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Ohio bill would make utilities pay after 16-hour outages, spoiled food, and medicine losses

The proposal would shift more of the financial fallout from smaller outages onto utilities as well.

A person is retrieving lettuce from a blue bag while standing near an open refrigerator.

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Ohio lawmakers are considering a bill that would require utilities to compensate customers after long power outages, the Ohio Capital Journal reported.

Here's what to know

Backed by 18 lawmakers from both parties in the Ohio House, Ohio House Bill 1014 would create mandatory customer credits after outages stretch beyond a specified amount of time, It would link utility compensation more closely to the dependable service residents pay for, according to the Ohio Capital Journal.

If normal conditions apply and a home's electricity stays off for 16 hours, the measure calls for a credit equal to the larger of $50 or the customer's monthly electric bill. It would also cover spoiled food and medicine and add more credits if the outage continues for additional days.

Power outages carry meaningful costs that likely aren't just financial for households. Lawrence Berkeley National Laboratory found that a typical residential customer would pay roughly $57 rather than go a full day without power.


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More background

For many families, an outage can mean losing food or missing work. As the Ohio Capital Journal stated, people pay for reliable access to power and power itself when paying their utility bills. Losing that reliable access can make extreme weather events like heat waves much harder to get through.

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The proposal would shift more of the financial fallout from smaller outages onto utilities as well. Utilities can rack up real costs getting power back to hard-to-reach customers, and under current practice, those households absorb most of that cost themselves. HB 1014 would move more of those costs onto utility balance sheets.

What's being done?

By barring utilities from collecting outage credits, the Ohio Capital Journal said the bill seeks to hold utilities accountable for fixing outages. It could make unreliable service carry a direct price for the companies providing it. 

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That structure could push utilities to invest in avoiding failures, but penalties that are set too high might steer money away from other worthwhile improvements. Balance is key.

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Where can I learn more?

As lawmakers debate who should bear the cost of blackouts, other states and households are grappling with the same question.

• In New Jersey, officials launched scrutiny after heat wave blackouts left 850,000 customers without power.

• Across the U.S., longer power outages are pushing customers toward batteries and other backups.

• In more than 30 states, electricity shutoffs during deadly heatwaves still remain legal.

• As outages worsen, Generac is betting backup generators and batteries will become household essentials.

• In Vermont, Green Mountain Power says home batteries paired with renewables can blunt outages.

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