Ohio’s Ranking Drops on ACEEE Scorecard for Energy Efficiency

Every year, ACEEE (American Council for Energy-Efficient Economy) ranks states on their energy efficiency policy and program efforts and also provides recommendations for ways that states can improve their energy performance. The State Scorecard is a benchmark, which serves to encourage states to continue “strengthening their efficiency commitments as a pragmatic and effective strategy for promoting economic growth, securing environmental benefits, and increasing their communities’ resilience in the face of the uncertain costs and supplies of the energy resources on which they depend.” Last week, the 2015 State Scorecards were released and Ohio was ranked 27th. This is a drop from Ohio’s 2014 placement at 25th.

This drop in ranking is no surprise after Ohio became the first state to reverse energy efficiency and renewable fuel mandates in 2014. Ohio Governor John Kasich signed Senate Bill 310 in 2014, which froze annually-increasing energy mandates until the year 2017. At which point, the “the automatic levels are to be restored”, a provision that Kasich requested to be part of the legislation, according to The Plain Dealer (Cleveland). The bill also included language that establishes a legislative study committee tasked with evaluating the effectiveness and future of the original portfolio standards.

Senate Bill 310 counteracted Ohio Senate Bill 221, which was passed in 2008 and established the efficiency standard. Under Senate Bill 221, Ohio ranked #1 in the nation for advance energy and renewables, “bringing in more renewable energy facilities than any other state,” according to JobsOhio. Under the legislation, utilities can count improvements made by their own customers and also roll over any savings above a given target into the next year. Language in SB 310 created a provision that permits large industrial users to opt-out of utility offered programs; allowing these users to develop and institute internal programs. Concern has arisen that this may adversely impact the effectiveness of the utility offered programs; potentially increasing the cost and burden of compliance on smaller commercial entities.

Overall, the passage of SB 310 has negatively impacted the implementation of commercial energy efficiency retrofits throughout the First Energy territory. Unlike other state utilities, First Energy has opted to discontinue any rebates for energy efficiency work performed by its customers. As a result, there has been a decline in the number of small and mid-size commercial entities instituting energy efficiency related projects. This concern may persist beyond the current two-year freeze in place under SB 310.

Recently, the legislative study committee released a report recommending an indefinite freeze on the mandates. This has largely been met with criticism from environmental groups, politicians and industrial entities alike. In response, Governor Kasich stated that “a continued freeze of Ohio’s energy standards is unacceptable”. There is much debate still to take place before a final determination is made on the future of Ohio’s renewable and energy efficiency portfolio standards. EPCO will continue to provide additional review and analysis as more information becomes available.

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Can a Single Business Battle the Effects of Climate Change?

Is it possible for just one person or one business to battle the effects of climate change? Perhaps a more appropriate way to evaluate that question is to simply ask if you and your business could. It seems like an unrealistic expectation; the idea that a single company can impact a global crisis. Such a goal may not be as out of reach as you may think.

Earth

Let’s take a step back for a moment to appropriately set the stage. Recently, a peer reviewed article outlining the critical effects of climate change began receiving some notable attention from outlets such as CNN and USA Today. The research article painted a grim and distributing image of what Earth’s future may look like in the absence of necessary change in global human behavior.

Originally appearing in Science Advances, the premise of the article argues that Earth is possibly facing the 6th mass extinction event in the planets history. Since 1900, nearly 500 species have gone extinct. During that period, historical data indicates that number should have been just 9.

Arguably, the most alarming conclusion is that the loss of biodiversity would lead to a mass extinction event in as little as three generations. According to the CNN article, the data shows it is possible for humans to wipe out nearly 75% of species on Earth if drastic and needed changes aren’t made. That window to effect change is rapidly closing.

Scientists are not the only ones advocating for considerable change in human behavior. In June, the Pope published a manifesto regarding climate change. In his writings, the Pope argued the reckless behavior of humanity is adversely affecting our planet; a common good that we all must take care of.

Whether advocated by science or the Pope, the steps we all can take amount to the same. It boils down to reducing your carbon footprint. This simple concept is the impetus for energy efficiency, and the foundation for all that I do with my clients. Regardless of your motivations for energy efficient behavior, we each can do our part.

Let’s revisit our original premise. It is difficult still to imagine that a single person or company can effect change on a global scale. But what happens when millions of people and thousands of companies work in concert.

At the end of the day, it wasn’t simply one business, government, or entity that created this problem. It was countless participants, spanning decades, within countries around the globe. Each has played a singular role in what is quickly developing into a global catastrophe.  It stands to reason that we can reverse this trend in much the same way; one business and one person at a time, doing their part.

The one remaining question is what role you will play moving forward…

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