Utility Impedes Competition in Ohio

Fortnightly Magazine - November 1 1995
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The Ohio Public Utilities Commission (PUC) has concluded that an Ohio Edison Co. contract to provide thermal cooling service to the Mahoning County Jail, at revenues below the actual cost of providing service, was negotiated for the purpose of destroying competition. A competing thermal services company, Youngstown Thermal Limited Partnership, had alleged that Edison proposed to engage in the cooling business without PUC authorization and at a below-cost rate that violated PUC rules. While it agreed that the contract was priced below cost, the PUC refused to void the contract or to assess penalties. It said Youngstown had failed to show that Edison was providing an unauthorized service, and that antitrust issues such as penalties and causation were for the courts to decide. Youngstown Thermal Limited Partnership v. Ohio Edison Co., Case No. 93-1408-EL-CSS, Aug. 31, 1995 (Ohio P.U.C.).


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