A Green Strategies Bulletin

On December 8, 2010, the Ohio House of Representatives voted to extend the Ohio Department of Development’s Advanced Energy Fund (AEF) by three years, and to raise the cap on the fund from $100 million to $115 million. The vote on Amended House Bill 301 (52–44, largely along partisan lines) is viewed as one of the last major acts of the House Democratic majority before the Republicans take control in January 2011.

Unfortunately, with the AEF set to expire on December 31, there is little indication that the Ohio Senate has any plans to take up HB 301 during the final days of its lame-duck session. Failure to extend the fund threatens to slow the rapid progress Ohio has made in confronting its environmental issues and transitioning to the growing, dynamic advanced energy industry. The fund is already oversubscribed, and the Department of Development has been forced to reject $13 million in grant requests for advanced energy projects.

Over the years the AEF has helped companies create at least 1,200 wind and solar jobs, with much stronger growth rates in recent years. Ohio has invested more than $50 million in approximately 600 energy projects since 1999, covering the full spectrum of new energy technologies such as wind, solar, biomass, geothermal and energy efficiency. The fund is considered beneficial to both residential and commercial customers.

With the AEF likely on the way out, Ohio’s advanced energy industry is considering a revamped strategy for growth for 2011 that includes exploring new funding sources and developing closer ties with Governor-elect Kasich’s incoming energy team.