Energy Management

Report: Bills to Repeal OVEC, Reform Ratemaking Face Uphill Climb

As previously reported, Senate Bill 143 is OMA-supported legislation to implement a clean repeal of Ohio’s electric security plans (ESPs) to help reduce electricity costs and increase consumer protections.

However, the bill’s sponsor, Sen. Mark Romanchuk (R-Ontario), said this week he has low expectations that either SB 143 or separate legislation to repeal rate-payer funded subsidies for OVEC’s coal plants will be seriously considered by the full legislature “unless there’s another shoe to drop” — referring to the FirstEnergy scandal.

Sen. Romanchuk said the culture in the Statehouse has been slow to change even after the House Bill 6-related convictions of ex-speaker Larry Householder and lobbyist Matt Borges. Read more on Sen. Romanchuk’s comments as reported by Gongwer News Service. 9/20/2023

Fuel Prices Likely to Be 2024 Election Issue

This week, the U.S. average for a gallon of regular-grade gasoline neared $3.90. Here are the current average prices in all 88 Ohio counties, according to AAA.

Prices at the pump could be a key issue in the next presidential election. Axios reports Saudi Arabia’s extension of oil production cuts will ensure that energy prices will become an election 2024 issue. 9/20/2023

OMA Hosts Second Annual Energy Conference

The second annual Ohio Manufacturers’ Energy Conference was held Sept. 13 at Westerville’s Quest Conference Center. The event drew more than 220 attendees and covered numerous energy-related topics critical to manufacturers.

The conference featured dozens of presenters, including Lt. Gov. Jon Husted, who spoke about the need for a national energy policy; Cleveland-Cliffs President and CEO Lourenco Goncalves, who discussed his company’s efforts to expand America’s steel manufacturing capacity using clean energy; and Rick Riggle, COO of L-H Battery Co. (LG Energy Solution and Honda), who provided details about the EV battery facility being built by Honda and LG Energy Solution in Fayette County.

Crain’s Cleveland Business published this story on Goncalves’ presentation, while Hannah News Service published this report on the energy policy discussion — one of multiple breakout sessions at the conference.

Check out photos from the event by visiting the OMA’s social media — LinkedIn, Twitter, and Facebook — or view this page. Thanks to our sponsors for supporting this important event. 9/13/2023

OMA Supports Electricity Ratemaking Reform Bill

Last week, the OMA hosted a policy briefing on Senate Bill 143, legislation that would implement a clean repeal of Ohio’s electric security plans (ESPs). This OMA-supported legislation would help reduce manufacturers’ electricity costs, increase consumer protections, and allow for more market-based competition.

SB 143, introduced by Sen. Mark Romanchuk (R-Ontario) — a manufacturing business owner — has been referred to committee as the Senate returned to action this week.

The OMA has published this two-page summary of SB 143, as well as this one-page document comparing SB 143 to another pending ratemaking bill (SB 102) that is not favored by manufacturers. 9/14/2023

Report: Threats to U.S. Grid Doubled in Q1

Politico reports that a growing number of cybersecurity and physical attacks on the U.S. power grid has alarmed experts who say communication gaps between law enforcement and regulators have left leaders in the dark about the extent of the threats. During Q1 of this year, utilities reported 60 incidents they said were physical threats or attacks on major grid infrastructure, in addition to two cyberattacks. 9/11/2023

Continued Calls to Repeal OVEC Subsidies

Earlier this summer, Ohio House leaders took actions to preserve House Bill 6 language that forces electric ratepayers to provide hundreds of millions of dollars to two 1950s-era coal plants owned by the Ohio Valley Electric Corporation.

Lawmakers seeking to repeal the OVEC subsidies say they will continue their efforts. Meanwhile, in Ohio’s Appalachian country, the Times Leader (Martins Ferry) recently voiced its support for the repeal legislation. 9/5/2023

Ohio Utilities Get Low Marks for Efficiency Programs

Ohio utilities rank among the worst in the U.S. for energy efficiency following changes made by the scandal-ridden House Bill 6, according to the American Council for an Energy Efficient Economy. The non-profit publishes an efficiency scorecard of the nation’s 53 largest electric utilities once every three years, according to the Ohio Capital Journal. 9/7/2023

$15.5B to Aid Manufacturers in EV Transition

The U.S. Department of Energy is offering $15.5 billion to boost retooling of U.S. manufacturing facilities to transition to EV production. According to this news release, $2 billion in grants and up to $10 billion in loans will support conversion projects. Meanwhile, $3.5 billion is available to expand domestic EV battery manufacturing. 9/5/2023

OMA Briefings on EV Charging, Ratemaking Policy

On Tuesday, Sept. 5, the OMA will host two special member briefings related to Ohio energy policy. Both briefings can be attended in person or virtually.

• EV Charging Infrastructure – 1 p.m., Sept. 5: Because the rapid shift to EV manufacturing and adoption does not come risk free, now is the time to consider how the manufacturing sector will respond to the EV transition, including policies to encourage the growth of EV charging infrastructure. Register here.
• Electricity Ratemaking Reform – 2:30 p.m., Sept. 5: This briefing will examine Senate Bill 143, OMA-supported legislation introduced by Sen. Mark Romanchuk (R-Ontario) to repeal electric security plans. SB 143 would lower energy bills and expand consumer protections. Register now.

These briefings will be held the day before the OMA Government Affairs Committee meeting, set for Wednesday, Sept. 6. The meeting will feature comments from Ohio Lt. Governor Jon Husted and a discussion on workforce initiatives. Register here. 8/31/2023

Fossil Fuels Continue to Dominate Power Generation

E&E News reports that new sources of wind, solar, and battery-storage have helped shore up the grid, but natural gas, coal, and nuclear continue to be the major generation sources. So far in 2023, natural gas alone has accounted for 42.4% of U.S. power generation. Experts say it’s important to keep quick-start fossil fuel power plants online to ensure reliability. 8/29/2023