effective April 1, 2016.

• The Virginia Commission previously approved Riders C1A and C2A in connection with cost recovery for demand-side management programs.  In April 2016, the Virginia Commission approved a $46 million revenue requirement, subject to true-up, for the rate year beginning May 1, 2016.  The Virginia Commission approved one new energy efficiency program at a reduced cost cap, denied a second energy efficiency program, and approved the extension of an existing peak shaving program recovered in base rates at no additional incremental cost.

• The Virginia Commission previously approved Rider T1 concerning transmission rates. In May 2016, Virginia Power proposed a $639 million total revenue requirement for the rate year beginning September 1, 2016, which represents a $29 million decrease over the previous year. This case is pending.

North Anna

Virginia Power is considering the construction of a third nuclear unit at a site located at North Anna nuclear power station. If Virginia Power decides to build a new unit, it must first receive a COL from the NRC, approval of the Virginia Commission and certain environmental permits and other approvals. The COL is expected in 2017. Virginia Power has not yet committed to building a new nuclear unit at North Anna nuclear power station.

The motions and petitions filed by BREDL prior to April 2015 have been dismissed, and under a previous ruling of the NRC, the contested portion of the COL proceeding remains terminated. The NRC is required to conduct a hearing in all COL proceedings, and if a new contention is not admitted, the mandatory NRC hearing will be uncontested.

In April 2015, BREDL filed a new motion and petition seeking to object to the NRC’s reliance on the continued storage rule in licensing proceedings. The BREDL filings are substantially the same as those filed in other COL proceedings in which final environmental impact statements were issued prior to promulgation of the continued storage rule, like North Anna 3. In June 2015, the NRC denied the April 2015 motion and petition.

In August 2015, BREDL filed a petition in the U.S. Court of Appeals for the D.C. Circuit seeking review of the NRC’s June 2015 decision. Along with the petition for judicial review, BREDL also filed a motion to hold this judicial review in abeyance pending the outcome of the ongoing judicial review of the NRC’s rule pertaining to the continued onsite storage of spent nuclear fuel in litigation pending before the same court. Similar petitions were filed seeking judicial review of the NRC’s decision as it applies to other COL and license renewal proceedings. In March 2016, the court granted Virginia Power's motion to intervene in the proceeding. This case is pending.

North Carolina Regulation

North Carolina Base Rate Case

In March 2016, Virginia Power filed its base rate case and schedules with the North Carolina Commission. Virginia Power proposed a non-fuel, base rate increase of $51 million effective November 1, 2016 on a temporary basis subject to refund, with any permanent rates ordered by the North Carolina Commission effective January 1, 2017. This base rate increase was proposed to recover the significant investments in generation, transmission, and distribution infrastructure for the benefit of North Carolina customers. Virginia Power also proposed an accelerated implementation of a new lower fuel rate, to be filed in August 2016, as part of the temporary rate effective November 1, 2016 subject to refund, along with a new Rider EDIT to return certain excess accumulated deferred income taxes to its North Carolina customers over a two-year period. Virginia Power presented an earned return of 5.06%, based upon a fully-adjusted test period, compared to its authorized 10.2% return, and proposed a 10.5% ROE going forward within the 10.25% to 10.75% range of its current cost of equity. This case is pending.

Ohio Regulation

PIR Program

In 2008, East Ohio began PIR, aimed at replacing approximately 25% of its pipeline system. In February 2016, East Ohio filed an application to adjust the PIR cost recovery for 2015 costs. The filing reflects gross plant investment for 2015 of $171 million, cumulative gross plant investment of $1 billion and a revenue requirement of $131 million. This application was approved by the Ohio Commission in April 2016.

AMR Program

In 2007, East Ohio began installing automated meter reading technology for its 1.2 million customers in Ohio. In February 2016, East Ohio filed an application to adjust the AMR cost recovery for costs incurred during the calendar year 2015. The filing reflects a revenue requirement of approximately $7 million. This application was approved by the Ohio Commission in April 2016.

FERC - Gas

In 2013, DTI executed binding precedent agreements with several local distribution company customers for the New Market project. The project is expected to cost approximately $159 million and provide 112,000 Dths per day of firm transportation service from Leidy, Pennsylvania to interconnects with Iroquois and Niagara Mohawk Power Corporation's distribution system in the Albany, New York market. In April 2016, DTI received FERC authorization to construct, operate and maintain the project facilities, which are expected to be placed into service in the fourth quarter of 2016.

In 2014, DCG executed three binding precedent agreements for the approximately $120 million Transco to Charleston project, which will provide 80,000 Dths per day of firm transportation service from an existing interconnect with Transcontinental Gas Pipe Line Company, LLC in Spartanburg County, South Carolina to customers in Dillon, Marlboro, Sumter, Charleston, Lexington and Richland counties, South Carolina. In March 2016, DCG filed an application to request FERC authorization to construct and operate the project facilities, which are expected to be placed into service in the fourth quarter of 2017.

In April 2016, FERC issued an order authorizing DTI to abandon by sale its gathering and processing facilities to Dominion Gathering and Processing, Inc., a newly-formed wholly-owned subsidiary of Dominion Gas. These gathering and processing facilities, with a carrying value of approximately $430 million, are expected to be transferred in the second half of 2016.

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Variable Interest Entities

3 Months Ended

Mar. 31, 2016

Organization, Consolidation and Presentation of Financial Statements [Abstract]

Variable Interest Entities

Variable Interest Entities

The primary beneficiary of a VIE is required to consolidate the VIE and to disclose certain information about its significant variable interests in the VIE. The primary beneficiary of a VIE is the entity that has both 1) the power to direct the activities that most significantly impact the entity's economic performance and 2) the obligation to absorb losses or receive benefits from the entity that could potentially be significant to the VIE.

Dominion

Dominion owns the general partner interest and 64.6% of the limited partnership interests in Dominion Midstream, which owns a preferred equity interest and the general partner interest in Cove Point. Additionally, Dominion owns the manager and 67% of the membership interest in certain merchant solar facilities, as discussed in Note 2. Dominion has concluded that these entities are VIEs due to the limited partners or members lacking the characteristics of a controlling financial interest. Dominion is the primary beneficiary of Dominion Midstream and the merchant solar facilities, and Dominion Midstream is the primary beneficiary of Cove Point, as they have the power to direct the activities that most significantly impact their economic performance as well as the obligation to absorb losses and benefits which could be significant to them.

Dominion has an initial 45% membership interest in Atlantic Coast Pipeline. See Note 9 to the Companies' Annual Report on Form 10-K for the year ended December 31, 2015 for more details regarding the nature of this entity. Dominion concluded that Atlantic Coast Pipeline is a VIE because it has insufficient equity to finance its activities without additional subordinated financial support. Dominion has concluded that it is not the primary beneficiary of Atlantic Coast Pipeline as it does not have the power to direct the activities of Atlantic Coast Pipeline that most significantly impact its economic performance, as the power to direct is shared among multiple unrelated parties. Dominion is obligated to provide capital contributions based on its ownership percentage. Dominion's maximum exposure to loss is limited to its current and future investment.

Dominion and Virginia Power

Dominion and Virginia Power’s nuclear decommissioning trust funds and Dominion’s rabbi trusts hold investments in limited partnerships or similar type entities (see Note 10 for further details). Dominion and Virginia Power concluded that these partnership investments are VIEs due to the limited partners lacking the characteristics of a controlling financial interest. Dominion and Virginia Power have concluded neither is the primary beneficiary as they do not have the power to direct the activities that most significantly impact these VIEs’ economic performance. Dominion and Virginia Power are obligated to provide capital contributions to the partnerships as required by each partnership agreement based on their ownership percentages. Dominion and Virginia Power’s maximum exposure to loss is limited to their current and future investments.

Dominion and Dominion Gas

Dominion previously concluded that Iroquois was a VIE because a non-affiliated Iroquois equity holder had the ability during a limited period of time to transfer its ownership interests to another Iroquois equity holder or its affiliate. As such right no longer exists at March 31, 2016, Dominion concluded that Iroquois is no longer a VIE.

Virginia Power

Virginia Power had long-term power and capacity contracts with five non-utility generators; however, contracts with two of these generators expired in 2015, leaving three non-utility generators with an aggregate summer generation capacity of approximately 418 MW. These contracts contain certain variable pricing mechanisms in the form of partial fuel reimbursement that Virginia Power considers to be variable interests. After an evaluation of the information provided by these entities, Virginia Power was unable to determine whether they were VIEs. However, the information they provided, as well as Virginia Power's knowledge of generation facilities in Virginia, enabled Virginia Power to conclude that, if they were VIEs, it would not be the primary beneficiary. This conclusion reflects Virginia Power's determination that its variable interests do not convey the power to direct the most significant activities that impact the economic performance of the entities during the remaining terms of Virginia Power's contracts and for the years the entities are expected to operate after its contractual relationships expire. The contracts expire at various dates ranging from 2017 to 2021. Virginia Power is not subject to any risk of loss from these potential VIEs other than its remaining purchase commitments which totaled $394 million as of March 31, 2016. Virginia Power paid $37 million and $53 million for electric capacity and $7 million and $37 million for electric energy to these entities in the three months ended March 31, 2016 and 2015, respectively.

Dominion Gas

DTI has been engaged to oversee the construction of, and to subsequently operate and maintain, the projects undertaken by Atlantic Coast Pipeline based on the overall direction and oversight of Atlantic Coast Pipeline's members. An affiliate of DTI holds a membership interest in Atlantic Coast Pipeline, therefore DTI is considered to have a variable interest in Atlantic Coast Pipeline. The members of Atlantic Coast Pipeline hold the power to direct the construction, operations and maintenance activities of the entity. DTI has concluded it is not the primary beneficiary of Atlantic Coast Pipeline as it does not have the power to direct the activities of Atlantic Coast Pipeline that most significantly impact its economic performance. DTI has no obligation to absorb any losses of the VIE. See Note 17 for information about associated related party receivable balances.

Virginia Power and Dominion Gas

Virginia Power and Dominion Gas purchased shared services from DRS, an affiliated VIE, of $114 million and $35 million for the three months ended March 31, 2016 and $83 million and $28 million for the three months ended March 31, 2015, respectively. Virginia Power and Dominion Gas determined that neither is the primary beneficiary of DRS as neither has both the power to direct the activities that most significantly impact its economic performance as well as the obligation to absorb losses and benefits which could be significant to it. DRS provides accounting, legal, finance and certain administrative and technical services to all Dominion subsidiaries, including Virginia Power and Dominion Gas. Virginia Power and Dominion Gas have no obligation to absorb more than their allocated shares of DRS costs.

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Significant Financing Transactions

3 Months Ended

Mar. 31, 2016

Debt Disclosure [Abstract]

Significant Financing Transactions

Significant Financing Transactions

Credit Facilities and Short-term Debt

The Companies use short-term debt to fund working capital requirements and as a bridge to long-term debt financings. The levels of borrowing may vary significantly during the course of the year, depending upon the timing and amount of cash requirements not satisfied by cash from operations. In addition, Dominion utilizes cash and letters of credit to fund collateral requirements. Collateral requirements are impacted by commodity prices, hedging levels, Dominion’s credit ratings and the credit quality of its counterparties.

Dominion

At March 31, 2016, Dominion’s commercial paper and letters of credit outstanding, as well as its capacity available under credit facilities, were as follows:

	Facility Limit		Outstanding Commercial Paper		Outstanding Letters of Credit		Facility Capacity Available
(millions)
Joint revolving credit facility(1)	$	5,000	$	3,028	$	—	$	1,972
Joint revolving credit facility(1)	500		—		57		443
Total	$	5,500	$	3,028	$	57	$	2,415

(1) These credit facilities mature in April 2019, and can be used to support bank borrowings and the issuance of commercial paper, as well as to support up to a combined $2.0 billion of letters of credit.

Virginia Power

Virginia Power’s short-term financing is supported through its access as co-borrower to the two joint revolving credit facilities. These credit facilities can be used for working capital, as support for the combined commercial paper programs of the Companies and for other general corporate purposes.

At March 31, 2016, Virginia Power’s share of commercial paper and letters of credit outstanding under its joint credit facilities with Dominion and Dominion Gas, were as follows:

	Facility Limit(1)		Outstanding Commercial Paper		Outstanding Letters of Credit
(millions)
Joint revolving credit facility(1)	$	5,000	$	1,276	$	—
Joint revolving credit facility(1)	500		—		—
Total	$	5,500	$	1,276	$	—

(1) The full amount of the facilities is available to Virginia Power, less any amounts outstanding to co-borrowers Dominion and Dominion Gas. Sub-limits for Virginia Power are set within the facility limit but can be changed at the option of the Companies multiple times per year. In March 2016, the aggregate sub-limit for Virginia Power was increased from $1.75 billion to $2.0 billion. If Virginia Power has liquidity needs in excess of its sub-limit, the sub-limit may be changed or such needs may be satisfied through short-term intercompany borrowings from Dominion. These credit facilities mature in April 2019, and can be used to support bank borrowings and the issuance of commercial paper, as well as to support up to $2.0 billion (or the sub-limit, whichever is less) of letters of credit.

In addition to the credit facility commitments mentioned above, Virginia Power also has a $120 million credit facility with a maturity date of April 2019. As of March 31, 2016, this facility supports $119 million of certain variable rate tax-exempt financings of Virginia Power.

Dominion Gas

Dominion Gas’ short-term financing is supported by its access as co-borrower to the two joint revolving credit facilities. These credit facilities can be used for working capital, as support for the combined commercial paper programs of the Companies and for other general corporate purposes.

At March 31, 2016, Dominion Gas' share of commercial paper and letters of credit outstanding under its joint credit facilities with Dominion and Virginia Power were as follows:

	Facility Limit(1)		Outstanding Commercial Paper		Outstanding Letters of Credit
(millions)
Joint revolving credit facility(1)	$	1,000	$	403	$	—
Joint revolving credit facility(1)	500		—		—
Total	$	1,500	$	403	$	—

(1) A maximum of a combined $1.5 billion of the facilities is available to Dominion Gas, assuming adequate capacity is available after giving effect to uses by co-borrowers Dominion and Virginia Power. Sub-limits for Dominion Gas are set within the facility limit but can be changed at the option of the Companies multiple times per year. At March 31, 2016, the aggregate sub-limit for Dominion Gas was $1.0 billion. If Dominion Gas has liquidity needs in excess of its sub-limit, the sub-limit may be changed or such needs may be satisfied through short-term intercompany borrowings from Dominion. These credit facilities mature in April 2019, and can be used to support bank borrowings and the issuance of commercial paper, as well as to support up to $1.5 billion (or the sub-limit, whichever is less) of letters of credit.

Remarketable Subordinated Notes

In March 2016, Dominion successfully remarketed the $550 million 2013 Series A 1.07% RSNs due 2021 pursuant to the terms of the 2013 Equity Units.  In connection with the remarketing, the interest rate on the Series A junior subordinated notes was reset to 4.104%, payable on a semi-annual basis and Dominion ceased to have the ability to redeem the notes at its option or defer interest payments. At March 31, 2016, these securities are included in junior subordinated notes in Dominion's Consolidated Balance Sheets. Dominion did not receive any proceeds from the remarketing.  Remarketing proceeds belonged to the investors holding the related 2013 Equity Units and were temporarily used to purchase a portfolio of treasury securities. Upon maturity of the portfolio, the proceeds were applied on behalf of investors on the related stock purchase contract settlement date of April 1, 2016 to pay the purchase price to Dominion for issuance of 8.5 million shares of its common stock. See Issuance of Common Stock below for a description of common stock issued by Dominion in April 2016 under the stock purchase contract.

Enhanced Junior Subordinated Notes

In the first quarter of 2016, Dominion purchased and cancelled $38 million and $4 million of the June 2006 hybrids and the September 2006 hybrids, respectively. The purchases were conducted in compliance with the applicable replacement capital covenants.

Issuance of Common Stock

Dominion maintains Dominion Direct® and a number of employee savings plans through which contributions may be invested in Dominion’s common stock. These shares may either be newly issued or purchased on the open market with proceeds contributed to these plans.

In December 2014, Dominion filed an SEC shelf registration for the sale of debt and equity securities including the ability to sell common stock through an at-the-market program. Also in December 2014, Dominion entered into four separate sales agency agreements to effect sales under the program and pursuant to which it may offer from time to time up to $500 million aggregate amount of its common stock. Sales of common stock can be made by means of privately negotiated transactions, as transactions on the New York Stock Exchange at market prices or in such other transactions as are agreed upon by Dominion and the sales agents and in conformance with applicable securities laws. Following issuances during the first and second quarters of 2015, Dominion has the ability to issue up to approximately $200 million of stock under the 2014 sales agency agreements; however, no additional issuances have occurred under these agreements in 2016.

In April 2016, Dominion issued 8.5 million shares under the stock purchase contract entered into as part of Dominion's 2013 Series A Equity Units. Additionally, Dominion completed a market issuance of equity in April 2016 of 10.2 million shares and receipt of proceeds of $756 million through a registered underwritten public offering. In connection with receipt of these proceeds, the acquisition financing commitments for the Questar Combination were reduced from $3.9 billion to $3.14 billion in April 2016.

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Commitments and Contingencies

3 Months Ended

Mar. 31, 2016

Commitments and Contingencies Disclosure [Abstract]

Commitments and Contingencies

Commitments and Contingencies

As a result of issues generated in the ordinary course of business, the Companies are involved in legal proceedings before various courts and are periodically subject to governmental examinations (including by regulatory authorities), inquiries and investigations. Certain legal proceedings and governmental examinations involve demands for unspecified amounts of damages, are in an initial procedural phase, involve uncertainty as to the outcome of pending appeals or motions, or involve significant factual issues that need to be resolved, such that it is not possible for the Companies to estimate a range of possible loss. For such matters for which the Companies cannot estimate a range of possible loss, a statement to this effect is made in the description of the matter. Other matters may have progressed sufficiently through the litigation or investigative processes such that the Companies are able to estimate a range of possible loss. For legal proceedings and governmental examinations for which the Companies are able to reasonably estimate a range of possible losses, an estimated range of possible loss is provided, in excess of the accrued liability (if any) for such matters. Any accrued liability is recorded on a gross basis with a receivable also recorded for any probable insurance recoveries. Estimated ranges of loss are inclusive of legal fees and net of any anticipated insurance recoveries. Any estimated range is based on currently available information and involves elements of judgment and significant uncertainties. Any estimated range of possible loss may not represent the Companies' maximum possible loss exposure. The circumstances of such legal proceedings and governmental examinations will change from time to time and actual results may vary significantly from the current estimate. For current proceedings not specifically reported below, management does not anticipate that the liabilities, if any, arising from such proceedings would have a material effect on the financial position, liquidity or results of operations of the Companies.

Environmental Matters

The Companies are subject to costs resulting from a number of federal, state and local laws and regulations designed to protect human health and the environment. These laws and regulations affect future planning and existing operations. They can result in increased capital, operating and other costs as a result of compliance, remediation, containment and monitoring obligations.

Air

CAA

The CAA, as amended, is a comprehensive program utilizing a broad range of regulatory tools to protect and preserve the nation's air quality. At a minimum, states are required to establish regulatory programs to address all requirements of the CAA. However, states may choose to develop regulatory programs that are more restrictive. Many of the Companies' facilities are subject to the CAA's permitting and other requirements.

MATS

In December 2011, the EPA issued MATS for coal- and oil-fired electric utility steam generating units. The rule establishes strict emission limits for mercury, particulate matter as a surrogate for toxic metals and hydrogen chloride as a surrogate for acid gases. The rule includes a limited use provision for oil-fired units with annual capacity factors under 8% that provides an exemption from emission limits, and allows compliance with operational work practice standards. Compliance was required by April 16, 2015, with certain limited exceptions. However, in June 2014, the VDEQ granted a one-year MATS compliance extension for two coal-fired units at Yorktown to defer planned retirements and allow for continued operation of the units to address reliability concerns while necessary electric transmission upgrades are being completed. These coal units will need to continue operating until at least April 2017 due to delays in transmission upgrades needed to maintain electric reliability, which based on assumptions about the timing for required agency actions and construction schedules are expected to be completed by no earlier than the second quarter of 2017. Therefore, in October 2015, Virginia Power submitted a request to the EPA for an additional one year compliance extension under an EPA Administrative Order. The order was signed by the EPA in April 2016 allowing the Yorktown units to operate for up to one additional year, as required to maintain reliable power availability while transmission upgrades are being made.

In June 2015, the U.S. Supreme Court issued a decision holding that the EPA failed to take cost into account when the agency first decided to regulate the emissions from coal- and oil-fired plants, and remanded the MATS rule back to the U.S. Court of Appeals for the D.C. Circuit. However, the Supreme Court did not vacate or stay the effective date and implementation of the MATS rule. In November 2015, in response to the Supreme Court decision, the EPA proposed a supplemental finding that consideration of cost does not alter the agency’s previous conclusion that it is appropriate and necessary to regulate coal- and oil-fired electric utility steam generating units under Section 112 of the CAA. In December 2015, the D.C. Court of Appeals issued an order remanding the MATS rulemaking proceeding back to the EPA without setting aside judgment, noting that EPA had represented it was on track to issue a final finding regarding its consideration of cost. In April 2016, the EPA issued a final supplemental finding that consideration of costs does not alter its conclusion regarding appropriateness and necessity for the regulation. These actions do not change Virginia Power’s plans to close coal units at Yorktown or the need to complete necessary electricity transmission upgrades by 2017. Since the MATS rule remains in effect and Dominion is complying with the requirements of the rule, Dominion does not expect any adverse impacts to its operations at this time.

CAIR

The EPA established CAIR with the intent to require significant reductions in SO₂ and NO_X emissions from electric generating facilities. In July 2008, the U.S. Court of Appeals for the D.C. Circuit issued a ruling vacating CAIR. In December 2008, the Court denied rehearing, but also issued a decision to remand CAIR to the EPA. In July 2011, the EPA issued a replacement rule for CAIR, called CSAPR, that required 28 states to reduce power plant emissions that cross state lines. CSAPR established new SO₂ and NO_X emissions cap and trade programs that were completely independent of the current ARP. Specifically, CSAPR required reductions in SO₂ and NO_X emissions from fossil fuel-fired electric generating units of 25 MW or more through annual NO_X emissions caps, NO_X emissions caps during the ozone season (May 1 through September 30) and annual SO₂ emission caps with differing requirements for two groups of affected states.

CSAPR

Following numerous petitions by industry participants for review and a successful motion for stay, in October 2014, the U.S. Court of Appeals for the D.C. Circuit ordered that the EPA's motion to lift the stay of CSAPR be granted. Further, the Court granted the EPA's request to shift the CSAPR compliance deadlines by three years, so that Phase 1 emissions budgets (which would have gone into effect in 2012 and 2013) will apply in 2015 and 2016, and Phase 2 emissions budgets will apply in 2017 and beyond. CSAPR replaced CAIR beginning in January 2015. The cost to comply is not expected to be material to Dominion's or Virginia Power's Consolidated Financial Statements. Future outcomes of any additional litigation and/or any action to issue a revised rule, including the EPA's recent proposal to reduce the ozone season NO_X emission budgets beginning in 2017, could affect the assessment regarding cost of compliance.

Ozone Standards

In October 2015, the EPA issued a final rule tightening the ozone standard from 75-ppb to 70-ppb. The EPA is expected to complete attainment designations for a new standard by December 2017 and states will have until 2020 or 2021 to develop plans to address the new standard. In April 2016, Dominion submitted the NO_X Reasonable Available Control Technology analysis for Unit 5 at Possum Point power station. Until the states have developed implementation plans, the Companies are unable to predict whether or to what extent the new rules will ultimately require additional controls. However, if significant expenditures are required to implement additional controls, it could adversely affect the Companies' results of operations and cash flows.

Hazardous Air Pollutants Standards

In August 2010, the EPA issued revised National Emission Standards for Hazardous Air Pollutants for Reciprocating Internal Combustion Engines, which was amended in March 2011 and January 2013. The rule establishes emission standards for control of hazardous air pollutants for engines at smaller facilities, known as area sources. As a result of these regulations, Dominion Gas has spent $2 million to install emissions controls on several compressor engines. Further capital spending is not expected to be material.

NSPS

In August 2012, the EPA issued the first NSPS impacting the natural gas production and gathering sectors and made revisions to the NSPS for natural gas processing and transmission facilities. These rules establish equipment performance specifications and emissions standards for control of VOC emissions for natural gas production wells, tanks, pneumatic controllers, and compressors in the upstream sector. In September 2015, the EPA issued a proposed NSPS to regulate methane and VOC emissions from transmission and storage, gathering and boosting, production and processing facilities. The proposed regulation is expected to be finalized in summer 2016. All projects which commenced construction after September 2015 will be required to comply with this regulation. Dominion and Dominion Gas are evaluating the proposed regulation and cannot currently estimate the potential impacts on results of operations, financial condition and/or cash flows related to this matter.

Methane Emissions

In January 2015, as part of its Climate Action Plan, the EPA announced plans to reduce methane emissions from the oil and gas sector including natural gas processing and transmission sources. In July 2015, the EPA announced the next generation of its voluntary Natural Gas STAR program, the Natural Gas STAR Methane Challenge Program. The proposed program covers the entire natural gas sector from production to distribution, with more emphasis on transparency and increased reporting for both annual emissions and reductions achieved through implementation measures. In March 2016, Dominion joined the EPA as a founding partner in this program for its distribution companies, East Ohio and Hope, and DTI.

In March 2016, President Obama directed the EPA to develop regulations for reducing methane emissions from existing sources in the oil and natural gas sectors. The EPA intends to issue an Information Collection Request to collect information on existing sources in this sector in fall 2016. Depending on the results of this Information Collection Request effort, the EPA may propose new regulations on existing sources. Dominion and Dominion Gas cannot currently estimate the potential impacts on results of operations, financial condition and/or cash flows related to this matter.

NO_x and VOC Emissions

In April 2014, the Pennsylvania Department of Environmental Protection issued proposed regulations to reduce NO_X and VOC emissions from combustion sources. The regulations were finalized in April 2016. To comply with the regulations, Dominion Gas anticipates installing emission control systems on existing engines at several compressor stations in Pennsylvania. The compliance costs associated with engineering and installation of controls and compliance demonstration with the regulation are expected to be approximately $25 million. 

Climate Change Legislation and Regulation

In October 2013, the U.S. Supreme Court granted petitions filed by several industry groups, states, and the U.S. Chamber of Commerce seeking review of the U.S. Court of Appeals for the D.C. Circuit's June 2012 decision upholding the EPA’s regulation of GHG emissions from stationary sources under the CAA's permitting programs. In June 2014, the U.S. Supreme Court ruled that the EPA lacked the authority under the CAA to require PSD or Title V permits for stationary sources based solely on GHG emissions. However, the Court upheld the EPA’s ability to require BACT for GHG for sources that are otherwise subject to PSD or Title V permitting for conventional pollutants. In July 2014, the EPA issued a memorandum specifying that it will no longer apply or enforce federal regulations or EPA-approved PSD state implementation plan provisions that require new and modified stationary sources to obtain a PSD permit when GHGs are the only pollutant that would be emitted at levels that exceed the permitting thresholds. In August 2015, the EPA published a final rule rescinding the requirement for all new and modified major sources to obtain permits based solely on their GHG emissions. In addition, the EPA stated that it will continue to use the existing thresholds to apply to sources that are otherwise subject to PSD for conventional pollutants until it completes a new rulemaking either justifying and upholding those thresholds or setting new ones. Some states have issued interim guidance that follows the EPA guidance. Due to uncertainty regarding what additional actions states may take to amend their existing regulations and what action the EPA ultimately takes to address the Court ruling under a new rulemaking, the Companies cannot predict the impact to their financial statements at this time. 

In July 2011, the EPA signed a final rule deferring the need for PSD and Title V permitting for CO₂ emissions for biomass projects. This rule temporarily deferred for a period of up to three years the consideration of CO₂ emissions from biomass projects when determining whether a stationary source meets the PSD and Title V applicability thresholds, including those for the application of BACT.  The deferral policy expired in July 2014. In July 2013, the U.S. Court of Appeals for the D.C. Circuit vacated this rule; however, a mandate making this decision effective has not been issued.  Virginia Power converted three coal-fired generating stations, Altavista, Hopewell and Southampton, to biomass during the CO₂ deferral period.  It is unclear how the court's decision or the EPA's final policy regarding the treatment of specific feedstock will affect biomass sources that were permitted during the deferral period; however, the expenditures to comply with any new requirements could be material to Dominion's and Virginia Power's financial statements.

Water

The CWA, as amended, is a comprehensive program requiring a broad range of regulatory tools including a permit program to authorize and regulate discharges to surface waters with strong enforcement mechanisms. The Companies must comply with applicable aspects of the CWA programs at their operating facilities.

In October 2014, the final regulations under Section 316(b) of the CWA that govern existing facilities and new units at existing facilities that employ a cooling water intake structure and that have flow levels exceeding a minimum threshold became effective. The rule establishes a national standard for impingement based on seven compliance options, but forgoes the creation of a single technology standard for entrainment. Instead, the EPA has delegated entrainment technology decisions to state regulators. State regulators are to make case-by-case entrainment technology determinations after an examination of five mandatory facility-specific factors, including a social cost-benefit test, and six optional facility-specific factors. The rule governs all electric generating stations with water withdrawals above two MGD, with a heightened entrainment analysis for those facilities over 125 MGD. Dominion and Virginia Power have14 and 11 facilities, respectively, that may be subject to the final regulations. Dominion anticipates that it will have to install impingement control technologies at many of these stations that have once-through cooling systems. Dominion and Virginia Power are currently evaluating the need or potential for entrainment controls under the final rule as these decisions will be made on a case-by-case basis after a thorough review of detailed biological, technology, cost and benefit studies. While the impacts of this rule could be material to Dominion's and Virginia Power's results of operations, financial condition and/or cash flows, the existing regulatory framework in Virginia provides rate recovery mechanisms that could substantially mitigate any such impacts for Virginia Power.

In September 2015, the EPA released a final rule to revise the Effluent Limitations Guidelines for the Steam Electric Power Generating Category. The final rule establishes updated standards for wastewater discharges that apply primarily at coal and oil steam generating stations. Affected facilities are required to convert from wet to dry or closed cycle coal ash management, improve existing wastewater treatment systems and/or install new wastewater treatment technologies in order to meet the new discharge limits. Virginia Power has eight facilities that may be subject to additional wastewater treatment requirements associated with the final rule. The expenditures to comply with these new requirements are expected to be material.

Solid and Hazardous Waste

The CERCLA, as amended, provides for immediate response and removal actions coordinated by the EPA in the event of threatened releases of hazardous substances into the environment and authorizes the U.S. government either to clean up sites at which hazardous substances have created actual or potential environmental hazards or to order persons responsible for the situation to do so. Under the CERCLA, as amended, generators and transporters of hazardous substances, as well as past and present owners and operators of contaminated sites, can be jointly, severally and strictly liable for the cost of cleanup. These potentially responsible parties can be ordered to perform a cleanup, be sued for costs associated with an EPA-directed cleanup, voluntarily settle with the U.S. government concerning their liability for cleanup costs, or voluntarily begin a site investigation and site remediation under state oversight.

From time to time, Dominion, Virginia Power, or Dominion Gas may be identified as a potentially responsible party to a Superfund site. The EPA (or a state) can either allow such a party to conduct and pay for a remedial investigation, feasibility study and remedial action or conduct the remedial investigation and action itself and then seek reimbursement from the potentially responsible parties. Each party can be held jointly, severally and strictly liable for the cleanup costs. These parties can also bring contribution actions against each other and seek reimbursement from their insurance companies. As a result, Dominion, Virginia Power, or Dominion Gas may be responsible for the costs of remedial investigation and actions under the Superfund law or other laws or regulations regarding the remediation of waste. Except as noted below, the Companies do not believe this will have a material effect on results of operations, financial condition and/or cash flows.

In September 2011, the EPA issued a UAO to Virginia Power and 22 other parties, ordering specific remedial action of certain areas at the Ward Transformer Superfund site located in Raleigh, North Carolina. Virginia Power does not believe it is a liable party under CERCLA based on its alleged connection to the site. In November 2011, Virginia Power and a number of other parties notified the EPA that they are declining to undertake the work set forth in the UAO.

The EPA may seek to enforce a UAO in court pursuant to its enforcement authority under CERCLA, and may seek recovery of its costs in undertaking removal or remedial action. If the court determines that a respondent failed to comply with the UAO without sufficient cause, the EPA may also seek civil penalties of up to $37,500 per day for the violation and punitive damages of up to three times the costs incurred by the EPA as a result of the party's failure to comply with the UAO. Virginia Power is currently unable to make an estimate of the potential financial statement impacts related to the Ward Transformer matter.

Dominion has determined that it is associated with 17 former manufactured gas plant sites, three of which pertain to Virginia Power and 12 of which pertain to Dominion Gas. Studies conducted by other utilities at their former manufactured gas plant sites have indicated that those sites contain coal tar and other potentially harmful materials. None of the former sites with which the Companies are associated is under investigation by any state or federal environmental agency. At one of the former sites, Dominion is conducting a state-approved post closure groundwater monitoring program and an environmental land use restriction has been recorded. Another site has been accepted into a state-based voluntary remediation program. Virginia Power is currently evaluating the nature and extent of the contamination from this site as well as potential remedial options. Preliminary costs for options under evaluation for the site range from $1 million to $22 million. Due to the uncertainty surrounding the other sites, the Companies are unable to make an estimate of the potential financial statement impacts.

See below for discussion on ash pond and landfill closure costs.

Other Legal Matters

The Companies are defendants in a number of lawsuits and claims involving unrelated incidents of property damage and personal injury. Due to the uncertainty surrounding these matters, the Companies are unable to make an estimate of the potential financial statement impacts; however, they could have a material impact on results of operations, financial condition and/or cash flows.

Appalachian Gateway

Following the completion of the Appalachian Gateway project in 2012, DTI received multiple change order requests and other claims for additional payments from a pipeline contractor for the project. In July 2013, DTI filed a complaint in U.S. District Court for the Eastern District of Virginia for breach of contract as well as accounting and declaratory relief. The contractor filed a motion to dismiss, or in the alternative, a motion to transfer venue to Pennsylvania and/or West Virginia, where the pipelines were constructed. DTI filed an opposition to the contractor’s motion in August 2013. In November 2013, the court granted the contractor’s motion on the basis that DTI must first comply with the dispute resolution process. In July 2015, the contractor filed a complaint against DTI in U.S. District Court for the Western District of Pennsylvania. In August 2015, DTI filed a motion to dismiss, or in the alternative, a motion to transfer venue to Virginia. In March 2016, the Pennsylvania court granted the motion to dismiss and transferred the case to the U.S. District Court for the Eastern District of Virginia. In April 2016, the Virginia court issued an order staying the proceedings and ordering mediation. This case is pending. DTI has accrued a liability of $6 million for this matter. Dominion Gas cannot currently estimate additional financial statement impacts, but there could be a material impact to its financial condition and/or cash flows.

Ash Pond and Landfill Closure Costs

In September 2014, Virginia Power received a notice from the Southern Environmental Law Center on behalf of the Potomac Riverkeeper and Sierra Club alleging CWA violations at Possum Point power station. The notice alleges unpermitted discharges to surface water and groundwater from Possum Point power station's historical and active ash storage facilities. A similar notice from the Southern Environmental Law Center on behalf of the Sierra Club was subsequently received related to Chesapeake power station. In December 2014, Virginia Power offered to close all of its coal ash ponds and landfills at Possum Point, Chesapeake and Bremo power stations as settlement of the potential litigation. While the issue is open to potential further negotiations, the Southern Environmental Law Center declined the offer as presented in January 2015 and, in March 2015, filed a lawsuit related to its claims of the alleged CWA violations at Chesapeake power station. Virginia Power filed a motion to dismiss in April 2015, which was denied in November 2015. A trial is scheduled for June 2016. This case is pending. As a result of the December 2014 settlement offer, Virginia Power recognized a charge of $121 million in other operations and maintenance expense in its Consolidated Statements of Income in the Companies' Annual Report on Form 10-K for the year ended December 31, 2014.

In April 2015, the EPA's final rule regulating the management of CCRs stored in impoundments (ash ponds) and landfills was published in the Federal Register.The final rule regulates CCR landfills, existing ash ponds that still receive and manage CCRs, and inactive ash ponds that do not receive, but still store CCRs. Virginia Power currently operates inactive ash ponds, existing ash ponds, and CCR landfills subject to the final rule at eight different facilities.  The enactment of the final rule in April 2015 created a legal obligation for Virginia Power to retrofit or close all of its inactive and existing ash ponds over a certain period of time, as well as perform required monitoring, corrective action, and post-closure care activities as necessary. In April 2016, the EPA announced a partial settlement with certain environmental and industry organizations that had challenged the final CCR rule in the U.S. Court of Appeals for the D.C. Circuit.  As part of the settlement, certain exemptions included in the final rule for inactive ponds that closed by April 2018 will be removed, resulting in inactive ponds ultimately being subject to the same requirements as existing ponds.  Virginia Power does not believe this change will substantially impact its closure plans for inactive ponds.

In 2015, Virginia Power recorded a $386 million ARO related to future ash pond and landfill closure costs. Recognition of the ARO also resulted in a $99 million incremental charge recorded in other operations and maintenance expense in its Consolidated Statement of Income, a $166 million increase in property, plant, and equipment associated with asset retirement costs, and a $121 million reduction in other noncurrent liabilities related to reversal of the contingent liability described above since the ARO obligation created by the final CCR rule represents similar activities. Virginia Power is in the process of obtaining the necessary permits to complete the work. In February and March 2016, respectively, two parties filed administrative appeals in the Circuit Court for the City of Richmond challenging certain provisions, relating to ash pond dewatering activities, of Possum Point power station's wastewater discharge permit issued by the VDEQ in January 2016.  Virginia Power cannot predict the financial impact associated with these appeals, but believes that it will not be material. The actual AROs related to the CCR rule may vary substantially from the estimates used to record the increased obligation in 2015.

Cove Point

Dominion is constructing the Liquefaction Project at the Cove Point facility, which would enable the facility to liquefy domestically-produced natural gas and export it as LNG. In September 2014, FERC issued an order granting authorization for

Cove Point to construct, modify and operate the Liquefaction Project. In October 2014, several parties filed a motion with FERC to stay the order and requested rehearing. In May 2015, FERC denied the requests for stay and rehearing.

Two parties have separately filed petitions for review of the FERC order in the U.S. Court of Appeals for the D.C. Circuit, which petitions have been consolidated. Separately, one party requested a stay of the FERC order until the judicial proceedings are complete, which the court denied in June 2015.

Nuclear Matters

In March 2011, a magnitude 9.0 earthquake and subsequent tsunami caused significant damage at the Fukushima Daiichi nuclear power station in northeast Japan. These events have resulted in significant nuclear safety reviews required by the NRC and industry groups such as the Institute of Nuclear Power Operations. Like other U.S. nuclear operators, Dominion has been gathering supporting data and participating in industry initiatives focused on the ability to respond to and mitigate the consequences of design-basis and beyond-design-basis events at its stations. 

In July 2011, an NRC task force provided initial recommendations based on its review of the Fukushima Daiichi accident and in October 2011 the NRC staff prioritized these recommendations into Tiers 1, 2 and 3, with the Tier 1 recommendations consisting of actions which the staff determined should be started without unnecessary delay. In December 2011, the NRC Commissioners approved the agency staff's prioritization and recommendations, and that same month an appropriations act directed the NRC to require reevaluation of external hazards (not limited to seismic and flooding hazards) as soon as possible.

Based on the prioritized recommendations, in March 2012, the NRC issued orders and information requests requiring specific reviews and actions to all operating reactors, construction permit holders and combined license holders based on the lessons learned from the Fukushima Daiichi event. The orders applicable to Dominion requiring implementation of safety enhancements related to mitigation strategies to respond to extreme natural events resulting in the loss of power at plants, and enhancing spent fuel pool instrumentation have been implemented.  The information requests issued by the NRC request each reactor to reevaluate the seismic and external flooding hazards at their site using present-day methods and information, conduct walkdowns of their facilities to ensure protection against the hazards in their current design basis, and to reevaluate their emergency communications systems and staffing levels. The walkdowns of each unit have been completed, audited by the NRC and found to be adequate. Reevaluation of the emergency communications systems and staffing levels was completed as part of the effort to comply with the orders. Reevaluation of the seismic and external flooding hazards is expected to continue through 2018. Dominion and Virginia Power do not currently expect that compliance with the NRC's information requests will materially impact their financial position, results of operations or cash flows during the implementation period. The NRC staff is evaluating the implementation of the longer term Tier 2 and Tier 3 recommendations. Dominion and Virginia Power do not expect material financial impacts related to compliance with Tier 2 and Tier 3 recommendations.

Guarantees, Surety Bonds and Letters of Credit

Dominion

At March 31, 2016, Dominion had issued $73 million of guarantees, primarily to support equity method investees. No significant amounts related to these guarantees have been recorded. As of March 31, 2016, Dominion’s exposure under these guarantees was $38 million, primarily related to certain reserve requirements associated with non-recourse financing.

Dominion also enters into guarantee arrangements on behalf of its consolidated subsidiaries, primarily to facilitate their commercial transactions with third parties. To the extent that a liability subject to a guarantee has been incurred by one of Dominion's consolidated subsidiaries, that liability is included in the Consolidated Financial Statements. Dominion is not required to recognize liabilities for guarantees issued on behalf of its subsidiaries unless it becomes probable that it will have to perform under the guarantees. Terms of the guarantees typically end once obligations have been paid. Dominion currently believes it is unlikely that it would be required to perform or otherwise incur any losses associated with guarantees of its subsidiaries' obligations.

At March 31, 2016, Dominion had issued the following subsidiary guarantees:

	Stated Limit		Value(1)
(millions)
Subsidiary debt(2)	$	27	$	27
Commodity transactions(3)	2,136		887
Nuclear obligations(4)	189		82
Cove Point(5)	1,900		—
Solar(6)	1,565		326
Other(7)	433		28
Total	$	6,250	$	1,350

(1) Represents the estimated portion of the guarantee's stated limit that is utilized as of March 31, 2016 based upon prevailing economic conditions and fact patterns specific to each guarantee arrangement. For those guarantees related to obligations that are recorded as liabilities by Dominion's subsidiaries, the value includes the recorded amount.

(2) Guarantee of debt of a DEI subsidiary. In the event of default by the subsidiary, Dominion would be obligated to repay such amounts.

(3) Guarantees related to commodity commitments of certain subsidiaries, including subsidiaries of Virginia Power, Dominion Gas and DEI. These guarantees were provided to counterparties in order to facilitate physical and financial transactions in gas, oil, electricity, pipeline capacity, transportation and related commodities and services. If any of these subsidiaries fail to perform or pay under the contracts and the counterparties seek performance or payment, Dominion would be obligated to satisfy such obligation. Dominion and its subsidiaries receive similar guarantees as collateral for credit extended to others. The value provided includes certain guarantees that do not have stated limits.

(4) Guarantees related to certain DEI subsidiaries' potential retrospective premiums that could be assessed if there is a nuclear incident under Dominion's nuclear insurance programs and guarantees for a DEI subsidiary's and Virginia Power's commitment to buy nuclear fuel. Excludes Dominion's agreement to provide up to $150 million and $60 million to two DEI subsidiaries to pay the operating expenses of Millstone nuclear power station (in the event of a prolonged outage) and Kewaunee nuclear power station, respectively, as part of satisfying certain NRC requirements concerned with ensuring adequate funding for the operations of nuclear power stations. The agreement for Kewaunee nuclear power station also provides for funds through the completion of decommissioning.

(5) Guarantees related to Cove Point, in support of terminal services, transportation and construction. Two of the guarantees have no stated limit, one guarantee has a $150 million limit, and one guarantee has a $1.75 billion aggregate limit with an annual draw limit of $175 million.

(6) Includes guarantees to facilitate the development of solar projects including guarantees that do not have stated limits. Also includes guarantees entered into by DEI on behalf of certain subsidiaries to facilitate the acquisition and development of solar projects. 

(7) Guarantees related to other miscellaneous contractual obligations such as leases, environmental obligations and construction projects. Also includes guarantees related to certain DEI subsidiaries' obligations for equity capital contributions and energy generation associated with Fowler Ridge and NedPower. As of March 31, 2016, Dominion's maximum remaining cumulative exposure under these equity funding agreements is $45 million through 2019 and its maximum annual future contributions could range from approximately $4 million to $19 million. The value provided includes certain guarantees that do not have stated limits.

Additionally, at March 31, 2016, Dominion had purchased $94 million of surety bonds, including $34 million at Virginia Power and $23 million at Dominion Gas, and authorized the issuance of letters of credit by financial institutions of $57 million to facilitate commercial transactions by its subsidiaries with third parties. Under the terms of surety bonds, the Companies are obligated to indemnify the respective surety bond company for any amounts paid.

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Credit Risk

3 Months Ended

Mar. 31, 2016

Risks and Uncertainties [Abstract]

Credit Risk

Credit Risk

The Companies' accounting policies for credit risk are discussed in Note 23 to the Consolidated Financial Statements in the Companies' Annual Report on Form 10-K for the year ended December 31, 2015.

At March 31, 2016, Dominion's credit exposure related to energy marketing and price risk management activities totaled $175 million. Of this amount, investment grade counterparties, including those internally rated, represented 71%. No single counterparty, whether investment grade or non-investment grade, exceeded $30 million of exposure.

Credit-Related Contingent Provisions

The majority of Dominion's derivative instruments contain credit-related contingent provisions. These provisions require Dominion to provide collateral upon the occurrence of specific events, primarily a credit rating downgrade. If the credit-related contingent features underlying these instruments that are in a liability position and not fully collateralized with cash were fully triggered as of March 31, 2016 and December 31, 2015, Dominion would have been required to post an additional $7 million and $12 million, respectively, of collateral to its counterparties. The collateral that would be required to be posted includes the impacts of any offsetting asset positions and any amounts already posted for derivatives, non-derivative contracts and derivatives elected under the normal purchases and normal sales exception, per contractual terms. Dominion had not posted any collateral at March 31, 2016 or December 31, 2015 related to derivatives with credit-related contingent provisions that are in a liability position and not fully collateralized with cash. The collateral posted includes any amounts paid related to non-derivative contracts and derivatives elected under the normal purchases and normal sales exception, per contractual terms. The aggregate fair value of all derivative instruments with credit-related contingent provisions that are in a liability position and not fully collateralized with cash as of March 31, 2016 and December 31, 2015 was $19 million and $49 million, respectively, which does not include the impact of any offsetting asset positions. Credit-related contingent provisions for Virginia Power and Dominion Gas were not material as of March 31, 2016 and December 31, 2015. See Note 9 for further information about derivative instruments.

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Related-Party Transactions

3 Months Ended

Mar. 31, 2016

Related Party Transactions [Abstract]

Related-Party Transactions

Related-Party Transactions

Virginia Power and Dominion Gas engage in related-party transactions primarily with other Dominion subsidiaries (affiliates). Virginia Power's and Dominion Gas' receivable and payable balances with affiliates are settled based on contractual terms or on a monthly basis, depending on the nature of the underlying transactions. Virginia Power and Dominion Gas are included in Dominion's consolidated federal income tax return. Dominion's transactions with equity method investments are described in Note 10. A discussion of significant related-party transactions follows.

Virginia Power

Transactions with Affiliates

Virginia Power transacts with affiliates for certain quantities of natural gas and other commodities in the ordinary course of business. Virginia Power also enters into certain commodity derivative contracts with affiliates. Virginia Power uses these contracts, which are principally comprised of commodity physical forwards and options, to manage commodity price risks associated with purchases of natural gas. As of March 31, 2016, Virginia Power’s derivative assets and liabilities with affiliates were each $14 million. As of December 31, 2015, Virginia Power’s derivative assets and liabilities with affiliates were $13 million and $22 million, respectively. See Note 9 for more information.

Virginia Power participates in certain Dominion benefit plans described in Note 18. In Virginia Power's Consolidated Balance

Sheets at March 31, 2016 and December 31, 2015, amounts due to Dominion associated with these benefit plans included in other deferred credits and other liabilities were $336 million and $316 million, respectively, and amounts due from Dominion at March 31, 2016 and December 31, 2015 included in other deferred charges and other assets were $87 million and $77 million, respectively.

DRS and other affiliates provide accounting, legal, finance and certain administrative and technical services to Virginia Power. In addition, Virginia Power provides certain services to affiliates, including charges for facilities and equipment usage.

Presented below are Virginia Power's significant transactions with DRS and other affiliates:

	Three Months Ended March 31,
	2016		2015
(millions)
Commodity purchases from affiliates	$	145	$	252
Services provided by affiliates(1)	140		110
Services provided to affiliates	5		5

(1) Includes capitalized expenditures of $39 million and $35 million for the three months ended March 31, 2016 and 2015, respectively.

Virginia Power has borrowed funds from Dominion under short-term borrowing arrangements. Virginia Power had no short-term demand note borrowings from Dominion as of March 31, 2016. There were $376 million in short-term demand note borrowings from Dominion as of December 31, 2015. Virginia Power had no outstanding borrowings under the Dominion money pool for its nonregulated subsidiaries as of March 31, 2016 and December 31, 2015. Interest charges related to Virginia Power's borrowings from Dominion were immaterial for the three months ended March 31, 2016 and 2015.

There were no issuances of Virginia Power's common stock to Dominion for the three months ended March 31, 2016 and 2015.

Dominion Gas

Transactions with Related Parties

Dominion Gas transacts with affiliates for certain quantities of natural gas and other commodities at market prices in the ordinary course of business. Additionally, Dominion Gas provides transportation and storage services to affiliates. Dominion Gas also enters into certain other contracts with affiliates, which are presented separately from contracts involving commodities or services. As of March 31, 2016 and December 31, 2015, all of Dominion Gas' commodity derivatives were with affiliates. See Notes 7 and 9 for more information.

Dominion Gas participates in certain Dominion benefit plans as described in Note 18. In Dominion Gas' Consolidated Balance Sheets at March 31, 2016 and December 31, 2015, amounts due from Dominion associated with these benefit plans included in noncurrent pension and other postretirement benefit assets were $663 million and $652 million, respectively, and amounts due to Dominion at March 31, 2016 and December 31, 2015 included in other deferred credits and other liabilities were $1 million and $2 million, respectively.

DRS and other affiliates provide accounting, legal, finance and certain administrative and technical services to Dominion Gas. Dominion Gas provides certain services to related parties, including technical services. The amounts recognized for these services were as follows:

	Three Months Ended March 31,
	2016		2015
(millions)
Purchases of natural gas and transportation and storage services from affiliates	$	3	$	2
Sales of natural gas and transportation and storage services to affiliates	17		18
Services provided by related parties(1)	39		34
Services provided to related parties (2)	27		20

(1) Includes capitalized expenditures of $12 million and $13 million for the three months ended March 31, 2016 and 2015, respectively.

(2) Amounts primarily attributable to Atlantic Coast Pipeline.

The following table presents affiliated and related-party activity reflected in Dominion Gas' Consolidated Balance Sheets:

	March 31, 2016		December 31, 2015
(millions)
Other receivables (1)	$	8	$	7
Customer receivables from related parties	2		4
Imbalances receivable from affiliates(2)	3		1
Affiliated notes receivable(3)	15		14

(1) Represents amounts due from Atlantic Coast Pipeline, a related-party VIE.

(2) Amounts are presented in other current assets in Dominion Gas' Consolidated Balance Sheets.

(3) Amounts are presented in other deferred charges and other assets in Dominion Gas' Consolidated Balance Sheets.

Dominion Gas' borrowings under the intercompany revolving credit agreement with Dominion totaled $40 million and $95 million as of March 31, 2016 and December 31, 2015, respectively. Interest charges related to Dominion Gas' total borrowings from Dominion were immaterial for the three months ended March 31, 2016 and 2015.

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Employee Benefit Plans

3 Months Ended

Mar. 31, 2016

Compensation and Retirement Disclosure [Abstract]

Employee Benefit Plans

Employee Benefit Plans

In the first quarter of 2016, the Companies announced an organizational design initiative that will reduce their total workforces during 2016. The goal of the organizational design initiative was to streamline our leadership structure and push decision making lower while also improving efficiency.  In the first quarter of 2016, Dominion recorded a $70 million ($43 million after-tax) charge, including $40 million ($25 million after-tax) at Virginia Power and $8 million ($5 million after-tax) at Dominion Gas, primarily reflected in other operations and maintenance expense in their Consolidated Statements of Income due to severance pay and other costs related to the organizational design initiative.  The terms of the severance under the organizational design initiative were consistent with the Companies’ existing severance plans.

Dominion

The components of Dominion's provision for net periodic benefit cost (credit) were as follows:

	Pension Benefits						Other Postretirement Benefits
	2016			2015			2016			2015
(millions)
Three Months Ended March 31,
Service cost	$	29		$	32		$	8		$	10
Interest cost	77			72			17			17
Expected return on plan assets	(139		)	(133		)	(29		)	(29		)
Amortization of prior service credit	—			—			(7		)	(7		)
Amortization of net actuarial loss	28			40			1			1
Net periodic benefit cost (credit)	$	(5	)	$	11		$	(10	)	$	(8	)

Employer Contributions

During the three months ended March 31, 2016, Dominion made no contributions to its defined benefit pension plans or other postretirement benefit plans. Dominion expects to contribute approximately $12 million to its other postretirement benefit plans through VEBAs during the remainder of 2016.

Dominion Gas

Dominion Gas participates in certain Dominion benefit plans as described in Note 21 to the Consolidated Financial Statements in the Companies' Annual Report on Form 10-K for the year ended December 31, 2015. See Note 17 for more information.

The components of Dominion Gas' provision for net periodic benefit credit for employees represented by collective bargaining units were as follows:

	Pension Benefits						Other Postretirement Benefits
	2016			2015			2016			2015
(millions)
Three Months Ended March 31,
Service cost	$	3		$	3		$	1		$	2
Interest cost	8			7			3			3
Expected return on plan assets	(33		)	(31		)	(5		)	(6		)
Amortization of net actuarial loss	3			5			—			1
Net periodic benefit credit	$	(19	)	$	(16	)	$	(1	)	$	—

Employer Contributions

During the three months ended March 31, 2016, Dominion Gas made no contributions to its defined benefit pension plans or other postretirement benefit plans. Dominion Gas expects to contribute approximately $12 million to its other postretirement benefit plans through VEBAs, for both employees represented by collective bargaining units and employees not represented by collective bargaining units, during the remainder of 2016.

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Operating Segments

3 Months Ended

Mar. 31, 2016

Segment Reporting [Abstract]

Operating Segments

Operating Segments

The Companies are organized primarily on the basis of products and services sold in the U.S. A description of the operations included in the Companies’ primary operating segments is as follows:

Primary Operating Segment	Description of Operations	Dominion	Virginia Power	Dominion Gas
DVP	Regulated electric distribution	X	X
	Regulated electric transmission	X	X
Dominion Generation	Regulated electric fleet	X	X
	Merchant electric fleet	X
Dominion Energy	Gas transmission and storage(1)	X		X
	Gas distribution and storage	X		X
	Gas gathering and processing	X		X
	LNG import and storage	X
	Nonregulated retail energy marketing(2)	X

(1) Includes remaining producer services activities for Dominion.

(2) As a result of Dominion's decision to realign its business units effective for 2015 year-end reporting, nonregulated retail energy marketing operations were moved from the Dominion Generation segment to the Dominion Energy segment.

In addition to the operating segments above, the Companies also report a Corporate and Other segment.

Dominion

The Corporate and Other Segment of Dominion includes its corporate, service company and other functions (including unallocated debt) and the net impact of operations that are discontinued or sold. In addition, Corporate and Other includes specific items attributable to Dominion's operating segments that are not included in profit measures evaluated by executive management in assessing the segments' performance or in allocating resources.

In the three months ended March 31, 2016, Dominion reported an after-tax net expense of $48 million for specific items in the Corporate and Other segment, with $38 million of these net expenses attributable to its operating segments. In the three months ended March 31, 2015, Dominion reported an after-tax net expense of $48 million for specific items in the Corporate and Other segment, with $45 million of these net expenses attributable to its operating segments.

The net expense for specific items attributable to Dominion's operating segments in 2016 primarily related to the impact of the following item:

• A $66 million ($41 million after-tax) charge related to an organizational design initiative, attributable to:

• DVP ($6 million after-tax);

• Dominion Energy ($12 million after-tax); and

• Dominion Generation ($23 million after-tax).

The net expense for specific items in 2015 primarily related to the impact of the following items, all of which were attributable to Dominion Generation:

• An $85 million ($52 million after-tax) write-off of deferred fuel costs associated with Virginia legislation enacted in February 2015; and

• A $17 million ($10 million after-tax) billing adjustment related to PJM; partially offset by

• A $27 million ($17 million after-tax) net gain on investments held in nuclear decommissioning trust funds.

The following table presents segment information pertaining to Dominion’s operations:

	DVP		Dominion Generation(1)		Dominion Energy(1)		Corporate and Other			Adjustments/Eliminations(1)			Consolidated Total
(millions)
Three Months Ended March 31, 2016
Total revenue from external customers	$	556	$	1,693	$	485	$	3		$	184		$	2,921
Intersegment revenue	5		3		178		192			(378		)	—
Total operating revenue	561		1,696		663		195			(194		)	2,921
Net income (loss) attributable to Dominion	120		245		186		(27		)	—			524
Three Months Ended March 31, 2015
Total revenue from external customers	$	564	$	1,989	$	536	$	(13	)	$	333		$	3,409
Intersegment revenue	5		3		310		142			(460		)	—
Total operating revenue	569		1,992		846		129			(127		)	3,409
Net income (loss) attributable to Dominion	140		262		227		(93		)	—			536

(1) 2015 amounts have been recast to reflect nonregulated retail energy marketing operations in the Dominion Energy segment.

Intersegment sales and transfers for Dominion are based on contractual arrangements and may result in intersegment profit or loss that is eliminated in consolidation.

Virginia Power

The Corporate and Other Segment of Virginia Power primarily includes specific items attributable to its operating segments that are not included in profit measures evaluated by executive management in assessing the segments' performance or in allocating resources.

In the three months ended March 31, 2016, Virginia Power reported an after-tax net expense of $26 million for specific items in the Corporate and Other segment, with $25 million of these net expenses attributable to its operating segments. In the three months ended March 31, 2015, Virginia Power reported an after-tax net expense of $61 million for specific items in the Corporate and Other segment, all of which was attributable to its operating segments.

The net expense for specific items attributable to Virginia Power's operating segments in 2016 primarily related to the impact of the following item:

• A $40 million ($25 million after-tax) charge related to an organizational design initiative, attributable to:

• DVP ($6 million after-tax); and

• Dominion Generation ($19 million after-tax).

The net expense for specific items in 2015 primarily related to the impact of the following items, all of which were attributable to Dominion Generation:

• An $85 million ($52 million after-tax) write-off of deferred fuel costs associated with Virginia legislation enacted in February 2015; and

• A $15 million ($9 million after-tax) billing adjustment related to PJM.

The following table presents segment information pertaining to Virginia Power’s operations:

	DVP		Dominion Generation		Corporate and Other			Consolidated Total
(millions)
Three Months Ended March 31, 2016
Operating revenue	$	557	$	1,333	$	—		$	1,890
Net income (loss)	118		166		(21		)	263
Three Months Ended March 31, 2015
Operating revenue	$	567	$	1,585	$	(15	)	$	2,137
Net income (loss)	140		190		(61		)	269

Dominion Gas

The Corporate and Other Segment of Dominion Gas primarily includes specific items attributable to Dominion Gas' operating segment that are not included in profit measures evaluated by executive management in assessing the segment's performance or in allocating resources and the effect of certain items recorded at Dominion Gas as a result of Dominion's basis in the net assets contributed.

In the three months ended March 31, 2016, Dominion Gas reported an after-tax net expense of $2 million for specific items in the Corporate and Other segment, all of which was attributable to its operating segment. In the three months ended March 31, 2015, Dominion Gas reported no amounts for specific items in the Corporate and Other segment.

The net expense for specific items in 2016 primarily related to an $8 million ($5 million after-tax) charge related to an organizational design initiative.

The following table presents segment information pertaining to Dominion Gas' operations:

	Dominion Energy		Corporate and Other			Consolidated Total
(millions)
Three Months Ended March 31, 2016
Operating revenue	$	431	$	—		$	431
Net income (loss)	103		(5		)	98
Three Months Ended March 31, 2015
Operating revenue	$	531	$	—		$	531
Net income (loss)	164		(3		)	161

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Significant Accounting Policies (Policies)

3 Months Ended

Mar. 31, 2016

Accounting Policies [Abstract]

Basis of Accounting

As permitted by the rules and regulations of the SEC, the Companies' accompanying unaudited Consolidated Financial Statements contain certain condensed financial information and exclude certain footnote disclosures normally included in annual audited consolidated financial statements prepared in accordance with GAAP. These unaudited Consolidated Financial Statements should be read in conjunction with the Consolidated Financial Statements and Notes in the Companies' Annual Report on Form 10-K for the year ended December 31, 2015.

Estimates

The Companies make certain estimates and assumptions in preparing their Consolidated Financial Statements in accordance with GAAP. These estimates and assumptions affect the reported amounts of assets and liabilities, the disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses for the periods presented. Actual results may differ from those estimates.

Consolidation

The Companies' accompanying unaudited Consolidated Financial Statements include, after eliminating intercompany transactions and balances, their accounts, those of their respective majority-owned subsidiaries and non-wholly-owned entities in which they have a controlling financial interest.

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Operating Revenue (Tables)

3 Months Ended

Mar. 31, 2016

Regulated and Unregulated Operating Revenue [Abstract]

Operating Revenue

The Companies’ operating revenue consists of the following:

	Three Months Ended March 31,
	2016		2015
(millions)
Dominion
Electric sales:
Regulated	$	1,842	$	2,112
Nonregulated	389		406
Gas sales:
Regulated	65		116
Nonregulated	118		208
Gas transportation and storage	415		471
Other	92		96
Total operating revenue	$	2,921	$	3,409
Virginia Power
Regulated electric sales	$	1,842	$	2,112
Other	48		25
Total operating revenue	$	1,890	$	2,137
Dominion Gas
Gas sales:
Regulated	$	29	$	57
Nonregulated	1		3
Gas transportation and storage	351		412
NGL revenue	17		29
Other	33		30
Total operating revenue	$	431	$	531

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Income Taxes (Tables)

3 Months Ended

Mar. 31, 2016

Income Tax Disclosure [Abstract]

Effective Income Tax

For continuing operations, including noncontrolling interests, the statutory U.S. federal income tax rate reconciles to the Companies' effective income tax rate as follows:

	Dominion				Virginia Power				Dominion Gas
Three Months Ended March 31,	2016		2015		2016		2015		2016		2015
U.S. statutory rate	35.0	%	35.0	%	35.0	%	35.0	%	35.0	%	35.0	%
Increases (reductions) resulting from:
State taxes, net of federal benefit	4.3		2.9		4.2		3.8		3.9		4.0
Investment tax credits	(10.9	)	(0.8	)	(1.3	)	—		—		—
Production tax credits	(0.8	)	(0.8	)	(0.6	)	(0.4	)	—		—
Other, net	(2.4	)	(0.6	)	(0.6	)	(0.7	)	(0.1	)	(0.1	)
Effective tax rate	25.2	%	35.7	%	36.7	%	37.7	%	38.8	%	38.9	%

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Earnings Per Share (Tables)

3 Months Ended

Mar. 31, 2016

Earnings Per Share [Abstract]

Earnings Per Share Computation

The following table presents the calculation of Dominion’s basic and diluted EPS:

	Three Months Ended March 31,
	2016		2015
(millions, except EPS)
Net income attributable to Dominion	$	524	$	536
Average shares of common stock outstanding – Basic	596.6		587.9
Net effect of dilutive securities(1)	1.6		2.0
Average shares of common stock outstanding – Diluted	598.2		589.9
Earnings Per Common Share – Basic and Diluted	$	0.88	$	0.91

(1) Dilutive securities consist primarily of the 2013 Equity Units. See Note 14 in this report and Note 17 to the Consolidated Financial Statements in the Companies' Annual Report on Form 10-K for the year ended December 31, 2015 for more information.

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Accumulated Other Comprehensive Income (Tables)

3 Months Ended

Mar. 31, 2016

Accumulated Other Comprehensive Income (Loss) [Line Items]

Schedule of Accumulated Other Comprehensive Income (Loss)

The following table presents Dominion’s changes in AOCI by component, net of tax:

	Deferred Gains and Losses on Derivatives-Hedging Activities			Unrealized Gains and Losses on Investment Securities			Unrecognized Pension and Other Postretirement Benefit Costs			Other Comprehensive Income (Loss) From Equity Method Investee			Total
(millions)
Three Months Ended March 31, 2016
Beginning balance	$	(176	)	$	504		$	(797	)	$	(5	)	$	(474	)
Other comprehensive income before reclassifications: gains (losses)	53			15			—			—			68
Amounts reclassified from AOCI(1): (gains) losses	(63		)	(2		)	8			—			(57		)
Net current-period other comprehensive income (loss)	(10		)	13			8			—			11
Ending balance	$	(186	)	$	517		$	(789	)	$	(5	)	$	(463	)
Three Months Ended March 31, 2015
Beginning balance	$	(178	)	$	548		$	(782	)	$	(4	)	$	(416	)
Other comprehensive income before reclassifications: gains (losses)	(58		)	15			—			(1		)	(44		)
Amounts reclassified from AOCI(1): (gains) losses	59			(21		)	13			—			51
Net current-period other comprehensive income (loss)	1			(6		)	13			(1		)	7
Ending balance	$	(177	)	$	542		$	(769	)	$	(5	)	$	(409	)

(1) See table below for details about these reclassifications.

Reclassification out of Accumulated Other Comprehensive Income

The following table presents Dominion’s reclassifications out of AOCI by component:

Details About AOCI Components	Amounts Reclassified From AOCI			Affected Line Item in the Consolidated Statements of Income
(millions)
Three Months Ended March 31, 2016
Deferred (gains) and losses on derivatives-hedging activities:
Commodity contracts	$	(114	)	Operating revenue
	6			Purchased gas
	3			Electric fuel and other energy-related purchases
Interest rate contracts	3			Interest and related charges

	(102		)
Tax	39			Income tax expense
	$	(63	)
Unrealized (gains) and losses on investment securities:
Realized (gain) loss on sale of securities	$	(10	)	Other income
Impairment	7			Other income
	(3		)
Tax	1			Income tax expense
	$	(2	)
Unrecognized pension and other postretirement benefit costs:
Prior service (credit) costs	$	(3	)	Other operations and maintenance
Actuarial (gains) losses	17			Other operations and maintenance
	14
Tax	(6		)	Income tax expense
	$	8
Three Months Ended March 31, 2015
Deferred (gains) and losses on derivatives-hedging activities:
Commodity contracts	$	92		Operating revenue
	5			Purchased gas
	(1		)	Electric fuel and other energy-related purchases
Interest rate contracts	2			Interest and related charges
	98
Tax	(39		)	Income tax expense
	$	59
Unrealized (gains) and losses on investment securities:
Realized (gain) loss on sale of securities	$	(39	)	Other income
Impairment	6			Other income
	(33		)
Tax	12			Income tax expense
	$	(21	)
Unrecognized pension and other postretirement benefit costs:
Prior service (credit) costs	$	(3	)	Other operations and maintenance
Actuarial (gains) losses	25			Other operations and maintenance
	22
Tax	(9		)	Income tax expense
	$	13

Dominion Gas Holdings, LLC

Accumulated Other Comprehensive Income (Loss) [Line Items]

Schedule of Accumulated Other Comprehensive Income (Loss)

The following table presents Dominion Gas’ changes in AOCI by component, net of tax:

	Deferred Gains and Losses on Derivatives-Hedging Activities			Unrecognized Pension and Other Postretirement Benefit Costs			Total
(millions)
Three Months Ended March 31, 2016
Beginning balance	$	(17	)	$	(82	)	$	(99	)
Other comprehensive income before reclassifications: gains (losses)	(6		)	—			(6		)
Amounts reclassified from AOCI(1): (gains) losses	(2		)	—			(2		)
Net current-period other comprehensive loss	(8		)	—			(8		)
Ending balance	$	(25	)	$	(82	)	$	(107	)
Three Months Ended March 31, 2015
Beginning balance	$	(20	)	$	(66	)	$	(86	)
Other comprehensive income before reclassifications: gains (losses)	(4		)	—			(4		)
Amounts reclassified from AOCI(1): (gains) losses	—			1			1
Net current-period other comprehensive income (loss)	(4		)	1			(3		)
Ending balance	$	(24	)	$	(65	)	$	(89	)

(1) See table below for details about these reclassifications.

Reclassification out of Accumulated Other Comprehensive Income

The following table presents Dominion Gas' reclassifications out of AOCI by component:

Details About AOCI Components	Amounts Reclassified From AOCI			Affected Line Item in the Consolidated Statements of Income
(millions)
Three Months Ended March 31, 2016
Deferred (gains) and losses on derivatives-hedging activities:
Commodity contracts	$	(4	)	Operating revenue
	(4		)
Tax	2			Income tax expense
	$	(2	)
Unrecognized pension and other postretirement benefit costs:
Actuarial (gains) losses	$	1		Other operations and maintenance
	1
Tax	(1		)	Income tax expense
	$	—
Three Months Ended March 31, 2015
Unrecognized pension and other postretirement benefit costs:
Actuarial (gains) losses	$	2		Other operations and maintenance
	2
Tax	(1		)	Income tax expense
	$	1

XML

Fair Value Measurements (Tables)

3 Months Ended

Mar. 31, 2016

Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]

Fair Value, Option, Quantitative Disclosures

The following table presents Dominion's quantitative information about Level 3 fair value measurements at March 31, 2016. The range and weighted average are presented in dollars for market price inputs and percentages for credit spreads and price volatility.

	Fair Value (millions)		Valuation Techniques	Unobservable Input		Range	Weighted Average(1)
Assets
Physical and financial forwards and futures:
Natural gas(2)	$	115	Discounted cash flow	Market price (per Dth)	(3)	(2) - 6	—
				Credit spread	(4)	1% - 7%	3	%
FTRs	4		Discounted cash flow	Market price (per MWh)	(3)	(5) - 7	1
Physical and financial options:
Natural gas	5		Option model	Market price (per Dth)	(3)	1 - 6	3
				Price volatility	(5)	18% - 59%	22	%
Total assets	$	124
Liabilities
Physical and financial forwards and futures:
Natural gas(2)	$	7	Discounted cash flow	Market price (per Dth)	(3)	(1) - 3	2
FTRs	6		Discounted cash flow	Market price (per MWh)	(3)	(3) - 5	1
Physical and financial options:
Natural gas	2		Option model	Market price (per Dth)	(3)	1 - 4	2
				Price volatility	(5)	26% - 59%	38	%
Total liabilities	$	15

(1) Averages weighted by volume.

(2) Includes basis.

(3) Represents market prices beyond defined terms for Levels 1 and 2.

(4) Represents credit spreads unrepresented in published markets.

(5) Represents volatilities unrepresented in published markets.

Significant Unobservable Inputs

Sensitivity of the fair value measurements to changes in the significant unobservable inputs is as follows:

Significant Unobservable Inputs	Position	Change to Input	Impact on Fair Value Measurement
Market price	Buy	Increase (decrease)	Gain (loss)
Market price	Sell	Increase (decrease)	Loss (gain)
Price volatility	Buy	Increase (decrease)	Gain (loss)
Price volatility	Sell	Increase (decrease)	Loss (gain)
Credit spread	Asset	Increase (decrease)	Loss (gain)

Fair Value, by Balance Sheet Grouping

The following table presents Dominion’s assets and liabilities that are measured at fair value on a recurring basis for each hierarchy level, including both current and noncurrent portions:

	Level 1		Level 2		Level 3		Total
(millions)
At March 31, 2016
Assets
Derivatives:
Commodity	$	1	$	245	$	124	$	370
Interest rate	—		31		—		31
Investments(1):
Equity securities:
U.S.:
Large cap	2,571		—		—		2,571
Other	5		—		—		5
REIT	67		—		—		67
Non-U.S.:
Large cap	9		—		—		9
Fixed income:
Corporate debt instruments	—		464		—		464
U.S. Treasury securities and agency debentures	451		219		—		670
State and municipal	—		372		—		372
Other	—		99		—		99
Cash equivalents and other	6		1		—		7
Total assets	$	3,110	$	1,431	$	124	$	4,665
Liabilities
Derivatives:
Commodity	$	—	$	124	$	15	$	139
Interest rate	—		291		—		291
Total liabilities	$	—	$	415	$	15	$	430
At December 31, 2015
Assets
Derivatives:
Commodity	$	1	$	249	$	114	$	364
Interest rate	—		24		—		24
Investments(1):
Equity securities:

U.S.:
Large cap	2,547		—		—		2,547
Other	5		—		—		5
REIT	63		—		—		63
Non-U.S.:
Large cap	10		—		—		10
Fixed income:
Corporate debt instruments	—		437		—		437
U.S. Treasury securities and agency debentures	458		201		—		659
State and municipal	—		376		—		376
Other	—		100		—		100
Cash equivalents and other	2		2		—		4
Total assets	$	3,086	$	1,389	$	114	$	4,589
Liabilities
Derivatives:
Commodity	$	—	$	141	$	19	$	160
Interest rate	—		183		—		183
Total liabilities	$	—	$	324	$	19	$	343

(1) Includes investments held in the nuclear decommissioning and rabbi trusts.

Fair Value, Assets and Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation

The following table presents the net change in Dominion's assets and liabilities measured at fair value on a recurring basis and included in the Level 3 fair value category:

	Three Months Ended March 31,
	2016			2015
(millions)
Beginning balance	$	95		$	107
Total realized and unrealized gains (losses):
Included in earnings	(7		)	15
Included in other comprehensive income (loss)	3			(11		)
Included in regulatory assets/liabilities	17			(24		)
Settlements	8			(14		)
Transfers out of Level 3	(7		)	3
Ending balance	$	109		$	76

Fair Value, Unobservable Inputs, Gain (Loss) Included In Earnings

The following table presents Dominion's classification of gains and losses included in earnings in the Level 3 fair value category. There were no unrealized gains or losses included in earnings in the Level 3 fair value category relating to assets/liabilities still held at the reporting date for the three months ended March 31, 2016 and 2015.

	Operating Revenue		Electric Fuel and Other Energy-Related Purchases			Total
(millions)
Three Months Ended March 31, 2016
Total gains (losses) included in earnings	$	—	$	(7	)	$	(7	)
Three Months Ended March 31, 2015
Total gains (losses) included in earnings	2		13			15

Cost and Fair Value of Financial Instruments Disclosure

For the Companies' financial instruments that are not recorded at fair value, the carrying amounts and estimated fair values are as follows:

	March 31, 2016				December 31, 2015
	Carrying Amount		Estimated Fair Value(1)		Carrying Amount		Estimated Fair Value(1)
(millions)
Dominion
Long-term debt, including securities due within one year(2)	$	22,581	$	24,443	$	21,873	$	23,210
Junior subordinated notes(3)	1,849		1,696		1,340		1,192
Remarketable subordinated notes(3)	1,530		1,647		2,080		2,129
Virginia Power
Long-term debt, including securities due within one year(3)	$	9,663	$	11,020	$	9,368	$	10,400
Dominion Gas
Long-term debt, including securities due within one year(3)	$	3,271	$	3,375	$	3,269	$	3,299

(1) Fair value is estimated using market prices, where available, and interest rates currently available for issuance of debt with similar terms and remaining maturities. All fair value measurements are classified as Level 2. The carrying amount of debt issues with short-term maturities and variable rates refinanced at current market rates is a reasonable estimate of their fair value.

(2) Carrying amount includes amounts which represent the unamortized debt issuance costs, discount and/or premium. At March 31, 2016 and December 31, 2015, includes the valuation of certain fair value hedges associated with fixed rate debt of $19 million and $7 million, respectively.

(3) Carrying amount includes amounts which represent the unamortized debt issuance costs, discount and/or premium.

Virginia Electric and Power Company

Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]

Fair Value, Option, Quantitative Disclosures

The following table presents Virginia Power's quantitative information about Level 3 fair value measurements at March 31, 2016. The range and weighted average are presented in dollars for market price inputs and percentages for credit spreads and price volatility.

	Fair Value (millions)		Valuation Techniques	Unobservable Input		Range	Weighted Average(1)
Assets
Physical and financial forwards and futures:
FTRs	$	4	Discounted cash flow	Market price (per MWh)	(3)	(5) - 7	1
Natural gas(2)	111		Discounted cash flow	Market price (per Dth)	(3)	(2) - 6	—
				Credit spread	(4)	1% - 7%	3	%
Physical and financial options:
Natural gas	1		Option model	Market price (per Dth)	(3)	2 - 6	3
				Price volatility	(5)	18% - 29%	21	%
Total assets	$	116
Liabilities
Physical and financial forwards and futures:
FTRs	$	6	Discounted cash flow	Market price (per MWh)	(3)	(3) - 5	1
Total liabilities	$	6

(1) Averages weighted by volume.

(2) Includes basis.

(3) Represents market prices beyond defined terms for Levels 1 and 2.

(4) Represents credit spreads unrepresented in published markets.

(5) Represents volatilities unrepresented in published markets.

Significant Unobservable Inputs

Sensitivity of the fair value measurements to changes in the significant unobservable inputs is as follows:

Significant Unobservable Inputs	Position	Change to Input	Impact on Fair Value Measurement
Market price	Buy	Increase (decrease)	Gain (loss)
Market price	Sell	Increase (decrease)	Loss (gain)
Credit spread	Asset	Increase (decrease)	Loss (gain)
Price volatility	Buy	Increase (decrease)	Gain (loss)
Price volatility	Sell	Increase (decrease)	Loss (gain)

Fair Value, by Balance Sheet Grouping

The following table presents Virginia Power’s assets and liabilities that are measured at fair value on a recurring basis for each hierarchy level, including both current and noncurrent portions:

	Level 1		Level 2		Level 3		Total
(millions)
At March 31, 2016
Assets
Derivatives:
Commodity	$	—	$	14	$	116	$	130
Interest rate	—		8		—		8
Investments(1):
Equity securities:
U.S. large cap	1,113		—		—		1,113
REIT	67		—		—		67
Fixed income:
Corporate debt instruments	—		250		—		250
U.S. Treasury securities and agency debentures	164		99		—		263
State and municipal	—		173		—		173
Other	—		46		—		46
Total assets	$	1,344	$	590	$	116	$	2,050
Liabilities
Derivatives:
Commodity	$	—	$	24	$	6	$	30
Interest rate	—		144		—		144
Total liabilities	$	—	$	168	$	6	$	174
At December 31, 2015
Assets
Derivatives:
Commodity	$	—	$	13	$	101	$	114
Interest rate	—		13		—		13
Investments(1):
Equity securities:
U.S. large cap	1,100		—		—		1,100
REIT	63		—		—		63
Fixed income:
Corporate debt instruments	—		238		—		238
U.S. Treasury securities and agency debentures	180		79		—		259
State and municipal	—		175		—		175
Other	—		34		—		34
Total assets	$	1,343	$	552	$	101	$	1,996
Liabilities
Derivatives:
Commodity	$	—	$	19	$	8	$	27
Interest rate	—		59		—		59
Total liabilities	$	—	$	78	$	8	$	86

(1) Includes investments held in the nuclear decommissioning and rabbi trusts.

Fair Value, Assets and Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation

The following table presents the net change in Virginia Power’s assets and liabilities measured at fair value on a recurring basis and included in the Level 3 fair value category:

	Three Months Ended March 31,
	2016			2015
(millions)
Beginning balance	$	93		$	102
Total realized and unrealized gains (losses):
Included in earnings	(8		)	14
Included in regulatory assets/liabilities	17			(24		)
Settlements	8			(14		)
Ending balance	$	110		$	78

Dominion Gas Holdings, LLC

Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]

Fair Value, by Balance Sheet Grouping

The following table presents Dominion Gas' assets and liabilities for derivatives that are measured at fair value on a recurring basis for each hierarchy level, including both current and noncurrent portions:

	Level 1		Level 2		Level 3		Total
(millions)
At March 31, 2016
Assets
Commodity	$	—	$	6	$	—	$	6
Total Assets	$	—	$	6	$	—	$	6
Liabilities
Interest rate	$	—	$	23	$	—	$	23
Total liabilities	$	—	$	23	$	—	$	23
At December 31, 2015
Assets
Commodity	$	—	$	5	$	6	$	11
Total Assets	$	—	$	5	$	6	$	11
Liabilities
Interest rate	$	—	$	14	$	—	$	14
Total liabilities	$	—	$	14	$	—	$	14

Fair Value, Assets and Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation

The following table presents the net change in Dominion Gas' assets and liabilities for derivatives measured at fair value on a recurring basis and included in the Level 3 fair value category:

	Three Months Ended March 31,
	2016			2015
(millions)
Beginning balance	$	6		$	2
Total realized and unrealized gains (losses):
Included in earnings	—			1
Included in other comprehensive income (loss)	2			(11		)
Settlements	—			(1		)
Transfers out of Level 3	(8		)	9
Ending balance	$	—		$	—

XML

Derivatives and Hedge Accounting Activities (Tables)

3 Months Ended

Mar. 31, 2016

Derivative [Line Items]

Offsetting Assets

The tables below present Dominion's derivative asset and liability balances by type of financial instrument, before and after the effects of offsetting:

	March 31, 2016						December 31, 2015
	Gross Amounts of Recognized Assets		Gross Amounts Offset in the Consolidated Balance Sheet		Net Amounts of Assets Presented in the Consolidated Balance Sheet		Gross Amounts of Recognized Assets		Gross Amounts Offset in the Consolidated Balance Sheet		Net Amounts of Assets Presented in the Consolidated Balance Sheet
(millions)
Interest rate contracts:
Over-the-counter	$	31	$	—	$	31	$	24	$	—	$	24
Commodity contracts:
Over-the-counter	244		—		244		217		—		217
Exchange	119		—		119		138		—		138
Total derivatives, subject to a master netting or similar arrangement	394		—		394		379		—		379
Total derivatives, not subject to a master netting or similar arrangement	7		—		7		9		—		9
Total	$	401	$	—	$	401	$	388	$	—	$	388

			March 31, 2016								December 31, 2015
			Gross Amounts Not Offset in the Consolidated Balance Sheet								Gross Amounts Not Offset in the Consolidated Balance Sheet
	Net Amounts of Assets Presented in the Consolidated Balance Sheet		Financial Instruments		Cash Collateral Received		Net Amounts		Net Amounts of Assets Presented in the Consolidated Balance Sheet		Financial Instruments		Cash Collateral Received		Net Amounts
(millions)
Interest rate contracts:
Over-the-counter	$	31	$	19	$	—	$	12	$	24	$	22	$	—	$	2
Commodity contracts:
Over-the-counter	244		20		—		224		217		37		—		180
Exchange	119		84		—		35		138		82		—		56
Total	$	394	$	123	$	—	$	271	$	379	$	141	$	—	$	238

Offsetting Liabilities

	March 31, 2016						December 31, 2015
	Gross Amounts of Recognized Liabilities		Gross Amounts Offset in the Consolidated Balance Sheet		Net Amounts of Liabilities Presented in the Consolidated Balance Sheet		Gross Amounts of Recognized Liabilities		Gross Amounts Offset in the Consolidated Balance Sheet		Net Amounts of Liabilities Presented in the Consolidated Balance Sheet
(millions)
Interest rate contracts:
Over-the-counter	$	291	$	—	$	291	$	183	$	—	$	183
Commodity contracts:
Over-the-counter	48		—		48		70		—		70
Exchange	84		—		84		82		—		82
Total derivatives, subject to a master netting or similar arrangement	423		—		423		335		—		335
Total derivatives, not subject to a master netting or similar arrangement	7		—		7		8		—		8
Total	$	430	$	—	$	430	$	343	$	—	$	343

			March 31, 2016								December 31, 2015
			Gross Amounts Not Offset in the Consolidated Balance Sheet								Gross Amounts Not Offset in the Consolidated Balance Sheet
	Net Amounts of Liabilities Presented in the Consolidated Balance Sheet		Financial Instruments		Cash Collateral Paid		Net Amounts		Net Amounts of Liabilities Presented in the Consolidated Balance Sheet		Financial Instruments		Cash Collateral Paid		Net Amounts
(millions)
Interest rate contracts:
Over-the-counter	$	291	$	19	$	—	$	272	$	183	$	22	$	—	$	161
Commodity contracts:
Over-the-counter	48		20		—		28		70		37		—		33
Exchange	84		84		—		—		82		82		—		—
Total	$	423	$	123	$	—	$	300	$	335	$	141	$	—	$	194

Schedule of Volume of Derivative Activity

The following table presents the volume of Dominion’s derivative activity at March 31, 2016. These volumes are based on open derivative positions and represent the combined absolute value of their long and short positions, except in the case of offsetting transactions, for which they represent the absolute value of the net volume of their long and short positions.

	Current		Noncurrent
Natural Gas (bcf):
Fixed price(1)	99		29
Basis	229		591
Electricity (MWh):
Fixed price	13,212,481		1,940,000
FTRs	14,308,210		—
Capacity (MW)	3,050		—
Liquids (Gal)(2)	76,692,000		—
Interest rate	$	2,200,000,000	$	3,100,000,000

(1) Includes options.

(2) Includes NGLs and oil.

Cash Flow Hedges Included Accumulated Other Comprehensive Income (Loss)

The following table presents selected information related to gains (losses) on cash flow hedges included in AOCI in Dominion’s Consolidated Balance Sheet at March 31, 2016:

	AOCI After-Tax			Amounts Expected to be Reclassified to Earnings During the Next 12 Months After-Tax			Maximum Term
(millions)
Commodities:
Gas	$	(7	)	$	(7	)	24 months
Electricity	120			119			21 months
Other	4			4			12 months
Interest rate	(303		)	(15		)	384 months
Total	$	(186	)	$	101

Fair Value of Derivatives

The following table presents the fair values of Dominion’s derivatives and where they are presented in its Consolidated Balance Sheets:

	Fair Value – Derivatives under Hedge  Accounting		Fair Value – Derivatives not under Hedge  Accounting		Total Fair Value
(millions)
At March 31, 2016
ASSETS
Current Assets
Commodity	$	96	$	148	$	244
Interest rate	16		—		16
Total current derivative assets(1)	112		148		260
Noncurrent Assets
Commodity	3		123		126
Interest rate	15		—		15
Total noncurrent derivative assets(2)	18		123		141
Total derivative assets	$	130	$	271	$	401
LIABILITIES
Current Liabilities
Commodity	$	26	$	96	$	122
Interest rate	148		—		148
Total current derivative liabilities(3)	174		96		270
Noncurrent Liabilities
Commodity	1		16		17
Interest Rate	143		—		143
Total noncurrent derivative liabilities(4)	144		16		160
Total derivative liabilities	$	318	$	112	$	430
At December 31, 2015
ASSETS
Current Assets
Commodity	$	101	$	151	$	252
Interest rate	3		—		3
Total current derivative assets(1)	104		151		255
Noncurrent Assets
Commodity	3		109		112
Interest rate	21		—		21
Total noncurrent derivative assets(2)	24		109		133
Total derivative assets	$	128	$	260	$	388
LIABILITIES
Current Liabilities
Commodity	$	32	$	116	$	148
Interest rate	164		—		164
Total current derivative liabilities(3)	196		116		312
Noncurrent Liabilities
Commodity	—		12		12
Interest rate	19		—		19
Total noncurrent derivative liabilities(4)	19		12		31
Total derivative liabilities	$	215	$	128	$	343

(1) Current derivative assets are presented in other current assets in Dominion’s Consolidated Balance Sheets.

(2) Noncurrent derivative assets are presented in other deferred charges and other assets in Dominion’s Consolidated Balance Sheets.

(3) Current derivative liabilities are presented in other current liabilities in Dominion's Consolidated Balance Sheets.

(4) Noncurrent derivative liabilities are presented in other deferred credits and other liabilities in Dominion’s Consolidated Balance Sheets.

Gains and Losses on Derivatives in Cash Flow Hedging Relationships

The following tables present the gains and losses on Dominion's derivatives, as well as where the associated activity is presented in its Consolidated Balance Sheets and Statements of Income:

Derivatives in Cash Flow Hedging Relationships	Amount of Gain (Loss)  Recognized in AOCI on Derivatives (Effective Portion) (1)			Amount of Gain (Loss) Reclassified From AOCI to Income			Increase (Decrease) in Derivatives Subject to Regulatory Treatment(2)
(millions)
Three Months Ended March 31, 2016
Derivative type and location of gains (losses):
Commodity:
Operating revenue				$	114
Purchased gas				(6		)
Electric fuel and other energy-related purchases				(3		)
Total commodity	$	173		$	105		$	—
Interest rate(3)	(87		)	(3		)	(133		)
Total	$	86		$	102		$	(133	)
Three Months Ended March 31, 2015
Derivative type and location of gains (losses):
Commodity:
Operating revenue				$	(92	)
Purchased gas				(5		)
Electric fuel and other energy-related purchases				1
Total commodity	$	(41	)	$	(96	)	$	3
Interest rate(3)	(58		)	(2		)	(49		)
Total	$	(99	)	$	(98	)	$	(46	)

(1) Amounts deferred into AOCI have no associated effect in Dominion’s Consolidated Statements of Income.

(2) Represents net derivative activity deferred into and amortized out of regulatory assets/liabilities. Amounts deferred into regulatory assets/liabilities have no associated effect in Dominion’s Consolidated Statements of Income.

(3) Amounts recorded in Dominion’s Consolidated Statements of Income are classified in interest and related charges.

Schedule of Derivatives not Designated as Hedging Instruments

	Amount of Gain (Loss) Recognized in Income on Derivatives(1)
	Three Months Ended March 31,
Derivatives Not Designated as Hedging Instruments	2016			2015
(millions)
Derivative type and location of gains (losses):
Commodity:
Operating revenue	$	2		$	3
Purchased gas	—			(2		)
Electric fuel and other energy-related purchases	(23		)	6
Total	$	(21	)	$	7

(1) Includes derivative activity amortized out of regulatory assets/liabilities. Amounts deferred into regulatory assets/liabilities have no associated effect in Dominion’s Consolidated Statements of Income.

Virginia Electric and Power Company

Derivative [Line Items]

Offsetting Assets

The tables below present Virginia Power's derivative asset and liability balances by type of financial instrument, before and after the effects of offsetting:

	March 31, 2016						December 31, 2015
	Gross Amounts of Recognized Assets		Gross Amounts Offset in the Consolidated Balance Sheet		Net Amounts of Assets Presented in the Consolidated Balance Sheet		Gross Amounts of Recognized Assets		Gross Amounts Offset in the Consolidated Balance Sheet		Net Amounts of Assets Presented in the Consolidated Balance Sheet
(millions)
Interest rate contracts:
Over-the-counter	$	8	$	—	$	8	$	13	$	—	$	13
Commodity contracts:
Over-the-counter	115		—		115		101		—		101
Total derivatives, subject to a master netting or similar arrangement	123		—		123		114		—		114
Total derivatives, not subject to a master netting or similar arrangement	15		—		15		13		—		13
Total	$	138	$	—	$	138	$	127	$	—	$	127

			March 31, 2016								December 31, 2015
			Gross Amounts Not Offset in the Consolidated Balance Sheet								Gross Amounts Not Offset in the Consolidated Balance Sheet
	Net Amounts of Assets Presented in the Consolidated Balance Sheet		Financial Instruments		Cash Collateral Received		Net Amounts		Net Amounts of Assets Presented in the Consolidated Balance Sheet		Financial Instruments		Cash Collateral Received		Net Amounts
(millions)
Interest rate contracts:
Over-the-counter	$	8	$	3	$	—	$	5	$	13	$	10	$	—	$	3
Commodity contracts:
Over-the-counter	115		4		—		111		101		3		—		98
Total	$	123	$	7	$	—	$	116	$	114	$	13	$	—	$	101

Offsetting Liabilities

	March 31, 2016						December 31, 2015
	Gross Amounts of Recognized Liabilities		Gross Amounts Offset in the Consolidated Balance Sheet		Net Amounts of Liabilities Presented in the Consolidated Balance Sheet		Gross Amounts of Recognized Liabilities		Gross Amounts Offset in the Consolidated Balance Sheet		Net Amounts of Liabilities Presented in the Consolidated Balance Sheet
(millions)
Interest rate contracts:
Over-the-counter	$	144	$	—	$	144	$	59	$	—	$	59
Commodity contracts:
Over-the-counter	15		—		15		5		—		5
Total derivatives, subject to a master netting or similar arrangement	159		—		159		64		—		64
Total derivatives, not subject to a master netting or similar arrangement	15		—		15		22		—		22
Total	$	174	$	—	$	174	$	86	$	—	$	86

			March 31, 2016								December 31, 2015
			Gross Amounts Not Offset in the Consolidated Balance Sheet								Gross Amounts Not Offset in the Consolidated Balance Sheet
	Net Amounts of Liabilities Presented in the Consolidated Balance Sheet		Financial Instruments		Cash Collateral Paid		Net Amounts		Net Amounts of Liabilities Presented in the Consolidated Balance Sheet		Financial Instruments		Cash Collateral Paid		Net Amounts
(millions)
Interest rate contracts:
Over-the-counter	$	144	$	3	$	—	$	141	$	59	$	10	$	—	$	49
Commodity contracts:
Over-the-counter	15		4		—		11		5		3		—		2
Total	$	159	$	7	$	—	$	152	$	64	$	13	$	—	$	51

Schedule of Volume of Derivative Activity

The following table presents the volume of Virginia Power’s derivative activity at March 31, 2016. These volumes are based on open derivative positions and represent the combined absolute value of their long and short positions, except in the case of offsetting transactions, for which they represent the absolute value of the net volume of their long and short positions.

	Current		Noncurrent
Natural Gas (bcf):
Fixed price(1)	36		17
Basis	106		545
Electricity (MWh):
FTRs	11,952,866		—
Capacity (MW)	3,050		—
Interest rate	$	700,000,000	$	1,100,000,000

(1) Includes options.

Cash Flow Hedges Included Accumulated Other Comprehensive Income (Loss)

The following table presents selected information related to gains (losses) on cash flow hedges included in AOCI in Virginia Power’s Consolidated Balance Sheet at March 31, 2016:

	AOCI After-Tax			Amounts Expected to be Reclassified to Earnings During the Next 12 Months After-Tax			Maximum Term
(millions)
Interest rate	$	(15	)	(1		)	384 months
Total	$	(15	)	$	(1	)

Fair Value of Derivatives

The following table presents the fair values of Virginia Power’s derivatives and where they are presented in its Consolidated

Balance Sheets:

	Fair Value – Derivatives under Hedge  Accounting		Fair Value – Derivatives not under Hedge  Accounting		Total Fair Value
(millions)
At March 31, 2016
ASSETS
Current Assets
Commodity	$	—	$	17	$	17
Interest rate	8		—		8
Total current derivative assets(1)	8		17		25
Noncurrent Assets
Commodity	—		113		113
Total noncurrent derivative assets(2)	—		113		113
Total derivative assets	$	8	$	130	$	138
LIABILITIES
Current Liabilities
Commodity	$	—	$	20	$	20
Interest rate	40		—		40
Total current derivative liabilities(3)	40		20		60
Noncurrent Liabilities
Commodity	—		10		10
Interest rate	104		—		104
Total noncurrent derivatives liabilities (4)	104		10		114
Total derivative liabilities	$	144	$	30	$	174
At December 31, 2015
ASSETS
Current Assets
Commodity	$	—	$	18	$	18
Total current derivative assets(1)	—		18		18
Noncurrent Assets
Commodity	—		96		96
Interest rate	13		—		13
Total noncurrent derivative assets(2)	13		96		109
Total derivative assets	$	13	$	114	$	127
LIABILITIES
Current Liabilities
Commodity	$	—	$	23	$	23
Interest rate	57		—		57
Total current derivative liabilities(3)	57		23		80
Noncurrent Liabilities
Commodity	—		4		4
Interest rate	2		—		2
Total noncurrent derivative liabilities(4)	2		4		6
Total derivative liabilities	$	59	$	27	$	86

(1) Current derivative assets are presented in other current assets in Virginia Power's Consolidated Balance Sheets.

(2) Noncurrent derivative assets are presented in other deferred charges and other assets in Virginia Power's Consolidated Balance Sheets.

(3) Current derivative liabilities are presented in other current liabilities in Virginia Power's Consolidated Balance Sheets.

(4) Noncurrent derivative liabilities are presented in other deferred credits and other liabilities in Virginia Power’s Consolidated Balance Sheets.

Gains and Losses on Derivatives in Cash Flow Hedging Relationships

The following tables present the gains and losses on Virginia Power's derivatives, as well as where the associated activity is presented in its Consolidated Balance Sheets and Statements of Income:

Derivatives in Cash Flow Hedging Relationships	Amount of Gain (Loss) Recognized in AOCI on Derivatives (Effective Portion)(1)			Amount of Gain (Loss) Reclassified From AOCI to Income			Increase(Decrease) in Derivatives Subject to Regulatory Treatment(2)
(millions)
Three Months Ended March 31, 2016
Derivative type and location of gains (losses):
Interest rate(3)	$	(14	)	$	—		$	(133	)
Total	$	(14	)	$	—		$	(133	)
Three Months Ended March 31, 2015
Derivative type and location of gains (losses):
Commodity:
Electric fuel and other energy-related purchases				$	(1	)
Total commodity	$	—		$	(1	)	$	3
Interest rate(3)	(6		)	—			(49		)
Total	$	(6	)	$	(1	)	$	(46	)

(1) Amounts deferred into AOCI have no associated effect in Virginia Power’s Consolidated Statements of Income.

(2) Represents net derivative activity deferred into and amortized out of regulatory assets/liabilities. Amounts deferred into regulatory assets/liabilities have no associated effect in Virginia Power’s Consolidated Statements of Income.

(3) Amounts recorded in Virginia Power’s Consolidated Statements of Income are classified in interest and related charges.

Schedule of Derivatives not Designated as Hedging Instruments

	Amount of Gain (Loss) Recognized in Income on Derivatives(1)
	Three Months Ended March 31,
Derivatives Not Designated as Hedging Instruments	2016			2015
(millions)
Derivative type and location of gains (losses):
Commodity(2)	$	(20	)	$	7
Total	$	(20	)	$	7

(1) Includes derivative activity amortized out of regulatory assets/liabilities. Amounts deferred into regulatory assets/liabilities have no associated effect in Virginia Power’s Consolidated Statements of Income.

(2) Amounts recorded in Virginia Power's Consolidated Statements of Income are classified in electric fuel and other energy-related purchases.

Dominion Gas Holdings, LLC

Derivative [Line Items]

Offsetting Assets

The tables below present Dominion Gas' derivative asset and liability balances by type of financial instrument, before and after the effects of offsetting.

	March 31, 2016						December 31, 2015
	Gross Amounts of Recognized Assets		Gross Amounts Offset in the Consolidated Balance Sheet		Net Amounts of Assets Presented in the Consolidated Balance Sheet		Gross Amounts of Recognized Assets		Gross Amounts Offset in the Consolidated Balance Sheet		Net Amounts of Assets Presented in the Consolidated Balance Sheet
(millions)
Commodity contracts:
Over-the-counter	$	6	$	—	$	6	$	11	$	—	$	11
Total derivatives, subject to a master netting or similar arrangement	$	6	$	—	$	6	$	11	$	—	$	11

			March 31, 2016								December 31, 2015
			Gross Amounts Not Offset in the Consolidated Balance Sheet								Gross Amounts Not Offset in the Consolidated Balance Sheet
	Net Amounts of Assets Presented in the Consolidated Balance Sheet		Financial Instruments		Cash Collateral Received		Net Amounts		Net Amounts of Assets Presented in the Consolidated Balance Sheet		Financial Instruments		Cash Collateral Received		Net Amounts
(millions)
Commodity contracts:
Over-the-counter	$	6	$	—	$	—	$	6	$	11	$	—	$	—	$	11
Total	$	6	$	—	$	—	$	6	$	11	$	—	$	—	$	11

Offsetting Liabilities

	March 31, 2016						December 31, 2015
	Gross Amounts of Recognized Liabilities		Gross Amounts Offset in the Consolidated Balance Sheet		Net Amounts of Liabilities Presented in the Consolidated Balance Sheet		Gross Amounts of Recognized Liabilities		Gross Amounts Offset in the Consolidated Balance Sheet		Net Amounts of Liabilities Presented in the Consolidated Balance Sheet
(millions)
Interest rate contracts:
Over-the-counter	$	23	$	—	$	23	$	14	$	—	$	14
Total derivatives, subject to a master netting or similar arrangement	$	23	$	—	$	23	$	14	$	—	$	14

			March 31, 2016								December 31, 2015
			Gross Amounts Not Offset in the Consolidated Balance Sheet								Gross Amounts Not Offset in the Consolidated Balance Sheet
	Net Amounts of Liabilities Presented in the Consolidated Balance Sheet		Financial Instruments		Cash Collateral Paid		Net Amounts		Net Amounts of Liabilities Presented in the Consolidated Balance Sheet		Financial Instruments		Cash Collateral Paid		Net Amounts
(millions)
Interest rate contracts:
Over-the-counter	$	23	$	—	$	—	$	23	$	14	$	—	$	—	$	14
Total	$	23	$	—	$	—	$	23	$	14	$	—	$	—	$	14

Schedule of Volume of Derivative Activity

The following table presents the volume of Dominion Gas' derivative activity at March 31, 2016. These volumes are based on open derivative positions and represent the combined absolute value of their long and short positions, except in the case of offsetting transactions, for which they represent the absolute value of the net volume of their long and short positions.

	Current		Noncurrent
NGLs (Gal)	67,704,000		—
Interest rate	$	250,000,000	$	—

Cash Flow Hedges Included Accumulated Other Comprehensive Income (Loss)

The following table presents selected information related to losses on cash flow hedges included in AOCI in Dominion Gas' Consolidated Balance Sheet at March 31, 2016:

	AOCI After-Tax			Amounts Expected to be Reclassified to Earnings During the Next 12 Months After-Tax		Maximum Term
(millions)
Commodities:
NGLs	$	4		$	4	12 months
Interest rate	(29		)	—		345 months
Total	$	(25	)	$	4

Fair Value of Derivatives

The following tables present the fair values of Dominion Gas' commodity and interest rate derivatives and where they are presented in its Consolidated Balance Sheets:

	Fair Value-Derivatives Under Hedge Accounting		Fair Value-Derivatives Not Under Hedge Accounting		Total Fair Value
(millions)
At March 31, 2016
ASSETS
Current Assets
Commodity	$	6	$	—	$	6
Total current derivative assets(1)	6		—		6
Total derivative assets	$	6	$	—	$	6
LIABILITIES
Current Liabilities
Interest rate	$	23	$	—	$	23
Total current derivative liabilities(3)	23		—		23
Total derivative liabilities	$	23	$	—	$	23
At December 31, 2015
ASSETS
Current Assets
Commodity	$	10	$	—	$	10
Total current derivative assets(1)	10		—		10
Noncurrent Assets
Commodity	1		—		1
Total noncurrent derivatives assets(2)	1		—		1
Total derivative assets	$	11	$	—	$	11
LIABILITIES
Noncurrent Liabilities
Interest rate	$	14	$	—	$	14
Total noncurrent derivative liabilities(4)	14		—		14
Total derivative liabilities	$	14	$	—	$	14

(1) Current derivative assets are presented in other current assets in Dominion Gas' Consolidated Balance Sheets.

(2) Noncurrent derivative assets are presented in other deferred charges and other assets in Dominion Gas’ Consolidated Balance Sheets.

(3) Current derivative liabilities are presented in other current liabilities in Dominion Gas' Consolidated Balance Sheets.

(4) Noncurrent derivative liabilities are presented in other deferred credits and other liabilities in Dominion Gas’ Consolidated Balance Sheets.

Gains and Losses on Derivatives in Cash Flow Hedging Relationships

The following table presents the gains and losses on Dominion Gas' derivatives, as well as where the associated activity is presented in its Consolidated Balance Sheets and Statements of Income:

Derivatives in Cash Flow Hedging Relationships	Amount of Gain (Loss) Recognized in AOCI on Derivatives (Effective Portion)(1)			Amount of Gain (Loss) Reclassified From AOCI to Income
(millions)
Three Months Ended March 31, 2016
Derivative type and location of gains (losses):
Commodity:
Operating revenue				$	4
Total commodity	$	(1	)	$	4
Interest rate(2)	(9		)	—
Total	$	(10	)	$	4
Three Months Ended March 31, 2015
Derivative type and location of gains (losses):
Commodity:
Operating revenue				$	—
Total commodity	$	(2	)	$	—
Interest rate(2)	(4		)	—
Total	$	(6	)	$	—

(1) Amounts deferred into AOCI have no associated effect in Dominion Gas' Consolidated Statements of Income.

(2) Amounts recorded in Dominion Gas' Consolidated Statements of Income are classified in interest and related charges.

XML

Investments (Tables)

3 Months Ended

Mar. 31, 2016

Gain (Loss) on Investments [Line Items]

Available-For-Sale Securities

Dominion’s decommissioning trust funds are summarized below:

	Amortized Cost		Total  Unrealized Gains(1)		Total  Unrealized Losses(1)				Fair Value
(millions)
At March 31, 2016
Marketable equity securities:
U.S. large cap	$	1,317	$	1,218	$	—			$	2,535
REIT	60		7		—				67
Marketable debt securities:
Corporate bonds	448		19		(3		)		464
U.S. Treasury securities and agency debentures	650		20		—				670
State and municipal	308		25		—				333
Other	96		—		—				96
Cost method investments	70		—		—				70
Cash equivalents and other(2)	4		—		—				4
Total	$	2,953	$	1,289	$	(3	)	(3)	$	4,239
At December 31, 2015
Marketable equity securities:
U.S. large cap	$	1,295	$	1,213	$	—			$	2,508
REIT	59		4		—				63
Marketable debt securities:
Corporate bonds	433		11		(7		)		437
U.S. Treasury securities and agency debentures	654		8		(4		)		658
State and municipal	312		22		—				334
Other	99		—		—				99
Cost method investments	70		—		—				70
Cash equivalents and other(2)	14		—		—				14
Total	$	2,936	$	1,258	$	(11	)	(3)	$	4,183

(1) Included in AOCI and the nuclear decommissioning trust regulatory liability.

(2) Includes pending sales of securities of $2 million and $12 million at March 31, 2016 and December 31, 2015, respectively.

(3) The fair value of securities in an unrealized loss position was $151 million and $592 million at March 31, 2016 and December 31, 2015, respectively.

Investments Classified by Contractual Maturity Date

The fair value of Dominion’s marketable debt securities held in nuclear decommissioning trust funds at March 31, 2016 by contractual maturity is as follows:

	Amount
(millions)
Due in one year or less	$	211
Due after one year through five years	423
Due after five years through ten years	380
Due after ten years	549
Total	$	1,563

Marketable Securities

Presented below is selected information regarding Dominion’s marketable equity and debt securities held in nuclear decommissioning trust funds.

	Three Months Ended March 31,
	2016		2015
(millions)
Proceeds from sales	$	368	$	337
Realized gains(1)	25		56
Realized losses(1)	19		17

(1) Includes realized gains and losses recorded to the nuclear decommissioning trust regulatory liability.

Virginia Electric and Power Company

Gain (Loss) on Investments [Line Items]

Available-For-Sale Securities

Virginia Power’s decommissioning trust funds are summarized below:

	Amortized Cost		Total  Unrealized Gains(1)		Total  Unrealized Losses(1)				Fair Value
(millions)
At March 31, 2016
Marketable equity securities:
U.S. large cap	$	583	$	529	$	—			$	1,112
REIT	60		7		—				67
Marketable debt securities:
Corporate bonds	242		9		(1		)		250
U.S. Treasury securities and agency debentures	257		6		—				263
State and municipal	159		13		—				172
Other	46		—		—				46
Cost method investments	70		—		—				70
Total	$	1,417	$	564	$	(1	)	(3)	$	1,980
At December 31, 2015
Marketable equity securities:
U.S. large cap	$	574	$	525	$	—			$	1,099
REIT	59		4		—				63
Marketable debt securities:
Corporate bonds	237		5		(4		)		238
U.S. Treasury securities and agency debentures	260		1		(2		)		259
State and municipal	162		13		(1		)		174
Other	34		—		—				34
Cost method investments	70		—		—				70
Cash equivalents and other(2)	8		—		—				8
Total	$	1,404	$	548	$	(7	)	(3)	$	1,945

(1) Included in AOCI and the nuclear decommissioning trust regulatory liability.

(2) Includes pending sales of securities of $8 million at December 31, 2015. There were no pending sales of securities at March 31, 2016.

(3) The fair value of securities in an unrealized loss position was $91 million and $281 million at March 31, 2016 and December 31, 2015, respectively.

Investments Classified by Contractual Maturity Date

The fair value of Virginia Power’s marketable debt securities held in nuclear decommissioning trust funds at March 31, 2016 by contractual maturity is as follows:

	Amount
(millions)
Due in one year or less	$	74
Due after one year through five years	191
Due after five years through ten years	196
Due after ten years	270
Total	$	731

Marketable Securities

Presented below is selected information regarding Virginia Power’s marketable equity and debt securities held in nuclear decommissioning trust funds.

	Three Months Ended March 31,
	2016		2015
(millions)
Proceeds from sales	$	193	$	133
Realized gains(1)	12		18
Realized losses(1)	10		11

(1) Includes realized gains and losses recorded to the nuclear decommissioning trust regulatory liability.

XML

Regulatory Assets and Liabilities (Tables)

3 Months Ended

Mar. 31, 2016

Regulatory Assets and Liabilities Disclosure [Abstract]

Schedule Of Regulatory Assets And Liabilities

Regulatory assets and liabilities include the following:

	March 31, 2016		December 31, 2015
(millions)
Dominion
Regulatory assets:
Deferred rate adjustment clause costs(1)	$	109	$	90
Deferred cost of fuel used in electric generation(2)	103		111
Deferred nuclear refueling outage costs(3)	77		75
Other	62		75
Regulatory assets-current(4)	351		351
Unrecognized pension and other postretirement benefit costs(5)	1,004		1,015
Deferred rate adjustment clause costs(1)	255		295
Derivatives(6)	245		110
PJM transmission rates(7)	192		192
Income taxes recoverable through future rates(8)	132		126
Other	149		127
Regulatory assets-non-current	1,977		1,865

Total regulatory assets	$	2,328	$	2,216
Regulatory liabilities:
PIPP(9)	$	30	$	46
Other	45		54
Regulatory liabilities-current(10)	75		100
Provision for future cost of removal and AROs(11)	1,132		1,120
Nuclear decommissioning trust(12)	822		804
Deferred cost of fuel used in electric generation(2)	129		97
Derivatives(6)	94		79
Other	177		185
Regulatory liabilities-non-current	2,354		2,285
Total regulatory liabilities	$	2,429	$	2,385
Virginia Power
Regulatory assets:
Deferred rate adjustment clause costs(1)	$	106	$	80
Deferred cost of fuel used in electric generation(2)	103		111
Deferred nuclear refueling outage costs(3)	77		75
Other	57		60
Regulatory assets-current	343		326
Derivatives(6)	245		110
PJM transmission rates(7)	192		192
Deferred rate adjustment clause costs(1)	170		213
Income taxes recoverable through future rates(8)	102		97
Other	66		55
Regulatory assets-non-current	775		667
Total regulatory assets	$	1,118	$	993
Regulatory liabilities:
Other	$	19	$	35
Regulatory liabilities-current(10)	19		35
Provision for future cost of removal(11)	899		890
Nuclear decommissioning trust(12)	822		804
Deferred cost of fuel used in electric generation(2)	129		97
Derivatives(6)	94		79
Other	52		59
Regulatory liabilities-non-current	1,996		1,929
Total regulatory liabilities	$	2,015	$	1,964
Dominion Gas
Regulatory assets:
Deferred rate adjustment clause costs(1)	$	3	$	10
Other	2		13
Regulatory assets-current(4)	5		23
Unrecognized pension and other postretirement benefit costs(5)	280		282
Deferred rate adjustment clause costs(1)	85		82
Income taxes recoverable through future rates(8)	20		20
Other	75		65
Regulatory assets-non-current(13)	460		449

Total regulatory assets	$	465	$	472
Regulatory liabilities:
PIPP(9)	$	30	$	46
Other	19		9
Regulatory liabilities-current(10)	49		55
Provision for future cost of removal and AROs(11)	172		170
Other	35		31
Regulatory liabilities-non-current(14)	207		201
Total regulatory liabilities	$	256	$	256

(1) Reflects deferrals under the electric transmission FERC formula rate and the deferral of costs associated with certain current and prospective rider projects for Virginia Power. Reflects deferrals of costs associated with certain current and prospective rider projects for Dominion Gas. See Note 12 for more information.

(2) Primarily reflects deferred fuel expenses for the Virginia jurisdiction of Dominion's and Virginia Power's generation operations. See Note 12 for more information.

(3) Legislation enacted in Virginia in April 2014 requires Virginia Power to defer operation and maintenance costs incurred in connection with the refueling of any nuclear-powered generating plant. These deferred costs will be amortized over the refueling cycle, not to exceed 18 months.

(4) Current regulatory assets are presented in other current assets in Dominion's and Dominion Gas' Consolidated Balance Sheets.

(5) Represents unrecognized pension and other postretirement employee benefit costs expected to be recovered through future rates generally over the expected remaining service period of plan participants by certain of Dominion's and Dominion Gas' rate-regulated subsidiaries.

(6) For jurisdictions subject to cost-based rate regulation, changes in the fair value of derivative instruments result in the recognition of regulatory assets or regulatory liabilities as they are expected to be recovered from or refunded to customers.

(7) Reflects amounts related to PJM transmission cost allocation matter. See Note 12 for more information.

(8) Amounts to be recovered through future rates to pay income taxes that become payable when rate revenue is provided to recover AFUDC-equity and depreciation of property, plant and equipment for which deferred income taxes were not recognized for ratemaking purposes, including amounts attributable to tax rate changes.

(9) Under PIPP, eligible customers can make reduced payments based on their ability to pay. The difference between the customer's total bill and the PIPP plan amount is deferred and collected or returned annually under the PIPP rate adjustment clause according to East Ohio tariff provisions.

(10) Current regulatory liabilities are presented in other current liabilities in the Companies' Consolidated Balance Sheets.

(11) Rates charged to customers by the Companies' regulated businesses include a provision for the cost of future activities to remove assets that are expected to be incurred at the time of retirement.

(12) Primarily reflects a regulatory liability representing amounts collected from Virginia jurisdictional customers and placed in external trusts (including income, losses and changes in fair value thereon) for the future decommissioning of Virginia Power's utility nuclear generation stations, in excess of the related AROs.

(13) Noncurrent regulatory assets are presented in other deferred charges and other assets in Dominion Gas' Consolidated Balance Sheets.

(14) Noncurrent regulatory liabilities are presented in other deferred credits and other liabilities in Dominion Gas' Consolidated Balance Sheets.

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Significant Financing Transactions (Tables)

3 Months Ended

Mar. 31, 2016

Debt Instrument [Line Items]

Schedule of Line of Credit Facilities

At March 31, 2016, Dominion’s commercial paper and letters of credit outstanding, as well as its capacity available under credit facilities, were as follows:

	Facility Limit		Outstanding Commercial Paper		Outstanding Letters of Credit		Facility Capacity Available
(millions)
Joint revolving credit facility(1)	$	5,000	$	3,028	$	—	$	1,972
Joint revolving credit facility(1)	500		—		57		443
Total	$	5,500	$	3,028	$	57	$	2,415

(1) These credit facilities mature in April 2019, and can be used to support bank borrowings and the issuance of commercial paper, as well as to support up to a combined $2.0 billion of letters of credit.

Virginia Electric and Power Company

Debt Instrument [Line Items]

Schedule of Line of Credit Facilities

At March 31, 2016, Virginia Power’s share of commercial paper and letters of credit outstanding under its joint credit facilities with Dominion and Dominion Gas, were as follows:

	Facility Limit(1)		Outstanding Commercial Paper		Outstanding Letters of Credit
(millions)
Joint revolving credit facility(1)	$	5,000	$	1,276	$	—
Joint revolving credit facility(1)	500		—		—
Total	$	5,500	$	1,276	$	—

(1) The full amount of the facilities is available to Virginia Power, less any amounts outstanding to co-borrowers Dominion and Dominion Gas. Sub-limits for Virginia Power are set within the facility limit but can be changed at the option of the Companies multiple times per year. In March 2016, the aggregate sub-limit for Virginia Power was increased from $1.75 billion to $2.0 billion. If Virginia Power has liquidity needs in excess of its sub-limit, the sub-limit may be changed or such needs may be satisfied through short-term intercompany borrowings from Dominion. These credit facilities mature in April 2019, and can be used to support bank borrowings and the issuance of commercial paper, as well as to support up to $2.0 billion (or the sub-limit, whichever is less) of letters of credit.

Dominion Gas Holdings, LLC

Debt Instrument [Line Items]

Schedule of Line of Credit Facilities

At March 31, 2016, Dominion Gas' share of commercial paper and letters of credit outstanding under its joint credit facilities with Dominion and Virginia Power were as follows:

	Facility Limit(1)		Outstanding Commercial Paper		Outstanding Letters of Credit
(millions)
Joint revolving credit facility(1)	$	1,000	$	403	$	—
Joint revolving credit facility(1)	500		—		—
Total	$	1,500	$	403	$	—

(1) A maximum of a combined $1.5 billion of the facilities is available to Dominion Gas, assuming adequate capacity is available after giving effect to uses by co-borrowers Dominion and Virginia Power. Sub-limits for Dominion Gas are set within the facility limit but can be changed at the option of the Companies multiple times per year. At March 31, 2016, the aggregate sub-limit for Dominion Gas was $1.0 billion. If Dominion Gas has liquidity needs in excess of its sub-limit, the sub-limit may be changed or such needs may be satisfied through short-term intercompany borrowings from Dominion. These credit facilities mature in April 2019, and can be used to support bank borrowings and the issuance of commercial paper, as well as to support up to $1.5 billion (or the sub-limit, whichever is less) of letters of credit.

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Commitments and Contingencies (Tables)

3 Months Ended

Mar. 31, 2016

Commitments and Contingencies Disclosure [Abstract]

Schedule Of Subsidiary Guarantees

At March 31, 2016, Dominion had issued the following subsidiary guarantees:

	Stated Limit		Value(1)
(millions)
Subsidiary debt(2)	$	27	$	27
Commodity transactions(3)	2,136		887
Nuclear obligations(4)	189		82
Cove Point(5)	1,900		—
Solar(6)	1,565		326
Other(7)	433		28
Total	$	6,250	$	1,350

(1) Represents the estimated portion of the guarantee's stated limit that is utilized as of March 31, 2016 based upon prevailing economic conditions and fact patterns specific to each guarantee arrangement. For those guarantees related to obligations that are recorded as liabilities by Dominion's subsidiaries, the value includes the recorded amount.

(2) Guarantee of debt of a DEI subsidiary. In the event of default by the subsidiary, Dominion would be obligated to repay such amounts.

(3) Guarantees related to commodity commitments of certain subsidiaries, including subsidiaries of Virginia Power, Dominion Gas and DEI. These guarantees were provided to counterparties in order to facilitate physical and financial transactions in gas, oil, electricity, pipeline capacity, transportation and related commodities and services. If any of these subsidiaries fail to perform or pay under the contracts and the counterparties seek performance or payment, Dominion would be obligated to satisfy such obligation. Dominion and its subsidiaries receive similar guarantees as collateral for credit extended to others. The value provided includes certain guarantees that do not have stated limits.

(4) Guarantees related to certain DEI subsidiaries' potential retrospective premiums that could be assessed if there is a nuclear incident under Dominion's nuclear insurance programs and guarantees for a DEI subsidiary's and Virginia Power's commitment to buy nuclear fuel. Excludes Dominion's agreement to provide up to $150 million and $60 million to two DEI subsidiaries to pay the operating expenses of Millstone nuclear power station (in the event of a prolonged outage) and Kewaunee nuclear power station, respectively, as part of satisfying certain NRC requirements concerned with ensuring adequate funding for the operations of nuclear power stations. The agreement for Kewaunee nuclear power station also provides for funds through the completion of decommissioning.

(5) Guarantees related to Cove Point, in support of terminal services, transportation and construction. Two of the guarantees have no stated limit, one guarantee has a $150 million limit, and one guarantee has a $1.75 billion aggregate limit with an annual draw limit of $175 million.

(6) Includes guarantees to facilitate the development of solar projects including guarantees that do not have stated limits. Also includes guarantees entered into by DEI on behalf of certain subsidiaries to facilitate the acquisition and development of solar projects. 

(7) Guarantees related to other miscellaneous contractual obligations such as leases, environmental obligations and construction projects. Also includes guarantees related to certain DEI subsidiaries' obligations for equity capital contributions and energy generation associated with Fowler Ridge and NedPower. As of March 31, 2016, Dominion's maximum remaining cumulative exposure under these equity funding agreements is $45 million through 2019 and its maximum annual future contributions could range from approximately $4 million to $19 million. The value provided includes certain guarantees that do not have stated limits.

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Related-Party Transactions (Tables)

3 Months Ended

Mar. 31, 2016

Virginia Electric and Power Company

Related Party Transaction [Line Items]

Transactions With Affiliates

Presented below are Virginia Power's significant transactions with DRS and other affiliates:

	Three Months Ended March 31,
	2016		2015
(millions)
Commodity purchases from affiliates	$	145	$	252
Services provided by affiliates(1)	140		110
Services provided to affiliates	5		5

(1) Includes capitalized expenditures of $39 million and $35 million for the three months ended March 31, 2016 and 2015, respectively.

Dominion Gas Holdings, LLC

Related Party Transaction [Line Items]

Schedule of Related Party Transactions

Dominion Gas transacts with affiliates for certain quantities of natural gas and other commodities at market prices in the ordinary course of business. Additionally, Dominion Gas provides transportation and storage services to affiliates. Dominion Gas also enters into certain other contracts with affiliates, which are presented separately from contracts involving commodities or services. As of March 31, 2016 and December 31, 2015, all of Dominion Gas' commodity derivatives were with affiliates. See Notes 7 and 9 for more information.

Dominion Gas participates in certain Dominion benefit plans as described in Note 18. In Dominion Gas' Consolidated Balance Sheets at March 31, 2016 and December 31, 2015, amounts due from Dominion associated with these benefit plans included in noncurrent pension and other postretirement benefit assets were $663 million and $652 million, respectively, and amounts due to Dominion at March 31, 2016 and December 31, 2015 included in other deferred credits and other liabilities were $1 million and $2 million, respectively.

DRS and other affiliates provide accounting, legal, finance and certain administrative and technical services to Dominion Gas. Dominion Gas provides certain services to related parties, including technical services. The amounts recognized for these services were as follows:

	Three Months Ended March 31,
	2016		2015
(millions)
Purchases of natural gas and transportation and storage services from affiliates	$	3	$	2
Sales of natural gas and transportation and storage services to affiliates	17		18
Services provided by related parties(1)	39		34
Services provided to related parties (2)	27		20

(1) Includes capitalized expenditures of $12 million and $13 million for the three months ended March 31, 2016 and 2015, respectively.

(2) Amounts primarily attributable to Atlantic Coast Pipeline.

The following table presents affiliated and related-party activity reflected in Dominion Gas' Consolidated Balance Sheets:

	March 31, 2016		December 31, 2015
(millions)
Other receivables (1)	$	8	$	7
Customer receivables from related parties	2		4
Imbalances receivable from affiliates(2)	3		1
Affiliated notes receivable(3)	15		14

(1) Represents amounts due from Atlantic Coast Pipeline, a related-party VIE.

(2) Amounts are presented in other current assets in Dominion Gas' Consolidated Balance Sheets.

(3) Amounts are presented in other deferred charges and other assets in Dominion Gas' Consolidated Balance Sheets.

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Employee Benefit Plans (Tables)

3 Months Ended

Mar. 31, 2016

Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items]

Net Periodic Benefit Cost

The components of Dominion's provision for net periodic benefit cost (credit) were as follows:

	Pension Benefits						Other Postretirement Benefits
	2016			2015			2016			2015
(millions)
Three Months Ended March 31,
Service cost	$	29		$	32		$	8		$	10
Interest cost	77			72			17			17
Expected return on plan assets	(139		)	(133		)	(29		)	(29		)
Amortization of prior service credit	—			—			(7		)	(7		)
Amortization of net actuarial loss	28			40			1			1
Net periodic benefit cost (credit)	$	(5	)	$	11		$	(10	)	$	(8	)

Dominion Gas Holdings, LLC

Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items]

Net Periodic Benefit Cost

The components of Dominion Gas' provision for net periodic benefit credit for employees represented by collective bargaining units were as follows:

	Pension Benefits						Other Postretirement Benefits
	2016			2015			2016			2015
(millions)
Three Months Ended March 31,
Service cost	$	3		$	3		$	1		$	2
Interest cost	8			7			3			3
Expected return on plan assets	(33		)	(31		)	(5		)	(6		)
Amortization of net actuarial loss	3			5			—			1
Net periodic benefit credit	$	(19	)	$	(16	)	$	(1	)	$	—

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Operating Segments (Tables)

3 Months Ended

Mar. 31, 2016

Segment Reporting Information [Line Items]

Segment Reporting Disclosure Other Information

A description of the operations included in the Companies’ primary operating segments is as follows:

Primary Operating Segment	Description of Operations	Dominion	Virginia Power	Dominion Gas
DVP	Regulated electric distribution	X	X
	Regulated electric transmission	X	X
Dominion Generation	Regulated electric fleet	X	X
	Merchant electric fleet	X
Dominion Energy	Gas transmission and storage(1)	X		X
	Gas distribution and storage	X		X
	Gas gathering and processing	X		X
	LNG import and storage	X
	Nonregulated retail energy marketing(2)	X

(1) Includes remaining producer services activities for Dominion.

(2) As a result of Dominion's decision to realign its business units effective for 2015 year-end reporting, nonregulated retail energy marketing operations were moved from the Dominion Generation segment to the Dominion Energy segment.

Schedule of Segment Reporting Information, by Segment

The following table presents segment information pertaining to Dominion’s operations:

	DVP		Dominion Generation(1)		Dominion Energy(1)		Corporate and Other			Adjustments/Eliminations(1)			Consolidated Total
(millions)
Three Months Ended March 31, 2016
Total revenue from external customers	$	556	$	1,693	$	485	$	3		$	184		$	2,921
Intersegment revenue	5		3		178		192			(378		)	—
Total operating revenue	561		1,696		663		195			(194		)	2,921
Net income (loss) attributable to Dominion	120		245		186		(27		)	—			524
Three Months Ended March 31, 2015
Total revenue from external customers	$	564	$	1,989	$	536	$	(13	)	$	333		$	3,409
Intersegment revenue	5		3		310		142			(460		)	—
Total operating revenue	569		1,992		846		129			(127		)	3,409
Net income (loss) attributable to Dominion	140		262		227		(93		)	—			536

(1) 2015 amounts have been recast to reflect nonregulated retail energy marketing operations in the Dominion Energy segment.

Virginia Electric and Power Company

Segment Reporting Information [Line Items]

Schedule of Segment Reporting Information, by Segment

The following table presents segment information pertaining to Virginia Power’s operations:

	DVP		Dominion Generation		Corporate and Other			Consolidated Total
(millions)
Three Months Ended March 31, 2016
Operating revenue	$	557	$	1,333	$	—		$	1,890
Net income (loss)	118		166		(21		)	263
Three Months Ended March 31, 2015
Operating revenue	$	567	$	1,585	$	(15	)	$	2,137
Net income (loss)	140		190		(61		)	269

Dominion Gas Holdings, LLC

Segment Reporting Information [Line Items]

Schedule of Segment Reporting Information, by Segment

The following table presents segment information pertaining to Dominion Gas' operations:

	Dominion Energy		Corporate and Other			Consolidated Total
(millions)
Three Months Ended March 31, 2016
Operating revenue	$	431	$	—		$	431
Net income (loss)	103		(5		)	98
Three Months Ended March 31, 2015
Operating revenue	$	531	$	—		$	531
Net income (loss)	164		(3		)	161

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Significant Accounting Policies (Narrative) (Details)	3 Months Ended
	Mar. 31, 2016	Sep. 30, 2015
Disposal Group, Disposed of by Sale, Not Discontinued Operations | Merchant Solar Projects
Subsidiary, Sale of Stock [Line Items]
Percentage of equity interest sold to noncontrolling interest owners	33.00%	33.00%
Four Brothers and Three Cedars
Subsidiary, Sale of Stock [Line Items]
Percentage ownership in total units	50.00%
Dominion Midstream Partners, LP
Subsidiary, Sale of Stock [Line Items]
Ownership interest percentage of limited partner interests	64.60%

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Acquisitions and Dispositions (Narrative) (Details) $ / shares in Units, a in Thousands				1 Months Ended									3 Months Ended	9 Months Ended
	Dec. 31, 2016 USD ($) $ / shares	Jan. 31, 2016 USD ($) a	Apr. 01, 2015 USD ($) $ / shares shares	Apr. 30, 2016 USD ($) a	Jan. 31, 2016 USD ($) a	Dec. 31, 2015 USD ($) Project		Sep. 30, 2015 USD ($) Project MW	Jun. 30, 2015 USD ($) Project MW	Mar. 31, 2015 USD ($) a Field	Jan. 31, 2015 USD ($) mi	Dec. 31, 2013 USD ($) a Field	Mar. 31, 2016 USD ($)	Mar. 31, 2016 USD ($)	Nov. 30, 2014 a Field
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]
Contributions from SunEdison to Four Brothers and Three Cedars													$ 94,000,000
Goodwill						$ 3,294,000,000	[1]						$ 3,294,000,000	$ 3,294,000,000
Merchant Solar Projects | Disposal Group, Disposed of by Sale, Not Discontinued Operations
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]
Percentage of equity interest sold to noncontrolling interest owners								33.00%					33.00%	33.00%
Number of solar projects | Project								24
Expected generation capacity of facilities (mw) | MW								425
Total number of solar projects related to potential sale | Project						15
Amount of consideration		$ 117,000,000			$ 117,000,000	$ 184,000,000
Dominion Midstream Partners, LP | DCG | Disposal Group, Disposed of by Sale, Not Discontinued Operations | Affiliate
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]
Amount of consideration			$ 501,000,000
Percentage of equity interests			100.00%
Dominion Midstream Partners, LP | DCG | Disposal Group, Disposed of by Sale, Not Discontinued Operations | Affiliate | Partnership Interest
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]
Number of common units issued | shares			5,112,139
Value of common units issued			$ 200,000,000
Number of trading days used to determine weighted average trading price			10 days
Price per unit | $ / shares			$ 39.12
Dominion Midstream Partners, LP | DCG | Disposal Group, Disposed of by Sale, Not Discontinued Operations | Affiliate | Senior unsecured promissory note payable by Dominion Midstream | Unsecured Promissory Note Receivable
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]
Term of senior unsecured promissory note payable to Dominion			2 years
Amount of senior unsecured promissory note payable to Dominion			$ 301,000,000
Annual interest rate for senior unsecured promissory note payable to Dominion			0.60%
Dominion Gas Holdings, LLC
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]
Goodwill						$ 542,000,000	[2]						$ 542,000,000	$ 542,000,000
Dominion Gas Holdings, LLC | Marcellus Shale | Shale development rights
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]
Amount of consideration		$ 5,000,000			$ 5,000,000					$ 27,000,000		$ 200,000,000
Acres of rights conveyed | a		2			2					11		79			24
Number of natural gas storage fields | Field										1		1			1
Duration of conveyance of rights												9 years
Dominion Gas Holdings, LLC | Marcellus Shale | Shale development rights | Operations and Maintenance Expense
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]
Gain on sale of assets					$ 5,000,000					$ 27,000,000
After tax gain on sale of assets					$ 3,000,000					$ 16,000,000
Dominion Gas Holdings, LLC | Marcellus Shale | Shale development rights | Amended Agreement to Extend Conveyance of Development Rights
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]
Acres of rights conveyed | a										9
Duration of conveyance of rights										2 years
Deferred revenue													$ 36,000,000	$ 36,000,000
Dominion Gas Holdings, LLC | Marcellus Shale | Shale development rights | Amended Agreement to Extend Conveyance of Development Rights | Operations and Maintenance Expense
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]
Deferred revenue recognized from conveyance of rights										$ 43,000,000
Deferred revenue recognized from conveyance of rights, after tax										$ 27,000,000
Terra Nova Renewable Partners | Call Option | Merchant Solar Projects
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]
Percentage ownership in total units													67.00%	67.00%
Subsequent Event | Dominion Gas Holdings, LLC | Marcellus Shale | Shale development rights | Amended Agreement to Extend Conveyance of Development Rights
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]
Acres of rights conveyed | a				70
Partial interest in remaining acres conveyed (percentage)				32.00%
Subsequent Event | Dominion Gas Holdings, LLC | Marcellus Shale | Shale development rights | Amended Agreement to Extend Conveyance of Development Rights | Operations and Maintenance Expense
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]
Deferred revenue recognized from conveyance of rights				$ 36,000,000
Deferred revenue recognized from conveyance of rights, after tax				22,000,000
Questar Corporation
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]
Liabilities incurred		$ 3,900,000,000
Questar Corporation | Scenario, Forecast
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]
Price per share | $ / shares	$ 25
Acquisition price	$ 4,400,000,000
Debt acquired expected to remain outstanding	1,500,000,000
Termination fee to be paid by Dominion if acquisition is unapproved	154,000,000
Termination fee to be paid by Questar if acquisition is unapproved	$ 99,000,000
Questar Corporation | Subsequent Event
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]
Liabilities incurred				$ 3,140,000,000
Four Brothers and Three Cedars
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]
Percentage ownership in total units													50.00%	50.00%
Four Brothers and Three Cedars | Federal | Investment Tax Credits
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]
Percentage of expected federal investment tax credits on projects to be claimed													99.00%	99.00%
Four Brothers and Three Cedars | SunEdison, Inc
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]
Contributions from SunEdison to Four Brothers and Three Cedars														$ 197,000,000
Four Brothers
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]
Acquisition price									$ 64,000,000
Liabilities incurred									$ 62,000,000
Expected generation capacity of facilities (mw) | MW									320
Percentage of equity interests acquired									50.00%
Acquisition price in cash									$ 2,000,000
Number of solar development projects | Project									4
Expected cost of projects													$ 730,000,000	730,000,000
Acquired equity									$ 64,000,000
Non-controlling interest									25,000,000
Net property, plant and equipment acquired									$ 89,000,000
Four Brothers | Four Brothers | Obligation to Contribute Capital to Fund Construction of Projects
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]
Amount obligated to contribute to fund construction of projects													445,000,000	445,000,000
Contributions to fund projects													301,000,000	301,000,000
Four Brothers | Other Current Liabilities
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]
Payable at period end													20,000,000	20,000,000
Three Cedars
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]
Acquisition price								$ 43,000,000
Liabilities incurred								$ 37,000,000
Expected generation capacity of facilities (mw) | MW								210
Percentage of equity interests acquired								50.00%
Acquisition price in cash								$ 6,000,000
Number of solar development projects | Project								3
Expected cost of projects													425,000,000	425,000,000
Acquired equity								$ 43,000,000
Non-controlling interest								22,000,000
Net property, plant and equipment acquired								$ 65,000,000
Three Cedars | Four Brothers | Obligation to Contribute Capital to Fund Construction of Projects
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]
Contributions to fund projects													144,000,000	144,000,000
Three Cedars | Affiliate | Obligation to Contribute Capital to Fund Construction of Projects
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]
Amount obligated to contribute to fund construction of projects													276,000,000	276,000,000
Three Cedars | Other Current Liabilities
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]
Payable at period end													$ 18,000,000	$ 18,000,000
DCG
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]
Acquisition price											$ 497,000,000
Percentage of equity interests acquired											100.00%
Net property, plant and equipment acquired											$ 277,000,000
Length of natural gas pipeline | mi											1,500
Goodwill											$ 250,000,000
Goodwill expected to be deductible for income tax purposes											225,000,000
Regulatory liabilities assumed											$ 38,000,000

[1] Dominion’s Consolidated Balance Sheet at December 31, 2015 has been derived from the audited Consolidated Financial Statements at that date.

[2] Dominion Gas’ Consolidated Balance Sheet at December 31, 2015 has been derived from the audited Consolidated Financial Statements at that date.

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Operating Revenue (Schedule of Operating Revenue) (Details) - USD ($) $ in Millions		3 Months Ended
		Mar. 31, 2016	Mar. 31, 2015
Electric sales:
Regulated		$ 1,842	$ 2,112
Nonregulated		389	406
Gas sales:
Regulated		65	116
Nonregulated		118	208
Gas transportation and storage		415	471
Other		92	96
Total operating revenue		2,921	3,409
Virginia Electric and Power Company
Electric sales:
Regulated		1,842	2,112
Gas sales:
Other		48	25
Total operating revenue	[1]	1,890	2,137
Dominion Gas Holdings, LLC
Gas sales:
Regulated		29	57
Nonregulated		1	3
Gas transportation and storage		351	412
NGL revenue		17	29
Other		33	30
Total operating revenue	[2]	$ 431	$ 531

[1] See Note 17 for amounts attributable to affiliates.

[2] See Note 17 for amounts attributable to related parties.

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Income Taxes (Reconciliation of Income Taxes at the U.S. Statutory Federal Rate as Compared to the Income Tax Expense Recorded in Our Consolidated Statements of Income) (Details)	3 Months Ended
	Mar. 31, 2016	Mar. 31, 2015
Operating Loss Carryforwards [Line Items]
U.S. statutory rate	35.00%	35.00%
Increases (reductions) resulting from:
State taxes, net of federal benefit	4.30%	2.90%
Investment tax credits	(10.90%)	(0.80%)
Production tax credits	(0.80%)	(0.80%)
Other, net	(2.40%)	(0.60%)
Effective tax rate	25.20%	35.70%
Virginia Electric and Power Company
Operating Loss Carryforwards [Line Items]
U.S. statutory rate	35.00%	35.00%
Increases (reductions) resulting from:
State taxes, net of federal benefit	4.20%	3.80%
Investment tax credits	(1.30%)	(0.00%)
Production tax credits	(0.60%)	(0.40%)
Other, net	(0.60%)	(0.70%)
Effective tax rate	36.70%	37.70%
Dominion Gas Holdings, LLC
Operating Loss Carryforwards [Line Items]
U.S. statutory rate	35.00%	35.00%
Increases (reductions) resulting from:
State taxes, net of federal benefit	3.90%	4.00%
Investment tax credits	(0.00%)	(0.00%)
Production tax credits	(0.00%)	(0.00%)
Other, net	(0.10%)	(0.10%)
Effective tax rate	38.80%	38.90%

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Earnings Per Share (Calculation of Basic and Diluted EPS) (Details) - USD ($) $ / shares in Units, shares in Millions, $ in Millions		3 Months Ended
		Mar. 31, 2016	Mar. 31, 2015
Earnings Per Share [Abstract]
Net income attributable to Dominion		$ 524	$ 536
Average shares of common stock outstanding – Basic (shares)		596.6	587.9
Net effect of dilutive securities (shares)	[1]	1.6	2.0
Average shares of common stock outstanding – Diluted (shares)		598.2	589.9
Earnings Per Common Share – Basic and Diluted		$ 0.88	$ 0.91

[1] Dilutive securities consist primarily of the 2013 Equity Units. See Note 14 in this report and Note 17 to the Consolidated Financial Statements in the Companies' Annual Report on Form 10-K for the year ended December 31, 2015 for more information.

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Accumulated Other Comprehensive Income (Schedule of Changes in AOCI by Component Net of Tax) (Details) - USD ($) $ in Millions		3 Months Ended
		Mar. 31, 2016	Mar. 31, 2015
Accumulated Other Comprehensive Income (Loss), Net of Tax [Roll Forward]
Beginning balance	[1]	$ 13,602
Total other comprehensive income		11	$ 7
Ending balance		14,015
Dominion Gas Holdings, LLC
Accumulated Other Comprehensive Income (Loss), Net of Tax [Roll Forward]
Total other comprehensive income		(8)	(3)
Total
Accumulated Other Comprehensive Income (Loss), Net of Tax [Roll Forward]
Beginning balance		(474)	(416)
Other comprehensive income before reclassifications: gains (losses)		68	(44)
Amounts reclassified from AOCI: (gains) losses	[2]	(57)	51
Total other comprehensive income		11	7
Ending balance		(463)	(409)
Total | Dominion Gas Holdings, LLC
Accumulated Other Comprehensive Income (Loss), Net of Tax [Roll Forward]
Beginning balance		(99)	(86)
Other comprehensive income before reclassifications: gains (losses)		(6)	(4)
Amounts reclassified from AOCI: (gains) losses	[2]	(2)	1
Total other comprehensive income		(8)	(3)
Ending balance		(107)	(89)
Deferred Gains and Losses on Derivatives-Hedging Activities
Accumulated Other Comprehensive Income (Loss), Net of Tax [Roll Forward]
Beginning balance		(176)	(178)
Other comprehensive income before reclassifications: gains (losses)		53	(58)
Amounts reclassified from AOCI: (gains) losses	[2]	(63)	59
Total other comprehensive income		(10)	1
Ending balance		(186)	(177)
Deferred Gains and Losses on Derivatives-Hedging Activities | Dominion Gas Holdings, LLC
Accumulated Other Comprehensive Income (Loss), Net of Tax [Roll Forward]
Beginning balance		(17)	(20)
Other comprehensive income before reclassifications: gains (losses)		(6)	(4)
Amounts reclassified from AOCI: (gains) losses	[2]	(2)	0
Total other comprehensive income		(8)	(4)
Ending balance		(25)	(24)
Unrealized Gains and Losses on Investment Securities
Accumulated Other Comprehensive Income (Loss), Net of Tax [Roll Forward]
Beginning balance		504	548
Other comprehensive income before reclassifications: gains (losses)		15	15
Amounts reclassified from AOCI: (gains) losses	[2]	(2)	(21)
Total other comprehensive income		13	(6)
Ending balance		517	542
Unrecognized Pension and Other Postretirement Benefit Costs
Accumulated Other Comprehensive Income (Loss), Net of Tax [Roll Forward]
Beginning balance		(797)	(782)
Other comprehensive income before reclassifications: gains (losses)		0	0
Amounts reclassified from AOCI: (gains) losses	[2]	8	13
Total other comprehensive income		8	13
Ending balance		(789)	(769)
Unrecognized Pension and Other Postretirement Benefit Costs | Dominion Gas Holdings, LLC
Accumulated Other Comprehensive Income (Loss), Net of Tax [Roll Forward]
Beginning balance		(82)	(66)
Other comprehensive income before reclassifications: gains (losses)		0	0
Amounts reclassified from AOCI: (gains) losses	[2]	0	1
Total other comprehensive income		0	1
Ending balance		(82)	(65)
Other Comprehensive Income (Loss) From Equity Method Investee
Accumulated Other Comprehensive Income (Loss), Net of Tax [Roll Forward]
Beginning balance		(5)	(4)
Other comprehensive income before reclassifications: gains (losses)		0	(1)
Amounts reclassified from AOCI: (gains) losses	[2]	0	0
Total other comprehensive income		0	(1)
Ending balance		$ (5)	$ (5)

[1] Dominion’s Consolidated Balance Sheet at December 31, 2015 has been derived from the audited Consolidated Financial Statements at that date.

[2] See table below for details about these reclassifications.

XML

Accumulated Other Comprehensive Income (Schedule of Reclassifications out of AOCI by Component Net of Tax) (Details) - USD ($) $ in Millions		3 Months Ended
		Mar. 31, 2016	Mar. 31, 2015
Accumulated Other Comprehensive Income (Loss) [Line Items]
Operating Revenue		$ 2,921	$ 3,409
Purchased gas		119	250
Electric fuel and other energy-related purchases		634	953
Interest and related charges		226	223
Income from operations including noncontrolling interests before income tax expense		710	839
Income tax expense		(179)	(299)
Dominion Gas Holdings, LLC
Accumulated Other Comprehensive Income (Loss) [Line Items]
Operating Revenue	[1]	431	531
Purchased gas	[1]	34	74
Interest and related charges		22	17
Income from operations including noncontrolling interests before income tax expense		159	263
Income tax expense		(61)	(102)
Deferred Gains and Losses on Derivatives-Hedging Activities
Accumulated Other Comprehensive Income (Loss) [Line Items]
Unrecognized pension and other postretirement benefit costs, net of tax	[2]	(63)	59
Deferred Gains and Losses on Derivatives-Hedging Activities | Dominion Gas Holdings, LLC
Accumulated Other Comprehensive Income (Loss) [Line Items]
Unrecognized pension and other postretirement benefit costs, net of tax	[2]	(2)	0
Deferred Gains and Losses on Derivatives-Hedging Activities | Amounts Reclassified From AOCI
Accumulated Other Comprehensive Income (Loss) [Line Items]
Income from operations including noncontrolling interests before income tax expense		(102)	98
Income tax expense		39	(39)
Income from continuing operations including noncontrolling interests		(63)	59
Deferred Gains and Losses on Derivatives-Hedging Activities | Amounts Reclassified From AOCI | Dominion Gas Holdings, LLC
Accumulated Other Comprehensive Income (Loss) [Line Items]
Income from operations including noncontrolling interests before income tax expense		(4)
Income tax expense		2
Income from continuing operations including noncontrolling interests		(2)
Deferred Gains and Losses on Derivatives-Hedging Activities | Commodity contracts | Amounts Reclassified From AOCI
Accumulated Other Comprehensive Income (Loss) [Line Items]
Operating Revenue		(114)	92
Purchased gas		6	5
Electric fuel and other energy-related purchases		3	(1)
Deferred Gains and Losses on Derivatives-Hedging Activities | Commodity contracts | Amounts Reclassified From AOCI | Dominion Gas Holdings, LLC
Accumulated Other Comprehensive Income (Loss) [Line Items]
Operating Revenue		(4)
Deferred Gains and Losses on Derivatives-Hedging Activities | Interest rate contracts | Amounts Reclassified From AOCI
Accumulated Other Comprehensive Income (Loss) [Line Items]
Interest and related charges		3	2
Unrealized Gains and Losses on Investment Securities
Accumulated Other Comprehensive Income (Loss) [Line Items]
Unrecognized pension and other postretirement benefit costs, net of tax	[2]	(2)	(21)
Unrealized Gains and Losses on Investment Securities | Amounts Reclassified From AOCI
Accumulated Other Comprehensive Income (Loss) [Line Items]
Realized (gain) loss on sale of securities		(10)	(39)
Impairment		7	6
Income from operations including noncontrolling interests before income tax expense		3	33
Income tax expense		(1)	(12)
Income from continuing operations including noncontrolling interests		2	21
Unrecognized Pension and Other Postretirement Benefit Costs
Accumulated Other Comprehensive Income (Loss) [Line Items]
Unrecognized pension and other postretirement benefit costs, before tax		14	22
Unrecognized pension and other postretirement benefit costs, income tax expense		(6)	(9)
Unrecognized pension and other postretirement benefit costs, net of tax	[2]	8	13
Unrecognized Pension and Other Postretirement Benefit Costs | Dominion Gas Holdings, LLC
Accumulated Other Comprehensive Income (Loss) [Line Items]
Unrecognized pension and other postretirement benefit costs, before tax		1	2
Unrecognized pension and other postretirement benefit costs, income tax expense		(1)	(1)
Unrecognized pension and other postretirement benefit costs, net of tax	[2]	0	1
Prior service (credit) costs
Accumulated Other Comprehensive Income (Loss) [Line Items]
Unrecognized pension and other postretirement benefit costs, before tax		(3)	(3)
Actuarial (gains) losses
Accumulated Other Comprehensive Income (Loss) [Line Items]
Unrecognized pension and other postretirement benefit costs, before tax		17	25
Actuarial (gains) losses | Dominion Gas Holdings, LLC
Accumulated Other Comprehensive Income (Loss) [Line Items]
Unrecognized pension and other postretirement benefit costs, before tax		$ 1	$ 2

[1] See Note 17 for amounts attributable to related parties.

[2] See table below for details about these reclassifications.

XML

Fair Value Measurements (Narrative) (Details) - USD ($)	3 Months Ended
	Mar. 31, 2016	Mar. 31, 2015
Virginia Electric and Power Company
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Unrealized gains or losses included in earnings in Level 3 fair value category	$ 0	$ 0
Dominion Gas Holdings, LLC
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Unrealized gains or losses included in earnings in Level 3 fair value category	$ 0	$ 0

XML

Fair Value Measurements (Fair Value, Option, Quantitative Disclosures) (Details) $ in Millions		3 Months Ended
		Mar. 31, 2016 USD ($) $ / MMBTU $ / MWh	Dec. 31, 2015 USD ($)
Fair Value, Option, Quantitative Disclosures [Line Items]
Fair Value of Derivative Assets		$ 401	$ 388
Fair Value of Derivative Liabilities		430	343
Level 3
Fair Value, Option, Quantitative Disclosures [Line Items]
Fair Value of Derivative Assets		124
Fair Value of Derivative Liabilities		15
Level 3 | Natural Gas | Physical and financial forwards and futures:
Fair Value, Option, Quantitative Disclosures [Line Items]
Fair Value of Derivative Assets	[1]	115
Fair Value of Derivative Liabilities	[1]	7
Level 3 | Natural Gas | Physical and financial options:
Fair Value, Option, Quantitative Disclosures [Line Items]
Fair Value of Derivative Assets		5
Fair Value of Derivative Liabilities		2
Level 3 | FTRs | Physical and financial forwards and futures:
Fair Value, Option, Quantitative Disclosures [Line Items]
Fair Value of Derivative Assets		4
Fair Value of Derivative Liabilities		$ 6
Level 3 | Liabilities | Natural Gas | Physical and financial forwards and futures: | Minimum
Fair Value, Option, Quantitative Disclosures [Line Items]
Market Price (per unit) | $ / MMBTU	[2]	(1)
Level 3 | Liabilities | Natural Gas | Physical and financial forwards and futures: | Maximum
Fair Value, Option, Quantitative Disclosures [Line Items]
Market Price (per unit) | $ / MMBTU	[2]	3
Level 3 | Liabilities | Natural Gas | Physical and financial forwards and futures: | Wieghted Average
Fair Value, Option, Quantitative Disclosures [Line Items]
Market Price (per unit) | $ / MMBTU	[2],[3]	2
Level 3 | Liabilities | Natural Gas | Physical and financial options: | Minimum
Fair Value, Option, Quantitative Disclosures [Line Items]
Market Price (per unit) | $ / MMBTU	[2]	1
Price Volatility (percentage)	[4]	26.00%
Level 3 | Liabilities | Natural Gas | Physical and financial options: | Maximum
Fair Value, Option, Quantitative Disclosures [Line Items]
Market Price (per unit) | $ / MMBTU	[2]	4
Price Volatility (percentage)	[4]	59.00%
Level 3 | Liabilities | Natural Gas | Physical and financial options: | Wieghted Average
Fair Value, Option, Quantitative Disclosures [Line Items]
Market Price (per unit) | $ / MMBTU	[2],[3]	2
Price Volatility (percentage)	[3],[4]	38.00%
Level 3 | Liabilities | FTRs | Physical and financial forwards and futures: | Minimum
Fair Value, Option, Quantitative Disclosures [Line Items]
Market Price (per unit) | $ / MWh	[2]	(3)
Level 3 | Liabilities | FTRs | Physical and financial forwards and futures: | Maximum
Fair Value, Option, Quantitative Disclosures [Line Items]
Market Price (per unit) | $ / MWh	[2]	5
Level 3 | Liabilities | FTRs | Physical and financial forwards and futures: | Wieghted Average
Fair Value, Option, Quantitative Disclosures [Line Items]
Market Price (per unit) | $ / MWh	[2],[3]	1
Level 3 | Assets | Natural Gas | Physical and financial forwards and futures: | Minimum
Fair Value, Option, Quantitative Disclosures [Line Items]
Market Price (per unit) | $ / MMBTU	[2]	(2)
Credit spread (percentage)	[5]	1.00%
Level 3 | Assets | Natural Gas | Physical and financial forwards and futures: | Maximum
Fair Value, Option, Quantitative Disclosures [Line Items]
Market Price (per unit) | $ / MMBTU	[2]	6
Credit spread (percentage)	[5]	7.00%
Level 3 | Assets | Natural Gas | Physical and financial forwards and futures: | Wieghted Average
Fair Value, Option, Quantitative Disclosures [Line Items]
Market Price (per unit) | $ / MMBTU	[2],[3]	0
Credit spread (percentage)	[3],[5]	3.00%
Level 3 | Assets | Natural Gas | Physical and financial options: | Minimum
Fair Value, Option, Quantitative Disclosures [Line Items]
Market Price (per unit) | $ / MMBTU	[2]	1
Price Volatility (percentage)	[4]	18.00%
Level 3 | Assets | Natural Gas | Physical and financial options: | Maximum
Fair Value, Option, Quantitative Disclosures [Line Items]
Market Price (per unit) | $ / MMBTU	[2]	6
Price Volatility (percentage)	[4]	59.00%
Level 3 | Assets | Natural Gas | Physical and financial options: | Wieghted Average
Fair Value, Option, Quantitative Disclosures [Line Items]
Market Price (per unit) | $ / MMBTU	[2],[3]	3
Price Volatility (percentage)	[3],[4]	22.00%
Level 3 | Assets | FTRs | Physical and financial forwards and futures: | Minimum
Fair Value, Option, Quantitative Disclosures [Line Items]
Market Price (per unit) | $ / MWh	[2]	(5)
Level 3 | Assets | FTRs | Physical and financial forwards and futures: | Maximum
Fair Value, Option, Quantitative Disclosures [Line Items]
Market Price (per unit) | $ / MWh	[2]	7
Level 3 | Assets | FTRs | Physical and financial forwards and futures: | Wieghted Average
Fair Value, Option, Quantitative Disclosures [Line Items]
Market Price (per unit) | $ / MWh	[2],[3]	1
Virginia Electric and Power Company
Fair Value, Option, Quantitative Disclosures [Line Items]
Fair Value of Derivative Assets		$ 138	127
Fair Value of Derivative Liabilities		174	86
Virginia Electric and Power Company | Level 3
Fair Value, Option, Quantitative Disclosures [Line Items]
Fair Value of Derivative Assets		116
Fair Value of Derivative Liabilities		6
Virginia Electric and Power Company | Level 3 | Natural Gas | Physical and financial forwards and futures:
Fair Value, Option, Quantitative Disclosures [Line Items]
Fair Value of Derivative Assets	[6]	111
Virginia Electric and Power Company | Level 3 | Natural Gas | Physical and financial options:
Fair Value, Option, Quantitative Disclosures [Line Items]
Fair Value of Derivative Assets		1
Virginia Electric and Power Company | Level 3 | FTRs | Physical and financial forwards and futures:
Fair Value, Option, Quantitative Disclosures [Line Items]
Fair Value of Derivative Assets		4
Fair Value of Derivative Liabilities		$ 6
Virginia Electric and Power Company | Level 3 | Liabilities | Natural Gas | Physical and financial forwards and futures: | Minimum
Fair Value, Option, Quantitative Disclosures [Line Items]
Market Price (per unit) | $ / MWh	[7]	(3)
Virginia Electric and Power Company | Level 3 | Liabilities | Natural Gas | Physical and financial forwards and futures: | Maximum
Fair Value, Option, Quantitative Disclosures [Line Items]
Market Price (per unit) | $ / MWh	[7]	5
Virginia Electric and Power Company | Level 3 | Liabilities | FTRs | Physical and financial forwards and futures: | Wieghted Average
Fair Value, Option, Quantitative Disclosures [Line Items]
Market Price (per unit) | $ / MWh	[7],[8]	1
Virginia Electric and Power Company | Level 3 | Assets | Natural Gas | Physical and financial forwards and futures: | Minimum
Fair Value, Option, Quantitative Disclosures [Line Items]
Market Price (per unit) | $ / MMBTU	[7]	(2)
Credit spread (percentage)	[9]	1.00%
Virginia Electric and Power Company | Level 3 | Assets | Natural Gas | Physical and financial forwards and futures: | Maximum
Fair Value, Option, Quantitative Disclosures [Line Items]
Market Price (per unit) | $ / MMBTU	[7]	6
Credit spread (percentage)	[9]	7.00%
Virginia Electric and Power Company | Level 3 | Assets | Natural Gas | Physical and financial forwards and futures: | Wieghted Average
Fair Value, Option, Quantitative Disclosures [Line Items]
Market Price (per unit) | $ / MMBTU	[7],[8]	0
Credit spread (percentage)	[8],[9]	3.00%
Virginia Electric and Power Company | Level 3 | Assets | Natural Gas | Physical and financial options: | Minimum
Fair Value, Option, Quantitative Disclosures [Line Items]
Market Price (per unit) | $ / MMBTU	[7]	2
Price Volatility (percentage)	[10]	18.00%
Virginia Electric and Power Company | Level 3 | Assets | Natural Gas | Physical and financial options: | Maximum
Fair Value, Option, Quantitative Disclosures [Line Items]
Market Price (per unit) | $ / MMBTU	[7]	6
Price Volatility (percentage)	[10]	29.00%
Virginia Electric and Power Company | Level 3 | Assets | Natural Gas | Physical and financial options: | Wieghted Average
Fair Value, Option, Quantitative Disclosures [Line Items]
Market Price (per unit) | $ / MMBTU	[7],[8]	3
Price Volatility (percentage)	[8],[10]	21.00%
Virginia Electric and Power Company | Level 3 | Assets | FTRs | Physical and financial forwards and futures: | Minimum
Fair Value, Option, Quantitative Disclosures [Line Items]
Market Price (per unit) | $ / MWh	[7]	(5)
Virginia Electric and Power Company | Level 3 | Assets | FTRs | Physical and financial forwards and futures: | Maximum
Fair Value, Option, Quantitative Disclosures [Line Items]
Market Price (per unit) | $ / MWh	[7]	7
Virginia Electric and Power Company | Level 3 | Assets | FTRs | Physical and financial forwards and futures: | Wieghted Average
Fair Value, Option, Quantitative Disclosures [Line Items]
Market Price (per unit) | $ / MWh	[7],[8]	1
Dominion Gas Holdings, LLC
Fair Value, Option, Quantitative Disclosures [Line Items]
Fair Value of Derivative Assets		$ 6	11
Fair Value of Derivative Liabilities		$ 23	$ 14

[1] Includes basis.

[2] Represents market prices beyond defined terms for Levels 1 and 2.

[3] Averages weighted by volume.

[4] Represents volatilities unrepresented in published markets.

[5] Represents credit spreads unrepresented in published markets.

[6] Includes basis.

[7] Represents market prices beyond defined terms for Levels 1 and 2.

[8] Averages weighted by volume.

[9] Represents credit spreads unrepresented in published markets.

[10] Represents volatilities unrepresented in published markets.

XML

Fair Value Measurements (Assets and Liabilities that are Measured at Fair Value on a Recurring Basis) (Details) - USD ($) $ in Millions		Mar. 31, 2016	Dec. 31, 2015
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Derivative Asset		$ 401	$ 388
Derivative Liabilities		430	343
Level 3
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Derivative Asset		124
Derivative Liabilities		15
Fair Value, Measurements, Recurring
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Total assets	[1]	4,665	4,589
Total liabilities		430	343
Fair Value, Measurements, Recurring | Commodity
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Derivative Asset		370	364
Derivative Liabilities		139	160
Fair Value, Measurements, Recurring | Interest rate
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Derivative Asset		31	24
Derivative Liabilities		291	183
Fair Value, Measurements, Recurring | Equity securities: | Large cap | U.S.:
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Investments	[1]	2,571	2,547
Fair Value, Measurements, Recurring | Equity securities: | Large cap | Non-U.S.:
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Investments	[1]	9	10
Fair Value, Measurements, Recurring | Equity securities: | Other | U.S.:
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Investments	[1]	5	5
Fair Value, Measurements, Recurring | Equity securities: | REIT | U.S.:
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Investments	[1]	67	63
Fair Value, Measurements, Recurring | Fixed income: | Corporate debt instruments
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Investments	[1]	464	437
Fair Value, Measurements, Recurring | Fixed income: | U.S. Treasury securities and agency debentures
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Investments	[1]	670	659
Fair Value, Measurements, Recurring | Fixed income: | State and municipal
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Investments	[1]	372	376
Fair Value, Measurements, Recurring | Fixed income: | Other
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Investments	[1]	99	100
Fair Value, Measurements, Recurring | Cash equivalents and other
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Investments	[1]	7	4
Fair Value, Measurements, Recurring | Level 1
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Total assets	[1]	3,110	3,086
Total liabilities		0	0
Fair Value, Measurements, Recurring | Level 1 | Commodity
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Derivative Asset		1	1
Derivative Liabilities		0	0
Fair Value, Measurements, Recurring | Level 1 | Interest rate
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Derivative Asset		0	0
Derivative Liabilities		0	0
Fair Value, Measurements, Recurring | Level 1 | Equity securities: | Large cap | U.S.:
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Investments	[1]	2,571	2,547
Fair Value, Measurements, Recurring | Level 1 | Equity securities: | Large cap | Non-U.S.:
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Investments	[1]	9	10
Fair Value, Measurements, Recurring | Level 1 | Equity securities: | Other | U.S.:
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Investments	[1]	5	5
Fair Value, Measurements, Recurring | Level 1 | Equity securities: | REIT | U.S.:
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Investments	[1]	67	63
Fair Value, Measurements, Recurring | Level 1 | Fixed income: | Corporate debt instruments
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Investments	[1]	0	0
Fair Value, Measurements, Recurring | Level 1 | Fixed income: | U.S. Treasury securities and agency debentures
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Investments	[1]	451	458
Fair Value, Measurements, Recurring | Level 1 | Fixed income: | State and municipal
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Investments	[1]	0	0
Fair Value, Measurements, Recurring | Level 1 | Fixed income: | Other
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Investments	[1]	0	0
Fair Value, Measurements, Recurring | Level 1 | Cash equivalents and other
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Investments	[1]	6	2
Fair Value, Measurements, Recurring | Level 2
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Total assets	[1]	1,431	1,389
Total liabilities		415	324
Fair Value, Measurements, Recurring | Level 2 | Commodity
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Derivative Asset		245	249
Derivative Liabilities		124	141
Fair Value, Measurements, Recurring | Level 2 | Interest rate
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Derivative Asset		31	24
Derivative Liabilities		291	183
Fair Value, Measurements, Recurring | Level 2 | Equity securities: | Large cap | U.S.:
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Investments	[1]	0	0
Fair Value, Measurements, Recurring | Level 2 | Equity securities: | Large cap | Non-U.S.:
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Investments	[1]	0	0
Fair Value, Measurements, Recurring | Level 2 | Equity securities: | Other | U.S.:
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Investments	[1]	0	0
Fair Value, Measurements, Recurring | Level 2 | Equity securities: | REIT | U.S.:
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Investments	[1]	0	0
Fair Value, Measurements, Recurring | Level 2 | Fixed income: | Corporate debt instruments
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Investments	[1]	464	437
Fair Value, Measurements, Recurring | Level 2 | Fixed income: | U.S. Treasury securities and agency debentures
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Investments	[1]	219	201
Fair Value, Measurements, Recurring | Level 2 | Fixed income: | State and municipal
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Investments	[1]	372	376
Fair Value, Measurements, Recurring | Level 2 | Fixed income: | Other
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Investments	[1]	99	100
Fair Value, Measurements, Recurring | Level 2 | Cash equivalents and other
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Investments	[1]	1	2
Fair Value, Measurements, Recurring | Level 3
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Total assets	[1]	124	114
Total liabilities		15	19
Fair Value, Measurements, Recurring | Level 3 | Commodity
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Derivative Asset		124	114
Derivative Liabilities		15	19
Fair Value, Measurements, Recurring | Level 3 | Interest rate
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Derivative Asset		0	0
Derivative Liabilities		0	0
Fair Value, Measurements, Recurring | Level 3 | Equity securities: | Large cap | U.S.:
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Investments	[1]	0	0
Fair Value, Measurements, Recurring | Level 3 | Equity securities: | Large cap | Non-U.S.:
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Investments	[1]	0	0
Fair Value, Measurements, Recurring | Level 3 | Equity securities: | Other | U.S.:
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Investments	[1]	0	0
Fair Value, Measurements, Recurring | Level 3 | Equity securities: | REIT | U.S.:
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Investments	[1]	0	0
Fair Value, Measurements, Recurring | Level 3 | Fixed income: | Corporate debt instruments
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Investments	[1]	0	0
Fair Value, Measurements, Recurring | Level 3 | Fixed income: | U.S. Treasury securities and agency debentures
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Investments	[1]	0	0
Fair Value, Measurements, Recurring | Level 3 | Fixed income: | State and municipal
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Investments	[1]	0	0
Fair Value, Measurements, Recurring | Level 3 | Fixed income: | Other
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Investments	[1]	0	0
Fair Value, Measurements, Recurring | Level 3 | Cash equivalents and other
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Investments	[1]	0	0
Virginia Electric and Power Company
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Derivative Asset		138	127
Derivative Liabilities		174	86
Virginia Electric and Power Company | Level 3
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Derivative Asset		116
Derivative Liabilities		6
Virginia Electric and Power Company | Fair Value, Measurements, Recurring
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Total assets	[2]	2,050	1,996
Total liabilities		174	86
Virginia Electric and Power Company | Fair Value, Measurements, Recurring | Commodity
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Derivative Asset		130	114
Derivative Liabilities		30	27
Virginia Electric and Power Company | Fair Value, Measurements, Recurring | Interest rate
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Derivative Asset		8	13
Derivative Liabilities		144	59
Virginia Electric and Power Company | Fair Value, Measurements, Recurring | Equity securities: | Large cap | U.S.:
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Investments	[2]	1,113	1,100
Virginia Electric and Power Company | Fair Value, Measurements, Recurring | Equity securities: | REIT | U.S.:
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Investments	[2]	67	63
Virginia Electric and Power Company | Fair Value, Measurements, Recurring | Fixed income: | Corporate debt instruments
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Investments	[2]	250	238
Virginia Electric and Power Company | Fair Value, Measurements, Recurring | Fixed income: | U.S. Treasury securities and agency debentures
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Investments	[2]	263	259
Virginia Electric and Power Company | Fair Value, Measurements, Recurring | Fixed income: | State and municipal
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Investments	[2]	173	175
Virginia Electric and Power Company | Fair Value, Measurements, Recurring | Fixed income: | Other
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Investments	[2]	46
Virginia Electric and Power Company | Fair Value, Measurements, Recurring | Cash equivalents and other
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Investments	[2]		34
Virginia Electric and Power Company | Fair Value, Measurements, Recurring | Level 1
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Total assets	[2]	1,344	1,343
Total liabilities		0	0
Virginia Electric and Power Company | Fair Value, Measurements, Recurring | Level 1 | Commodity
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Derivative Asset		0	0
Derivative Liabilities		0	0
Virginia Electric and Power Company | Fair Value, Measurements, Recurring | Level 1 | Interest rate
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Derivative Asset		0	0
Derivative Liabilities		0	0
Virginia Electric and Power Company | Fair Value, Measurements, Recurring | Level 1 | Equity securities: | Large cap | U.S.:
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Investments	[2]	1,113	1,100
Virginia Electric and Power Company | Fair Value, Measurements, Recurring | Level 1 | Equity securities: | REIT | U.S.:
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Investments	[2]	67	63
Virginia Electric and Power Company | Fair Value, Measurements, Recurring | Level 1 | Fixed income: | Corporate debt instruments
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Investments	[2]	0	0
Virginia Electric and Power Company | Fair Value, Measurements, Recurring | Level 1 | Fixed income: | U.S. Treasury securities and agency debentures
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Investments	[2]	164	180
Virginia Electric and Power Company | Fair Value, Measurements, Recurring | Level 1 | Fixed income: | State and municipal
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Investments	[2]	0	0
Virginia Electric and Power Company | Fair Value, Measurements, Recurring | Level 1 | Fixed income: | Other
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Investments	[2]	0
Virginia Electric and Power Company | Fair Value, Measurements, Recurring | Level 1 | Cash equivalents and other
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Investments	[2]		0
Virginia Electric and Power Company | Fair Value, Measurements, Recurring | Level 2
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Total assets	[2]	590	552
Total liabilities		168	78
Virginia Electric and Power Company | Fair Value, Measurements, Recurring | Level 2 | Commodity
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Derivative Asset		14	13
Derivative Liabilities		24	19
Virginia Electric and Power Company | Fair Value, Measurements, Recurring | Level 2 | Interest rate
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Derivative Asset		8	13
Derivative Liabilities		144	59
Virginia Electric and Power Company | Fair Value, Measurements, Recurring | Level 2 | Equity securities: | Large cap | U.S.:
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Investments	[2]	0	0
Virginia Electric and Power Company | Fair Value, Measurements, Recurring | Level 2 | Equity securities: | REIT | U.S.:
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Investments	[2]	0	0
Virginia Electric and Power Company | Fair Value, Measurements, Recurring | Level 2 | Fixed income: | Corporate debt instruments
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Investments	[2]	250	238
Virginia Electric and Power Company | Fair Value, Measurements, Recurring | Level 2 | Fixed income: | U.S. Treasury securities and agency debentures
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Investments	[2]	99	79
Virginia Electric and Power Company | Fair Value, Measurements, Recurring | Level 2 | Fixed income: | State and municipal
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Investments	[2]	173	175
Virginia Electric and Power Company | Fair Value, Measurements, Recurring | Level 2 | Fixed income: | Other
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Investments	[2]	46
Virginia Electric and Power Company | Fair Value, Measurements, Recurring | Level 2 | Cash equivalents and other
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Investments	[2]		34
Virginia Electric and Power Company | Fair Value, Measurements, Recurring | Level 3
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Total assets	[2]	116	101
Total liabilities		6	8
Virginia Electric and Power Company | Fair Value, Measurements, Recurring | Level 3 | Commodity
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Derivative Asset		116	101
Derivative Liabilities		6	8
Virginia Electric and Power Company | Fair Value, Measurements, Recurring | Level 3 | Interest rate
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Derivative Asset		0	0
Derivative Liabilities		0	0
Virginia Electric and Power Company | Fair Value, Measurements, Recurring | Level 3 | Equity securities: | Large cap | U.S.:
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Investments	[2]	0	0
Virginia Electric and Power Company | Fair Value, Measurements, Recurring | Level 3 | Equity securities: | REIT | U.S.:
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Investments	[2]	0	0
Virginia Electric and Power Company | Fair Value, Measurements, Recurring | Level 3 | Fixed income: | Corporate debt instruments
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Investments	[2]	0	0
Virginia Electric and Power Company | Fair Value, Measurements, Recurring | Level 3 | Fixed income: | U.S. Treasury securities and agency debentures
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Investments	[2]	0	0
Virginia Electric and Power Company | Fair Value, Measurements, Recurring | Level 3 | Fixed income: | State and municipal
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Investments	[2]	0	0
Virginia Electric and Power Company | Fair Value, Measurements, Recurring | Level 3 | Fixed income: | Other
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Investments	[2]	0
Virginia Electric and Power Company | Fair Value, Measurements, Recurring | Level 3 | Cash equivalents and other
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Investments	[2]		0
Dominion Gas Holdings, LLC
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Derivative Asset		6	11
Derivative Liabilities		23	14
Dominion Gas Holdings, LLC | Fair Value, Measurements, Recurring
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Total assets		6	11
Total liabilities		23	14
Dominion Gas Holdings, LLC | Fair Value, Measurements, Recurring | Commodity
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Derivative Asset		6	11
Dominion Gas Holdings, LLC | Fair Value, Measurements, Recurring | Interest rate
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Derivative Liabilities		23	14
Dominion Gas Holdings, LLC | Fair Value, Measurements, Recurring | Level 1
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Total assets		0	0
Total liabilities		0	0
Dominion Gas Holdings, LLC | Fair Value, Measurements, Recurring | Level 1 | Commodity
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Derivative Asset		0	0
Dominion Gas Holdings, LLC | Fair Value, Measurements, Recurring | Level 1 | Interest rate
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Derivative Liabilities		0	0
Dominion Gas Holdings, LLC | Fair Value, Measurements, Recurring | Level 2
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Total assets		6	5
Total liabilities		23	14
Dominion Gas Holdings, LLC | Fair Value, Measurements, Recurring | Level 2 | Commodity
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Derivative Asset		6	5
Dominion Gas Holdings, LLC | Fair Value, Measurements, Recurring | Level 2 | Interest rate
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Derivative Liabilities		23	14
Dominion Gas Holdings, LLC | Fair Value, Measurements, Recurring | Level 3
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Total assets		0	6
Total liabilities		0	0
Dominion Gas Holdings, LLC | Fair Value, Measurements, Recurring | Level 3 | Commodity
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Derivative Asset		0	6
Dominion Gas Holdings, LLC | Fair Value, Measurements, Recurring | Level 3 | Interest rate
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Derivative Liabilities		$ 0	$ 0

[1] Includes investments held in the nuclear decommissioning and rabbi trusts.

[2] Includes investments held in the nuclear decommissioning and rabbi trusts.

XML

Fair Value Measurements (Net Change in the Assets and Liabilities Measured at Fair Value on a Recurring Basis and Included in the Level 3 Fair Value Category) (Details) - USD ($) $ in Millions	3 Months Ended
	Mar. 31, 2016	Mar. 31, 2015
Total realized and unrealized gains (losses):
Included in earnings	$ (7)	$ 15
Fair Value, Measurements, Recurring | Level 3 | Commodity Transactions
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward]
Beginning balance	95	107
Total realized and unrealized gains (losses):
Included in earnings	(7)	15
Included in other comprehensive income (loss)	3	(11)
Included in regulatory assets/liabilities	17	(24)
Settlements	8	(14)
Transfers out of Level 3	(7)	3
Ending balance	109	76
Fair Value, Measurements, Recurring | Level 3 | Commodity Transactions | Virginia Electric and Power Company
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward]
Beginning balance	93	102
Total realized and unrealized gains (losses):
Included in earnings	(8)	14
Included in regulatory assets/liabilities	17	(24)
Settlements	8	(14)
Ending balance	110	78
Fair Value, Measurements, Recurring | Level 3 | Commodity Transactions | Dominion Gas Holdings, LLC
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward]
Beginning balance	6	2
Total realized and unrealized gains (losses):
Included in earnings	0	1
Included in other comprehensive income (loss)	2	(11)
Settlements	0	(1)
Transfers out of Level 3	(8)	9
Ending balance	$ 0	$ 0

XML

Fair Value Measurements (Gains and Losses Included in Earnings in the Level 3 Fair Value Category) (Details) - USD ($) $ in Millions	3 Months Ended
	Mar. 31, 2016	Mar. 31, 2015
Derivative Instruments, Gain (Loss) [Line Items]
Total gains (losses) included in earnings	$ (7)	$ 15
Operating Revenue
Derivative Instruments, Gain (Loss) [Line Items]
Total gains (losses) included in earnings	0	2
Electric Fuel and Other Energy-Related Purchases
Derivative Instruments, Gain (Loss) [Line Items]
Total gains (losses) included in earnings	$ (7)	$ 13

XML

Fair Value Measurements (Financial Instruments' Carrying Amounts and Fair Values) (Details) - USD ($) $ in Millions		Mar. 31, 2016	Dec. 31, 2015
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Junior subordinated notes		$ 1,849	$ 1,340	[1]
Valuation of certain fair value hedges		19	7
Carrying Amount
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Total long-term debt	[2]	22,581	21,873
Junior subordinated notes	[3]	1,849	1,340
Remarketable subordinated notes	[3]	1,530	2,080
Estimate of Fair Value
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Total long-term debt	[2],[4]	24,443	23,210
Junior subordinated notes	[3],[4]	1,696	1,192
Remarketable subordinated notes	[3],[4]	1,647	2,129
Virginia Electric and Power Company | Carrying Amount
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Total long-term debt	[3]	9,663	9,368
Virginia Electric and Power Company | Estimate of Fair Value
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Total long-term debt	[3],[4]	11,020	10,400
Dominion Gas Holdings, LLC | Carrying Amount
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Total long-term debt	[3]	3,271	3,269
Dominion Gas Holdings, LLC | Estimate of Fair Value
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Total long-term debt	[3],[4]	$ 3,375	$ 3,299

[1] Dominion’s Consolidated Balance Sheet at December 31, 2015 has been derived from the audited Consolidated Financial Statements at that date.

[2] Carrying amount includes amounts which represent the unamortized debt issuance costs, discount and/or premium. At March 31, 2016 and December 31, 2015, includes the valuation of certain fair value hedges associated with fixed rate debt of $19 million and $7 million, respectively.

[3] Carrying amount includes amounts which represent the unamortized debt issuance costs, discount and/or premium.

[4] Fair value is estimated using market prices, where available, and interest rates currently available for issuance of debt with similar terms and remaining maturities. All fair value measurements are classified as Level 2. The carrying amount of debt issues with short-term maturities and variable rates refinanced at current market rates is a reasonable estimate of their fair value.

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Derivatives and Hedge Accounting Activities (Schedule of Offsetting Assets) (Details) - USD ($) $ in Millions	Mar. 31, 2016	Dec. 31, 2015
Offsetting Assets [Line Items]
Gross Amounts of Recognized Assets	$ 394	$ 379
Gross Amounts Offset in the Consolidated Balance Sheet	0	0
Net Amounts of Assets Presented in the Consolidated Balance Sheet	394	379
Total derivatives, not subject to a master netting or similar arrangement	7	9
Gross Amounts of Recognized Assets, Total	401	388
Derivative Asset	401	388
Gross Amounts Not Offset in the Consolidated Balance Sheet, Financial Instruments	123	141
Gross Amounts Not Offset in the Consolidated Balance Sheet, Cash Collateral Received	0	0
Net Amounts	271	238
Interest rate | Over-the-counter
Offsetting Assets [Line Items]
Gross Amounts of Recognized Assets	31	24
Gross Amounts Offset in the Consolidated Balance Sheet	0	0
Net Amounts of Assets Presented in the Consolidated Balance Sheet	31	24
Gross Amounts Not Offset in the Consolidated Balance Sheet, Financial Instruments	19	22
Gross Amounts Not Offset in the Consolidated Balance Sheet, Cash Collateral Received	0	0
Net Amounts	12	2
Commodity | Over-the-counter
Offsetting Assets [Line Items]
Gross Amounts of Recognized Assets	244	217
Gross Amounts Offset in the Consolidated Balance Sheet	0	0
Net Amounts of Assets Presented in the Consolidated Balance Sheet	244	217
Gross Amounts Not Offset in the Consolidated Balance Sheet, Financial Instruments	20	37
Gross Amounts Not Offset in the Consolidated Balance Sheet, Cash Collateral Received	0	0
Net Amounts	224	180
Commodity | Exchange
Offsetting Assets [Line Items]
Gross Amounts of Recognized Assets	119	138
Gross Amounts Offset in the Consolidated Balance Sheet	0	0
Net Amounts of Assets Presented in the Consolidated Balance Sheet	119	138
Gross Amounts Not Offset in the Consolidated Balance Sheet, Financial Instruments	84	82
Gross Amounts Not Offset in the Consolidated Balance Sheet, Cash Collateral Received	0	0
Net Amounts	35	56
Virginia Electric and Power Company
Offsetting Assets [Line Items]
Gross Amounts of Recognized Assets	123	114
Gross Amounts Offset in the Consolidated Balance Sheet	0	0
Net Amounts of Assets Presented in the Consolidated Balance Sheet	123	114
Total derivatives, not subject to a master netting or similar arrangement	15	13
Gross Amounts of Recognized Assets, Total	138	127
Derivative Asset	138	127
Gross Amounts Not Offset in the Consolidated Balance Sheet, Financial Instruments	7	13
Gross Amounts Not Offset in the Consolidated Balance Sheet, Cash Collateral Received	0	0
Net Amounts	116	101
Virginia Electric and Power Company | Interest rate | Over-the-counter
Offsetting Assets [Line Items]
Gross Amounts of Recognized Assets	8	13
Gross Amounts Offset in the Consolidated Balance Sheet	0	0
Net Amounts of Assets Presented in the Consolidated Balance Sheet	8	13
Gross Amounts Not Offset in the Consolidated Balance Sheet, Financial Instruments	3	10
Gross Amounts Not Offset in the Consolidated Balance Sheet, Cash Collateral Received	0	0
Net Amounts	5	3
Virginia Electric and Power Company | Commodity | Over-the-counter
Offsetting Assets [Line Items]
Gross Amounts of Recognized Assets	115	101
Gross Amounts Offset in the Consolidated Balance Sheet	0	0
Net Amounts of Assets Presented in the Consolidated Balance Sheet	115	101
Gross Amounts Not Offset in the Consolidated Balance Sheet, Financial Instruments	4	3
Gross Amounts Not Offset in the Consolidated Balance Sheet, Cash Collateral Received	0	0
Net Amounts	111	98
Dominion Gas Holdings, LLC
Offsetting Assets [Line Items]
Gross Amounts of Recognized Assets	6	11
Gross Amounts Offset in the Consolidated Balance Sheet	0	0
Net Amounts of Assets Presented in the Consolidated Balance Sheet	6	11
Derivative Asset	6	11
Gross Amounts Not Offset in the Consolidated Balance Sheet, Financial Instruments	0	0
Gross Amounts Not Offset in the Consolidated Balance Sheet, Cash Collateral Received	0	0
Net Amounts	6	11
Dominion Gas Holdings, LLC | Commodity | Over-the-counter
Offsetting Assets [Line Items]
Gross Amounts of Recognized Assets	6	11
Gross Amounts Offset in the Consolidated Balance Sheet	0	0
Net Amounts of Assets Presented in the Consolidated Balance Sheet	6	11
Gross Amounts Not Offset in the Consolidated Balance Sheet, Financial Instruments	0	0
Gross Amounts Not Offset in the Consolidated Balance Sheet, Cash Collateral Received	0	0
Net Amounts	$ 6	$ 11

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Derivatives and Hedge Accounting Activities (Schedule of Offsetting Liabilities) (Details) - USD ($) $ in Millions	Mar. 31, 2016	Dec. 31, 2015
Offsetting Liabilities [Line Items]
Gross Amounts of Recognized Liabilities	$ 423	$ 335
Gross Amounts Offset in the Consolidated Balance Sheet	0	0
Net Amounts of Liabilities Presented in the Consolidated Balance Sheet	423	335
Total derivatives, not subject to a master netting or similar arrangement	7	8
Gross Amounts of Recognized Liabilities, Total	430	343
Derivative Liabilities	430	343
Gross Amounts Not Offset in the Consolidated Balance Sheet, Financial Instruments	123	141
Gross Amounts Not Offset in the Consolidated Balance Sheet, Cash Collateral	0	0
Net Amounts	300	194
Interest rate | Over-the-counter
Offsetting Liabilities [Line Items]
Gross Amounts of Recognized Liabilities	291	183
Gross Amounts Offset in the Consolidated Balance Sheet	0	0
Net Amounts of Liabilities Presented in the Consolidated Balance Sheet	291	183
Gross Amounts Not Offset in the Consolidated Balance Sheet, Financial Instruments	19	22
Gross Amounts Not Offset in the Consolidated Balance Sheet, Cash Collateral	0	0
Net Amounts	272	161
Commodity | Over-the-counter
Offsetting Liabilities [Line Items]
Gross Amounts of Recognized Liabilities	48	70
Gross Amounts Offset in the Consolidated Balance Sheet	0	0
Net Amounts of Liabilities Presented in the Consolidated Balance Sheet	48	70
Gross Amounts Not Offset in the Consolidated Balance Sheet, Financial Instruments	20	37
Gross Amounts Not Offset in the Consolidated Balance Sheet, Cash Collateral	0	0
Net Amounts	28	33
Commodity | Exchange
Offsetting Liabilities [Line Items]
Gross Amounts of Recognized Liabilities	84	82
Gross Amounts Offset in the Consolidated Balance Sheet	0	0
Net Amounts of Liabilities Presented in the Consolidated Balance Sheet	84	82
Gross Amounts Not Offset in the Consolidated Balance Sheet, Financial Instruments	84	82
Gross Amounts Not Offset in the Consolidated Balance Sheet, Cash Collateral	0	0
Net Amounts	0	0
Virginia Electric and Power Company
Offsetting Liabilities [Line Items]
Gross Amounts of Recognized Liabilities	159	64
Gross Amounts Offset in the Consolidated Balance Sheet	0	0
Net Amounts of Liabilities Presented in the Consolidated Balance Sheet	159	64
Total derivatives, not subject to a master netting or similar arrangement	15	22
Gross Amounts of Recognized Liabilities, Total	174	86
Derivative Liabilities	174	86
Gross Amounts Not Offset in the Consolidated Balance Sheet, Financial Instruments	7	13
Gross Amounts Not Offset in the Consolidated Balance Sheet, Cash Collateral	0	0
Net Amounts	152	51
Virginia Electric and Power Company | Interest rate | Over-the-counter
Offsetting Liabilities [Line Items]
Gross Amounts of Recognized Liabilities	144	59
Gross Amounts Offset in the Consolidated Balance Sheet	0	0
Net Amounts of Liabilities Presented in the Consolidated Balance Sheet	144	59
Gross Amounts Not Offset in the Consolidated Balance Sheet, Financial Instruments	3	10
Gross Amounts Not Offset in the Consolidated Balance Sheet, Cash Collateral	0	0
Net Amounts	141	49
Virginia Electric and Power Company | Commodity | Over-the-counter
Offsetting Liabilities [Line Items]
Gross Amounts of Recognized Liabilities	15	5
Gross Amounts Offset in the Consolidated Balance Sheet	0	0
Net Amounts of Liabilities Presented in the Consolidated Balance Sheet	15	5
Gross Amounts Not Offset in the Consolidated Balance Sheet, Financial Instruments	4	3
Gross Amounts Not Offset in the Consolidated Balance Sheet, Cash Collateral	0	0
Net Amounts	11	2
Dominion Gas Holdings, LLC
Offsetting Liabilities [Line Items]
Gross Amounts of Recognized Liabilities	23	14
Gross Amounts Offset in the Consolidated Balance Sheet	0	0
Net Amounts of Liabilities Presented in the Consolidated Balance Sheet	23	14
Derivative Liabilities	23	14
Gross Amounts Not Offset in the Consolidated Balance Sheet, Financial Instruments	0	0
Gross Amounts Not Offset in the Consolidated Balance Sheet, Cash Collateral	0	0
Net Amounts	23	14
Dominion Gas Holdings, LLC | Interest rate | Over-the-counter
Offsetting Liabilities [Line Items]
Gross Amounts of Recognized Liabilities	23	14
Gross Amounts Offset in the Consolidated Balance Sheet	0	0
Net Amounts of Liabilities Presented in the Consolidated Balance Sheet	23	14
Gross Amounts Not Offset in the Consolidated Balance Sheet, Financial Instruments	0	0
Gross Amounts Not Offset in the Consolidated Balance Sheet, Cash Collateral	0	0
Net Amounts	$ 23	$ 14

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Derivatives and Hedge Accounting Activities (Volume of Derivative Activity) (Details) gal in Thousands, MMcf in Thousands, $ in Millions	3 Months Ended
	Mar. 31, 2016 USD ($) MWh MW gal MMcf
Fixed Price - Natural Gas - Current Derivative Contract
Derivative Instruments, Gain (Loss) [Line Items]
Volume of derivative activity (bcf, Gal)	99	[1]
Fixed Price - Natural Gas - Non-current Derivative Contract
Derivative Instruments, Gain (Loss) [Line Items]
Volume of derivative activity (bcf, Gal)	29	[1]
Basis - Natural Gas - Current Derivative Contract
Derivative Instruments, Gain (Loss) [Line Items]
Volume of derivative activity (bcf, Gal)	229
Basis - Natural Gas - Non-current Derivative Contract
Derivative Instruments, Gain (Loss) [Line Items]
Volume of derivative activity (bcf, Gal)	591
Fixed Price - Electricity - Current Derivative Contract
Derivative Instruments, Gain (Loss) [Line Items]
Volume of electricity (MWh) | MWh	13,212,481
Fixed Price - Electricity - Non-current Derivative Contract
Derivative Instruments, Gain (Loss) [Line Items]
Volume of electricity (MWh) | MWh	1,940,000
Financial Transmission Rights - Electricity- Current Derivative Contract
Derivative Instruments, Gain (Loss) [Line Items]
Volume of electricity (MWh) | MWh	14,308,210
Financial Transmission Rights - Electricity- Non-current Derivative Contract
Derivative Instruments, Gain (Loss) [Line Items]
Volume of electricity (MWh) | MWh	0
Capacity - Current Derivative Contract
Derivative Instruments, Gain (Loss) [Line Items]
Volume of capacity (MW) | MW	3,050
Capacity - Non-current Derivative Contract
Derivative Instruments, Gain (Loss) [Line Items]
Volume of capacity (MW) | MW	0
Liquids - Current Derivative Contract
Derivative Instruments, Gain (Loss) [Line Items]
Volume of derivative activity (bcf, Gal) | gal	76,692	[2]
Liquids - Non-current Derivative Contract
Derivative Instruments, Gain (Loss) [Line Items]
Volume of derivative activity (bcf, Gal) | gal	0	[2]
Interest Rate - Current Derivative Contract
Derivative Instruments, Gain (Loss) [Line Items]
Interest rate | $	$ 2,200
Interest Rate - Non-current Derivative Contract
Derivative Instruments, Gain (Loss) [Line Items]
Interest rate | $	$ 3,100
Virginia Electric and Power Company | Fixed Price - Natural Gas - Current Derivative Contract
Derivative Instruments, Gain (Loss) [Line Items]
Volume of derivative activity (bcf, Gal)	36	[3]
Virginia Electric and Power Company | Fixed Price - Natural Gas - Non-current Derivative Contract
Derivative Instruments, Gain (Loss) [Line Items]
Volume of derivative activity (bcf, Gal)	17	[3]
Virginia Electric and Power Company | Basis - Natural Gas - Current Derivative Contract
Derivative Instruments, Gain (Loss) [Line Items]
Volume of derivative activity (bcf, Gal)	106
Virginia Electric and Power Company | Basis - Natural Gas - Non-current Derivative Contract
Derivative Instruments, Gain (Loss) [Line Items]
Volume of derivative activity (bcf, Gal)	545
Virginia Electric and Power Company | Financial Transmission Rights - Electricity- Current Derivative Contract
Derivative Instruments, Gain (Loss) [Line Items]
Volume of electricity (MWh) | MWh	11,952,866
Virginia Electric and Power Company | Financial Transmission Rights - Electricity- Non-current Derivative Contract
Derivative Instruments, Gain (Loss) [Line Items]
Volume of electricity (MWh) | MWh	0
Virginia Electric and Power Company | Capacity - Current Derivative Contract
Derivative Instruments, Gain (Loss) [Line Items]
Volume of capacity (MW) | MW	3,050
Virginia Electric and Power Company | Capacity - Non-current Derivative Contract
Derivative Instruments, Gain (Loss) [Line Items]
Volume of capacity (MW) | MW	0
Virginia Electric and Power Company | Interest Rate - Current Derivative Contract
Derivative Instruments, Gain (Loss) [Line Items]
Interest rate | $	$ 700
Virginia Electric and Power Company | Interest Rate - Non-current Derivative Contract
Derivative Instruments, Gain (Loss) [Line Items]
Interest rate | $	$ 1,100
Dominion Gas Holdings, LLC | Liquids - Current Derivative Contract
Derivative Instruments, Gain (Loss) [Line Items]
Volume of derivative activity (bcf, Gal) | gal	67,704
Dominion Gas Holdings, LLC | Liquids - Non-current Derivative Contract
Derivative Instruments, Gain (Loss) [Line Items]
Volume of derivative activity (bcf, Gal) | gal	0
Dominion Gas Holdings, LLC | Interest Rate - Current Derivative Contract
Derivative Instruments, Gain (Loss) [Line Items]
Interest rate | $	$ 250
Dominion Gas Holdings, LLC | Interest Rate - Non-current Derivative Contract
Derivative Instruments, Gain (Loss) [Line Items]
Interest rate | $	$ 0

[1] Includes options.

[2] Includes NGLs and oil.

[3] Includes options.

XML

Derivatives and Hedge Accounting Activities (Selected Information Related to Gains (Losses) on Cash Flow Hedges Included in AOCI) (Details) $ in Millions	3 Months Ended
	Mar. 31, 2016 USD ($)
Derivative Instruments, Gain (Loss) [Line Items]
AOCI After-Tax	$ (186)
Amounts Expected to be Reclassified to Earnings During the Next 12 Months After-Tax	101
Commodity | Gas Energy Contract
Derivative Instruments, Gain (Loss) [Line Items]
AOCI After-Tax	(7)
Amounts Expected to be Reclassified to Earnings During the Next 12 Months After-Tax	$ (7)
Maximum Term	24 months
Commodity | Electricity Energy Contract
Derivative Instruments, Gain (Loss) [Line Items]
AOCI After-Tax	$ 120
Amounts Expected to be Reclassified to Earnings During the Next 12 Months After-Tax	$ 119
Maximum Term	21 months
Commodity | Other Energy Contract
Derivative Instruments, Gain (Loss) [Line Items]
AOCI After-Tax	$ 4
Amounts Expected to be Reclassified to Earnings During the Next 12 Months After-Tax	$ 4
Maximum Term	12 months
Interest rate
Derivative Instruments, Gain (Loss) [Line Items]
AOCI After-Tax	$ (303)
Amounts Expected to be Reclassified to Earnings During the Next 12 Months After-Tax	$ (15)
Maximum Term	384 months
Virginia Electric and Power Company
Derivative Instruments, Gain (Loss) [Line Items]
AOCI After-Tax	$ (15)
Amounts Expected to be Reclassified to Earnings During the Next 12 Months After-Tax	(1)
Virginia Electric and Power Company | Interest rate
Derivative Instruments, Gain (Loss) [Line Items]
AOCI After-Tax	(15)
Amounts Expected to be Reclassified to Earnings During the Next 12 Months After-Tax	$ (1)
Maximum Term	384 months
Dominion Gas Holdings, LLC
Derivative Instruments, Gain (Loss) [Line Items]
AOCI After-Tax	$ (25)
Amounts Expected to be Reclassified to Earnings During the Next 12 Months After-Tax	4
Dominion Gas Holdings, LLC | Commodity | NGLs
Derivative Instruments, Gain (Loss) [Line Items]
AOCI After-Tax	4
Amounts Expected to be Reclassified to Earnings During the Next 12 Months After-Tax	$ 4
Maximum Term	12 months
Dominion Gas Holdings, LLC | Interest rate
Derivative Instruments, Gain (Loss) [Line Items]
AOCI After-Tax	$ (29)
Amounts Expected to be Reclassified to Earnings During the Next 12 Months After-Tax	$ 0
Maximum Term	345 months

XML

Derivatives and Hedge Accounting Activities (Fair Value of Derivatives) (Details) - USD ($) $ in Millions		Mar. 31, 2016		Dec. 31, 2015
Derivative Instruments, Gain (Loss) [Line Items]
Derivative Asset		$ 401		$ 388
Derivative Liabilities		430		343
Current Assets
Derivative Instruments, Gain (Loss) [Line Items]
Derivative Asset	[1]	260		255
Current Assets | Commodity
Derivative Instruments, Gain (Loss) [Line Items]
Derivative Asset		244		252
Current Assets | Interest rate
Derivative Instruments, Gain (Loss) [Line Items]
Derivative Asset		16		3
Noncurrent Assets
Derivative Instruments, Gain (Loss) [Line Items]
Derivative Asset	[2]	141		133
Noncurrent Assets | Commodity
Derivative Instruments, Gain (Loss) [Line Items]
Derivative Asset		126		112
Noncurrent Assets | Interest rate
Derivative Instruments, Gain (Loss) [Line Items]
Derivative Asset		15		21
Current Liabilities
Derivative Instruments, Gain (Loss) [Line Items]
Derivative Liabilities	[3]	270		312
Current Liabilities | Commodity
Derivative Instruments, Gain (Loss) [Line Items]
Derivative Liabilities		122		148
Current Liabilities | Interest rate
Derivative Instruments, Gain (Loss) [Line Items]
Derivative Liabilities		148		164
Noncurrent Liabilities
Derivative Instruments, Gain (Loss) [Line Items]
Derivative Liabilities	[4]	160		31
Noncurrent Liabilities | Commodity
Derivative Instruments, Gain (Loss) [Line Items]
Derivative Liabilities		17		12
Noncurrent Liabilities | Interest rate
Derivative Instruments, Gain (Loss) [Line Items]
Derivative Liabilities		143		19
Fair Value – Derivatives under Hedge Accounting
Derivative Instruments, Gain (Loss) [Line Items]
Derivative Asset		130		128
Derivative Liabilities		318		215
Fair Value – Derivatives under Hedge Accounting | Current Assets
Derivative Instruments, Gain (Loss) [Line Items]
Derivative Asset		112	[1]	104
Fair Value – Derivatives under Hedge Accounting | Current Assets | Commodity
Derivative Instruments, Gain (Loss) [Line Items]
Derivative Asset		96		101
Fair Value – Derivatives under Hedge Accounting | Current Assets | Interest rate
Derivative Instruments, Gain (Loss) [Line Items]
Derivative Asset		16		3
Fair Value – Derivatives under Hedge Accounting | Noncurrent Assets
Derivative Instruments, Gain (Loss) [Line Items]
Derivative Asset	[2]	18		24
Fair Value – Derivatives under Hedge Accounting | Noncurrent Assets | Commodity
Derivative Instruments, Gain (Loss) [Line Items]
Derivative Asset		3		3
Fair Value – Derivatives under Hedge Accounting | Noncurrent Assets | Interest rate
Derivative Instruments, Gain (Loss) [Line Items]
Derivative Asset		15		21
Fair Value – Derivatives under Hedge Accounting | Current Liabilities
Derivative Instruments, Gain (Loss) [Line Items]
Derivative Liabilities	[3]	174		196
Fair Value – Derivatives under Hedge Accounting | Current Liabilities | Commodity
Derivative Instruments, Gain (Loss) [Line Items]
Derivative Liabilities		26		32
Fair Value – Derivatives under Hedge Accounting | Current Liabilities | Interest rate
Derivative Instruments, Gain (Loss) [Line Items]
Derivative Liabilities		148		164
Fair Value – Derivatives under Hedge Accounting | Noncurrent Liabilities
Derivative Instruments, Gain (Loss) [Line Items]
Derivative Liabilities	[4]	144		19
Fair Value – Derivatives under Hedge Accounting | Noncurrent Liabilities | Commodity
Derivative Instruments, Gain (Loss) [Line Items]
Derivative Liabilities		1		0
Fair Value – Derivatives under Hedge Accounting | Noncurrent Liabilities | Interest rate
Derivative Instruments, Gain (Loss) [Line Items]
Derivative Liabilities		143		19
Fair Value – Derivatives not under Hedge Accounting
Derivative Instruments, Gain (Loss) [Line Items]
Derivative Asset		271		260
Derivative Liabilities		112		128
Fair Value – Derivatives not under Hedge Accounting | Current Assets
Derivative Instruments, Gain (Loss) [Line Items]
Derivative Asset	[1]	148		151
Fair Value – Derivatives not under Hedge Accounting | Current Assets | Commodity
Derivative Instruments, Gain (Loss) [Line Items]
Derivative Asset		148		151
Fair Value – Derivatives not under Hedge Accounting | Current Assets | Interest rate
Derivative Instruments, Gain (Loss) [Line Items]
Derivative Asset		0		0
Fair Value – Derivatives not under Hedge Accounting | Noncurrent Assets
Derivative Instruments, Gain (Loss) [Line Items]
Derivative Asset	[2]	123		109
Fair Value – Derivatives not under Hedge Accounting | Noncurrent Assets | Commodity
Derivative Instruments, Gain (Loss) [Line Items]
Derivative Asset		123		109
Fair Value – Derivatives not under Hedge Accounting | Noncurrent Assets | Interest rate
Derivative Instruments, Gain (Loss) [Line Items]
Derivative Asset		0		0
Fair Value – Derivatives not under Hedge Accounting | Current Liabilities
Derivative Instruments, Gain (Loss) [Line Items]
Derivative Liabilities	[3]	96		116
Fair Value – Derivatives not under Hedge Accounting | Current Liabilities | Commodity
Derivative Instruments, Gain (Loss) [Line Items]
Derivative Liabilities		96		116
Fair Value – Derivatives not under Hedge Accounting | Current Liabilities | Interest rate
Derivative Instruments, Gain (Loss) [Line Items]
Derivative Liabilities		0		0
Fair Value – Derivatives not under Hedge Accounting | Noncurrent Liabilities
Derivative Instruments, Gain (Loss) [Line Items]
Derivative Liabilities	[4]	16		12
Fair Value – Derivatives not under Hedge Accounting | Noncurrent Liabilities | Commodity
Derivative Instruments, Gain (Loss) [Line Items]
Derivative Liabilities		16		12
Fair Value – Derivatives not under Hedge Accounting | Noncurrent Liabilities | Interest rate
Derivative Instruments, Gain (Loss) [Line Items]
Derivative Liabilities		0		0
Virginia Electric and Power Company
Derivative Instruments, Gain (Loss) [Line Items]
Derivative Asset		138		127
Derivative Liabilities		174		86
Virginia Electric and Power Company | Current Assets
Derivative Instruments, Gain (Loss) [Line Items]
Derivative Asset	[5]	25		18
Virginia Electric and Power Company | Current Assets | Commodity
Derivative Instruments, Gain (Loss) [Line Items]
Derivative Asset		17		18
Virginia Electric and Power Company | Current Assets | Interest rate
Derivative Instruments, Gain (Loss) [Line Items]
Derivative Asset		8
Virginia Electric and Power Company | Noncurrent Assets
Derivative Instruments, Gain (Loss) [Line Items]
Derivative Asset	[6]	113		109
Virginia Electric and Power Company | Noncurrent Assets | Commodity
Derivative Instruments, Gain (Loss) [Line Items]
Derivative Asset		113		96
Virginia Electric and Power Company | Noncurrent Assets | Interest rate
Derivative Instruments, Gain (Loss) [Line Items]
Derivative Asset				13
Virginia Electric and Power Company | Current Liabilities
Derivative Instruments, Gain (Loss) [Line Items]
Derivative Liabilities	[7]	60		80
Virginia Electric and Power Company | Current Liabilities | Commodity
Derivative Instruments, Gain (Loss) [Line Items]
Derivative Liabilities		20		23
Virginia Electric and Power Company | Current Liabilities | Interest rate
Derivative Instruments, Gain (Loss) [Line Items]
Derivative Liabilities		40		57
Virginia Electric and Power Company | Noncurrent Liabilities
Derivative Instruments, Gain (Loss) [Line Items]
Derivative Liabilities	[8]	114		6
Virginia Electric and Power Company | Noncurrent Liabilities | Commodity
Derivative Instruments, Gain (Loss) [Line Items]
Derivative Liabilities		10		4
Virginia Electric and Power Company | Noncurrent Liabilities | Interest rate
Derivative Instruments, Gain (Loss) [Line Items]
Derivative Liabilities		104		2
Virginia Electric and Power Company | Fair Value – Derivatives under Hedge Accounting
Derivative Instruments, Gain (Loss) [Line Items]
Derivative Asset		8		13
Derivative Liabilities		144		59
Virginia Electric and Power Company | Fair Value – Derivatives under Hedge Accounting | Current Assets
Derivative Instruments, Gain (Loss) [Line Items]
Derivative Asset	[5]	8		0
Virginia Electric and Power Company | Fair Value – Derivatives under Hedge Accounting | Current Assets | Commodity
Derivative Instruments, Gain (Loss) [Line Items]
Derivative Asset		0		0
Virginia Electric and Power Company | Fair Value – Derivatives under Hedge Accounting | Current Assets | Interest rate
Derivative Instruments, Gain (Loss) [Line Items]
Derivative Asset		8
Virginia Electric and Power Company | Fair Value – Derivatives under Hedge Accounting | Noncurrent Assets
Derivative Instruments, Gain (Loss) [Line Items]
Derivative Asset	[6]	0		13
Virginia Electric and Power Company | Fair Value – Derivatives under Hedge Accounting | Noncurrent Assets | Commodity
Derivative Instruments, Gain (Loss) [Line Items]
Derivative Asset		0		0
Virginia Electric and Power Company | Fair Value – Derivatives under Hedge Accounting | Noncurrent Assets | Interest rate
Derivative Instruments, Gain (Loss) [Line Items]
Derivative Asset				13
Virginia Electric and Power Company | Fair Value – Derivatives under Hedge Accounting | Current Liabilities
Derivative Instruments, Gain (Loss) [Line Items]
Derivative Liabilities	[7]	40		57
Virginia Electric and Power Company | Fair Value – Derivatives under Hedge Accounting | Current Liabilities | Commodity
Derivative Instruments, Gain (Loss) [Line Items]
Derivative Liabilities		0		0
Virginia Electric and Power Company | Fair Value – Derivatives under Hedge Accounting | Current Liabilities | Interest rate
Derivative Instruments, Gain (Loss) [Line Items]
Derivative Liabilities		40		57
Virginia Electric and Power Company | Fair Value – Derivatives under Hedge Accounting | Noncurrent Liabilities
Derivative Instruments, Gain (Loss) [Line Items]
Derivative Liabilities	[8]	104		2
Virginia Electric and Power Company | Fair Value – Derivatives under Hedge Accounting | Noncurrent Liabilities | Commodity
Derivative Instruments, Gain (Loss) [Line Items]
Derivative Liabilities		0		0
Virginia Electric and Power Company | Fair Value – Derivatives under Hedge Accounting | Noncurrent Liabilities | Interest rate
Derivative Instruments, Gain (Loss) [Line Items]
Derivative Liabilities		104		2
Virginia Electric and Power Company | Fair Value – Derivatives not under Hedge Accounting
Derivative Instruments, Gain (Loss) [Line Items]
Derivative Asset		130		114
Derivative Liabilities		30		27
Virginia Electric and Power Company | Fair Value – Derivatives not under Hedge Accounting | Current Assets
Derivative Instruments, Gain (Loss) [Line Items]
Derivative Asset	[5]	17		18
Virginia Electric and Power Company | Fair Value – Derivatives not under Hedge Accounting | Current Assets | Commodity
Derivative Instruments, Gain (Loss) [Line Items]
Derivative Asset		17		18
Virginia Electric and Power Company | Fair Value – Derivatives not under Hedge Accounting | Current Assets | Interest rate
Derivative Instruments, Gain (Loss) [Line Items]
Derivative Asset		0
Virginia Electric and Power Company | Fair Value – Derivatives not under Hedge Accounting | Noncurrent Assets
Derivative Instruments, Gain (Loss) [Line Items]
Derivative Asset	[6]	113		96
Virginia Electric and Power Company | Fair Value – Derivatives not under Hedge Accounting | Noncurrent Assets | Commodity
Derivative Instruments, Gain (Loss) [Line Items]
Derivative Asset		113		96
Virginia Electric and Power Company | Fair Value – Derivatives not under Hedge Accounting | Noncurrent Assets | Interest rate
Derivative Instruments, Gain (Loss) [Line Items]
Derivative Asset				0
Virginia Electric and Power Company | Fair Value – Derivatives not under Hedge Accounting | Current Liabilities
Derivative Instruments, Gain (Loss) [Line Items]
Derivative Liabilities	[7]	20		23
Virginia Electric and Power Company | Fair Value – Derivatives not under Hedge Accounting | Current Liabilities | Commodity
Derivative Instruments, Gain (Loss) [Line Items]
Derivative Liabilities		20		23
Virginia Electric and Power Company | Fair Value – Derivatives not under Hedge Accounting | Current Liabilities | Interest rate
Derivative Instruments, Gain (Loss) [Line Items]
Derivative Liabilities		0		0
Virginia Electric and Power Company | Fair Value – Derivatives not under Hedge Accounting | Noncurrent Liabilities
Derivative Instruments, Gain (Loss) [Line Items]
Derivative Liabilities	[8]	10		4
Virginia Electric and Power Company | Fair Value – Derivatives not under Hedge Accounting | Noncurrent Liabilities | Commodity
Derivative Instruments, Gain (Loss) [Line Items]
Derivative Liabilities		10		4
Virginia Electric and Power Company | Fair Value – Derivatives not under Hedge Accounting | Noncurrent Liabilities | Interest rate
Derivative Instruments, Gain (Loss) [Line Items]
Derivative Liabilities		0		0
Dominion Gas Holdings, LLC
Derivative Instruments, Gain (Loss) [Line Items]
Derivative Asset		6		11
Derivative Liabilities		23		14
Dominion Gas Holdings, LLC | Current Assets
Derivative Instruments, Gain (Loss) [Line Items]
Derivative Asset	[9]	6		10
Dominion Gas Holdings, LLC | Current Assets | Commodity
Derivative Instruments, Gain (Loss) [Line Items]
Derivative Asset		6		10
Dominion Gas Holdings, LLC | Noncurrent Assets
Derivative Instruments, Gain (Loss) [Line Items]
Derivative Asset	[10]			1
Dominion Gas Holdings, LLC | Noncurrent Assets | Commodity
Derivative Instruments, Gain (Loss) [Line Items]
Derivative Asset				1
Dominion Gas Holdings, LLC | Current Liabilities
Derivative Instruments, Gain (Loss) [Line Items]
Derivative Liabilities	[11]	23
Dominion Gas Holdings, LLC | Current Liabilities | Interest rate
Derivative Instruments, Gain (Loss) [Line Items]
Derivative Liabilities		23
Dominion Gas Holdings, LLC | Noncurrent Liabilities
Derivative Instruments, Gain (Loss) [Line Items]
Derivative Liabilities	[12]			14
Dominion Gas Holdings, LLC | Noncurrent Liabilities | Interest rate
Derivative Instruments, Gain (Loss) [Line Items]
Derivative Liabilities				14
Dominion Gas Holdings, LLC | Fair Value – Derivatives under Hedge Accounting
Derivative Instruments, Gain (Loss) [Line Items]
Derivative Asset		6		11
Derivative Liabilities		23		14
Dominion Gas Holdings, LLC | Fair Value – Derivatives under Hedge Accounting | Current Assets
Derivative Instruments, Gain (Loss) [Line Items]
Derivative Asset	[9]	6		10
Dominion Gas Holdings, LLC | Fair Value – Derivatives under Hedge Accounting | Current Assets | Commodity
Derivative Instruments, Gain (Loss) [Line Items]
Derivative Asset		6		10
Dominion Gas Holdings, LLC | Fair Value – Derivatives under Hedge Accounting | Noncurrent Assets
Derivative Instruments, Gain (Loss) [Line Items]
Derivative Asset	[10]			1
Dominion Gas Holdings, LLC | Fair Value – Derivatives under Hedge Accounting | Noncurrent Assets | Commodity
Derivative Instruments, Gain (Loss) [Line Items]
Derivative Asset				1
Dominion Gas Holdings, LLC | Fair Value – Derivatives under Hedge Accounting | Current Liabilities
Derivative Instruments, Gain (Loss) [Line Items]
Derivative Liabilities	[11]	23
Dominion Gas Holdings, LLC | Fair Value – Derivatives under Hedge Accounting | Current Liabilities | Interest rate
Derivative Instruments, Gain (Loss) [Line Items]
Derivative Liabilities		23
Dominion Gas Holdings, LLC | Fair Value – Derivatives under Hedge Accounting | Noncurrent Liabilities
Derivative Instruments, Gain (Loss) [Line Items]
Derivative Liabilities	[12]			14
Dominion Gas Holdings, LLC | Fair Value – Derivatives under Hedge Accounting | Noncurrent Liabilities | Interest rate
Derivative Instruments, Gain (Loss) [Line Items]
Derivative Liabilities				14
Dominion Gas Holdings, LLC | Fair Value – Derivatives not under Hedge Accounting
Derivative Instruments, Gain (Loss) [Line Items]
Derivative Asset		0		0
Derivative Liabilities		0		0
Dominion Gas Holdings, LLC | Fair Value – Derivatives not under Hedge Accounting | Current Assets
Derivative Instruments, Gain (Loss) [Line Items]
Derivative Asset	[9]	0		0
Dominion Gas Holdings, LLC | Fair Value – Derivatives not under Hedge Accounting | Current Assets | Commodity
Derivative Instruments, Gain (Loss) [Line Items]
Derivative Asset		0		0
Dominion Gas Holdings, LLC | Fair Value – Derivatives not under Hedge Accounting | Noncurrent Assets
Derivative Instruments, Gain (Loss) [Line Items]
Derivative Asset	[10]			0
Dominion Gas Holdings, LLC | Fair Value – Derivatives not under Hedge Accounting | Noncurrent Assets | Commodity
Derivative Instruments, Gain (Loss) [Line Items]
Derivative Asset				0
Dominion Gas Holdings, LLC | Fair Value – Derivatives not under Hedge Accounting | Current Liabilities
Derivative Instruments, Gain (Loss) [Line Items]
Derivative Liabilities	[11]	0
Dominion Gas Holdings, LLC | Fair Value – Derivatives not under Hedge Accounting | Current Liabilities | Interest rate
Derivative Instruments, Gain (Loss) [Line Items]
Derivative Liabilities		$ 0
Dominion Gas Holdings, LLC | Fair Value – Derivatives not under Hedge Accounting | Noncurrent Liabilities
Derivative Instruments, Gain (Loss) [Line Items]
Derivative Liabilities	[12]			0
Dominion Gas Holdings, LLC | Fair Value – Derivatives not under Hedge Accounting | Noncurrent Liabilities | Interest rate
Derivative Instruments, Gain (Loss) [Line Items]
Derivative Liabilities				$ 0

[1] Current derivative assets are presented in other current assets in Dominion’s Consolidated Balance Sheets.

[2] Noncurrent derivative assets are presented in other deferred charges and other assets in Dominion’s Consolidated Balance Sheets.

[3] Current derivative liabilities are presented in other current liabilities in Dominion's Consolidated Balance Sheets.

[4] Noncurrent derivative liabilities are presented in other deferred credits and other liabilities in Dominion’s Consolidated Balance Sheets.

[5] Current derivative assets are presented in other current assets in Virginia Power's Consolidated Balance Sheets.

[6] Noncurrent derivative assets are presented in other deferred charges and other assets in Virginia Power's Consolidated Balance Sheets.

[7] Current derivative liabilities are presented in other current liabilities in Virginia Power's Consolidated Balance Sheets.

[8] Noncurrent derivative liabilities are presented in other deferred credits and other liabilities in Virginia Power’s Consolidated Balance Sheets.

[9] Current derivative assets are presented in other current assets in Dominion Gas' Consolidated Balance Sheets.

[10] Noncurrent derivative assets are presented in other deferred charges and other assets in Dominion Gas’ Consolidated Balance Sheets.

[11] Current derivative liabilities are presented in other current liabilities in Dominion Gas' Consolidated Balance Sheets.

[12] Noncurrent derivative liabilities are presented in other deferred credits and other liabilities in Dominion Gas’ Consolidated Balance Sheets.

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Derivatives and Hedge Accounting Activities (Gains and Losses on Derivatives in Cash Flow Hedging Relationships) (Details) - Cash Flow Hedges - USD ($) $ in Millions		3 Months Ended
		Mar. 31, 2016	Mar. 31, 2015
Derivative Instruments, Gain (Loss) [Line Items]
Amount of Gain (Loss) Recognized in AOCI on Derivatives (Effective Portion)	[1]	$ 86	$ (99)
Amount of Gain (Loss) Reclassified From AOCI to Income		102	(98)
Increase (Decrease) in Derivatives Subject to Regulatory Treatment	[2]	(133)	(46)
Commodity
Derivative Instruments, Gain (Loss) [Line Items]
Amount of Gain (Loss) Recognized in AOCI on Derivatives (Effective Portion)	[1]	173	(41)
Amount of Gain (Loss) Reclassified From AOCI to Income		105	(96)
Increase (Decrease) in Derivatives Subject to Regulatory Treatment	[2]	0	3
Commodity | Operating revenue
Derivative Instruments, Gain (Loss) [Line Items]
Amount of Gain (Loss) Reclassified From AOCI to Income		114	(92)
Commodity | Purchased Gas
Derivative Instruments, Gain (Loss) [Line Items]
Amount of Gain (Loss) Reclassified From AOCI to Income		(6)	(5)
Commodity | Electric Fuel and Other Energy-Related Purchases
Derivative Instruments, Gain (Loss) [Line Items]
Amount of Gain (Loss) Reclassified From AOCI to Income		(3)	1
Interest rate
Derivative Instruments, Gain (Loss) [Line Items]
Amount of Gain (Loss) Recognized in AOCI on Derivatives (Effective Portion)	[1],[3]	(87)	(58)
Amount of Gain (Loss) Reclassified From AOCI to Income	[3]	(3)	(2)
Increase (Decrease) in Derivatives Subject to Regulatory Treatment	[2],[3]	(133)	(49)
Virginia Electric and Power Company
Derivative Instruments, Gain (Loss) [Line Items]
Amount of Gain (Loss) Recognized in AOCI on Derivatives (Effective Portion)	[4]	(14)	(6)
Amount of Gain (Loss) Reclassified From AOCI to Income		0	(1)
Increase (Decrease) in Derivatives Subject to Regulatory Treatment	[5]	(133)	(46)
Virginia Electric and Power Company | Commodity
Derivative Instruments, Gain (Loss) [Line Items]
Amount of Gain (Loss) Recognized in AOCI on Derivatives (Effective Portion)	[4]		0
Amount of Gain (Loss) Reclassified From AOCI to Income			(1)
Increase (Decrease) in Derivatives Subject to Regulatory Treatment	[5]		3
Virginia Electric and Power Company | Commodity | Electric Fuel and Other Energy-Related Purchases
Derivative Instruments, Gain (Loss) [Line Items]
Amount of Gain (Loss) Reclassified From AOCI to Income			(1)
Virginia Electric and Power Company | Interest rate
Derivative Instruments, Gain (Loss) [Line Items]
Amount of Gain (Loss) Recognized in AOCI on Derivatives (Effective Portion)	[4],[6]	(14)	(6)
Amount of Gain (Loss) Reclassified From AOCI to Income	[6]	0	0
Increase (Decrease) in Derivatives Subject to Regulatory Treatment	[5],[6]	(133)	(49)
Dominion Gas Holdings, LLC
Derivative Instruments, Gain (Loss) [Line Items]
Amount of Gain (Loss) Recognized in AOCI on Derivatives (Effective Portion)	[7]	(10)	(6)
Amount of Gain (Loss) Reclassified From AOCI to Income		4	0
Dominion Gas Holdings, LLC | Commodity
Derivative Instruments, Gain (Loss) [Line Items]
Amount of Gain (Loss) Recognized in AOCI on Derivatives (Effective Portion)	[7]	(1)	(2)
Amount of Gain (Loss) Reclassified From AOCI to Income		4	0
Dominion Gas Holdings, LLC | Commodity | Operating revenue
Derivative Instruments, Gain (Loss) [Line Items]
Amount of Gain (Loss) Reclassified From AOCI to Income		4	0
Dominion Gas Holdings, LLC | Interest rate
Derivative Instruments, Gain (Loss) [Line Items]
Amount of Gain (Loss) Recognized in AOCI on Derivatives (Effective Portion)	[7],[8]	(9)	(4)
Amount of Gain (Loss) Reclassified From AOCI to Income	[8]	$ 0	$ 0

[1] Amounts deferred into AOCI have no associated effect in Dominion’s Consolidated Statements of Income.

[2] Represents net derivative activity deferred into and amortized out of regulatory assets/liabilities. Amounts deferred into regulatory assets/liabilities have no associated effect in Dominion’s Consolidated Statements of Income.

[3] Amounts recorded in Dominion’s Consolidated Statements of Income are classified in interest and related charges.

[4] Amounts deferred into AOCI have no associated effect in Virginia Power’s Consolidated Statements of Income.

[5] Represents net derivative activity deferred into and amortized out of regulatory assets/liabilities. Amounts deferred into regulatory assets/liabilities have no associated effect in Virginia Power’s Consolidated Statements of Income.

[6] Amounts recorded in Virginia Power’s Consolidated Statements of Income are classified in interest and related charges.

[7] Amounts deferred into AOCI have no associated effect in Dominion Gas' Consolidated Statements of Income.

[8] Amounts recorded in Dominion Gas' Consolidated Statements of Income are classified in interest and related charges.

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Derivatives and Hedge Accounting Activities (Schedule of Derivatives not Designated as Hedging Instruments) (Details) - Derivatives Not Designated as Hedging Instruments - USD ($) $ in Millions		3 Months Ended
		Mar. 31, 2016	Mar. 31, 2015
Derivative Instruments, Gain (Loss) [Line Items]
Amount of Gain (Loss) Recognized in Income on Derivatives	[1]	$ (21)	$ 7
Commodity | Operating revenue
Derivative Instruments, Gain (Loss) [Line Items]
Amount of Gain (Loss) Recognized in Income on Derivatives	[1]	2	3
Commodity | Purchased gas
Derivative Instruments, Gain (Loss) [Line Items]
Amount of Gain (Loss) Recognized in Income on Derivatives	[1]	0	(2)
Commodity | Electric fuel and other energy-related purchases
Derivative Instruments, Gain (Loss) [Line Items]
Amount of Gain (Loss) Recognized in Income on Derivatives	[1]	(23)	6
Virginia Electric and Power Company
Derivative Instruments, Gain (Loss) [Line Items]
Amount of Gain (Loss) Recognized in Income on Derivatives	[2]	(20)	7
Virginia Electric and Power Company | Commodity
Derivative Instruments, Gain (Loss) [Line Items]
Amount of Gain (Loss) Recognized in Income on Derivatives	[2],[3]	$ (20)	$ 7

[1] Includes derivative activity amortized out of regulatory assets/liabilities. Amounts deferred into regulatory assets/liabilities have no associated effect in Dominion’s Consolidated Statements of Income.

[2] Includes derivative activity amortized out of regulatory assets/liabilities. Amounts deferred into regulatory assets/liabilities have no associated effect in Virginia Power’s Consolidated Statements of Income.

[3] Amounts recorded in Virginia Power's Consolidated Statements of Income are classified in electric fuel and other energy-related purchases.

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Investments (Narrative) (Details) - USD ($) $ in Millions	1 Months Ended	3 Months Ended
	May. 31, 2016	Mar. 31, 2016	Mar. 31, 2015	Dec. 31, 2015
Gain (Loss) on Investments [Line Items]
Investment in equity method affiliates		$ 1,346		$ 1,320	[1]
Dominion Gas Holdings, LLC | Iroquois | Partnership Interest
Gain (Loss) on Investments [Line Items]
Equity in earnings on investments		6	$ 8
Distributions received from investment		6	$ 12
Investment in equity method affiliates		102		102
Carrying amount of investment that exceeded share of underlying equity		8		8
Dominion Gas Holdings, LLC | Iroquois | Partnership Interest | Subsequent Event | Scenario, Forecast
Gain (Loss) on Investments [Line Items]
Percentage of non-controlling interests sold	0.65%
Sales price	$ 7
Gain on sale of interests	5
After tax gain on sale of interests	$ 3
Categories of Investments, Marketable Securities, Trading Securities
Gain (Loss) on Investments [Line Items]
Assets Held-in-trust		$ 98		$ 100

[1] Dominion’s Consolidated Balance Sheet at December 31, 2015 has been derived from the audited Consolidated Financial Statements at that date.

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Investments (Marketable Equity and Debt Securities and Cash Equivalents (Classified as Available-for-sale) and Cost Method Investments in Decommissioning Trust Funds) (Details) - USD ($)		Mar. 31, 2016	Dec. 31, 2015
Investment Holdings [Line Items]
Amortized Cost, Total		$ 2,953,000,000	$ 2,936,000,000
Total Unrealized Gains	[1]	1,289,000,000	1,258,000,000
Total Unrealized Losses	[1],[2]	(3,000,000)	(11,000,000)
Fair Value		4,239,000,000	4,183,000,000	[3]
Net assets related to pending sales and purchases of securities		2,000,000	12,000,000
Fair value of securities in an unrealized loss position		151,000,000	592,000,000
Cost method investments
Investment Holdings [Line Items]
Amortized Cost, Other Investments		70,000,000	70,000,000
Total Unrealized Gains	[1]	0	0
Total Unrealized Losses	[1]	0	0
Fair Value		70,000,000	70,000,000
Cash equivalents and other
Investment Holdings [Line Items]
Amortized Cost, Other Investments	[4]	4,000,000	14,000,000
Total Unrealized Gains	[1],[4]	0	0
Total Unrealized Losses	[1],[4]	0	0
Fair Value	[4]	4,000,000	14,000,000
Equity securities | Large cap | U.S.:
Investment Holdings [Line Items]
Amortized Cost, Marketable Securities		1,317,000,000	1,295,000,000
Total Unrealized Gains	[1]	1,218,000,000	1,213,000,000
Total Unrealized Losses	[1]	0	0
Fair Value		2,535,000,000	2,508,000,000
Equity securities | REIT | U.S.:
Investment Holdings [Line Items]
Amortized Cost, Marketable Securities		60,000,000	59,000,000
Total Unrealized Gains	[1]	7,000,000	4,000,000
Total Unrealized Losses	[1]	0	0
Fair Value		67,000,000	63,000,000
Corporate bonds
Investment Holdings [Line Items]
Amortized Cost, Marketable Securities		448,000,000	433,000,000
Total Unrealized Gains	[1]	19,000,000	11,000,000
Total Unrealized Losses	[1]	(3,000,000)	(7,000,000)
Fair Value		464,000,000	437,000,000
U.S. Treasury securities and agency debentures
Investment Holdings [Line Items]
Amortized Cost, Marketable Securities		650,000,000	654,000,000
Total Unrealized Gains	[1]	20,000,000	8,000,000
Total Unrealized Losses	[1]	0	(4,000,000)
Fair Value		670,000,000	658,000,000
State and municipal
Investment Holdings [Line Items]
Amortized Cost, Marketable Securities		308,000,000	312,000,000
Total Unrealized Gains	[1]	25,000,000	22,000,000
Total Unrealized Losses	[1]	0	0
Fair Value		333,000,000	334,000,000
Other
Investment Holdings [Line Items]
Amortized Cost, Marketable Securities		96,000,000	99,000,000
Total Unrealized Gains	[1]	0	0
Total Unrealized Losses	[1]	0	0
Fair Value		96,000,000	99,000,000
Virginia Electric and Power Company
Investment Holdings [Line Items]
Amortized Cost, Total		1,417,000,000	1,404,000,000
Total Unrealized Gains	[5]	564,000,000	548,000,000
Total Unrealized Losses	[5],[6]	(1,000,000)	(7,000,000)
Fair Value		1,980,000,000	1,945,000,000	[7]
Net assets related to pending sales and purchases of securities		0	8,000,000
Fair value of securities in an unrealized loss position		91,000,000	281,000,000
Virginia Electric and Power Company | Cost method investments
Investment Holdings [Line Items]
Amortized Cost, Other Investments		70,000,000	70,000,000
Total Unrealized Gains	[5]	0	0
Total Unrealized Losses	[5]	0	0
Fair Value		70,000,000	70,000,000
Virginia Electric and Power Company | Cash equivalents and other
Investment Holdings [Line Items]
Amortized Cost, Other Investments	[8]		8,000,000
Total Unrealized Gains	[5],[8]		0
Total Unrealized Losses	[5],[8]		0
Fair Value	[8]		8,000,000
Virginia Electric and Power Company | Equity securities | Large cap | U.S.:
Investment Holdings [Line Items]
Amortized Cost, Marketable Securities		583,000,000	574,000,000
Total Unrealized Gains	[5]	529,000,000	525,000,000
Total Unrealized Losses	[5]	0	0
Fair Value		1,112,000,000	1,099,000,000
Virginia Electric and Power Company | Equity securities | REIT | U.S.:
Investment Holdings [Line Items]
Amortized Cost, Marketable Securities		60,000,000	59,000,000
Total Unrealized Gains	[5]	7,000,000	4,000,000
Total Unrealized Losses	[5]	0	0
Fair Value		67,000,000	63,000,000
Virginia Electric and Power Company | Corporate bonds
Investment Holdings [Line Items]
Amortized Cost, Marketable Securities		242,000,000	237,000,000
Total Unrealized Gains	[5]	9,000,000	5,000,000
Total Unrealized Losses	[5]	(1,000,000)	(4,000,000)
Fair Value		250,000,000	238,000,000
Virginia Electric and Power Company | U.S. Treasury securities and agency debentures
Investment Holdings [Line Items]
Amortized Cost, Marketable Securities		257,000,000	260,000,000
Total Unrealized Gains	[5]	6,000,000	1,000,000
Total Unrealized Losses	[5]	0	(2,000,000)
Fair Value		263,000,000	259,000,000
Virginia Electric and Power Company | State and municipal
Investment Holdings [Line Items]
Amortized Cost, Marketable Securities		159,000,000	162,000,000
Total Unrealized Gains	[5]	13,000,000	13,000,000
Total Unrealized Losses	[5]	0	(1,000,000)
Fair Value		172,000,000	174,000,000
Virginia Electric and Power Company | Other
Investment Holdings [Line Items]
Amortized Cost, Marketable Securities		46,000,000	34,000,000
Total Unrealized Gains	[5]	0	0
Total Unrealized Losses	[5]	0	0
Fair Value		$ 46,000,000	$ 34,000,000

[1] Included in AOCI and the nuclear decommissioning trust regulatory liability.

[2] The fair value of securities in an unrealized loss position was $151 million and $592 million at March 31, 2016 and December 31, 2015, respectively.

[3] Dominion’s Consolidated Balance Sheet at December 31, 2015 has been derived from the audited Consolidated Financial Statements at that date.

[4] Includes pending sales of securities of $2 million and $12 million at March 31, 2016 and December 31, 2015, respectively.

[5] Included in AOCI and the nuclear decommissioning trust regulatory liability.

[6] The fair value of securities in an unrealized loss position was $91 million and $281 million at March 31, 2016 and December 31, 2015, respectively.

[7] Virginia Power’s Consolidated Balance Sheet at December 31, 2015 has been derived from the audited Consolidated Financial Statements at that date.

[8] Includes pending sales of securities of $8 million at December 31, 2015. There were no pending sales of securities at March 31, 2016.

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Investments (Fair Value of our Marketable Debt Securities by Contractual Maturity) (Details) $ in Millions	Mar. 31, 2016 USD ($)
Schedule of Held-to-maturity Securities [Line Items]
Due in one year or less	$ 211
Due after one year through five years	423
Due after five years through ten years	380
Due after ten years	549
Total	1,563
Virginia Electric and Power Company
Schedule of Held-to-maturity Securities [Line Items]
Due in one year or less	74
Due after one year through five years	191
Due after five years through ten years	196
Due after ten years	270
Total	$ 731

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Investments (Selected Information Regarding Marketable Equity and Debt Securities) (Details) - USD ($) $ in Millions		3 Months Ended
		Mar. 31, 2016	Mar. 31, 2015
Available-for-sale securities:
Proceeds from sales		$ 368	$ 337
Realized gains	[1]	25	56
Realized losses	[1]	19	17
Virginia Electric and Power Company
Available-for-sale securities:
Proceeds from sales		193	133
Realized gains	[2]	12	18
Realized losses	[2]	$ 10	$ 11

[1] Includes realized gains and losses recorded to the nuclear decommissioning trust regulatory liability.

[2] Includes realized gains and losses recorded to the nuclear decommissioning trust regulatory liability.

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Regulatory Assets and Liabilities (Details) - USD ($) $ in Millions		3 Months Ended
		Mar. 31, 2016	Dec. 31, 2015
Regulatory Assets and Liablities [Line Items]
Deferred rate adjustment clause costs	[1]	$ 109	$ 90
Deferred cost of fuel used in electric generation	[2]	103	111
Deferred nuclear refueling outage costs	[3]	77	75
Other		62	75
Regulatory assets current	[4]	351	351
Unrecognized pension and other postretirement benefit costs	[5]	1,004	1,015
Deferred rate adjustment clause costs	[1]	255	295
Derivatives	[6]	245	110
PJM transmission rates	[7]	192	192
Income taxes recoverable through future rates	[8]	132	126
Other		149	127
Regulatory assets-non-current		1,977	1,865	[9]
Total regulatory assets		2,328	2,216
PIPP	[10]	30	46
Other		45	54
Regulatory liabilities current	[11]	75	100
Provision for future cost of removal and AROs	[12]	1,132	1,120
Nuclear decommissioning trust	[13]	822	804
Deferred cost of fuel used in electric generation	[2]	129	97
Derivatives	[6]	94	79
Other		177	185
Regulatory liabilities-non-current		2,354	2,285	[9]
Total regulatory liabilities		$ 2,429	2,385
Amortization period for deferred costs		18 months
Virginia Electric and Power Company
Regulatory Assets and Liablities [Line Items]
Deferred rate adjustment clause costs	[1]	$ 106	80
Deferred cost of fuel used in electric generation	[2]	103	111
Deferred nuclear refueling outage costs	[3]	77	75
Other		57	60
Regulatory assets current		343	326	[14]
Deferred rate adjustment clause costs	[1]	170	213
Derivatives	[6]	245	110
PJM transmission rates	[7]	192	192
Income taxes recoverable through future rates	[8]	102	97
Other		66	55
Regulatory assets-non-current		775	667	[14]
Total regulatory assets		1,118	993
Other		19	35
Regulatory liabilities current	[11]	19	35
Nuclear decommissioning trust	[13]	822	804
Deferred cost of fuel used in electric generation	[2]	129	97
Derivatives	[6]	94	79
Provision for future cost of removal	[12]	899	890
Other		52	59
Regulatory liabilities-non-current		1,996	1,929	[14]
Total regulatory liabilities		2,015	1,964
Dominion Gas Holdings, LLC
Regulatory Assets and Liablities [Line Items]
Deferred rate adjustment clause costs	[1]	3	10
Other		2	13
Regulatory assets current	[4]	5	23
Unrecognized pension and other postretirement benefit costs	[5]	280	282
Deferred rate adjustment clause costs	[1]	85	82
Income taxes recoverable through future rates	[8]	20	20
Other		75	65
Regulatory assets-non-current	[15]	460	449
Total regulatory assets		465	472
PIPP	[10]	30	46
Other		19	9
Regulatory liabilities current	[11]	49	55
Provision for future cost of removal and AROs	[12]	172	170
Other		35	31
Regulatory liabilities-non-current	[16]	207	201
Total regulatory liabilities		$ 256	$ 256

[1] Reflects deferrals under the electric transmission FERC formula rate and the deferral of costs associated with certain current and prospective rider projects for Virginia Power. Reflects deferrals of costs associated with certain current and prospective rider projects for Dominion Gas. See Note 12 for more information.

[2] Primarily reflects deferred fuel expenses for the Virginia jurisdiction of Dominion's and Virginia Power's generation operations. See Note 12 for more information.

[3] Legislation enacted in Virginia in April 2014 requires Virginia Power to defer operation and maintenance costs incurred in connection with the refueling of any nuclear-powered generating plant. These deferred costs will be amortized over the refueling cycle, not to exceed 18 months.

[4] Current regulatory assets are presented in other current assets in Dominion's and Dominion Gas' Consolidated Balance Sheets.

[5] Represents unrecognized pension and other postretirement employee benefit costs expected to be recovered through future rates generally over the expected remaining service period of plan participants by certain of Dominion's and Dominion Gas' rate-regulated subsidiaries.

[6] For jurisdictions subject to cost-based rate regulation, changes in the fair value of derivative instruments result in the recognition of regulatory assets or regulatory liabilities as they are expected to be recovered from or refunded to customers.

[7] Reflects amounts related to PJM transmission cost allocation matter. See Note 12 for more information.

[8] Amounts to be recovered through future rates to pay income taxes that become payable when rate revenue is provided to recover AFUDC-equity and depreciation of property, plant and equipment for which deferred income taxes were not recognized for ratemaking purposes, including amounts attributable to tax rate changes.

[9] Dominion’s Consolidated Balance Sheet at December 31, 2015 has been derived from the audited Consolidated Financial Statements at that date.

[10] Under PIPP, eligible customers can make reduced payments based on their ability to pay. The difference between the customer's total bill and the PIPP plan amount is deferred and collected or returned annually under the PIPP rate adjustment clause according to East Ohio tariff provisions.

[11] Current regulatory liabilities are presented in other current liabilities in the Companies' Consolidated Balance Sheets.

[12] Rates charged to customers by the Companies' regulated businesses include a provision for the cost of future activities to remove assets that are expected to be incurred at the time of retirement.

[13] Primarily reflects a regulatory liability representing amounts collected from Virginia jurisdictional customers and placed in external trusts (including income, losses and changes in fair value thereon) for the future decommissioning of Virginia Power's utility nuclear generation stations, in excess of the related AROs.

[14] Virginia Power’s Consolidated Balance Sheet at December 31, 2015 has been derived from the audited Consolidated Financial Statements at that date.

[15] Noncurrent regulatory assets are presented in other deferred charges and other assets in Dominion Gas' Consolidated Balance Sheets.

[16] Noncurrent regulatory liabilities are presented in other deferred credits and other liabilities in Dominion Gas' Consolidated Balance Sheets.

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Regulatory Assets and Liabilities (Narrative) (Details) $ in Millions	3 Months Ended
	Mar. 31, 2016 USD ($)
Public Utilities, General Disclosures [Line Items]
Regulatory assets past expenditures not earning return	$ 289
Period for which expenditures are expected to be recovered	2 years
Virginia Electric and Power Company
Public Utilities, General Disclosures [Line Items]
Regulatory assets past expenditures not earning return	$ 269
Dominion Gas Holdings, LLC
Public Utilities, General Disclosures [Line Items]
Regulatory assets past expenditures not earning return	$ 18

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Regulatory Matters (Narrative) (Details) MMBTU in Thousands, customer in Millions	1 Months Ended												3 Months Ended	12 Months Ended
	May. 31, 2016 USD ($)	Apr. 30, 2016 USD ($) Program	Mar. 31, 2016 USD ($)	Feb. 29, 2016 USD ($)	Dec. 31, 2015 USD ($)	Feb. 28, 2015 Test_Period	Jan. 31, 2015 USD ($) MW	May. 31, 2012 USD ($)	Mar. 31, 2010 USD ($)	Aug. 31, 2009 kV	Apr. 30, 2008	Apr. 30, 2007 kV	Mar. 31, 2016 USD ($) Power_Station	Dec. 31, 2014 USD ($) MMBTU Agreement	Dec. 31, 2013 USD ($) MMBTU	Dec. 31, 2008	Dec. 31, 2007 customer
Regulatory Matters [Line Items]
Regulatory asset			$ 2,328,000,000		$ 2,216,000,000								$ 2,328,000,000
Virginia Electric and Power Company
Regulatory Matters [Line Items]
ROE (percentage)											11.40%
Costs claimed to be unjust and excluded from transmission formula rate									$ 223,000,000
Potential settlement required annual payment for 10 Years								$ 250,000
Period for annual settlement payment								10 years
Facility operating capacity (kV) | kV										500		500
Regulatory asset			$ 1,118,000,000		993,000,000								$ 1,118,000,000
Virginia Electric and Power Company | Virginia Regulation
Regulatory Matters [Line Items]
Capacity of solar facility (mw) | MW							20
Virginia Electric and Power Company | Virginia Regulation | February 2015 Regulation Act Legislation
Regulatory Matters [Line Items]
ROE (percentage)				9.60%
Number of test periods | Test_Period						5
Virginia Electric and Power Company | Virginia Regulation | Rider S
Regulatory Matters [Line Items]
ROE (percentage)				10.60%
Approved revenue required				$ 251,000,000
Virginia Electric and Power Company | Virginia Regulation | Rider S | February 2015 Regulation Act Legislation
Regulatory Matters [Line Items]
ROE (percentage)				10.60%
Virginia Electric and Power Company | Virginia Regulation | Rider R
Regulatory Matters [Line Items]
ROE (percentage)				10.60%
Approved revenue required				$ 74,000,000
Virginia Electric and Power Company | Virginia Regulation | Rider R | February 2015 Regulation Act Legislation
Regulatory Matters [Line Items]
ROE (percentage)				10.60%
Virginia Electric and Power Company | Virginia Regulation | Rider W
Regulatory Matters [Line Items]
ROE (percentage)				10.60%
Approved revenue required				$ 118,000,000
Virginia Electric and Power Company | Virginia Regulation | Rider W | February 2015 Regulation Act Legislation
Regulatory Matters [Line Items]
ROE (percentage)				10.60%
Virginia Electric and Power Company | Virginia Regulation | Rider B
Regulatory Matters [Line Items]
ROE (percentage)				11.60%
Approved revenue required				$ 30,000,000
Number of power stations converted to biomass | Power_Station													3
Virginia Electric and Power Company | Virginia Regulation | Rider B | February 2015 Regulation Act Legislation
Regulatory Matters [Line Items]
ROE (percentage)				11.60%
Virginia Electric and Power Company | Virginia Regulation | Rider GV
Regulatory Matters [Line Items]
ROE (percentage)			9.60%
Approved revenue required			$ 40,000,000
Virginia Electric and Power Company | Virginia Regulation | Solar Development Project | Rider US-1
Regulatory Matters [Line Items]
Total estimated cost							$ 47,000,000
Virginia Electric and Power Company | Virginia Regulation | Subsequent Event | Riders C1A and C2A
Regulatory Matters [Line Items]
Approved revenue required		$ 46,000,000
Number of approved new energy efficiency programs | Program		1
Virginia Electric and Power Company | Virginia Regulation | Subsequent Event | Riders C1A and C2A | February 2015 Regulation Act Legislation
Regulatory Matters [Line Items]
ROE (percentage)		9.60%
Virginia Electric and Power Company | Virginia Regulation | Scenario, Forecast | Subsequent Event
Regulatory Matters [Line Items]
Amount of recovery of projected fuel expenses	$ 1,400,000,000
Amount of fuel revenue decrease	286,000,000
Virginia Electric and Power Company | Virginia Regulation | Scenario, Forecast | Subsequent Event | Rider T1
Regulatory Matters [Line Items]
Revenue requirement increase (decrease)	(29,000,000)
Projected revenue requirement	$ 639,000,000
Virginia Electric and Power Company | North Carolina Regulation
Regulatory Matters [Line Items]
ROE (percentage)			10.20%
Revenue requirement increase (decrease)			$ 51,000,000
Earned return percentage			5.06%
Earned ROE percentage if Virginia Commission accepted all proposed adjustments			10.50%
Virginia Electric and Power Company | North Carolina Regulation | Minimum
Regulatory Matters [Line Items]
Current cost of equity percentage			10.25%
Virginia Electric and Power Company | North Carolina Regulation | Maximum
Regulatory Matters [Line Items]
Current cost of equity percentage			10.75%
Virginia Electric and Power Company | North Carolina Regulation | Revenue Subject to Refund
Regulatory Matters [Line Items]
Period of implementation of new lower fuel rate			2 years
Virginia Electric and Power Company | FERC Gas Regulation | Order Regarding Transmission Rate Design for Allocation of Costs among PJM Interconnect LLC Transmission Customers | Unfavorable Regulatory Action | Settled Litigation
Regulatory Matters [Line Items]
Amount required to pay under settlement agreement					$ 200,000,000
Duration of payment under settlement agreement					10 years
Virginia Electric and Power Company | FERC Gas Regulation | Order Regarding Transmission Rate Design for Allocation of Costs among PJM Interconnect LLC Transmission Customers | Unfavorable Regulatory Action | Regulatory asset recovered through retail rates | Settled Litigation
Regulatory Matters [Line Items]
Regulatory asset					$ 192,000,000
Virginia Electric and Power Company | FERC Gas Regulation | Order Regarding Transmission Rate Design for Allocation of Costs among PJM Interconnect LLC Transmission Customers | Unfavorable Regulatory Action | Other deferred credits and other liabilities | Settled Litigation
Regulatory Matters [Line Items]
Amount of contingent liability					200,000,000
East Ohio | Ohio Regulation | PIR Program
Regulatory Matters [Line Items]
Percentage of pipeline system																25.00%
Gross plant investment				$ 1,000,000,000	171,000,000
Projected revenue requirement				131,000,000
East Ohio | Ohio Regulation | AMR Program
Regulatory Matters [Line Items]
Projected revenue requirement				$ 7,000,000
Number of customers | customer																	1.2
DCG | FERC Gas Regulation | New Market Project
Regulatory Matters [Line Items]
Expected cost															$ 159,000,000
Amount of firm transportation service provided per day (in Dths) | MMBTU															112
DCG | FERC Gas Regulation | Transco to Charleston Project
Regulatory Matters [Line Items]
Number of binding precedent agreements | Agreement														3
Expected cost														$ 120,000,000
Amount of firm transportation service provided per day (in Dths) | MMBTU														80
Dominion Gas Holdings, LLC
Regulatory Matters [Line Items]
Regulatory asset			$ 465,000,000		$ 472,000,000								$ 465,000,000
Dominion Gas Holdings, LLC | FERC Gas Regulation | Subsequent Event | Authorization to Abandon by Sale Gathering and Processing Facilities | Gas Gathering and Processing Facilities
Regulatory Matters [Line Items]
Carrying value of gathering and processing facilities		$ 430,000,000

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Variable Interest Entities (Narrative) (Details) $ in Millions	3 Months Ended		12 Months Ended
	Mar. 31, 2016 USD ($) MW generator	Mar. 31, 2015 USD ($)	Dec. 31, 2015 generator
Dominion Midstream Partners, LP
Variable Interest Entities [Line Items]
Ownership interest percentage of limited partner interests	64.60%
Variable Interest Entity, Primary Beneficiary | Partnership Interest | Merchant Solar Projects
Variable Interest Entities [Line Items]
Ownership percentage	67.00%
Variable Interest Entity, Primary Beneficiary | Dominion Midstream Partners, LP | Partnership Interest
Variable Interest Entities [Line Items]
Ownership interest percentage of limited partner interests	64.60%
Variable Interest Entity, Not Primary Beneficiary | Jointly Owned Natural Gas Pipeline | Atlantic Coast Pipeline | Pipelines | Gas Distribution
Variable Interest Entities [Line Items]
Ownership percentage	45.00%
Variable Interest Entity, Not Primary Beneficiary | Virginia Electric and Power Company
Variable Interest Entities [Line Items]
Long term capacity contract non utility generators (generators) | generator	3		5
Number of expired non-utility generators | generator			2
Aggregate generation capacity from long-term power and capacity contracts (MW) | MW	418
Remaining purchase commitments	$ 394
Payment for electric capacity	37	$ 53
Payment for electric energy	7	37
Shared services purchased	$ 114	83
Variable Interest Entity, Not Primary Beneficiary | Virginia Electric and Power Company | Minimum
Variable Interest Entities [Line Items]
Contracts expiry date start range	2017
Variable Interest Entity, Not Primary Beneficiary | Virginia Electric and Power Company | Maximum
Variable Interest Entities [Line Items]
Contracts expiry date start range	2021
Variable Interest Entity, Not Primary Beneficiary | Dominion Gas Holdings, LLC
Variable Interest Entities [Line Items]
Shared services purchased	$ 35	$ 28

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Significant Financing Transactions (Narrative) (Details)			1 Months Ended		3 Months Ended
	Apr. 01, 2016 shares	Jan. 31, 2016 USD ($)	Apr. 30, 2016 USD ($) shares	Dec. 31, 2014 USD ($) Agreement	Mar. 31, 2016 USD ($) Facility	Mar. 31, 2015 USD ($)	Jun. 07, 2013 USD ($)
Debt Instrument [Line Items]
Issuance of common stock					$ 75,000,000	$ 295,000,000
Questar Corporation
Debt Instrument [Line Items]
Liabilities incurred		$ 3,900,000,000
Shelf Registration for Sale of Common Stock through At-the-market Program
Debt Instrument [Line Items]
Number of sales agency agreements | Agreement				4
Aggregate amount of common stock in which the company may offer under SEC shelf registration (up to $500 million)				$ 500,000,000
Common stock reserved for issuance in connection with stock purchase contracts					$ 200,000,000
Subsequent Event | Questar Corporation
Debt Instrument [Line Items]
Liabilities incurred			$ 3,140,000,000
Subsequent Event | Underwritten Public Offering
Debt Instrument [Line Items]
Number of common units issued | shares			10,200,000
Issuance of common stock			$ 756,000,000
Remarketable Subordinated Notes | 2013 Series A RSNs
Debt Instrument [Line Items]
Amount of debt							$ 550,000,000
Interest rate percentage							1.07%
Remarketable Subordinated Notes | 2013 Series A RSNs | Subsequent Event
Debt Instrument [Line Items]
Number of shares issued | shares	8,500,000.0		8,500,000.0
Enhanced Junior Subordinated Notes | Series A Junior Subordinated Notes
Debt Instrument [Line Items]
Interest rate percentage					4.104%
Enhanced Junior Subordinated Notes | June 2006 hybrids
Debt Instrument [Line Items]
Amount purchased and cancelled					$ 38,000,000
Enhanced Junior Subordinated Notes | September 2006 hybrids
Debt Instrument [Line Items]
Amount purchased and cancelled					$ 4,000,000
Virginia Electric and Power Company
Debt Instrument [Line Items]
Number of joint revolving credit facilities | Facility					2
Credit facility					$ 120,000,000
Virginia Electric and Power Company | Tax Exempt Debt
Debt Instrument [Line Items]
Variable rate tax-exempt financings					$ 119,000,000
Dominion Gas Holdings, LLC
Debt Instrument [Line Items]
Number of joint revolving credit facilities | Facility					2

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Significant Financing Transactions (Commercial Paper, Bank Loans and Letters of Credit Outstanding) (Details) - USD ($)		Mar. 31, 2016	Mar. 01, 2016
Line of Credit Facility [Line Items]
Facility Limit		$ 5,500,000,000
Outstanding Commercial Paper		3,028,000,000
Outstanding Letters of Credit		57,000,000
Facility Capacity Available		2,415,000,000
Virginia Electric and Power Company
Line of Credit Facility [Line Items]
Facility Limit	[1]	5,500,000,000
Outstanding Commercial Paper		1,276,000,000
Outstanding Letters of Credit		0
Dominion Gas Holdings, LLC
Line of Credit Facility [Line Items]
Facility Limit	[2]	1,500,000,000
Outstanding Commercial Paper		403,000,000
Outstanding Letters of Credit		0
Joint Revolving Credit Facility 4 Billion and Joint Revolving Credit Facility 500 Million | Virginia Electric and Power Company
Line of Credit Facility [Line Items]
Facility Limit		2,000,000,000.0	$ 1,750,000,000.00
Joint Revolving Credit Facility 4 Billion and Joint Revolving Credit Facility 500 Million | Dominion Gas Holdings, LLC
Line of Credit Facility [Line Items]
Facility Limit		1,500,000,000.0
Joint Revolving Credit Facility 4 Billion and Joint Revolving Credit Facility 500 Million | Line of Credit | Dominion Gas Holdings, LLC
Line of Credit Facility [Line Items]
Facility Limit		1,000,000,000.0
Joint Revolving Credit Facility 4 Billion and Joint Revolving Credit Facility 500 Million | Letter of Credit
Line of Credit Facility [Line Items]
Facility Limit		2,000,000,000.0
Joint Revolving Credit Facility 4 Billion and Joint Revolving Credit Facility 500 Million | Letter of Credit | Virginia Electric and Power Company
Line of Credit Facility [Line Items]
Facility Limit		2,000,000,000.0
Joint Revolving Credit Facility 4 Billion and Joint Revolving Credit Facility 500 Million | Letter of Credit | Dominion Gas Holdings, LLC
Line of Credit Facility [Line Items]
Facility Limit		1,500,000,000.0
Credit Facility 4 Billion
Line of Credit Facility [Line Items]
Facility Limit	[3]	5,000,000,000
Outstanding Commercial Paper	[3]	3,028,000,000
Outstanding Letters of Credit	[3]	0
Facility Capacity Available	[3]	1,972,000,000
Credit Facility 4 Billion | Virginia Electric and Power Company
Line of Credit Facility [Line Items]
Facility Limit	[1]	5,000,000,000
Outstanding Commercial Paper	[1]	1,276,000,000
Outstanding Letters of Credit	[1]	0
Credit Facility 4 Billion | Dominion Gas Holdings, LLC
Line of Credit Facility [Line Items]
Facility Limit	[2]	1,000,000,000
Outstanding Commercial Paper	[2]	403,000,000
Outstanding Letters of Credit	[2]	0
Credit Facility 500 Million
Line of Credit Facility [Line Items]
Facility Limit	[3]	500,000,000
Outstanding Commercial Paper	[3]	0
Outstanding Letters of Credit	[3]	57,000,000
Facility Capacity Available	[3]	443,000,000
Credit Facility 500 Million | Virginia Electric and Power Company
Line of Credit Facility [Line Items]
Facility Limit	[1]	500,000,000
Outstanding Commercial Paper	[1]	0
Outstanding Letters of Credit	[1]	0
Credit Facility 500 Million | Dominion Gas Holdings, LLC
Line of Credit Facility [Line Items]
Facility Limit	[2]	500,000,000
Outstanding Commercial Paper	[2]	0
Outstanding Letters of Credit	[2]	$ 0

[1] The full amount of the facilities is available to Virginia Power, less any amounts outstanding to co-borrowers Dominion and Dominion Gas. Sub-limits for Virginia Power are set within the facility limit but can be changed at the option of the Companies multiple times per year. In March 2016, the aggregate sub-limit for Virginia Power was increased from $1.75 billion to $2.0 billion. If Virginia Power has liquidity needs in excess of its sub-limit, the sub-limit may be changed or such needs may be satisfied through short-term intercompany borrowings from Dominion. These credit facilities mature in April 2019, and can be used to support bank borrowings and the issuance of commercial paper, as well as to support up to $2.0 billion (or the sub-limit, whichever is less) of letters of credit.

[2] A maximum of a combined $1.5 billion of the facilities is available to Dominion Gas, assuming adequate capacity is available after giving effect to uses by co-borrowers Dominion and Virginia Power. Sub-limits for Dominion Gas are set within the facility limit but can be changed at the option of the Companies multiple times per year. At March 31, 2016, the aggregate sub-limit for Dominion Gas was $1.0 billion. If Dominion Gas has liquidity needs in excess of its sub-limit, the sub-limit may be changed or such needs may be satisfied through short-term intercompany borrowings from Dominion. These credit facilities mature in April 2019, and can be used to support bank borrowings and the issuance of commercial paper, as well as to support up to $1.5 billion (or the sub-limit, whichever is less) of letters of credit.

[3] These credit facilities mature in April 2019, and can be used to support bank borrowings and the issuance of commercial paper, as well as to support up to a combined $2.0 billion of letters of credit.

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Commitments and Contingencies (Narrative) (Details)	1 Months Ended										3 Months Ended		12 Months Ended	68 Months Ended
	Apr. 30, 2016 USD ($)	Oct. 31, 2015	Jun. 30, 2015 Party	Apr. 30, 2015 Facility	Dec. 31, 2014 USD ($)	Oct. 31, 2014 Facility	Jun. 30, 2014 Unit	Jul. 31, 2013 Unit	Sep. 30, 2011 Party	Jul. 31, 2011 State Group MW	Mar. 31, 2016 USD ($) Facility Party Site	Mar. 31, 2015 USD ($)	Dec. 31, 2015 USD ($) Party	Mar. 31, 2016 USD ($) Facility Site
Investments in and Advances to Affiliates [Line Items]
Extension period for MATS compliance							1 year
Number of coal fired generating units | Unit							2
Requested compliance extension under EPA Administrative Order		1 year
Amount company has spent for emission standards compliance											$ 1,497,000,000	$ 1,014,000,000
Maximum period for consideration of CO2 emissions from biomass projects										3 years
Number of parties issued UAO | Party									22
Daily civil penalties for non compliance											$ 37,500
Number of former manufactured gas plant sites | Site											17			17
Dominion Gas Holdings, LLC
Investments in and Advances to Affiliates [Line Items]
Amount company has spent for emission standards compliance											$ 161,000,000	128,000,000
Number of former manufactured gas plant sites | Site											12			12
Virginia Electric and Power Company
Investments in and Advances to Affiliates [Line Items]
Number of coal fired generating units | Unit								3
Amount company has spent for emission standards compliance											$ 604,000,000	$ 583,000,000
Number of former manufactured gas plant sites | Site											3			3
Virginia Electric and Power Company | Possum Point Power Station | Other Operations and Maintenance Expense
Investments in and Advances to Affiliates [Line Items]
Charge as a result of settlement offer					$ 121,000,000
Virginia Electric and Power Company | Facilities Subject to CCR Final Rule | Environmental Protection Agency Final Rule Regulating Management of CCRs | EPA
Investments in and Advances to Affiliates [Line Items]
Number of facilities with CCR | Facility				8
Obligations incurred during the period													$ 386,000,000
Virginia Electric and Power Company | Facilities Subject to CCR Final Rule | Environmental Protection Agency Final Rule Regulating Management of CCRs | EPA | Other Operations and Maintenance Expense
Investments in and Advances to Affiliates [Line Items]
Charge as a result of settlement offer													99,000,000
Virginia Electric and Power Company | Facilities Subject to CCR Final Rule | Environmental Protection Agency Final Rule Regulating Management of CCRs | ARO's | EPA
Investments in and Advances to Affiliates [Line Items]
Increase in property plant and equipment associated with asset retirement costs													166,000,000
Virginia Electric and Power Company | Facilities Subject to CCR Final Rule | Noncurrent Liabilities | Environmental Protection Agency Final Rule Regulating Management of CCRs | EPA
Investments in and Advances to Affiliates [Line Items]
Reduction in other current liabilities													$ 121,000,000
Virginia Electric and Power Company | Pending Litigation | Facilities Subject to CCR Final Rule | Environmental Protection Agency Final Rule Regulating Management of CCRs | EPA | Administrative Appeals in Circuit Court for City of Richmond
Investments in and Advances to Affiliates [Line Items]
Number of parties | Party													2
CAIR
Investments in and Advances to Affiliates [Line Items]
Number of states under EPA replacement rule | State										28
Emissions of fossil fuel fired electric generating units (MW) | MW										25
Number of groups of affected states | Group										2
Hazardous Air Pollutants Standards
Investments in and Advances to Affiliates [Line Items]
Amount company has spent for emission standards compliance														$ 2,000,000
CWA
Investments in and Advances to Affiliates [Line Items]
Number of facilities that may be subject to final regulations | Facility						14
CWA | Final Rule to Revise Effluent Limitations Guidelines for Steam Electric Power Generating Category | EPA
Investments in and Advances to Affiliates [Line Items]
Number of facilities that maybe subject to additional wastewater treatment requirements | Facility											8			8
CWA | Virginia Electric and Power Company
Investments in and Advances to Affiliates [Line Items]
Number of facilities that may be subject to final regulations | Facility						11
Unfavorable Regulatory Action | Virginia Electric and Power Company
Investments in and Advances to Affiliates [Line Items]
Preliminary costs for options under evaluation for site, minimum											$ 1,000,000			$ 1,000,000
Preliminary costs for options under evaluation for site, maximum											22,000,000			22,000,000
Breach of Contract Lawsuit | DTI | Pending Litigation
Investments in and Advances to Affiliates [Line Items]
Accrued liability for legal matter											$ 6,000,000			$ 6,000,000
Liquefaction Project | Cove Point | Pending Litigation
Investments in and Advances to Affiliates [Line Items]
Number of parties | Party											2
Liquefaction Project | Cove Point | Judicial Ruling
Investments in and Advances to Affiliates [Line Items]
Number of parties | Party			1
Subsequent Event
Investments in and Advances to Affiliates [Line Items]
Extension period for MATS compliance	1 year
Subsequent Event | Unfavorable Regulatory Action | Dominion Gas Holdings, LLC | Regulations to Reduce Nitrogen Oxide and Volatile Organic Compounds Emissions | Pennsylvania Department of Environmental Protection
Investments in and Advances to Affiliates [Line Items]
Estimated compliance costs	$ 25,000,000

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Commitments and Contingencies (Subsidiary Guarantees) (Details)	3 Months Ended
	Mar. 31, 2016 USD ($) guarantee Subsidiary
Commitments and Contingencies [Line Items]
Stated Limit	$ 6,250,000,000
Value	$ 1,350,000,000	[1]
Number of DEI subsidiaries | Subsidiary	2
Purchased surety bonds	$ 94,000,000
Authorized issuance of standby letters of credit	57,000,000
Minimum
Commitments and Contingencies [Line Items]
Annual future contributions	4,000,000
Maximum
Commitments and Contingencies [Line Items]
Annual future contributions	19,000,000
Third Party and Equity Method Investee
Commitments and Contingencies [Line Items]
Amount of civil penalty	73,000,000
Stated Limit	38,000,000
Cove Point
Commitments and Contingencies [Line Items]
Stated Limit	$ 150,000,000
Number of guarantees with no stated limit | guarantee	2
Number of guarantees | guarantee	1
Aggregate limit	$ 1,750,000,000
Annual draw limit	175,000,000
Subsidiary Debt
Commitments and Contingencies [Line Items]
Stated Limit	27,000,000	[2]
Value	27,000,000	[1],[2]
Commodity Transactions
Commitments and Contingencies [Line Items]
Stated Limit	2,136,000,000	[3]
Value	887,000,000	[1],[3]
Nuclear Obligations
Commitments and Contingencies [Line Items]
Stated Limit	189,000,000	[4]
Value	82,000,000	[1],[4]
Nuclear Obligations | Millstone
Commitments and Contingencies [Line Items]
Stated Limit	150,000,000
Nuclear Obligations | Kewaunee
Commitments and Contingencies [Line Items]
Stated Limit	60,000,000
Cove Point
Commitments and Contingencies [Line Items]
Stated Limit	1,900,000,000	[5]
Value	0	[1],[5]
Solar
Commitments and Contingencies [Line Items]
Stated Limit	1,565,000,000	[6]
Value	326,000,000	[1],[6]
Other
Commitments and Contingencies [Line Items]
Stated Limit	433,000,000	[7]
Value	28,000,000	[1],[7]
Through 2019 | Third Party and Equity Method Investee
Commitments and Contingencies [Line Items]
Stated Limit	45,000,000
Virginia Electric and Power Company
Commitments and Contingencies [Line Items]
Purchased surety bonds	34,000,000
Dominion Gas Holdings, LLC
Commitments and Contingencies [Line Items]
Purchased surety bonds	$ 23,000,000

[1] Represents the estimated portion of the guarantee's stated limit that is utilized as of March 31, 2016 based upon prevailing economic conditions and fact patterns specific to each guarantee arrangement. For those guarantees related to obligations that are recorded as liabilities by Dominion's subsidiaries, the value includes the recorded amount.

[2] Guarantee of debt of a DEI subsidiary. In the event of default by the subsidiary, Dominion would be obligated to repay such amounts.

[3] Guarantees related to commodity commitments of certain subsidiaries, including subsidiaries of Virginia Power, Dominion Gas and DEI. These guarantees were provided to counterparties in order to facilitate physical and financial transactions in gas, oil, electricity, pipeline capacity, transportation and related commodities and services. If any of these subsidiaries fail to perform or pay under the contracts and the counterparties seek performance or payment, Dominion would be obligated to satisfy such obligation. Dominion and its subsidiaries receive similar guarantees as collateral for credit extended to others. The value provided includes certain guarantees that do not have stated limits.

[4] Guarantees related to certain DEI subsidiaries' potential retrospective premiums that could be assessed if there is a nuclear incident under Dominion's nuclear insurance programs and guarantees for a DEI subsidiary's and Virginia Power's commitment to buy nuclear fuel. Excludes Dominion's agreement to provide up to $150 million and $60 million to two DEI subsidiaries to pay the operating expenses of Millstone nuclear power station (in the event of a prolonged outage) and Kewaunee nuclear power station, respectively, as part of satisfying certain NRC requirements concerned with ensuring adequate funding for the operations of nuclear power stations. The agreement for Kewaunee nuclear power station also provides for funds through the completion of decommissioning.

[5] Guarantees related to Cove Point, in support of terminal services, transportation and construction. Two of the guarantees have no stated limit, one guarantee has a $150 million limit, and one guarantee has a $1.75 billion aggregate limit with an annual draw limit of $175 million.

[6] Includes guarantees to facilitate the development of solar projects including guarantees that do not have stated limits. Also includes guarantees entered into by DEI on behalf of certain subsidiaries to facilitate the acquisition and development of solar projects.

[7] Guarantees related to other miscellaneous contractual obligations such as leases, environmental obligations and construction projects. Also includes guarantees related to certain DEI subsidiaries' obligations for equity capital contributions and energy generation associated with Fowler Ridge and NedPower. As of March 31, 2016, Dominion's maximum remaining cumulative exposure under these equity funding agreements is $45 million through 2019 and its maximum annual future contributions could range from approximately $4 million to $19 million. The value provided includes certain guarantees that do not have stated limits.

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Credit Risk (Narrative) (Details) $ in Millions	3 Months Ended
	Mar. 31, 2016 USD ($) Counterparty	Dec. 31, 2015 USD ($)
Concentration Risk and Guarantor Obligations [Line Items]
Gross credit exposure	$ 175
Number of counterparties | Counterparty	0
Additional collateral to be posted if the credit related contingent features were triggered	$ 7	$ 12
Aggregate fair value of all derivative instruments with credit contingent provisions that are in a liability position	$ 19	$ 49
Investment Grade | Investment grade counterparties
Concentration Risk and Guarantor Obligations [Line Items]
Concentration risk, percentage (percentage)	71.00%
Investment Grade | Counterparty, A
Concentration Risk and Guarantor Obligations [Line Items]
Amount of exposure for single counterparty	$ 30

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Related-Party Transactions (Details) - USD ($)		3 Months Ended
		Mar. 31, 2016	Mar. 31, 2015	Dec. 31, 2015
Related Party Transaction [Line Items]
Derivative Asset		$ 401,000,000		$ 388,000,000
Derivative Liabilities		430,000,000		343,000,000
Capital expenditures		1,497,000,000	$ 1,014,000,000
Virginia Electric and Power Company
Related Party Transaction [Line Items]
Derivative Asset		138,000,000		127,000,000
Derivative Liabilities		174,000,000		86,000,000
Commodity purchases from affiliates		145,000,000	252,000,000
Services provided by affiliates	[1]	140,000,000	110,000,000
Services provided to affiliates		5,000,000	5,000,000
Capital expenditures		604,000,000	583,000,000
Outstanding borrowings, net of repayments, under money pool for non-regulated subsidiaries		0		0
Virginia Electric and Power Company | Affiliate
Related Party Transaction [Line Items]
Derivative Asset		14,000,000		13,000,000
Derivative Liabilities		14,000,000		22,000,000
Virginia Electric and Power Company | Affiliate | Services provided by affiliates
Related Party Transaction [Line Items]
Capital expenditures		39,000,000	35,000,000
Virginia Electric and Power Company | Principal Owner
Related Party Transaction [Line Items]
Short term demand note		0		376,000,000
Virginia Electric and Power Company | Other deferred credits and other liabilities
Related Party Transaction [Line Items]
Amounts due to Dominion		336,000,000		316,000,000
Virginia Electric and Power Company | Other deferred charges and other assets
Related Party Transaction [Line Items]
Amounts due from Dominion		87,000,000		77,000,000
Dominion Gas Holdings, LLC
Related Party Transaction [Line Items]
Derivative Asset		6,000,000		11,000,000
Derivative Liabilities		23,000,000		14,000,000
Amounts due from Dominion	[2]	3,000,000		1,000,000
Commodity purchases from affiliates		3,000,000	2,000,000
Services provided by affiliates	[3]	27,000,000	20,000,000
Services provided to affiliates		17,000,000	18,000,000
Capital expenditures		161,000,000	128,000,000
Other receivables	[4]	8,000,000		7,000,000
Customer receivables from related parties		2,000,000		4,000,000
Affiliated notes receivable	[5]	15,000,000		14,000,000
Dominion Gas Holdings, LLC | Revolving Credit Facility | IRCA
Related Party Transaction [Line Items]
Borrowings under IRCA		40,000,000		95,000,000
Dominion Gas Holdings, LLC | Services provided by affiliates
Related Party Transaction [Line Items]
Commodity purchases from affiliates	[6]	39,000,000	34,000,000
Dominion Gas Holdings, LLC | Affiliate | Services provided by affiliates
Related Party Transaction [Line Items]
Capital expenditures		12,000,000	$ 13,000,000
Dominion Gas Holdings, LLC | Other deferred credits and other liabilities
Related Party Transaction [Line Items]
Amounts due to Dominion		1,000,000		2,000,000
Dominion Gas Holdings, LLC | Noncurrent Pension and Other Postretirement Benefit Assets
Related Party Transaction [Line Items]
Amounts due from Dominion, noncurrent		$ 663,000,000		$ 652,000,000

[1] Includes capitalized expenditures of $39 million and $35 million for the three months ended March 31, 2016 and 2015, respectively.

[2] Amounts are presented in other current assets in Dominion Gas' Consolidated Balance Sheets.

[3] Amounts primarily attributable to Atlantic Coast Pipeline.

[4] Represents amounts due from Atlantic Coast Pipeline, a related-party VIE.

[5] Amounts are presented in other deferred charges and other assets in Dominion Gas' Consolidated Balance Sheets.

[6] Includes capitalized expenditures of $12 million and $13 million for the three months ended March 31, 2016 and 2015, respectively.

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Employee Benefit Plans (Net Periodic Benefit Cost) (Details) - USD ($) $ in Millions	3 Months Ended
	Mar. 31, 2016	Mar. 31, 2015
Pension Benefits
Defined Benefit Plan Disclosure [Line Items]
Service cost	$ 29	$ 32
Interest cost	77	72
Expected return on plan assets	(139)	(133)
Amortization of prior service credit	0	0
Amortization of net actuarial loss	28	40
Net periodic benefit cost (credit)	(5)	11
Pension Benefits | Dominion Gas Holdings, LLC
Defined Benefit Plan Disclosure [Line Items]
Service cost	3	3
Interest cost	8	7
Expected return on plan assets	(33)	(31)
Amortization of net actuarial loss	3	5
Net periodic benefit cost (credit)	(19)	(16)
Other Postretirement Benefits
Defined Benefit Plan Disclosure [Line Items]
Service cost	8	10
Interest cost	17	17
Expected return on plan assets	(29)	(29)
Amortization of prior service credit	(7)	(7)
Amortization of net actuarial loss	1	1
Net periodic benefit cost (credit)	(10)	(8)
Other Postretirement Benefits | Dominion Gas Holdings, LLC
Defined Benefit Plan Disclosure [Line Items]
Service cost	1	2
Interest cost	3	3
Expected return on plan assets	(5)	(6)
Amortization of net actuarial loss	0	1
Net periodic benefit cost (credit)	$ (1)	$ 0

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Employee Benefit Plans (Narrative) (Details)	3 Months Ended
	Mar. 31, 2016 USD ($)
Defined Benefit Plan Disclosure [Line Items]
Contributions to defined benefit pension plans and OPEB plans	$ 0
Expected contribution to voluntary employees' beneficiary association	12,000,000
Dominion Gas Holdings, LLC
Defined Benefit Plan Disclosure [Line Items]
Contributions to defined benefit pension plans and OPEB plans	0
Expected contribution to voluntary employees' beneficiary association	12,000,000
Special Termination Benefits | Organizational Design Initiative
Defined Benefit Plan Disclosure [Line Items]
Organizational design initiative	70,000,000
Organizational design initiative, after tax	43,000,000
Special Termination Benefits | Organizational Design Initiative | Virginia Electric and Power Company
Defined Benefit Plan Disclosure [Line Items]
Organizational design initiative	40,000,000
Organizational design initiative, after tax	25,000,000
Special Termination Benefits | Organizational Design Initiative | Dominion Gas Holdings, LLC
Defined Benefit Plan Disclosure [Line Items]
Organizational design initiative	8,000,000
Organizational design initiative, after tax	$ 5,000,000

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Operating Segments (Narrative) (Details) - USD ($)	3 Months Ended
	Mar. 31, 2016	Mar. 31, 2015
Segment Reporting Information [Line Items]
After tax net expense	$ 2,039,000,000	$ 2,407,000,000
Operating Segments
Segment Reporting Information [Line Items]
After tax net expenses	38,000,000	45,000,000
Operating Segments | Organizational Design Initiative
Segment Reporting Information [Line Items]
Organizational design initiative	66,000,000
Organizational design initiative, after tax	41,000,000
Operating Segments | Corporate and Other
Segment Reporting Information [Line Items]
After tax net expenses	48,000,000	48,000,000
Operating Segments | DVP | Organizational Design Initiative
Segment Reporting Information [Line Items]
Organizational design initiative, after tax	6,000,000
Operating Segments | Dominion Energy | Organizational Design Initiative
Segment Reporting Information [Line Items]
Organizational design initiative, after tax	12,000,000
Operating Segments | Dominion Generation
Segment Reporting Information [Line Items]
Net gain on investments	27,000,000
Net gain on investments, after tax	17,000,000
Operating Segments | Dominion Generation | PJM
Segment Reporting Information [Line Items]
Billing adjustment	17,000,000
Billing adjustment, net of tax	10,000,000
Operating Segments | Dominion Generation | Virginia Regulation | Deferred Fuel Costs
Segment Reporting Information [Line Items]
Write off of deferred fuel balances	85,000,000
Write off of deferred fuel balances, net of tax	52,000,000
Operating Segments | Dominion Generation | Organizational Design Initiative
Segment Reporting Information [Line Items]
Organizational design initiative, after tax	23,000,000
Virginia Electric and Power Company
Segment Reporting Information [Line Items]
After tax net expense	1,376,000,000	1,612,000,000
Virginia Electric and Power Company | Operating Segments
Segment Reporting Information [Line Items]
After tax net expense	25,000,000
Virginia Electric and Power Company | Operating Segments | Organizational Design Initiative
Segment Reporting Information [Line Items]
Organizational design initiative	40,000,000
Organizational design initiative, after tax	25,000,000
Virginia Electric and Power Company | Operating Segments | Corporate and Other
Segment Reporting Information [Line Items]
After tax net expenses		61,000,000
After tax net expense	26,000,000
Virginia Electric and Power Company | Operating Segments | DVP | Organizational Design Initiative
Segment Reporting Information [Line Items]
Organizational design initiative, after tax	6,000,000
Virginia Electric and Power Company | Operating Segments | Dominion Generation | PJM
Segment Reporting Information [Line Items]
Billing adjustment		15,000,000
Billing adjustment, net of tax		9,000,000
Virginia Electric and Power Company | Operating Segments | Dominion Generation | Virginia Regulation | Deferred Fuel Costs
Segment Reporting Information [Line Items]
Write off of deferred fuel balances		85,000,000
Write off of deferred fuel balances, net of tax		52,000,000
Virginia Electric and Power Company | Operating Segments | Dominion Generation | Organizational Design Initiative
Segment Reporting Information [Line Items]
Organizational design initiative, after tax	19,000,000
Dominion Gas Holdings, LLC
Segment Reporting Information [Line Items]
After tax net expense	256,000,000	260,000,000
Dominion Gas Holdings, LLC | Operating Segments | Organizational Design Initiative
Segment Reporting Information [Line Items]
Organizational design initiative	8,000,000
Organizational design initiative, after tax	5,000,000
Dominion Gas Holdings, LLC | Operating Segments | Corporate and Other
Segment Reporting Information [Line Items]
After tax net expenses		$ 0
After tax net expense	$ 2,000,000

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Operating Segments (Schedule of Segment Reporting Information, by Segment) (Details) - USD ($) $ in Millions		3 Months Ended
		Mar. 31, 2016	Mar. 31, 2015
Segment Reporting Information [Line Items]
Total revenue from external customers		$ 2,921	$ 3,409
Net income attributable to Dominion		524	536
DVP
Segment Reporting Information [Line Items]
Total revenue from external customers		561	569
Dominion Generation
Segment Reporting Information [Line Items]
Total revenue from external customers	[1]	1,696	1,992
Dominion Energy
Segment Reporting Information [Line Items]
Total revenue from external customers	[1]	663	846
Corporate and Other
Segment Reporting Information [Line Items]
Total revenue from external customers		195	129
Operating Segments | DVP
Segment Reporting Information [Line Items]
Total revenue from external customers		556	564
Net income attributable to Dominion		120	140
Operating Segments | Dominion Generation
Segment Reporting Information [Line Items]
Total revenue from external customers	[1]	1,693	1,989
Net income attributable to Dominion	[1]	245	262
Operating Segments | Dominion Energy
Segment Reporting Information [Line Items]
Total revenue from external customers	[1]	485	536
Net income attributable to Dominion	[1]	186	227
Operating Segments | Corporate and Other
Segment Reporting Information [Line Items]
Total revenue from external customers		3	(13)
Net income attributable to Dominion		(27)	(93)
Intersegment revenue
Segment Reporting Information [Line Items]
Total revenue from external customers	[1]	(378)	(460)
Intersegment revenue | DVP
Segment Reporting Information [Line Items]
Total revenue from external customers		5	5
Intersegment revenue | Dominion Generation
Segment Reporting Information [Line Items]
Total revenue from external customers	[1]	3	3
Intersegment revenue | Dominion Energy
Segment Reporting Information [Line Items]
Total revenue from external customers	[1]	178	310
Intersegment revenue | Corporate and Other
Segment Reporting Information [Line Items]
Total revenue from external customers		192	142
Segment Reconciling Items and Intersegment Eliminations
Segment Reporting Information [Line Items]
Total revenue from external customers	[1]	(194)	(127)
Adjustments/Eliminations
Segment Reporting Information [Line Items]
Total revenue from external customers	[1]	184	333
Net income attributable to Dominion	[1]	0	0
Virginia Electric and Power Company
Segment Reporting Information [Line Items]
Total revenue from external customers	[2]	1,890	2,137
Net income attributable to Dominion		263	269
Virginia Electric and Power Company | Operating Segments | DVP
Segment Reporting Information [Line Items]
Total revenue from external customers		557	567
Net income attributable to Dominion		118	140
Virginia Electric and Power Company | Operating Segments | Dominion Generation
Segment Reporting Information [Line Items]
Total revenue from external customers		1,333	1,585
Net income attributable to Dominion		166	190
Virginia Electric and Power Company | Operating Segments | Corporate and Other
Segment Reporting Information [Line Items]
Total revenue from external customers		0	(15)
Net income attributable to Dominion		(21)	(61)
Dominion Gas Holdings, LLC
Segment Reporting Information [Line Items]
Total revenue from external customers	[3]	431	531
Net income attributable to Dominion		98	161
Dominion Gas Holdings, LLC | Operating Segments | Dominion Energy
Segment Reporting Information [Line Items]
Total revenue from external customers		431	531
Net income attributable to Dominion		103	164
Dominion Gas Holdings, LLC | Operating Segments | Corporate and Other
Segment Reporting Information [Line Items]
Total revenue from external customers		0	0
Net income attributable to Dominion		$ (5)	$ (3)

[1] 2015 amounts have been recast to reflect nonregulated retail energy marketing operations in the Dominion Energy segment.

[2] See Note 17 for amounts attributable to affiliates.

[3] See Note 17 for amounts attributable to related parties.