Good news in Ohio

We got some much needed good news for North American energy efficiency this week. A new proposal in the Ohio House of Congress aims to allow gas and electric utilities to reintroduce many of the energy-saving programs that were gutted by House Bill 6 in 2019, the same bill that remains at the heart of the state’s ongoing corruption scandal. 

Under the proposed legislation, utilities in Ohio would have the option to offer a selection of energy efficiency programs. However, before doing so, they would need approval from the Public Utilities Commission of Ohio for a period of up to five years. Residential customers would be automatically enrolled unless they choose to opt out, and their monthly charges would be capped at $1.50. Small commercial customers would also be automatically included, with a monthly charge cap of $7.50. Mercantile customers, on the other hand, would be excluded by default unless they submit a written request to opt in.

To be considered, any portfolio of programs offered by utilities must be cost-effective. This means that the charges imposed on participating customers must be lower than the combined savings on energy costs, reductions in energy market prices due to lower demands, and other measurable system benefits. Utilities would be required to submit annual reports to the Public Utilities Commission of Ohio to demonstrate the cost-effectiveness of their portfolios.

After  decades of myopic cuts to EE programs, it seems the country is finally starting to come to its senses on this issue. EE, while not the sexy silver bullet that renewables are, remains one of our best tools to fight climate change and keep the lights on.