Scrutiny of OVEC Subsidy Continues

On the heels of a recent AP article, Ohio’s customer-funded subsidy for two coal-fired power plants (one of which is in Indiana) continues to garner media attention. (subscription) has highlighted the mounting expenses triggered by a House Bill 6 provision to help fund Ohio Valley Electric Corporation (OVEC), which is comprised of more than a dozen utility companies.

The article cites a recent OMA-supported study that found the OVEC subsidy could cost Ohioans a total of $1.8 billion by 2030. While AEP, Duke, and AES Ohio customers have been funding the subsidy for years, HB 6 mandated that “FirstEnergy customers had to begin paying subsidies for the plants.” 10/11/2021