Tag Archives: Ohio

Ohio Consumers And Businesses Come Together To Support Energy Efficiency

Most states have long-term renewable energy and energy efficiency targets.  Ohio’s energy efficiency resource standard saves over 700,000 kilowatt-hours of energy annually, more than the energy generated by a new fossil fuel power plant.  Ohio’s energy efficiency law is under attack, even though Ohio’s targets are right in the middle compared to other states’ targets.

Source: Clean Energy Ohio

Ironically, the consumers who pay for energy efficiency are not leading this attack.  Rather, the attack comes from certain electric utilities and the advocacy groups they support: the American Legislative Exchange Council and the Heartland Institute.  The utilities claim to be protecting consumers from the costs of the energy efficiency programs, but they really want to protect their own electricity sales.

One argument raised against energy efficiency programs is that they cost too much.  Energy programs, however, must pass a cost/benefit test.  The programs will be offered only if the value of energy savings exceeds the program costs.  In many cases, the energy savings are two or three times greater than the program costs.

Another argument is that all consumers pay for the programs, but only those who use the programs benefit.  A few large Ohio industrial companies have raised this argument.  But these companies develop their own energy efficiency programs, so they don’t pay for utility-sponsored energy efficiency programs.  Read More »

Posted in Energy Efficiency, Future of Green | Also tagged | 2 Responses

We Cannot Afford To Undo Economic And Environmental Progress In Ohio

EDF is working with Ohio elected officials, the small business community and other stakeholders on adopting an on-bill repayment (OBR) program in Ohio.  As a private capital solution to financing energy efficiency (EE) and renewable energy (RE) projects, OBR enables building owners to access low-cost capital, with repayment on their utility bills.  Small businesses in particular have trouble accessing affordable financing for energy projects, as it is hard for lenders to assess small to medium-sized business (SMB) credit risk and SMB properties are likely rentals that experience high turnover rates.  OBR provides lenders with significant credit enhancement, since the repayment obligation is tied to the utility meter and survives changes in rental and ownership.  At the same time, utilities and customers can benefit from a well-designed OBR program – one that compensates utilities for their services and allows utilities to receive credit toward state mandates for the OBR-enabled EE and RE investments.

As we at EDF endeavor to increase demand for clean energy projects in Ohio, other parties, including the American Legislative Exchange Council (ALEC), have proposed rollbacks to Ohio’s energy efficiency and renewable portfolio standards.  The standards were established by SB 221 in 2008, with bi-partisan support,– and there is a strong effort underway to defend them.  EDF is working with other Ohio clean energy stakeholders to keep the existing standards in place.  As we actively participate in this dialogue, EDF vigorously supports the State’s commitment to investing in clean energy – a commitment that has resulted in environmental and economic progress from which we cannot afford to undo.

EDF’s clean energy economic development series documented progress made in Ohio to date, which is extremely promising:

Stimulating Demand

The 1992 Energy Policy Act seeded demand for renewable energy and energy efficiency through tax credits and other programs.  In Ohio, two important state efforts in 1999 expanded on this federal support.

The Advanced Energy Fund, created by the Ohio Electric Restructuring Act, provided funding for energy efficiency and renewable energy projects.  The same bill introduced net metering, which allows homes and businesses that install alternative energy technology — solar, wind, biomass, hydro, etc. — to receive credit for the excess energy their systems generate.  Combined, these two efforts provided ways for individuals to reduce the cost of deploying "clean tech" or even turn it into a revenue generator.   Read More »

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