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Financial Opportunities
To stimulate the demand for the advanced energy industries in Ohio to gain investment, attract and retain jobs, and achieve environmental benefits, the Ohio Energy Resources Division provides financial incentives to businesses, communities, and residential customers to deploy energy efficient and renewable energy technologies. The Ohio Department of Development also administers incentive programs to help encourage businesses to locate to, and grow in, Ohio. Further, other state agencies as well as the federal government administer incentive programs relevant to energy-related projects.
For a list of advanced energy projects funded by the Ohio Energy Resources Division, please click here.
A list of Ohio Energy Resources Division incentives, along with other financial opportunities available from the State of Ohio and the federal government, is provided below. Please visit this page often for updates.
Annual State Energy ProgramThe Ohio Department of Development is the recipient of federal funding through the annual State Energy Program (SEP), which is formula-based funding provided by the United States Department of Energy. Each state receives allocated grant funding to address energy priorities to adopt emerging renewable energy and energy efficiency technologies.
For 2009 – 2010, the Ohio Department of Development issued several competitive solicitations that directed grant funding to education, outreach, technical assistance, and other services to increase jobs, lower energy usage, and reduce greenhouse gas emissions through the increased adoption of renewable energy and energy efficiency technologies across Ohio.
Energy Loan Fund
The Ohio Department of Development, Office of Energy is providing financing through federal and state funding resources through the Energy Loan Fund to eligible entities for energy efficiency and renewable energy projects. All projects must demonstrate a reduction in energy usage and associated costs, avoidance of fossil fuel emissions, and the creation or retention of jobs. For more information regarding the Energy Loan Fund, click here.
The Ohio Department of Development's Energy Resources Division administers incentive programs, through the Advanced Energy Fund, to support investments in renewable energy and energy efficiency projects in the industrial, agricultural, public, and residential sectors.
To qualify, projects must be located in Ohio and in the service territories of one of the four participating electric distribution companies: AEP-Ohio, Dayton Power & Light, Duke Energy, or FirstEnergy. For a list of advanced energy projects funded by the Advanced Energy Fund, please click here.
American Recovery and Reinvestment Act – Energy Programs
The American Recovery and Reinvestment Act strengthens Ohio's economy by building upon its strategic investments in the advanced energy industries. Several programs were made available for energy projects that enable Ohio to stimulate the creation and retention of jobs, save energy, increase renewable energy generation, and reduce greenhouse gas emissions.
Clean Air Development and Project Financing
To help Ohio businesses contribute to cleaner air in Ohio, the Ohio Air Quality Development Authority provides financing support to encourage investment in the purchase, construction and/or installation of air quality facilities. The Ohio Air Quality Development Authority issues financing instruments called "conduit project revenue bonds" and finances power purchase agreements.
Federal Incentives
The federal government offers a variety of federal income tax incentives, grants, loans, and industry recruitment programs to consumers and businesses for qualified energy efficiency and renewable energy projects. For more information, please visit the Tax Incentives Assistance Project or the Database of State Incentives for Renewables and Efficiency. Each maintains a list of existing federal incentives.
Rural Development Business and Cooperative Programs
United States Department of Agriculture Rural Development provides financial resources and technical assistance to businesses and cooperatives in rural communities. Interested parties are encouraged to visit United States Department of Agriculture Rural Development for more information.
Ohio Third Frontier Program
The Ohio Department of Development administers the Ohio Third Frontier Program to provide investments to research and commercialization projects that contribute to the growth of advanced energy supply chains that increase Ohio's competitive advantage.
Ohio Volume Cap Program
Volume Cap provides a federal tax benefit by allowing eligible issuers to issue tax exempt Private Activity Bonds up to a state limit known as the "Volume Cap." The State of Ohio's allocation of Volume Cap is determined annually by the Internal Revenue Service on a per capita basis for eligible projects consisting of manufacturing, exempt facilities, multi-family housing, single-family housing, and student loan bonds. For 2011, Ohio's Volume Cap is $1,095,967,880.