Ohio Department of Aging
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January 2008
Director's Notebook
Disconnection Moratorium is Welcome Relief for Many
Governor Ted Strickland was right last month when he requested the Public Utilities Commission of Ohio to issue a moratorium on the disconnection of residential electric and natural gas services. The commission responded promptly and announced a 90-day stay of disconnections for residential customers whose household income is at or below 175 percent of the federal poverty guidelines (about $17,900 for individuals and $24,000 annually for couples), effective Dec. 19, 2007.
According to the commission, current economic conditions and the scarcity of federal government financial assistance impose a hardship on many Ohioans that could result in difficulty in paying utility bills this winter. A national study recently predicted that as many as one in five Americans will probably have to borrow money or use credit cards to pay for heat this winter. For older residents on fixed incomes, this can be a slippery slope.
The disconnect moratorium is not debt forgiveness. The customer is ultimately responsible for payment of the entire amount owed. It is valid as long as the customer is on an extended payment plan with the utility or agrees to enroll in the Percentage of Income Payment Plan (PIPP) or other commission-ordered payment plans.
The moratorium is in addition to the commission’s annual winter reconnect order, which allows most residential customers, regardless of income, who are disconnected or being threatened with disconnection the opportunity to pay a designated amount to have their utility service restored or maintained. Under the moratorium, each natural gas and electric utility subject to the commission’s jurisdiction is prohibited from disconnecting residential natural gas or electric service for nonpayment of bills by eligible residential customers.
While the moratorium and the reconnect program are important for those who have exhausted all their resources, Ohio has several other programs to help consumers better meet the high cost of heating and avoid being put in a difficult situation such as disconnection. For more information, call the toll-free Home Energy Assistance Program hotline at 1-800-282-0880 (TTY: 1-800-868-1557) or visit energyhelp.ohio.gov.
Ohio Department of Aging