Ohio Electric Energy Law
In the state of Ohio, the Public Utilities Commission of Ohio (PUCO) regulates electric energy utilities. PUCO protects Ohioans against unfair utility services by monitoring and enforcing PUCO rules and state laws. PUCO also controls electric rates and resolves disputes between utilities and residential or business customers, guaranteeing the availability of electric resources to all Ohio customers.
Electricity is generated through many methods in Ohio, including natural gas, coal, oil, and various renewable energy sources like solar and wind energy. Renewable energy is generated from wind turbines or solar panel farms and sent to the electric grid. The electricity then travels from the power grid to your home and other places.
The presence of renewable energy in Ohio is on the rise thanks to the Ohio Renewable Energy Portfolio Standard. Ohio legislation requires that 12.5 percent of electricity sold in Ohio must be generated from renewable energy sources by 2027. In compliance with this program, utilities and electric service companies may purchase renewable energy credits to meet renewable energy benchmark goals leading up to 2027.
So what are renewable energy credits? Also known as RECs, they represent one megawatt-hour of electricity that is produced using a renewable energy source. For example, a wind REC is an REC that represents energy produced solely by wind power. Also, part of the cost of purchasing an REC goes towards purchasing more RECs in the future. Therefore, purchasing RECs from your local electricity utility company is an investment in the renewable energy industry.
Read this article to learn more about energy regulations in the state of Ohio. If you are looking to keep up-to-date on energy legislation, you can also find an entire listing of energy and environmental legislation in the Ohio General Assembly here.