Vince Welage: "Ohio Utility Energy Disparity; Charges Lack Conditional Exemptions"

"Current smart grid billing schemes are creating a disparity among ratepayers" "Consumers with lower levels of energy consumption are subsidizing customers with higher consumption"

Image by Andrew Khoroshavin from Pixabay

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Ohio Utility Energy Disparity; Charges Lack Conditional Exemptions

STATEWIDE - In April 2024, TOR’s own Nick Rogers sat down for an interview with Local technology expert Vince Welage, who has been investigating the root causes for anomalies in smart meter technology sweeping the state which has resulted in high energy bills. Today, Welage is offering more insight (using his study results) to explain how state utility regulators have allowed Ohio utility companies to charge customers for “smart” meters. Many consumers are facing significant issues related to these advanced meters, but the state legislatures have shown a real lack of regulation oversight enabling the utilities to charge punitive fees on those customers who have chosen to opt-out. Billing overcharges are only one of the harmful components behind the forced home installation of the meters aside from surveillance, safety/health, and security issues.

Interview Excerpts:

TOR: Our first discussion centered around a years-long study you conducted on Duke Energy overcharging on electric and gas customers’ bills. You “utilized 600+ monthly statements from the years of 2018-2023, covering 15 zip codes in SW Ohio for homes between 1,275 and 3,500 square feet.” My understanding is that your study has continued on past our first interview. Is this correct?

Vince: Yes. The number of statements analyzed has now exceeded 700 and the study has expanded to cover 25 zip codes in SW Ohio from the years 2018-2024.

TOR: The lower monthly average, I assume, makes the disparity of actual energy usage vs. what customers are paying (because of fixed costs and hidden delivery tariffs [“riders”]) even greater than your initial findings.

Vince: Definitely. Despite efforts by many utility customers to reduce usage consumption through energy-efficient investments, the monthly bills continue to increase due to the inclusion of the customer fees (fixed + riders) that have reached unaccounted for levels at over 60% billed versus actual usage costs as part of the monthly statement.

Vince: I’ve uncovered – using structured queries on selective billing history data – that customer fees (fixed + riders) are being billed at nearly identical charges for low monthly average (400-750) kWh usage in comparison with high monthly average (1275+) kWh customers while generating 3-4 times more usage in total yearly kWh consumption. The disparity between 12-month total usage levels has created a selective class of low energy usage ratepayers using the standalone Residential Service (RS) rate category. Consumers with lower levels of energy consumption are subsidizing customers with higher consumption. The opt-out fee has been imposed on customers in order to accommodate a supposed business need, but it has created undue hardship in terms of financial harm on many households for a long time.

TOR: I came upon an Environmental Health Trust piece that cites your study. This tells me your work is not going unnoticed. Do you see a direct, tangible impact from your years of work?

Vince: After people are shown the study bar graph results, they seem to accept the premise that Smart meters don’t provide any cost savings benefits if the monthly average usage falls well below a prescribed standard in terms of energy efficiency.

See the rest of the must-read interview with Vince at: Ohio Utility Energy Disparity; Charges Lack Conditional Exemptions

Billing Disparity Study Update:

This is an update of the handout Vince submitted for the article we previously published here: Vince Welage: Duke Energy Billing Panel Study on January 30.

“This updated version references the proposed new low energy service rate as it compares with an active TOU (Time of Use) rate. The smart meter opt-out is excluded in TOU rate. In reality, the low-income and PIPP rates (Percentage of Income Payment Plans) are a gimmick, and both could be replaced by a low-energy rate.”

For more information, visit SW Ohio for Responsible Technology (SWORT) on Facebook; email us at swo4responsibletech@fuse.net

See also:

Duke Energy Smart Meter Billing Disparity Study: An Interview with Vince Welage Jan 28

Vince Welage: Duke Energy Billing Panel Study Jan 30

Ohio, Lack of Legislative Oversight Results in High Energy Bills: Vince Welage Feb 4

More citizen science regarding additional smart meter issues:

Smart Meter Science | Patricia Burke | Substack

Gratitude to Vince for the dedicated research and analysis, and to the Ohio Register for their excellent coverage.