Ohio Utility To Increase Renewable Surcharge By 390 Percent!

We have received word that Kim Wissman, Director of the Ohio Power Siting Board was terminated.   Many of us remember years ago when Ms. Wissman came to Urbana to address the community and stated flatly that unless we had wind power, the lights would no longer come on when we flipped the switch.  Everyone now knows this to be false. 

 Hearings will resume on Tuesday in the House Public Utilities Committee and there is a possibility of a vote on Wednesday.  We pray for swift passage. The advocates for keeping energy efficiency mandates have repeatedly talked about all the cost savings being enjoyed.  Little did they know that on Friday, AEP filed a rate increase to cover the energy efficiency costs. “Just yesterday, AEP-Ohio filed for new rate increases with the PUCO to comply with the energy efficiency mandate. Come August, AEP-Ohio residential customers will see a 115 percent increase in their mandate surcharge and large electric users will see a whopping 391.6 percent increase in their efficiency surcharge.”  It is clearly evident that, Chris Pandoni, author of the article below, is someone that you don’t want to cross!…

 …But let’s leave the realm of the hypothetical. Munson states, “that utilities admit the clean energy standards are saving money. In filings to the Public Utilities Commission of Ohio PUCO, the power companies admit energy efficiency programs alone have netted Ohio consumers more than $1 billion in savings to date, and will result in more than $4.1 billion in savings over the program’s life.” It is true that utilities are required to report these numbers to the PUCO. It is also true that utilities are required to use the “total resource cost” model. Under other models, like the “ratepayer impact test” or the “participant test,” the “benefits” of the energy efficiency mandate are much less impressive.

Today Ohioans are paying substantial amounts of money for benefits that may or may not materialize. Duke’s surcharge for the electric usage reduction mandate is increasing by huge percentages: 45% for residential and 25% for all other customers.

And Duke isn’t alone. Just yesterday, AEP-Ohio filed for new rate increases with the PUCO to comply with the energy efficiency mandate. Come August, AEP-Ohio residential customers will see a 115 percent increase in their mandate surcharge and large electric users will see a whopping 391.6 percent increase in their efficiency surcharge. So while Munson quotes AEP higher-ups speaking in generalities about the merits of energy efficiency, their customers might think differently.

One of the first iterations of SB 310 allowed customers to opt-out of the energy efficiency program if the mandate caused costs to increase by more than three percent. If the mandate’s benefits are so self-evident, why did opponents force legislators to strip this provision from the final bill? Furthermore, if ratepayer electricity fees yield such huge returns, why is a law required to force these investments…

via Ohio Utility To Increase Efficiency Surcharge By 390 Percent.

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