Ohio business group urges 90-day siting clock, new state office to speed generation and transmission

Alexandra Denney, testifying for the Ohio Business Roundtable, told the House Energy Committee that Ohio is entering a period of rapidly rising electricity demand driven by data centers and advanced manufacturing and needs faster permitting and more generation and transmission to keep pace.

"This is kind of a historical period that we're entering," Denney said, summarizing the study's demand analysis and the recent wave of industrial energy users. She and the Business Roundtable's work group cited PJM retirements and an aging fleet: "More than 44 gigawatts has been deactivated within PJM. 13 gigawatts of that has been in Ohio," she said, and noted that roughly 25 GW of PJM capacity is older than average retirement age.

The study centers on state-level steps the authors say are within Ohio's authority. Key recommendations presented to the committee include: a 90-day shot clock to shorten average siting and permitting (the report identified an average OPSB timeline of roughly 366 days); creation of an Office of Energy Resilience focused on economic development and state-level coordination (not a new regulatory agency); designation of Priority Investment Areas (targeted incentives, expedited permitting and a five-year tangible personal property exemption for new projects sited in those areas); clarifying rules for behind-the-meter generation; reforms to reduce regulatory lag in utility cost recovery (the study recommends sticking to a 275-day shot clock rather than the longer current averages cited by the presenters); and a study committee on grid-enhancing technologies.

Denney said the group prepared its recommendations to be state-focused and consensus-driven: "We wanted this to be a collaborative process," she said, and noted the work group included more than 35 members representing generators, utilities, large users, project developers and financiers. She described the priority investment area idea as a way to target brownfields and former coal communities for expedited approvals and tax incentives to attract new generation or transmission investment.

The witness repeatedly framed the recommendations as "all of the above," urging the committee that Ohio can pursue renewables, nuclear, natural gas and emerging technologies together. She also encouraged advocacy at the PJM and federal level for interconnection queue reform, a more stable capacity-auction cadence and a more proportionate vote at the Association of PJM States (OPSI) so Ohio's load share is reflected.

Denney said some recommendations overlap with provisions in Senate Bill 2 and that the roundtable was not taking a proponent or opponent stance on pending legislation but rather presenting its consensus study for lawmakers' consideration.

The committee followed the testimony with questions about the feasibility and timeline for the proposed grid-enhancing technologies study and whether Ohio should consider larger public funding mechanisms like those used in Texas. Denney said the roundtable favored incentives and "carrots" to encourage private investment rather than recommending large state appropriations at this time.

The Business Roundtable study and the materials the witness referenced were entered into the hearing record.