Experts React to Kasich’s Refusal to Extend Freeze on Ohio’s Alternative Energy Standard

H. Sterling Burnett, Isaac Orr, Jay Lehr, Tim Benson,

Ohio Gov. John Kasich (R) yesterday vetoed a bill that would have made compliance with the state’s renewable energy standards – the Alternative Energy Portfolio Standard (AEPS) – optional for the next two years. 

The following statements from energy policy experts at The Heartland Institute – a free-market think tank – may be used for attribution. For more comments, refer to the contact information below. To book a Heartland guest on your program, please contact Deputy Director of Communications Keely Drukala at and 312/377-4000.

think_small Experts React to Kasich’s Refusal to Extend Freeze on Ohio’s Alternative Energy Standard Environment

“Ignoring the tremendous developments of shale gas and oil within Ohio, Governor Kasich has rejected sensible legislation to end the cost-increasing requirements of forced use of very expensive renewable energy. His veto is a slap in the face of all those who once supported him.”

Jay Lehr
Science Director
The Heartland Institute

“Ohio’s Alternative Energy Portfolio Standard (AEPS) forces utility companies to purchase electricity from less-reliable and more-expensive sources, causing prices to increase throughout the state economy. A 2015 peer-reviewed study on AEPS from the Institute of Political Economy at Utah State University found the program would result in $1.92 billion in elevated electricity costs for Ohio consumers through 2026. These findings were reinforced by a 2011 study by the Beacon Hill Institute, which found the mandate will cause Ohio to lose 9,753 jobs by 2025 and cost Ohio energy consumers $8.6 billion in higher prices through 2025.

“There is nothing common-sense about vetoing this bill, and the citizens of Ohio are going to be worse off going forward because posturing takes precedent.”

Tim Benson
Policy Analyst
The Heartland Institute

“Ohio Gov. John Kasich disappointingly vetoed House Bill 554, which would have extended the suspension of the state’s renewable energy mandate for another two years. Despite the fact that many people seem to think wind and solar energy are cost-effective because wind and sunshine are free, there are large up-front costs that increase the electric bills for everyone. Energy from renewable sources can be six times more expensive than coal or natural gas, and when misguided legislation requires that people use more expensive energy, it makes Ohio businesses less competitive.

“State governments should not try to pick winners and losers. We should be promoting the most efficient ways to power our cities, not kowtowing to renewable energy interests.”

Isaac Orr
Research Fellow, Energy and Environment Policy
The Heartland Institute

“First, Kasich vetoed a sales tax exemption for oil and gas companies – which at least pay taxes – claiming poverty for the state, while also vetoing the permanent freeze on the renewable power mandate, which costs the state and federal taxpayers via subsidies and higher costs. Renewable power doesn’t generate reliable power, and certainly doesn’t generate revenue for the state. Businesses, workers, and residents suffer through higher energy costs and the state loses money as businesses flee.”

H. Sterling Burnett
Research Fellow, Environment & Energy Policy
The Heartland Institute
Managing Editor, Environment & Climate News

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