Ohio’s new energy law, House Bill 15 (HB 15), changes how utilities propose changes to the delivery part of energy bills. Signed by Governor Mike DeWine in May 2025, HB 15 updates the Public Utilities Commission of Ohio’s (PUCO) rate case process and timelines. A rate case occurs when a utility asks PUCO to adjust its distribution rates. These rates cover poles, wires, pipes, meters, and customer service, but not generation or transmission costs. To justify an increase, utilities must provide detailed financial information, system data, and expert testimony explaining why the change is reasonable and needed.
With HB 15, electric distribution utilities follow a set schedule. PUCO staff has 45 days to confirm a filing is complete, 180 days to issue a staff report, and 360 days from then for the Commission’s final order. Rate cases should now finish in just over a year, providing customers and stakeholders with a clearer timeline.
HB 15 also updates how rates are set. Utilities can now use a fully forecasted test period to estimate expenses and revenues over several years, rather than relying solely on past costs. To keep things fair, the law includes true-up mechanisms that match forecasts with actual results. Electric utilities must have a full rate review at least every three years.
PUCO is updating its rules and gathering stakeholder input to implement these changes. The first rate cases using the new forecast-based method, such as AES Ohio’s three-year plan, are already in progress.
What HB 15 Means for Large Energy Users
Ohio’s HB 15 changes how utilities set delivery (distribution) rates, affecting how large organizations budget and plan for energy over time. Here are three key implications for commercial and industrial customers:
- More frequent, predictable rate reviews
Electric distribution utilities must file full-rate cases at least every three years, so delivery rates will likely change in smaller, more regular steps rather than in big, unpredictable jumps. - Multi‑year, forecast‑based pricing
Utilities can increasingly use multi-year forecasts to set rates, paired with true-ups that reconcile forecasts with actual costs later. This creates more visibility into future delivery charges but also more factors to track over a contract’s life. - Stronger incentives to manage load and invest on‑site
With clearer distribution rate mechanics and greater emphasis on planned system investments, the business case for strategies such as efficiency projects, load flexibility, on‑site generation, and microgrids to manage long‑term cost exposure and reliability strengthens..
Talk strategy with our team
If you’re a large energy user in Ohio, now is a good time to revisit your long‑term plan. Our team can help you:
- Map HB 15’s new timelines and mechanisms to your budget and contract strategy.
- Evaluate how upcoming rate cases could affect your specific facilities.
- Explore efficiency, demand management, and on‑site generation options to reduce risk.
Reach out to us to schedule a strategy conversation about HB 15 and your energy roadmap.
