Strickland’s energy plan
The Buckeye Institute Blog has a poor review for Gov. Strickland’s energy plan. Yes, it’s shocking, I know. Here’s their bottom line:
His plan gives the PUCO bureaucrats and their politican overseers a new lease on life in managing electric utility service in Ohio. The governor’s proposal provides them the chance to once again set prices, allocate resources, ration service and mandate redistributions between classes in tune with political power instead of contribution to economic prosperity.
There will be plenty of security and predictability for ratepayers in the increased regulation of electric utilities. And dodging the bullet of unregulated monopolies created as a legacy of regulation is important as well.
But a reading of economics and recent history reveals that the comfort of a beefed-up regulatory regime will come at the cost of forgoing the greater prosperity inherent in free market economies.
The theme for Democrats seems to be that the more important something is, and this applies to energy, education, agriculture, and others, the less you want the influence of free markets. This to avoid the problems that accompany free markets, but they too often end up getting rid of the benefits as well.
UPDATE: Dave Harding at Progress Ohio has a good overview of the plan.
Under Strickland’s plan, by 2025, a minimum of 25 percent of the electricity sold in Ohio must be generated from advanced energy technology. No less than half of that energy will come from renewable sources, including biomass, wind, solar, biogas, geothermal, and hydro power. However, the Governor has stated he will include “clean coal” and nuclear projects in the proposed energy portfolio.
I guess that means that 12.5% must be “renewable”. I had a post up earlier about a proposed 20% plan. But biomass is no environmental bargain, and that may well become widely known before 2025, and I don’t see any new hydro facilities being built- too environmentally controversial.

