Office of the Ohio Consumers' Counsel

Electric Utility Securitization
(House Bill 364, Senate Bill 248)

A new law signed by Gov. John Kasich in December will allow electric utilities to use a new financing tool that could save Ohio consumers money.

Amended Substitute House Bill 364 (HB 364) enables the Public Utilities Commission of Ohio (PUCO) to "securitize" certain electric utility assets to achieve lower interest rates when they are financed. Since utilities typically charge customers for interest costs, lowering these utility costs means savings for customers.

The OCC supported the final version of the bill, which can provide benefits to Ohio's utility consumers. During the legislative process, the OCC testified before the House and Senate public utilities committees to suggest improvements to the HB 364. The initial version of the bill did not require cost savings to consumers. Throughout the legislative process, improvements were made that requires the Public Utilities Commission of Ohio (PUCO) to ensure securitization results in "both measurably enhancing cost savings to customers and mitigating rate impacts to customers."

The law goes into effect in mid-March 2012 when electric utilities will be able to apply to the PUCO to use this financing tool.

Legislation

• Download House Bill 364

• Download Substitute Senate Bill 248

• Download HB 364 analysis by the Ohio Legislative Service Commission

Testimony

• Testimony of Bruce Weston, Interim Consumers’ Counsel – Nov. 30, 2011
  Office of the Ohio Consumers’ Counsel

OCC has had to cancel many of its services, including its consumer call center, due to recent budget cuts. We realize you may continue to need assistance with your utility services. OCC's website provides free access to publications and resources.

You may seek assistance with utility complaints from the Public Utilities Commission of Ohio:
800-686-7826. For complaints about non-utility related services, you may call the Ohio Attorney General
at 800-282-0515.