A broad coalition of 30 companies, trade associations, and institutions operating in Ohio are urging lawmakers to reinstate energy efficiency programs by passing House Bill 389 (HB 389).
HB 389 is a bipartisan measure that would allow utilities to voluntarily establish new energy efficiency programs that encourage electricity savings of 0.5% annually through programs that help customers reduce energy waste.
“All Ohio consumers and businesses benefit when we reduce energy waste – whether or not they participate directly in energy-saving programs,” the 30 organizations wrote in a letter submitted as public comment to the Ohio House Public Utilities Committee on Tuesday. “Policies that keep energy costs low and predictable over the long-term are a major consideration for our companies as we make investments.”
The signatories — which include the Air-Conditioning, Heating, and Refrigeration Institute, Ameresco Inc., JLL, Nestlé, SCS Logistics, and the Sheet Metal and Air Conditioning Contractors' National Association — also emphasized the strong business support for energy efficiency programs that save customers money on electric bills, create jobs, and reduce pollution.
HB 389 will be discussed at a legislative hearing on Wednesday. The letter was organized by the sustainability nonprofit Ceres on behalf of the many organizations that are urging action on energy efficiency in Ohio.
“The list of signatories to this letter spans industries, and makes clear that Ohio’s business community knows that we all benefit from strong energy efficiency initiatives,” said Alli Gold Roberts, director of state policy, Ceres. “These programs are not just good for clean air and public health. They’re also good for the bottom line. We urge lawmakers to pass HB 389 to help utility customers across the state to capture these savings and ensure its energy resources are being used well.”
“Nestlé is committed to a more sustainable future, and energy efficiency programs ensure that we are not using any more electricity than we need to. This is crucial to both our financial performance, and to meeting our pollution goals,” said Megan Villarreal, manager of policy and public affairs, Nestlé. “We applaud lawmakers for working toward a bipartisan consensus to reopen these important programs in Ohio, and look forward to accessing important efficiency initiatives in the state soon.”
“Our company has worked with businesses and organizations across the Midwest to help save energy and cut down expenses. But sadly, we were forced to shutter our Ohio office after the state’s energy efficiency standards were rescinded,” said Gary Swanson, president and chief executive officer, Energy Management Solutions, Inc. “We’re glad to see lawmakers consider HB 389, because it gives Ohio an opportunity to overcome this setback for the industry by regaining jobs, growing economic activity, and rebuilding a modern energy sector.”
Support for HB 389 extends beyond the private sector, as well.
“When I first began working at Reynoldsburg City Schools, I was immediately struck by the burden of energy costs across our facilities,” said Chris Reed, executive director of business, Reynoldsburg City Schools. “Energy efficiency efforts have since helped save our district and our taxpayers millions of dollars, which is one reason I strongly support reinstating these programs to help institutions across Ohio operate more sustainably—both financially and otherwise.”
If approved, HB 389 would represent some progress in reducing energy waste after lawmakers in 2019 passed the controversial House Bill 6, which largely rescinded the state’s more aggressive energy efficiency standards. Many of the same companies who signed the latest letter had previously called for Ohio to reinstate the standards by fully repealing HB 6.
While HB 389 does not restore Ohio’s energy efficiency standards, experts expect that the new programs would save customers billions of dollars on electric bills over time, while generating significant economic activity and new jobs, as well as healthcare savings from reduced pollution.
“We support the bill as an important first step toward restoring critical cost-saving programs that were eliminated by House Bill 6,” the letter said.
A prior version of this release incorrectly stated that HB 6 was passed by the Ohio Legislature in 2020. In fact, it was passed in 2019.
About Ceres
Ceres is a nonprofit organization working with the most influential capital market leaders to solve the world’s greatest sustainability challenges. Through our powerful networks and global collaborations of investors, companies and nonprofits, we drive action and inspire equitable market-based and policy solutions throughout the economy to build a just and sustainable future. For more information, visit ceres.org and follow @CeresNews.