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Incentives/Policies for Energy Efficiency

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Life Cycle Analysis and Energy Conservation Standards for State Buildings   

Last DSIRE Review: 08/07/2014
Program Overview:
State: Ohio
Incentive Type: Energy Standards for Public Buildings
Eligible Efficiency Technologies: CHP/Cogeneration, Comprehensive Measures/Whole Building
Eligible Renewable/Other Technologies: CHP/Cogeneration
Applicable Sectors: Schools, State Government, Institutional
Goal:Institutions of higher education: 20% energy use reduction from 2004 levels by 2014;
Requirement:Energy use reduction of 5% from an FY2007 baseline by FY2008 and 15% by FY2011 in buildings owned or lease by state agencies, boards, and commissions; other requirements vary by building type.
Web Site:
Authority 1:
Date Enacted:
Date Effective:
ORC § 123.01 (general)
Authority 2:
Date Enacted:
Date Effective:
ORC § 3345.69 (higher education)
Authority 3:
Date Enacted:
Executive Order 2007-02S
Authority 4:
Date Enacted:
S.B. 315

In 1995 Ohio passed legislation requiring that all state agencies perform life-cycle cost analyses prior to the construction of new buildings, and energy consumption analyses prior to new leases. Both analyses are to be primary considerations in either building design or leasing decisions. The State Architect’s Office of Energy Services (SAO-ES) was created within the Department of Administrative Services (DAS) to assist in this process and develop rules governing energy efficiency in new construction and the purchase of equipment.

In January 2007, Ohio enacted HB 251 and Governor Ted Strickland issued Executive Order 2007-02S. Both initiatives amend state policy pertaining to energy efficiency in state buildings. H.B. 251 devotes particular attention to state institutions of higher education, which are now addressed separately from other state organizations.

General (all state-owned or leased buildings)

  • Life-cycle cost analysis is required prior to the construction of any state-funded building larger than 5,000 square feet. For projects with estimated costs exceeding $50,000,000, cogeneration must be considered as an energy source.
  • State leases of buildings larger than 20,000 square feet require an energy consumption analysis.
  • All state-funded buildings except institutions of higher education must be managed by at least one building operator certified under the Building Operator Certification (BOC)* program or an equivalent program as determined by the SAO-ES.

Institutions of Higher Education

An inter-university council composed of the presidents of state institutions of higher education or their designees are to develop energy efficiency and conservation guidelines for their respective Boards of Trustees. The following provisions are among the required content of these guidelines.

  • A goal of reducing energy consumption by at least 20% by 2014 from a 2004 baseline.
  • Minimum efficiency standards for any new on- or off-campus capital improvement project with a cost of $100,000 or more.
  • Minimum efficiency standards for the leasing of buildings larger than 20,000 square feet.
  • Requirement that each board develop their own 15-year plan for phasing in efficiency and conservation improvements.
  • Establish mechanisms for periodic progress reporting from each board to the council.

As indicated above, new rules governing this process may be added as time goes on by the SAO-ES or the inter-university council. For further details please contact the SAO-ES or personnel at the university in question.

Executive Order 2007-02S
Under this order, all state agencies, boards and commissions were directed to conduct an energy audit for all owned and leased facilities by June 2007. Each entity covered by the order is required to reduce statewide energy use in their facilities by 5% during the next year, and 15% during the next four fiscal years based on the results of the audit. The Department of Administrative Services administers ENERGY STAR's Portfolio Manager and provides support for agencies to report energy usage via the Portfolio Manager. The results of their energy reporting are made public on a quarterly basis on the Ohio Energy Smart website. The order also contains provisions for reducing motor fuel use and creates the role of the Governor's Energy Advisor to coordinate state energy policy for state agencies, boards and commissions. The order will remain in effect until it is rescinded or until Governor Strickland leaves office.

*Building Operator Certification (BOC) is a nationally recognized, competency-based training and certification program for building operators that focuses on creating more comfortable, efficient facilities. Click here for more information.

  Oscar Zanganeh
Ohio State Architect's Office
Office of Energy Services
4200 Surface Road
Columbus , OH 43228-1395
Phone: (614) 466-7369
Fax: (614) 752-0380
Web Site:
NCSU - home
Disclaimer: The information presented on the DSIRE web site provides an unofficial overview of financial incentives and other policies. It does not constitute professional tax advice or other professional financial guidance, and it should not be used as the only source of information when making purchasing decisions, investment decisions or tax decisions, or when executing other binding agreements. Please refer to the individual contact provided below each summary to verify that a specific financial incentive or other policy applies to your project.

While the DSIRE staff strives to provide the best information possible, the DSIRE staff, the N.C. Solar Center, N.C. State University and the Interstate Renewable Energy Council, Inc. make no representations or warranties, either express or implied, concerning the accuracy, completeness, reliability or suitability of the information. The DSIRE staff, the N.C. Solar Center, N.C. State University and the Interstate Renewable Energy Council, Inc. disclaim all liability of any kind arising out of your use or misuse of the information contained or referenced on DSIRE Web pages.

Copyright 2014 - 2015 North Carolina State University, under NREL Subcontract No. XEU-0-99515-01. Permission granted only for personal or educational use, or for use by or on behalf of the U.S. government. North Carolina State University prohibits the unauthorized display, reproduction, sale, and/or distribution of all or portions of the content of the Database of State Incentives for Renewables and Efficiency (DSIRE) without prior, written consent.