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Governor Strickland's Energy Plan and You

January 2008

About eight years ago, Ohio de-regulated the electricity industry, expecting that consumer electric prices would fall. Unfortunately, that did not happen. On Dec. 31, 2008, the Rate Stabilization Plans that froze rates in 2005 are scheduled to expire. According to the U.S. Department of Energy, customers in states with deregulated electricity paid on average 30 percent more last year than customers in regulated states.

Governor Ted Strickland and Lt. Governor Lee Fisher have introduced Senate Bill 221 - the Governor's Energy, Jobs and Progress Plan to not only address electric regulation, but also to:

• Ensure affordable and stable energy prices to protect Ohio consumers and existing Ohio jobs;
• Stimulate a move to alternative and renewable energy sources; and
• Safeguard Ohio families by empowering consumers and modernizing Ohio's energy infrastructure.

Older Ohioans face rising costs of daily living, as well as the ever-increasing costs of aging. On a per capita basis, older adults use more residential energy than younger persons because they spend more time at home and usually have more acute health concerns. Any increases in heating costs would stretch their budgets even more.

The average family spends $1,500 a year on energy bills, with nearly half of that spent on heating and cooling. Analysts at the U.S. Department of Energy predict that most Americans will pay 32 to 48 percent more to heat their homes this winter than they did last year. According to the department, the average natural gas consumer will pay $350 more over the winter. Users of propane, fuel oil and electricity will see similar but less significant increases in cost.

Passage of the Governor's plan will not only provide a boost to Ohio's economy, making the state more attractive to business development, it will also stabilize energy costs for all Ohioans. With predictable energy costs, Ohioans can plan and create budgets to ensure they can heat, cool and light their homes. The re-regulation of electric rates will help guard against the chance of huge price hikes when the current caps on rates are lifted.

For older adults, many of whom live on a fixed income, every little bit of savings helps.

Simple tips to help you control energy costs this winter:

Prevent drafts.

• Seal gaps in doors and windows with weather-stripping, caulk or other sealant.
• Cover windows and unused doors with thin plastic sheeting secured with double-sided tape.
• Install storm windows and doors.
• Seal the bottoms of doors with rubber sweeps and strips attached to the threshold.
• Remove or cover window air conditioners.

Heat your house more efficiently.

• When the sun is shining, open your drapes and warm your house naturally. Close them at night to reduce heat loss.
• Move carpets and furniture away from vents.
• Check the insulation in your home. Add more insulation, or replace old and damaged insulation as needed.
• Run ceiling fans clockwise at a low speed to circulate heat that gathers near the ceiling.
• Clean or change the filters in your heating system at least once every two months.
• Cover your hot water tank with an insulation jacket.
• Use foil to cover pipes that carry hot water, especially through unheated parts of the house.
• Install a programmable thermostat, which can lower temperatures automatically at night and when you're out of the house.

The Ohio Department of Development sponsors several Energy Assistance Programs to help low-income Ohioans of all ages meet the high cost of heating their homes. Home Energy Assistance Program (HEAP) helps low-income Ohioans of all ages pay heating bills. The Winter Crisis Program, formerly known as E-HEAP, assists households that have had utilities disconnected, face disconnection or have a 10-day supply (or less) of bulk fuel.

The Home Weatherization Assistance Program helps qualifying low-income homeowners and renters reduce energy consumption while increasing the comfort of their homes. Contact your Area Agency on Aging (1-866-243-5678) for more information and assistance applying for these programs.

Barbara E. Riley