Ohio's new energy law, HB 15, is set to take effect on August 14, 2025, marking a significant shift in the state's energy policy. Signed by Governor Mike DeWine in May, the legislation repeals subsidies for unprofitable coal plants established under the controversial HB 6, including the "legacy generation rider" that funded Ohio Valley Electric Corporation's coal facilities. The move aims to modernize Ohio's energy sector and reduce reliance on fossil fuels.

HB 15 also introduces tax incentives to spur investment in renewable energy and storage infrastructure. The Tangible Personal Property (TPP) tax on new energy generation and storage equipment will drop from 25% to 7%, while the tax on transmission, distribution, and pipeline infrastructure will be reduced to 25%. These changes, effective in 2027, are designed to encourage the development of renewable projects on underutilized lands like former industrial sites and abandoned mines.

Consumer protections are a cornerstone of the new law. HB 15 bans deceptive pricing practices, such as teaser rates, and mandates refunds for unlawful utility charges. It also abolishes Electric Security Plans (ESPs), requiring utilities to undergo rate case reviews every three years to ensure transparency and fair pricing. Additionally, utilities are barred from owning power plants to maintain competitive markets.

A $40 million loan program for schools will support energy efficiency initiatives, including solar panel installations, further aligning Ohio with clean energy goals. The law reflects a broader trend of states prioritizing renewables and consumer protections in energy policy.