Columbus, Ohio – Today, a group of advanced energy business trade
associations and other renewable energy experts joined forces to
propose comments to the Public Utilities Commission of Ohio (PUCO) on
how to ensure successful growth in Ohio’s renewable energy market.
The comments came in response to draft rules the PUCO recently
released regarding renewable energy. The rules implement Senate Bill
221, the recently passed landmark energy bill that was signed into law
by Governor Strickland on May 1st. SB 221 requires utilities to use an
ever-increasing percentage of advanced and renewable energy from such
sources as wind and solar power.
“As the Governor and General Assembly recognized, developing Ohio’s
wind energy resources provides an incredible opportunity to grow new
jobs, reduce air pollution and become more energy independent,” stated
Amy Gomberg, program director with Environment Ohio. “To seal the deal
for clean energy in Ohio, we encourage the Public Utilities Commission
to ensure that Ohio’s energy law is implemented in a fair and
transparent way and without loopholes that would let Ohio’s utilities
or businesses off the hook for reducing our energy usage and developing
more clean sources of power.”
In the wake of the passage of Ohio’s landmark renewable energy law,
Ohio has already seen growth in this sector. As manufacturing plants
are expanding, wind and solar projects are already underway, including
a major solar project in Northwest Ohio and wind farm development in
rural counties across Ohio. In addition, developers are also eyeing the
offshore winds of Lake Erie for potential wind development.
“Ohio is the target for much attention from solar companies around
the world because of our world-class glass manufacturing expertise,”
said Norman W. Johnston. Johnston is chairman of trade association Ohio
Advanced Energy and chief executive of Solar Fields LLC. “As the cost
of solar energy becomes increasingly competitive, the costs associated
with other energy resources continue to climb. As long as the PUCO
compares solar energy to other energy resources in a fair
“apples-to-apples” comparison, we can grow this market in Ohio.”
Many important details in Ohio’s energy bill were left to be decided by the PUCO. Some aspects include:
- Comparing the cost of renewable to fossil fuels: The PUCO should
ensure a consistent and fair cost comparison of conventional fossil
fuel power to renewable energy that includes all costs associated with
generating the power.
- Protecting the integrity of the renewable energy requirement: The
PUCO needs to clearly define the circumstances under which they can
waive a utilities’ renewable energy requirement. Additionally, the PUCO
should eliminate ALL arbitrary and excessive escape clauses beyond
their legal authority as stated in the cost cap and the force majeure
clause.
- Guaranteeing the least cost for Ohioans: The PUCO should protect
consumers by requiring Ohio’s utilities to seek out renewable energy at
the most competitive prices the marketplace can offer through a
competitive request for proposal process.
- Ensuring an open and transparent process: The process for approving
a new eligible renewable energy technology should be transparent and
include the opportunity for public comments.
“We look forward to the PUCO considering our recommendations that
will help ensure renewable energy projects are constructed in Ohio,”
stated Beth Soholt, Director, Wind on the Wires, an organization
focused on technical and regulatory issues in the Midwest for wind
energy projects. “We fully anticipate the utilities will meet the
renewable energy standard in S.B. 221 and getting the rules right on
the so-called “escape valves” will be very important.”
The comments from Ohio Advanced Energy, AWEA, Wind on the Wires and
Environment Ohio were well-received by others in the advanced energy
business community. Over 25 advanced energy companies, including
SunEdison, Honeywell, Bio-Gas Technologies, and Xunlight, signed on in
support of their recommendations made by the energy experts.
“The support from the advanced energy business community is clear,”
said Terrence O’Donnell an attorney with Bricker and Eckler who
represents Ohio Advanced Energy at the PUCO. “Ohio’s advanced energy
companies are ready to grow locally, but they need to know the
renewable energy law passed by the General Assembly will be implemented
fairly. That is why, for example, we are recommending an open and
transparent processes when the PUCO considers what new technologies
might be eligible for classification as ‘renewable’.”
In addition to the comments regarding renewable energy, the PUCO
issued regulations guiding the future of energy efficiency programs in
Ohio. Environment Ohio teamed up with a coalition of Ohio Consumer and
Environmental Advocates to comment on the energy efficiency measures,
as well.
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The full drafts of the comments issued by OAE, AWEA, WOW and EO are
available by request. Please email or call Terrence O'Donnell at
todonnell@bricker.com 614-227-2345.
All comments will be available to the public on Tuesday September 9th at the PUCO’s website.
The proposed rules are available on the PUCO’s website at: http://www.puco.ohio.gov/PUCO/Rules/Rule.cfm?id=8724