Ohio's Advanced Energy Fund was originally authorized by the state's 1999 electric restructuring legislation. The Fund supports the Advanced Energy Program, which at different times has provided grants for renewable energy and energy efficiency projects to different economic sectors. Grant and loan funds are awarded through periodic Notices of Funding Availability (NOFAs) which may each focus on specific technologies or economic sectors.
The Fund is administered by the Ohio Development Services Agency (ODSA) and was originally replenished through a uniform fee on the electric bills of customers of the state's four investor-owned utilities (American Electric Power, Dayton Power and Light, Duke Energy, and FirstEnergy). The fee amount was determined by dividing an aggregate revenue target for a given year -- as determined by the ODSA -- by the number of customers of electric distribution utilities in Ohio during the previous year. The maximum aggregate revenue target for each year through 2005 was $15 million; the maximum target for each year after 2005 was $5 million. Fee collections began January 1, 2006, and ended January 1, 2011.
Additional income may accrue to the Advanced Energy Fund from alternative compliance payments (ACPs) associated with Ohio's [http://www.dsireusa.org/library/includes/incentive2.cfm?Incentive_Code=O... Alternative Energy Portfolio Standard] or [http://dsireusa.org/incentives/incentive.cfm?Incentive_Code=OH16R&re=0&ee=0 Energy Efficiency Portfolio Standard], enacted in July 2008.
In 2012, S.B. 315 transferred funds from the Advanced Energy Research and Development Taxable Fund and the Advanced Energy Research and Development Fund to the Advanced Energy Fund. In addition, it allowed the Advanced Energy Fund to award loans in addition to grants.
Ohio's 1999 restructuring legislation also created the Public Benefits Advisory Board, a multi-stakeholder panel that assists the ODSA in administering the Fund, and the Universal Service Board. The ODSA collaborates with the Public Utilities Commission of Ohio to design and develop energy programs. Incentives are available to residents, low-income housing developers, businesses, industry, local governments, schools, nonprofits and farms. Participation in the Fund by electric cooperatives and municipal utilities is voluntary. Because no electric cooperatives or municipal utilities are participating, customers of these utilities are not eligible for Fund incentives. For information on current opportunities please consult the program web site.