Janine Migden-Ostrander, Ohio's Consumers' Counsel
(Photo/OCC)
COLUMBUS, Ohio -- While Ohio Attorney General Richard Cordray spent two days in Washington this week discussing competition policy in the energy sector, a dozen energy watchdog groups are howling at changes to green renewable energy rules they say will erode the state's relatively new electricity law.
Mr. Cordray goes to Washington
Cordray, a Democrat running for his first full term next year after replacing disgraced AG Marc Dann in a special election last year, joined Federal Trade Commissioner William E. Kovacic and the U.S. Department of Justice Antitrust Division's second-in-command, Deputy Assistant Attorney General Philip Weiser, at a two-day workshop on energy and competition in the nation's capital, according to a media release this week.
Cordray co-chairs the Antitrust Committee of the National Association of Attorneys General and is boosting federal-state cooperation in enforcing antitrust laws, especially amidst the challenges of ensuring consumers are well-served by the dynamic changes coming in the fields of alternative energy and advanced energy.
"The types of energy available are evolving, and it's important that we continue to encourage competition in these markets on behalf of the consumers in our states," Attorney General Cordray said in prepared remarks. "When demand is high and new energy sources are being explored, we must keep everyday citizens in mind and ensure that their needs continue to be met amid these changes."
Some of the topics discussed at the meeting included the regulatory framework, governing and structure of electricity and natural gas markets; the potential for more competitive markets through consumer demand elasticity; exploration of ways that new energy sources may impact grid congestion; issues relating to the integration of wind and solar technologies into electricity markets; and antitrust concerns raised by the growing importance of the wind and solar industries in competitive electricity markets.
Energy watchdogs bay at bad laws rising
But back home, the state's utility funded residential energy consumer watchdog agency -- The Ohio Consumers' Counsel (OCC) -- joined 11 other clean, green energy advocates in saying adoption of Ohio's proposed renewable energy rules would make for bad law.
They argue that changes to green energy rules, that implement the state's energy bill pass in May of 2008 to partially re-regulate utilities and to require energy efficiencies and renewable energy as part of the state's new energy portfolio, were made in secret, will violate the intent of the law and will lower investment in energy efficiency and renewable energy.
Statements on the damages these proposed green rules would cause if adopted were contained in a Friday news release by the Ohio Consumer and Environmental Advocates (OCEA), comprised of a dozen groups including the OCC, Ohio's chief advocate for the state's 4.5 million residential energy users.
The group's deepest concern is with two rules, one o which would relax the definition of energy efficiency savings for commercial and industrial customers, and one that would allow utilities to use any type of fuel to create electricity (including coal they say), store those megawatts for later use and obtain renewable energy credits to meet the state's renewable standard.
OCEA said it has filed a rehearing with the Public Utilities Commission of Ohio, the state's energy regulatory agency.
Nolan Moser, an attorney with the Ohio Environmental Council speaking about transparency on rule writing, said, "One year of testimony, filings and public debate at the PUCO led to quality, consensus rules. Now, a couple weeks of private back and forth negotiations have jeopardized them. This debate needs to be in the open."
Attorney Terrance O'Donnell, speaking for Ohio Advanced Energy about renewable energy requirements, said, "The renewable energy industry is excited that Senate Bill 221 (Ohio's new electricity statue) mandated the development of renewable energy in Ohio. That opens up a huge marketplace opportunity for products such as wind turbines and solar panes. Unfortunately, the latest version of these rules appears to muddy the definition of 'renewable energy,' allowing unspecified 'pumped storage' technologies to qualify as renewable energy."
O'Donnell said that without clarity, "this vague definition could open up a loophole in the law and scare off the wind and solar industries Ohio is trying to attract."
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