FirstEnergy Ohio $275M Settlement and 13.1¢ Price-to-Compare

FirstEnergy's 2026 supply benchmark

Ohio cultivators in Ohio Edison, Cleveland Electric Illuminating (CEI), and Toledo Edison territory shop supply against a default benchmark commonly called the price to compare. Rate summaries for 2026 place FirstEnergy Ohio near 13.1 cents per kWh, compared with roughly 12.4 cents for AEP Ohio and 11.9 cents for Duke Energy Ohio in the same market snapshots [ohio-ptc-2026].

Those figures move with auction results and riders. Always read the price to compare printed on your bill before signing a retail contract.

FirstEnergy Ohio remains your delivery utility if you switch suppliers. Outages, transformers, and demand meters stay on FirstEnergy's side under Ohio switching rules.

The $275 million settlement context

Multiple PUCO proceedings involving FirstEnergy Ohio produced a reported $275 million customer settlement in 2026 [puco-fe-settlement-2026]. Settlements in Ohio often blend refunds, bill credits, and future rate caps across operating companies.

For operators, the practical question is when credits hit your operating company's statement, not the headline alone. Credits may appear as riders or one-time adjustments. Track them separately from retail supply savings so you do not double-count.

Question	Action
Which FE opco serves my meter?	Ohio Edison, CEI, or Toledo Edison
Are settlement credits flowing?	Match bill riders to PUCO docket notices
Is my retail contract still above net default?	Compare all-in ¢/kWh after credits

Details vary by operating company. Confirm with your FirstEnergy Ohio tariff and latest PUCO orders.

Worked example: supply cost at 13.1¢

Assume a 70,000 kWh/month cultivation load (our input, not a state average).

Scenario	Calculation	Monthly supply
Default at 13.1¢ [ohio-ptc-2026]	70,000 × $0.131	$9,170
Retail fixed at 11.8¢ (hypothetical)	70,000 × $0.118	$8,260
Spread		$910/month

Delivery demand might be $4,000–$12,000+ depending on kW and tariff class. Supply savings do not automatically shrink demand charges. See demand charges explained.

If settlement credits reduce effective default supply by 0.5¢ for twelve months (hypothetical illustration), net default becomes 12.6¢ and the retail spread narrows to $350/month on 70,000 kWh. Use actual credit riders from your bill, not this illustration.

Shopping supply in FirstEnergy territory

Ohio is fully open to commercial retail choice. Before you switch:

1. Compare all-in fixed vs index using fixed vs index contracts.
2. Check capacity pass-through language; PJM capacity resets June 1 affect default benchmarks.
3. Review early termination and evergreen clauses if you may add rooms mid-contract.
4. Separate transmission riders from supply; they remain on the utility bill.

FirstEnergy at 13.1¢ was the highest of the three major Ohio benchmarks cited in 2026 comparisons [ohio-ptc-2026]. That does not mean retail will beat default automatically; it means the hurdle rate for a fixed contract should be calculated honestly.

Link to AEP Ohio delivery changes

Our AEP Ohio April 2026 PUCO order post covers BTCR transmission rider increases that hit delivery bills statewide. FirstEnergy customers see similar rider logic even when supply benchmarks differ.

Multi-site operators with meters on AEP and FirstEnergy should not aggregate quotes without opco-specific benchmarks.

Takeaway

FirstEnergy Ohio's ~13.1¢ price to compare sets the default-supply hurdle in 2026 [ohio-ptc-2026]. The ~$275 million settlement may improve net default costs through credits [puco-fe-settlement-2026], but delivery demand and transmission riders still dominate many grow bills.

Model supply net of credits, compare retail all-in pricing, and keep delivery optimization (load staggering, ratchet management) in the same plan as supplier shopping.

Operating company map for multi-site operators

FirstEnergy Ohio is three operating companies with separate price to compare lines on bills:

Opco	Typical territory
Ohio Edison	Northern / central bands
CEI	Cleveland area
Toledo Edison	Northwest

A multi-site operator with Dayton on AES and Akron on CEI needs two benchmarks, not one 13.1¢ headline [ohio-ptc-2026]. Our Ohio multi-site case study path discusses aggregation mechanics at a high level; confirm supplier rules before assuming one contract.

Settlement credits and accrual timing

PUCO settlements often spread credits over multiple riders and months [puco-fe-settlement-2026]. Finance teams should accrue savings only when riders appear, not when headlines publish. Conversely, do not assume a retail contract beats default until net of credits.

Block-and-index for processor loads

Extraction labs with batch schedules sometimes prefer block-and-index supply tied to day-ahead markets rather than flat fixed. FirstEnergy default at 13.1¢ is the comparison point for fixed offers; index structures need risk tolerance disclosure in fixed vs index contracts.

Demand ratchet inheritance

Buying a facility with an existing demand ratchet on the meter survives supplier switches [ohio-ptc-2026 context]. Ohio Edison delivery tariffs still bill prior peaks. Physical retrofit without ratchet review is a common post-acquisition mistake.

Duke Energy Ohio benchmark triangle

Ohio 2026 price to compare comparisons often cite AEP 12.4¢, Duke 11.9¢, and FirstEnergy 13.1¢ [ohio-ptc-2026]. Southwest Ohio grows on Duke face a lower default hurdle than FE opco sites; corporate procurement policies should not force one-state one-rate rules.

PJM capacity embedded in Ohio default supply

Ohio default price to compare figures include PJM capacity procured on your behalf by the utility's Standard Service Offer process. Capacity prices reset June 1 each year when PJM's delivery year begins. A retail fixed contract signed in March may look cheaper than 13.1 cents default supply until June capacity flows through on the utility benchmark or on your supplier pass-through line [ohio-ptc-2026].

Ask any retail supplier for a capacity adder table showing how RPM results map to ¢/kWh for your load factor. A flat 11.8 cents quote without capacity language is not comparable to default supply that already embeds PJM [ohio-ptc-2026].

Level II cultivators and Ohio SB 56 footprint rules

Ohio SB 56 eliminated standalone Level III cultivator licenses and folded canopy limits into Level II tiers see Ohio SB 56 post. Smaller licensed footprints can still draw industrial kW when rooms stack lighting, HVAC, and dehumidification. FirstEnergy delivery demand often dominates bills for sub-10,000 sq ft sites that run 24/7 environmental control.

Energy planning for SB 56-compliant grows should prioritize demand ratchet review and interval peak analysis before chasing 0.5 cents supply savings. Our Ohio cultivation facility energy page outlines typical load stacks; pair that with demand charge questions when reading FE tariff sheets.

Settlement rider log for finance teams

PUCO settlements often spread $275 million credits across multiple riders and months [puco-fe-settlement-2026]. Finance teams should:

1. Create a rider ledger by opco (Ohio Edison, CEI, Toledo Edison)
2. Record effective date and ¢/kWh or $/kW for each credit line
3. Compare net default supply only after credits post
4. Re-benchmark retail quotes when credits expire

Without a ledger, procurement may claim $900/month supply savings while settlement credits on default supply masked a narrower spread. Confirm facts on your operating company's bill before locking 36-month terms under Ohio switching rules.

Ohio Edison versus CEI versus Toledo Edison bill headers

Each FirstEnergy opco prints its own price to compare line [ohio-ptc-2026]. Ohio Edison serves northern and central bands; CEI serves Cleveland; Toledo Edison serves northwest Ohio [ohio-ptc-2026]. Settlement rider effective dates may differ by opco even when headlines cite one $275 million figure [puco-fe-settlement-2026].

Opco	Action before retail quote
Ohio Edison	Pull PTC and settlement riders from latest bill
CEI	Match Cleveland-area meter to CEI tariff
Toledo Edison	Confirm northwest PTC separately [ohio-ptc-2026]

AES Ohio and Duke triangle for corporate procurement

Southwest Ohio grows on Duke face lower default hurdles near 11.9 cents than FE opco sites near 13.1 cents in 2026 comparisons [ohio-ptc-2026]. Corporate one-rate procurement policies fail when Dayton and Akron meters sit on different opcos. See Ohio commercial electricity rates and Ohio multi-site operator case study for aggregation cautions.

Demand ratchet when buying licensed facilities

Ohio delivery tariffs bill historical demand ratchets that survive supplier switches [ohio-ptc-2026]. Acquiring a facility with a prior peak without ratchet review is a common post-close surprise. Physical LED retrofit lowers kWh but may not reset ratchet rules without utility agreement. Pair acquisition diligence with demand charges explained.

Block-and-index for extraction batch loads

Extraction labs with batch ovens sometimes prefer block-and-index supply tied to day-ahead markets rather than flat fixed [ohio-ptc-2026]. FirstEnergy default near 13.1 cents is the comparison point for fixed offers; index structures need risk tolerance disclosure in fixed vs index contracts. Ohio processor sites should read Ohio extraction facility energy alongside supply quotes [puco-fe-settlement-2026].

Worked example at 70,000 kWh with hypothetical settlement credit

Assume 70,000 kWh/month and a 0.5 cent settlement credit for twelve months (illustration only; use actual riders [puco-fe-settlement-2026]):

Scenario	Rate	Monthly supply
Default 13.1¢ [ohio-ptc-2026]	$0.131	$9,170
Net default after 0.5¢ credit	$0.126	$8,820
Retail fixed 11.8¢ (hypothetical)	$0.118	$8,260
Spread vs net default		$560/month

Without the credit line, retail looked $910/month better versus headline default [ohio-ptc-2026]. Settlement timing by opco can widen or narrow that spread mid-year [puco-fe-settlement-2026].