January 6, 2003—The Ohio Supreme Court has issued its decision in FirstEnergys sub-metering appeal, reports BOMA.org. In its decision, the Court adopted the position that was supported by Ohio BOMA, ruled against FirstEnergy and upheld the right of landlords to sub-meter electricity to their tenants.
At the end of 1999, FirstEnergy submitted a filing with the Ohio Public Utility Commission (PUCO) for authority to restrict the right of the landlords to sub-meter or otherwise provide electricity to their tenants. Ohio BOMA, among others, wrote letters and filed comments with the PUCO objecting to this proposal. Specifically, Ohio BOMA noted that this issue was addressed and resolved many years ago and that for 75 years, the landlord ahs been considered the customer of the utility, with the right to sub-meter or distribute electricity to its tenants.
The PUCO agreed with Ohio BOMA and ruled against FirstEnergy. After having its request for rehearing denied by the PUCO, FirstEnergy filed an appeal with the Ohio Supreme Court. Last August, Ohio BOMA filed a brief with the Court in support of the PUCO.
As advocated for in Ohio BOMAs brief, the Ohio Supreme Court held “S.B. 3 [the electric restructuring/deregulation bill] did not change the law governing the resale or redistribution of electric service by a landlord or its tenants.” The Court also rejected FirstEnergys arguments that S.B. 3 entitles tenants to choose their own service supplier and that the PUCOs decision allows landlords to prevent tenants from doing this.
From BOMA.org