Columbus, OH — Ohio State Senators Mark Romanchuk (R-Ontario) and Kent Smith (D-Euclid) have introduced SB 231, bipartisan legislation that would establish a community energy and pilot program, helping Ohio to create much-needed local energy to power artificial intelligence, data centers, and a resurgence of manufacturing in the state. SB 231’s companion bill, HB 303, is currently in the Ohio House of Representatives, introduced by State Representatives Jim Hoops (R-Napoleon) and Sharon Ray (R-Wadsworth).
Community energy includes community solar, which allows anyone with an electric bill to benefit from affordable, locally generated solar power. Residents, businesses, and other subscribers can tap into the energy generated from a nearby community solar installation and receive credits on their utility bills.
“Ohio is at an inflection point. Our state is attracting major investments in advanced manufacturing and data centers, and with that comes an urgent need for more electricity—produced here in Ohio,” said Sen. Romanchuk. “SB 231 is about building a smarter, more resilient energy system that taps into our own resources and supports local communities. This pilot program will empower local decision-making, reduce our reliance on imported power, and position Ohio as a leader in energy innovation.”
“For Ohio to remain competitive in the region for manufacturing and energy jobs, rapidly expanding community energy is crucial. As we work to cement Ohio’s role as the leader in the future of technological advancement, how and where we source our energy from has never been more important,” said Rep. Jim Hoops.
“SB 231, like HB 303, brings more energy options for Ohioans as demand is at an all-time high,” said Rep. Sharon Ray, “A pilot program like the one proposed would be a great way to bring value, more distributed generation, and energy security to our state.”
Ohio annually imports as much as 25% of its energy and urgently needs more locally produced energy on the grid as the race to lead the nation in data center development heats up. Importing this much energy places Ohio at a competitive disadvantage. Importing energy is subject to higher costs and fees, and Ohio’s overwhelming dependence on natural gas places it at risk for volatile pricing.
SB 231 and HB 303, if enacted, would create a distributed generation pilot program that would allow for Ohio to secure in-state generation subject to local planning and zoning years ahead of the time frames for other generation sources, which could take years. Additionally, community energy stands to help all ratepayers by lowering energy bills, increasing customer choice, and spurring local economic investment.
“This program has strong bipartisan support across the state and is the fastest-to-scale, most adaptable solution the energy industry has to meet growing energy needs. This policy has been subject to several hearings and has evolved to garner significant support,” said Carlo Cavallaro, New Markets Director for the Coalition for Community Solar Access (CCSA). “We look forward to working with communities, legislators, and other stakeholders to ensure Ohio is a nationwide leader in supporting energy choice and a resilient electric grid.”
A 2023 analysis from the Ohio University Voinovich School of Leadership and Public Service’s Center for Economic Development and Community Resilience found that a state “Ohio Community Solar Pilot Program” could contribute nearly $3.49 billion in gross state product (GSP), 27,254 Ohio job years with total earnings of $2.48 billion, and $409.5 million in local tax revenue over its lifetime. More recently, an analysis completed by former Texas Public Utility Commissioner Karl R. Rábago shows that the costs of community solar legislation in Ohio currently being considered would be offset by the program’s benefits from “avoided costs” alone, without including indirect benefits like reducing dependency on imported energy, economic development, and job creation that results from building a strong, locally based electricity generation sector.
Across the nation, 19 states and the District of Columbia have already adopted policies enabling third-party community solar programs. Additionally, Microsoft, Google, Walmart, Starbucks, Rivian, Wendy’s, and T-Mobile are just a few of the Fortune 500 companies that have signed agreements with community solar developers to invest in projects across the country. Companies and states across the nation recognize that, as they look to meet rising energy needs, community solar and distributed energy resources are answering the call.
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About CCSA: The Coalition for Community Solar Access (CCSA) is a national trade association representing over 125 community solar developers, businesses, and nonprofits. Together, we are building the electric grid of the future where every customer has the freedom to support the generation of clean, local solar energy to power their lives. Through legislative and regulatory advocacy, and the support of a diverse coalition — including advocates for competition, clean energy, ratepayers, landowners, farmers, and environmental justice — we enable policies that unlock the potential of distributed energy resources, starting with community solar. For more information, visit https://www.communitysolaraccess.org and follow the group on X, LinkedIn, and YouTube.