May 1, 2025

INTERSTATE RENEWABLE ENERGY COUNCIL
Grid Disparity Analyses in FirstEnergy Service Territory

May 1, 2025

In collaboration with the Interstate Renewable Energy Council, the Ohio Environmental Council released a first-of-its-kind Grid Disparity Analysis Report for Ohio. This report analyzes electric distribution grid infrastructure within FirstEnergy territory.

FirstEnergy is currently participating in its first rate case in nearly two decades before the Public Utilities Commission of Ohio (PUCO). Rate cases cover the base costs collected from Ohio electricity customers and determine how those costs are allocated to maintain and improve the grid. The conclusions of the Grid Disparity Analysis Report show that if the Commission doesn't change how it reviews utility rate cases, disadvantaged communities will continue experiencing the infrastructure disparities found in the report. These infrastructure differences can lead to a less reliable grid, more frequent outages, and fewer opportunities for distributed energy resources for disadvantaged communities.

The Report's findings include:

  • Disadvantaged communities were twice as likely to have low-voltage circuits
  • Disadvantaged communities have 10.5% less normal circuit capacity and 23% less overload circuit capacity
  • Circuits in disadvantaged communities are also on average 3.4 to 4.2 years older than other communities in FirstEnergy territory
  • Traditional metrics for measuring grid reliability failed to notice these disparities between communities

These findings indicate FirstEnergy's current approach to grid investment has resulted in disparate impacts on disadvantaged communities. These impacts have limited opportunities to implement cost-saving and reliability-enhancing technologies like distributed energy resources. Notably, there is merit to the observation that grid disparities fall along racial lines. Our analysis shows that disadvantaged tract designations are strongly correlated with higher percentages of BIPOC residents (Table 1.3.2). Since disadvantaged tracts are also strongly correlated with grid disparities, this suggests that BIPOC communities disproportionately experience those disparities. However, IREC did not conduct a direct evaluation of the relationship between BIPOC populations and grid infrastructure, yet these findings suggest that further investigation into this correlation is warranted.

As the OEC engages in FirstEnergy's rate case before the Public Utilities Commission of Ohio, we will use the report's findings to advocate for equitable investment in the grid for all communities. A more reliable grid will protect Ohioans from blackouts and disruptions. Additionally, it will help everyone see the benefits of distributed energy like rooftop solar and other similar programs, reducing energy consumption and greenhouse gas emissions.

For more information