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Now the electricity restructuring bill goes to the Ohio House, where lawmakers would do well to make further improvements
Published on Friday, Nov 02, 2007
That is a good thing, and it must continue as the legislation moves to the House. For all the back-slapping and hand-clapping, the bill (and the state) would benefit from further improvements.
The governor has jabbed the power industry for hiring a squadron of lobbyists and consultants, and FirstEnergy has purchased the services of the biggest name of all (so far), Ted Olson, the Washington superlawyer tapped for his star power and knowledge of the constitutional issues surrounding ''re-regulation.'' (Might Team Strickland ever have spent big money to tune via polls or focus groups its sales pitch?) The truth is, all sides have deployed their hired guns. Leadership involves extracting value for the state as a whole from the clash of ideas.
When Speaker Jon Husted unveiled a lengthy committee schedule, taking the process into next year, many interested parties groaned. Speed is important, the power companies and regulators needing time for adjustments. At the same time, thoroughness must be a priority.
The governor rightly talks about the need for a ''hybrid,'' power companies having the option of a regulated scheme or the competitive market. The trouble is, he would leave the task of defining a market almost wholly to the Public Utilities Commission. A company such as FirstEnergy deserves better, and not because it has put up cash for a lobbying crew. FirstEnergy restructured as the legislature ordered in 1999 in launching the failed experiment of deregulation. The company isn't organized like a traditional utility. The least the state can do is develop a ''hybrid'' reflecting this reality, including a more precise definition of when a market has been established.
This absence of market criteria isn't the only shortcoming. If Ohio truly wants to be a leader in renewable and advanced energy, it must set reasonable benchmarks for progress, not to mention steps for genuine enforcement. It must cast aside the arbitrary 3 percent cap on price increases due to renewable and advanced energy sources. In other words, House members must keep the conversation going, working hard to make the legislation ''even better.''
Get the full article here.
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