Ohio Proposes Charging for Utility-Owned Charging Stations

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Julia Segal

DATE

June 3, 2022

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electric vehicle charging station

Ohio lawmakers are considering a bill that would allow utilities to charge customers for utility-owned charging stations. The legislation would mean that utility companies planning to build a network of company-owned EV stations could pass the building costs along to customers, whether they use them or not.

Senate Bill 307 is meant to promote EV manufacturing and use in Ohio and would also create a state task force to develop an electric vehicle plan, a $2,000 sales tax rebate for new EV purchases, and set aside grant money to help auto suppliers transition from gas-fueled vehicles to electric.

Though, the provision to subsidize utility companies’ plans to build EV charging stations is receiving pushback. American Electric Power was first in the state to implement a program to charge cutomers for Utility-Owned Charging Stations – in 2018, they received state approval for a $10 million EV infrastructure pilot program.

This leads us to an important question: should EV charging be a competitive service? Who should be at the forefront of creating electric vehicle charging networks? This provision may pit utilities against consumer groups and gas companies, but is it possible that they each can play a role in the business of EV charging?

Backers of the bill offer that utilities can help ensure an equitable distribution of chargers by building in poorer, more rural areas, arguing that private companies may not be as inclined to do so. The state regulatory agency, The Public Utilities Commission of Ohio, would determine whether the plan meets the bill’s criteria, ensuring a neutral competitive environment and minimized costs.

What should the role of utilities be in the electrification of transportation? As the number of EVs increases, it’s vital that states consider the efficiency of their power systems. But who is responsible for meeting the demand? Is it utilities? Should they focus on building out charging networks and infrastructure or on managing local power grids? In order to accelerate EV adoption, we must increase access to charging stations and utility involvement is just another detail to iron out.