How a Single Streetlight Spotlights Ohio’s Pricey Problem with Utility Riders

In case you missed it, Cleveland.com this week published an article about a single streetlight in Cleveland that has illuminated “an abusive system of surcharges” resulting in “billions of dollars in subsidies for the state’s utilities.” The electricity bill for this streetlight — owned by a neighborhood association — has soared from around $8 in July 2008 to nearly $70 in July 2019, with only 38 cents of the total being for electricity.

Because the Ohio Legislature in 2008 authorized the use of “electric security plans” — which permit the addition of riders that go beyond the basic costs of distribution services and investment — Ohio ratepayers have paid $15 billion in subsidies to electric utilities since 1999, according one expert. Of course, this problem only gets worse under House Bill 6, the nuclear bailout plan passed and signed in July. 10/1/2019