House Energy Committee hears bill to codify PUCO decision allowing landlords to resell electricity

The Ohio House Energy Committee held a second hearing on House Bill 173, which would codify a recent Public Utilities Commission of Ohio (PUCO) decision allowing landlords or their agents to resell electricity to tenants on private property while giving the commission regulatory oversight.

Supporters said the bill would end litigation uncertainty for multifamily property owners and enable investments — such as solar, EV charging and energy-management devices — by clarifying that resale behind a property master meter does not make the seller a public utility. "House Bill 173 seeks to codify the Commission's determination that the resale or provision of electricity by landlords or their agents to tenants is authorized and does not deem those businesses to be public utilities," said Kim Boyko, partner at Carpenter Lipps, testifying on behalf of Champion Companies.

Champion Companies and other proponents told the committee the PUCO has already concluded in recent orders that landlords and submetering firms may resell electricity provided tenants are separately metered and the tenant's total charge does not exceed the local utility's applicable standard service offer (SSO). The draft bill would put that principle into statute and give PUCO authority to register and regulate behind‑the‑meter providers, set certification requirements and impose penalties for violations.

Committee members raised enforcement and consumer‑protection concerns. "Are we to believe that this is enough teeth to stop submetering companies from overcharging our constituents?" asked Representative Brennan. In response, Boyko said the cap is already in effect by commission practice and that the PUCO complaint process is the established enforcement mechanism for all nonmonopoly providers; she acknowledged the bill's $100‑per‑violation penalty could be revisited.

Representatives also questioned whether tenants lose access to certain assistance programs under some resale arrangements. Boyko said tenants billed individually by a submetering provider can qualify for the Home Energy Assistance Program (HEAP), but that customers who receive resold electricity as a charge rolled into rent are not eligible for HEAP. She and other witnesses said the Percentage of Income Payment Plan (PIPP, often abbreviated PIP in testimony) is not available to customers who receive resold electricity under current state rules and that changing that outcome would require separate legislative action.

Theresa Ringenbach, senior vice president of corporate affairs at Nationwide Energy Partners (NEP), testified NEP has operated the business model for more than 25 years in Ohio, that a 2023 PUCO order resolved an evidentiary proceeding finding NEP's services are not a public utility, and that NEP already provides resident support programs and additional consumer protections beyond PUCO minimums. "When engaging in disconnection of electric service to a tenant for nonpayment of charges related to electric usage, the landlord must follow the same disconnect standards applicable to landlords under the PUCO's current admin code," Ringenbach said, adding NEP typically exceeds those protections and operates a local resident support team to help tenants access HEAP and other pledges.

Several committee members pressed NEP about consumer complaints and news reports. Representative Bridal cited news articles and a lower Better Business Bureau score; Ringenbach said the company now holds an A rating and that many published complaints are resolved or arise from misunderstandings about the difference between a generator price‑to‑compare and the tenant's total bill. She pointed the committee to the PUCO proceeding and to NEP's contractual rate guarantees and resident portals that allow tenants to verify charges against the utility SSO.

Proponents said the bill would also authorize the commission to enforce a guaranteed bill cap and to register or require certification of behind‑the‑meter providers so that noncompliant operators are exposed to PUCO oversight. Supporters asserted that codifying the commission's approach provides certainty that will encourage private investment in multifamily property energy upgrades.

No formal action or vote on House Bill 173 was recorded during the hearing; the committee moved on after testimony and questions.

The committee heard a mix of business testimony and sustained questioning from members focused on enforcement, program eligibility (HEAP, PIPP), and consumer experience. Multiple witnesses said statutory changes would be necessary to extend some utility customer protections (notably PIPP eligibility) to tenants receiving resold service.