UNDERSTANDING
YOUR ELECTRICITY BILL

ELECTRICITY

Most households and small businesses pay time-of-use electricity prices that appear on the “Electricity” line of the bill. As the regulator, the OEB sets electricity prices twice a year: May 1 and November 1. Prices are based on the estimated cost to supply electricity in the province for the next six months.

DELIVERY

This is made up of two separate costs. Both are approved by the OEB.

1. TRANSMISSION

Power flows from Ontario power plants and other sources, through transmission lines, to your local utility. Every home in Ontario pays the same rate to cover these costs.

2. DISTRIBUTION

A distribution company (also called “distributor” or “local utility”) delivers electricity to homes and businesses through a network of power lines within the communities it serves.

REGULATORY

This is made up of the costs to administer the wholesale electricity system and maintain the reliability of the provincial grid. It also includes costs for funding Ministry of Energy conservation, renewable and low-income energy programs.

GLOBAL ADJUSTMENT AND ENERGY CONTRACTS

If you buy electricity from your utility, the electricity price already includes your share of the “Global Adjustment.” you sign a contract with an energy retailer, you pay the agreed-upon contract price (not time-of-use or tiered prices set by the OEB). You will also need to pay your share of the Global Adjustment. It will appear as a new, separate line on your utility bill.

USE OUR ONLINE CALCULATOR

to help you better understand your electricity bill and how to manage costs by reducing your energy use or shifting it to less expensive times. Also, see what your bill might look like based on a contract with an energy retailer.


Try it now at OntarioEnergyBoard.ca/Consumers

BILL CALCULATOR

Use our calculator to estimate your monthly ELECTRICITY and NATURAL GAS BILLS.

TIME-OF-USE ELECTRICITY PRICES

Households and small businesses in Ontario pay time-of-use prices for electricity that change according to the TIME OF DAY and DAY OF THE WEEK. The peak periods also change by SEASON.


Your smart meter tells your utility exactly how much power you use and when you use it. With this information, your utility charges you for the amount of power you use at off-peak, mid-peak and on-peak times.


REASONS FOR DIFFERENT PRICES

WHEN DEMAND IS LOW and fewer people are using power, lower-cost electricity is available from sources like nuclear and large hydroelectric systems.


WHEN DEMAND RISES during the day, the province’s supply of lower-cost electricity is used up, and more expensive sources need to be used.

PRICE PERIODS

¢ OFF-PEAK:

Evenings, weekends and holidays

¢¢ MID-PEAK:

Daytime, but not the highest-use periods of the day

¢¢¢ ON-PEAK:

The high-demand hours during the day

SUMMER

May 1 – Oct 31


Electricity use peaks during the hottest part of the afternoon, when air conditioners are running on high.

WINTER

Nov1 - Apr 30


Less daylight means electricity use peaks twice: once in the morning when people wake up and turn on their lights and appliances, and again when people get home from work.

MANAGING YOUR ELECTRICITY USE

Did you know about 60% of energy costs in a typical home are spent on heating and cooling? To manage electricity use, try conserving power and shifting some usage to evenings and weekends. Visit these websites for more tips:


10 Smart Meter Lane
ieso.ca/house

saveONenergy
saveONenergy.ca

Ministry of Energy
ontario.ca/energy