COSE Update - September 2008 - (Page P2)

plan now for an electric price hike continued from page 1 ultimately result in not only fair, but stable electric rates for ALL small businesses. EnErgy EfficiEncy What the bill says: Requirements say that energy demand must be reduced by 22 percent by 2025, including benchmarks and penalties. Through COSE’s effort to amend the bill, SB 221 now states that Ohio small business owners will receive education on energy efficiency and be encouraged to use provided programs and resources. What COSE says: Consider the impact of increased electric rates on your budget as well as on your pricing of products and services. We’re pleased with the outcome of the energy efficiency portions of the legislation and are excited about the commitment to encourage the education of small businesses. AltErnAtiVE EnErgy What the bill says: By 2025, 25 percent of the electricity sold in Ohio must be generated from alternative energy sources, such as clean coal, nuclear energy, fuels cells and cogeneration. Fifty percent of this standard must be met with renewable resources, such as solar power, and 50 percent of the advanced energy must be located in Ohio. SB 221 also institutes a 3 percent cost cap for alternative energy. If the cost of fulfilling the alternative energy requirements is 3 percent or greater than the cost of meeting the same demand without alternative energy, then the PUCO may waive a portion of a utility’s requirement. What COSE says: EliMinAtiOn Of rtc cHArgES What the bill says: SB 221 eliminates current Regulatory Transition Charges (RTCs) that utilities in the past were allowed to collect as a result of their move to deregulation. What COSE says: We’re glad to see these charges removed. In fact, in just the FirstEnergy service territory alone, these charges would have added $590 million in additional cost to customers. efficiency measures required by SB 221. This inclusion would mean allowing small businesses energy efficiency measures to be counted. Currently, as written, small businesses are left out. • Develop an energy efficiency aggregation program. This would minimize the burden for small businesses to report their energy efficiency initiatives, but make their efforts recognized and accounted for by the state. WHAt cOSE rEcOMMEnDS Plan accordingly. Consider the impact of increased electric rates on your budget as well as on your pricing of products and services. WHAt’S nEXt? It’s the PUCO’s job to develop the rules that will describe how these laws will be regulated. Their first attempt was in July. Within two weeks, COSE filed the first set of comments and will continue to do so to advocate the following in the FirstEnergy territory: • Opportunity to apply for special arrangements, including special pricing. Develop a process that would be less burdensome than large customer application requirements. • Chance to be included in energy fUtUrE PlAnning COSE understands that the least expensive kilowatt is the one that’s not used. So COSE has spent the last eight months planning the launch of a member energy efficiency program. Check out future issues of COSE Update and Plugged In for details. This outcome is good and we feel that the specific requirements will help drive economic development related to Ohio’s alternative energy industry. We are also pleased with the cost cap that will protect customers from high prices related to this requirement. i (216) 592-2222 or apaessun@cose.org 2 • COSE Update • plugged in

Table of Contents Feed for the Digital Edition of COSE Update - September 2008

COSE Update - September 2008 Contents Memo Upfront Vision Tech Business Interrupted The “Bigness” of Small Business What’s the Plan? People Telecom Advocacy Communications Health Pipeline Connect Arts My Cause Plugged In

COSE Update - September 2008

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