Ohio lawmaker wants to allow utilities to adjust homeowners’ thermostats, water heaters

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A smart thermostat could be remotely adjusted under Ohio’s proposed demand response program, but only for customers who opt in. New Africa – stock.adobe.com

A smart thermostat could be remotely adjusted under Ohio’s proposed demand response program, but only for customers who opt in. New Africa – stock.adobe.com

Ohio lawmakers are considering a new energy-saving initiative that would allow utilities to temporarily adjust residential thermostats and water heaters — but only for customers who voluntarily opt in.

House Bill 427, introduced this week in the General Assembly, proposes a voluntary “demand response” program designed to ease strain on Ohio’s power grid during periods of high electricity use, such as extreme heat or cold.

The bill’s sponsor, Rep. Roy Klopfenstein (R-Haviland), said the concept builds on systems already used by large commercial power consumers.

“Demand response programs have proven to be a vital tool for our large commercial users, and it’s important that similar programs are made available to residential and small commercial users,” Klopfenstein said in a statement.

If passed, the bill would allow enrolled households to authorize their utility provider to make small, temporary adjustments to thermostats or briefly shut off water heaters during peak energy demand. Customers could override any changes at any time using their smart devices.

To encourage sign-ups, utilities could offer incentives — such as annual payments or credits per event. For many, that could translate into getting paid simply for allowing brief, reversible adjustments to their home’s energy use.

House Bill 427 would allow utilities to temporarily cycle water heaters during peak demand to ease strain on the power grid.
House Bill 427 would allow utilities to temporarily cycle water heaters during peak demand to ease strain on the power grid. Jo Ann Snover – stock.adobe.com

The Public Utilities Commission of Ohio (PUCO) would oversee the program to ensure it is transparent and cost-effective. HB 427 has not yet been assigned to a legislative committee.

Supporters emphasize the program is strictly voluntary. Customers would need to opt in — there would be no automatic enrollment — and those who do join could cancel or override changes at any time.

Ohio’s proposal mirrors programs already in place across the U.S. In states like Arizona, utilities offer cash incentives for allowing smart thermostats to be controlled during heat waves, helping to prevent rolling blackouts while preserving customer override rights.

In Connecticut, lawmakers are considering broader emergency programs that would temporarily manage household devices including EV chargers. And in Massachusetts, the Mass Save program links rebates for smart thermostats to participation in demand-response efforts during winter peaks.

Advocates say these programs offer a win-win: utilities avoid costly outages, and customers earn rewards or lower bills. But privacy advocates have expressed concerns. They worry that today’s voluntary programs could pave the way for mandatory control over home systems in the future.

The discussion comes as Ohio’s grid faces growing challenges. Summer heat waves have pushed electricity demand to record levels, while severe winter storms have tested the state’s ability to keep homes warm. PUCO has previously warned that without new tools like demand response, utilities may be forced to implement rolling blackouts in future emergencies.

The Public Utilities Commission has not yet commented on the bill.

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