Deregulation Under Attack In Ohio

Ohio’s investor owned electric distribution utilities (EDUs) have filed requests before the PUCO asking for cost-based regulation of their affiliate owned generating plants. These proposals all carry a non-bypassable rider that forces customers to subsidize the EDU’s power plants. AEP’s case is now done and awaiting a decision from the PUCO. The EPO participated in that case arguing against the proposal noting “[I]f AEP Ohio truly believes that customers can benefit from Rider PPA, the Commission should ask itself why a publicly traded company, with a fiduciary responsibility to its shareholders, giving away such a valuable asset? The only logical conclusion is that Rider PPA is not likely to benefit customers in any meaningful way and should be rejected.”

Duke Energy Ohio and FirstEnergy both have proposals before the PUCO asking for similar guarantees on its power plants. The EPO will continue to participate in these cases in an effort to protect freedom of choice for customers.

You can read EPO’s brief by clicking here.