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Energy Resources Division
Ohio’s Commitment to an Advanced Energy Economy
Ohio leaders have created a number of programs to accelerate the development and deployment of advanced energy. The goal is to promote energy independence and economic development not just for today's citizens, but for future generations.
Senate Bill 221 – Alternative Energy Portfolio Standard and
Energy Efficiency Portfolio Standard
When Senate Bill 221 was signed into law on May 1, 2008, Ohio enacted a landmark new energy policy. Designed to attract quality jobs of the future, ensure affordable and stable energy prices, and safeguard Ohio families by empowering consumers and modernizing Ohio's energy infrastructure, this new energy law will also create a market for advanced energy in state.
Among the provisions, the law establishes annual benchmarks for renewable energy and energy efficiency. Ohio investor-owned utilities, including American Electric Power, Dayton Power & Light, Duke Energy and First Energy, are required to meet an Energy Efficiency Portfolio Standard (EEPS) and Alternative Energy Portfolio Standard (RPS). The EEPS will achieve a cumulative, annual energy savings in excess of 22% by 2025 and the AEPS includes requirements for renewable energy sources to supply 12.5% of electricity demand by 2025.
The specific carve-out for solar within the Advanced Energy Portfolio Standard includes a 0.5 percent solar requirement by 2025 that will place Ohio among the top states with markets for solar, with an estimated 825 MW deployed or delivered to the state.
Ohio’s renewable energy standard is the third most aggressive policy in the US and translates into at least 6,000 Megawatts (MW) of new wind and solar capacity – enough to power 1.8 million homes. Also due to the 0.5% solar requirement, Ohio will be among the top states with markets for solar PV with 450 – 800 MW deployed or delivered to the state.
The Public Utilities Commission of Ohio (PUCO) is responsible for the administrative rules to implement this law. View the latest updates at www.puco.ohio.gov/.
For more information about Ohio's Advanced Energy Portfolio Standard please click here.
Senate Bill 232 - Qualified Energy Project Tax Exemption
The Qualified Energy Project Tax Exemption provides owners (or lessees subject to a sale and leaseback transaction) of renewable, clean coal, advanced nuclear, and cogeneration energy projects with an exemption from the public utility tangible personal property tax and real property tax. Qualified Energy Projects will remain exempt from taxation for the life of the facility so long as the project is completed within the statutory deadlines, meets the "Ohio Jobs Requirement," and continues to meet several ongoing obligations including providing the Ohio Department of Development with project information on an annual basis and maintaining compliance with all state regulatory requirements. Potential applicants should review the application instructions and answer the preliminary questions to determine whether they should file an application to become a "Qualified Energy Project."
Ohio Third Frontier - Advance Energy Programs
Administered by the Ohio Department of Development, the Ohio Third Frontier has transformed Ohio's economy through investments in emerging industries and technologies - while leveraging an additional $4.5 billion in federal and private sector support. Various competitive funding opportunities are available, including access to a powerful pre-seed equity investment pool. Since 2002, Ohio Third Frontier has invested more than $150 million for energy related research, development, and product commercialization. For more information, please visit the Innovation and Technology Division web page.
Ohio Power Siting Board Authority
The Ohio Power Siting Board (OPSB) is administered by the Public Utilities Commission of Ohio and is responsible for reviewing and approving plans for the construction of new energy facilities in Ohio. OPSB provides sound energy policies that provide for the installation of energy capacity and transmission infrastructure for the benefit of the Ohio citizens, promoting the state's economic interests, and protecting the environment and land use. For more information, please visit: www.opsb.ohio.gov/.
Ohio Special Energy Improvement Districts
Ohio House Bill 1, signed into law on July 2009, allows Ohio municipalities and townships to borrow money to finance privately owned solar projects. The legislation is expected to promote the expansion of residential solar installations. For more information, click here.
According to AWEA, 1 MW powers 300 homes, each with a yearly electricity use of 10,000 kWh.