Energy

Ohio Senate Democrats on Tuesday rolled out a slate of bills targeting data centers, but the Ohio Manufacturers’ Association (OMA) said lawmakers are attacking the symptom while locking in the mistake that is driving higher power costs in the first place.

“The problem is not data centers,” said Lindsey Short, OMA managing director of energy and advocacy services. “The problem is that unverified demand forecasts are being treated as guaranteed load and baked into grid planning and power markets. Lawmakers are now trying to regulate around projections that may never materialize.”

Short said singling out one industry avoids confronting deeper flaws in how large new loads are evaluated.

“These bills create carve-outs instead of fixing the system,” she said. “Ohio should not be locking in tax and energy policy based on speculative growth models. Until forecasts are independently verified, manufacturers and other customers will keep paying for infrastructure built to serve paper demand, not real factories or real jobs.”

She added that legislating around optimistic projections risks turning wishcasting into permanent policy. 2/4/2026

The federal bribery trial of two former FirstEnergy executives opened this week in Akron, with prosecutors alleging the men authorized a $4.3 million payment to influence political and regulatory decisions tied to House Bill 6, Ohio’s now-repealed nuclear bailout law. Defense attorneys for former CEO Chuck Jones and former senior vice president Michael Dowling said the payment was legitimate consulting compensation and argued the money was taken by a former state official who later became a top utility regulator. The case is part of the broader corruption scandal that led to the 2023 conviction of former Ohio House Speaker Larry Householder.

“This is what happens when energy policy rewards political connections instead of economic reality,” said Lindsey Short, managing director of energy and advocacy services for the Ohio Manufacturers’ Association. “When influence replaces evidence, customers are left paying the price. Ohio’s energy system should be built on transparency and verified need, not insider arrangements that leave manufacturers and families holding the bag.” 2/4/2026

In the summer of 2022, American Electric Power shut off power to roughly 600,000 customers in Columbus, leaving many without electricity for days during one of the hottest weeks of the year.

State lawmakers responded to those reliability concerns by including a provision in House Bill 15, a law that overhauled electric utility regulation to increase transparency and accountability. The provision requires utilities to provide additional reliability information and directs the Public Utilities Commission of Ohio to produce a report summarizing statewide electric reliability trends and recommending grid improvements. Legislators left some details of the reporting requirements to be determined by the commission.

The commission later released a draft outlining what information would be included in the reports and sought public comment. Customers and other stakeholders submitted a range of recommendations, including calls to require circuit-level reliability metrics that account for outages lasting less than five minutes, outages caused by major events such as severe weather, and transmission-related outages. Manufacturers said short-duration outages and major-event disruptions are of particular concern.

The commission rejected those recommendations and incorporated only changes supported by utilities.

Short outages and outages tied to major events still disrupt operations, damage equipment, spoil products and pose health risks to customers. Those are the types of disruptions customers and lawmakers have said they want better information about and solutions for. Under the commission’s rules, however, utility reports would show that electric circuits in Columbus improved from 2021 to 2022, a result critics say is misleading. 2/5/2026

A cold blast from Winter Storm Fern swept across much of the PJM power grid this week, exposing reliability challenges as natural gas plants struggled to stay online. On Sunday, PJM reported 21 gigawatts of generation outages, equal to about 16% of afternoon electricity demand.

The outages drove wholesale power prices to between $400 and $700 per megawatt-hour in parts of the region, while prices in Illinois fell below zero because of excess wind generation. Similar disruptions occurred during the 2014 polar vortex and 2022 Winter Storm Elliott, when cold weather also sidelined large amounts of gas-fired generation.

“This is the third major winter storm in a little more than a decade where cold weather has knocked out large amounts of gas-fired generation,” said Lindsey Short, managing director of energy and advocacy services at the Ohio Manufacturers’ Association. “That raises real questions about how the system is being planned to perform in winter conditions.”

PJM issued pre-emergency load management alerts during the storm, but did not declare an emergency event. 1/29/2026

Jury selection began this week in the corruption trial of former FirstEnergy CEO Chuck Jones, renewing focus on how political influence can shape Ohio’s energy policy and affect customer costs. Prosecutors allege Jones and another former executive arranged a $4.3 million payment to former Public Utilities Commission of Ohio Chairman Sam Randazzo in exchange for regulatory favors tied to House Bill 6, the now-repealed nuclear subsidy law. The case is part of the broader scandal that sent former Ohio House Speaker Larry Householder to prison and reshaped state energy policy, with potential implications for utility oversight and ratepayer protections.

“This case is a reminder that when politics and power mix behind closed doors, Ohioans end up paying the price on their electric bills,” said Lindsey Short, managing director of energy and advocacy services for the Ohio Manufacturers’ Association. 1/30/2026

The Ohio Manufacturers’ Association (OMA) has joined a broad national coalition urging the U.S. Department of the Interior to adopt a robust offshore oil and natural gas leasing program to support energy reliability and economic growth.

In comments submitted to the Bureau of Ocean Energy Management, OMA and more than 150 business, manufacturing and energy organizations backed Interior’s proposed 11th National Offshore Leasing Program, which would expand lease sales in both traditional production regions and frontier areas.

The coalition said offshore energy currently accounts for about 14% of U.S. crude oil production and plays a key role in meeting growing demand for affordable, reliable energy while supporting high-paying jobs. The group also noted that U.S. offshore oil production ranks among the lowest in carbon intensity globally.

OMA said maintaining a strong offshore leasing schedule is critical to long-term energy security and to keeping power and fuel costs competitive for manufacturers and consumers alike.

“Reliable energy starts with reliable supply,” said Lindsey Short, OMA managing director of energy and advocacy services. “Offshore leasing is part of keeping power and fuel costs stable for all Ohioans.” 1/28/2026

Four finalists for an open seat on the Public Utilities Commission of Ohio (PUCO) were sent to Gov. Mike DeWine this week, teeing up a decision that will influence energy costs and grid oversight for manufacturers and other large power users. The PUCO Nominating Council advanced incumbent PUCO commissioner Dennis Deters, former Youngstown mayor Jamael “Tito” Brown, Larry Holmes and former state senator Sandra Williams for a five-year term beginning April 11, 2026. Holmes is a former Fort Recovery Industries executive who has been active in Ohio Manufacturers’ Association committee work on safety and workers’ compensation issues.

The commission regulates Ohio’s utilities and plays a central role in rate cases and infrastructure decisions that directly affect factory operations and competitiveness. 1/28/2026

Ohio lawmakers are pushing back on a request from FirstEnergy that would allow its utilities to operate under looser power outage and restoration standards, a proposal now before the Public Utilities Commission of Ohio (PUCO). Legislators and local officials argue that weakening reliability rules would ask customers to accept longer and more frequent outages after years of infrastructure spending.

The debate has drawn attention from Ohio manufacturers, who depend on consistent, reliable power to operate, plan production schedules and protect equipment. The Ohio Manufacturers’ Association (OMA) has consistently emphasized that reliable electricity is essential to competitiveness and economic growth and that lowering performance expectations is not a substitute for sound planning and accountability.

“Manufacturers depend on reliable power every hour of every day,” said Lindsey Short, OMA managing director of energy and advocacy services. “Lowering outage standards shifts risk onto customers instead of fixing the problem.”

Lawmakers urging PUCO to reject the proposal say the focus should remain on improving grid performance, not redefining acceptable outage levels. PUCO is expected to continue reviewing the request in the coming weeks. 1/20/2026

Ohio’s energy conversation took a nuclear turn last week as data center developers and large customers outlined plans to secure large amounts of reliable power to support new, large-scale electricity loads. Announcements involving Meta and Vistra renewed focus on Ohio’s existing nuclear fleet, including the Davis-Besse Nuclear Power Station and the Perry Nuclear Power Plant, and their continued role in supporting reliability across the PJM Interconnection.

The developments also highlight how competitive electricity markets are responding to surging demand, with large customers turning to nuclear power for around-the-clock reliability and long-term price certainty. Importantly, the agreements rely on long-term power contracts that keep existing plants operating while supporting future generation that remains connected to and dispatched through the PJM grid, reinforcing systemwide reliability rather than bypassing it.

The week’s news also pointed to longer-term ambitions. Proposed small modular reactor development in Pike County added substance to the discussion, with Oklo and Meta outlining plans for a large nuclear campus that would build on recent federal investment in uranium enrichment in southern Ohio.

The takeaway for manufacturers is scale and certainty. Large new electric loads are reshaping how generation is planned, financed and operated. “Reliability and affordability still have to come first,” said Lindsey Short, Ohio Manufacturers’ Association (OMA) managing director of advocacy and energy services. “New demand does not change the need for disciplined planning and realistic assumptions.”

The OMA’s Energy Committee will continue tracking these developments and providing members opportunities to engage with the companies and policymakers shaping Ohio’s energy future. 1/12/2026

FirstEnergy is asking Ohio regulators to weaken reliability standards for its utilities, including allowing longer power outages and more frequent service interruptions. The company told the Public Utilities Commission of Ohio that performance has slipped and is seeking approval for higher outage duration and frequency targets. Consumer advocates and local officials argue customers have already paid billions for grid upgrades and should expect stronger reliability, not reduced expectations. Dependable power is essential for manufacturers. “Manufacturers cannot plan, invest or compete with unreliable power,” said Lindsey Short, Ohio Manufacturers’ Association managing director of advocacy and energy services. “Lowering the bar on outages asks customers to accept less after paying more, and that is not a solution.” 1/13/2026

A new court filing shows Gov. Mike DeWine and U.S. Sen. Jon Husted may be among potential witnesses listed in the upcoming FirstEnergy corruption trial scheduled to begin Jan. 26. Lawyers for two former FirstEnergy executives disclosed a defense witness list that includes Gov. DeWine, Sen. Husted and other state officials as the case moves forward in Summit County Common Pleas Court. The filing does not guarantee those individuals will be called to testify, but it indicates the defense’s strategy and what issues may arise. The Ohio Manufacturers’ Association will continue monitoring developments in this longstanding matter. 1/14/2026

Ohio regulators have approved a $275 million settlement resolving cases tied to FirstEnergy’s role in the House Bill 6 bribery scandal, directing refunds and restitution to utility customers after investigations found violations of state law and regulatory rules. The settlement concludes multiple proceedings before the Public Utilities Commission of Ohio related to improper political spending and legislative influence.

The Ohio Manufacturers’ Association (OMA) has been engaged on House Bill 6 and utility accountability issues since the legislation was first introduced. In 2019, OMA released an analysis detailing the potential impact of the bill on manufacturers’ electricity costs and competitiveness and issued a Key Vote Alert to the Ohio Senate urging careful consideration of the bill’s implications. As the law moved into implementation, OMA continued raising concerns about increased regulation, market distortion and the role of state intervention in Ohio’s competitive electricity market.

OMA’s Energy Group has consistently urged regulators to hold utilities accountable and protect customers from higher costs tied to flawed policy decisions. The association will continue monitoring implementation of the settlement and advocating for transparent regulation, competitive markets and fair electricity rates that support Ohio manufacturers and the state’s economy. 1/8/2026

Electricity costs for Ohio manufacturers remain under pressure after PJM Interconnection’s latest capacity auction produced another round of historically high prices. A new analysis prepared by the Ohio Manufacturers’ Association’s (OMA) energy engineering consultant, RunnerStone, shows capacity prices for power delivered in summer 2027 rose again to $333.44 per megawatt-day, pushing total regional costs to an estimated $16.4 billion.

OMA has been actively raising concerns about PJM’s market design and planning decisions, including in a July 2025 letter to the PJM Board calling for greater transparency, realistic load forecasting and reforms to restore effective market signals. That advocacy aligns closely with the findings in the new RunnerStone memo. Additionally, just last month OMA again called for changes at PJM following the release of capacity auction results.

The new analysis points to a series of PJM decisions that continue to tighten supply on paper while failing to deliver meaningful new generation. Those include delayed and compressed auction schedules, a multi-year pause on new generation entering PJM’s interconnection queue, higher reserve margin targets and additional derating of existing resources. Together, these factors limit the market’s ability to respond to price signals and place upward pressure on costs.

The memo also raises fresh questions about load forecasts, particularly large adjustments tied to projected data center demand. RunnerStone notes that these forecasts play a significant role in driving auction outcomes, yet transparency around assumptions and methodologies remains limited. For manufacturers, the result is higher and more uncertain electricity costs, with little clarity on whether the system is becoming more reliable or simply more expensive. 1/8/2026

Persistent, record-high capacity prices in PJM have fueled debate over their causes, with power plant retirements and new data center demand most often cited.

A report released this week by Monitoring Analytics, the independent watchdog of PJM’s electricity markets, points to a different driver. The report found that utility load forecasts for future data centers were a primary factor behind the latest capacity auction’s record prices.

According to the analysis, speculative data center load forecasts increased capacity prices by 61%, while existing and committed data center load accounted for just a 4% increase. The market monitor estimated that forecasts tied to unbuilt data centers could add more than $47 billion in capacity costs over a three-year period.

“It is misleading to assert that the capacity market results are simply a reflection of supply and demand,” Monitoring Analytics said, citing unprecedented uncertainty in utility load forecasts tied to potential large-scale data center development.

The Ohio Manufacturers’ Association has previously raised concerns about the accuracy and transparency of utility load forecasts, warning that speculative assumptions can artificially inflate capacity prices. While some forecasted data center projects may be built, much of the projected load remains uncertain, the report said, underscoring the significant role these forecasts play in driving higher costs. 1/8/2026

Early this week, the U.S. Department of Energy announced $2.7 billion in funding to support domestic uranium enrichment for nuclear energy. Three companies will receive $900 million each as part of the department’s effort to shift the U.S. uranium supply away from foreign sources and strengthen domestic production. The selected companies are American Centrifuge Operating, General Matter and Orano Federal Services. American Centrifuge Operating owns and operates the American Centrifuge Plant in Piketon, Ohio.

In December 2025, American Centrifuge Operating announced plans to expand commercial production of low-enriched uranium and high-assay low-enriched uranium, materials used in different types of nuclear reactors. The company has a long-standing relationship with the Department of Energy and, in partnership with the agency, produced the nation’s first 20 kilograms of domestically sourced high-assay low-enriched uranium in 2023. Following that demonstration, the company was awarded a contract to produce an additional 900 kilograms by 2024. The newly announced funding is intended to support the commercialization of that production process. 1/8/2026

The Ohio Manufacturers’ Association (OMA) is renewing concerns about rising electricity costs following this week’s release of PJM Interconnection’s latest capacity auction results, warning that persistent price spikes threaten Ohio’s manufacturing competitiveness.

On Wednesday, PJM posted the results of its capacity auction for the 2027–28 delivery year. For the second auction in a row, prices hit a temporary price ceiling, with capacity clearing at $333.44 per megawatt-day, an unprecedented high for the PJM region.

“PJM’s announcement of record-high electricity prices is as unacceptable as it is unsurprising,” said Ryan Augsburger, OMA president. “PJM is broken. It needs new leadership and immediate reform.”

PJM operates the electric grid and wholesale power markets across 13 states and the District of Columbia, including Ohio. Recent capacity auctions have produced historically high prices, driving up electricity costs for manufacturers, other employers and consumers across the region.

Those outcomes reflect deeper problems in PJM’s market design and planning process. The interconnection queue remains paused to new generation applications, preventing developers from responding to high price signals and bringing new supply online. At the same time, prolonged interconnection studies and inflated load forecasts have distorted the market, creating an artificial shortage that forces customers to absorb billions of dollars in unnecessary costs.

OMA energy engineers will analyze the latest auction results and publish a memo with key takeaways so members can better understand how the outcomes affect electricity bills and market conditions in Ohio.

Ongoing advocacy is focused on urging PJM leadership and regulators to address interconnection backlogs and reform market rules to support timely investment in new generation and reliable, affordable power for Ohio manufacturers. 12/18/2025

The Ohio Manufacturers’ Association Energy Group (OMAEG) recently argued before the Ohio Supreme Court against Public Utilities Commission of Ohio decisions approving hundreds of millions of dollars in coal plant subsidies charged to customers. In one case, OMAEG challenged the PUCO’s approval of $115 million collected from Ohio ratepayers to support two aging, uneconomic coal plants, including one located in Indiana. OMAEG argued the decision was unlawful and unreasonable, citing improper exclusion of evidence and a failure to determine whether utilities acted prudently in continuing to operate the plants.

The Court also heard arguments on a separate PUCO order allowing AEP Ohio to recover more than $74.5 million for similar subsidies. OMAEG urged the Court to overturn the order and require refunds to customers or, alternatively, order a new independent audit. The cases underscore the Ohio Manufacturers’ Association ongoing efforts to protect manufacturers and other customers from unjustified energy costs. 12/15/2025

PJM capacity prices have spiked in back-to-back auctions, prompting new concern among consumers about future energy costs. Ohio Manufacturers’ Association (OMA) energy engineers reviewed the latest auction results and released a memo outlining the key drivers behind the price jump and the steps PJM is taking to fix problems in its market.

The analysis points to several factors behind the surge in prices: PJM continues to discount generation that is available on paper, the region saw a four-year pause in new generator interconnection applications, and utilities submitted load forecasts that appear unrealistically high.

The next capacity auction, for the 2027-28 delivery year, is scheduled for this month, with results set for release on Wednesday, Dec. 17. OMA will track the outcome and its impact on member energy bills. 12/10/2025

DriveOhio on Dec. 2 opened a request for proposals to receive applications for federal NEVI grant funding to support the installation of Level 3 electric-vehicle fast chargers in Ohio. Manufacturers may apply to install Level 3 fast chargers at their facilities if the chargers are available to the public during normal business hours.

The grants can cover up to 80% of capital costs. A typical station includes four ports with peak power demand between 400 and 600 kilowatts and can cost about $1 million to install, assuming minimal infrastructure upgrades. DriveOhio is seeking portfolios of at least four shovel-ready, turnkey sites per application.

The RFP is open through Feb. 5, 2026, and awards are expected in April 2026. An informational webinar is available, and manufacturers may contact the Ohio Manufacturers’ Association energy engineer, Go Sustainable Energy, for assistance. Requirements and key details are outlined here. 12/2/2025

Energy costs and reliability were the focus of the Ohio Manufacturers’ Association (OMA) Energy Committee’s meeting on Thursday, reflecting what has become a top concern for both manufacturers and voters. Members examined how rising electricity prices influenced the 2025 elections and why affordability is expected to be a defining issue in next year’s statewide and federal races.

The committee reviewed the OMA’s work to challenge inflated utility load forecasts, discriminatory rate designs and PJM’s record-high capacity prices, all of which are contributing to bill increases beyond the rate of inflation. Energy engineer John Seryak outlined how manufacturers are responding by expanding behind-the-meter generation, adding more than 1,500 megawatts since House Bill 15 opened new competitive pathways.

Members also received updates on natural gas ratemaking changes, submetering legislation, electric vehicle charging rules and emerging technologies. The OMA encourages members to stay engaged to help shape policy and protect affordability. 11/20/2025