BILLING FAQ
What is an Electricity Charge?
This is the cost of the electricity supplied to you during this billing period and is the only part of the bill that is subject to competition. Toronto Hydro-Electric System Limited ("Toronto Hydro") collects this money, without mark-up, and pays it directly to our suppliers.
Note: The Ontario Energy Board changed 'Electricity' prices effective May 1, 2012. If you are on the Regulated Price Plan (RPP) Tiered Pricing, your consumption in kilowatt (kWhs) is separated into two price tiers. Customers will be charged 7.5 cents per kWh for the first 600 kWhs of use per 30 days, while electricity consumed in excess of this threshold will be priced at 8.8 cents per kWh.
The price threshold (the amount of electricity consumption that is charged at the lower price) will change twice a year for residential consumers. The price threshold will be 1,000 kWh per 30 days during the winter season (Nov. 1 - Apr. 30) and 600 kWh during the summer season (May 1 - Oct. 31). This allows consumers to use more electricity at a lower price in the winter. For more information visit the Ontario Energy Board's website.If you are on RPP Time-of-Use rates, your consumption in kWhs is separated into three periods. Customers will be charged 11.7 cents per kWh in the Highest Price (On-Peak) period, 10.0 cents per kWh in the Mid Price (Mid-Peak) period and 6.5 cents per kWh in the Lowest Price (Off-Peak) period. View more information about Time-of-Use rates.
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What are Delivery Charges?
These are the costs of delivering electricity from the generator to Toronto Hydro, then to your home or business. These include the costs to build and maintain the transmission and distribution lines, towers and poles and operate provincial and local electricity systems. A portion of these charges is fixed and does not change from month-to-month. Some of these charges are related to CDM (Conservation and Demand Management) programs initiated by your electricity distributor to encourage customers to reduce and conserve electricity. Others are variable and increase or decrease depending on the amount of electricity that you use. Costs collected for transmission and operating the provincial grid are passed on, without mark-up, to Hydro One and the Independent Electricity System Operator.
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What are Regulatory Charges?
Regulatory Charges are the costs of administering the wholesale electricity system and maintaining the reliability of the provincial grid and include costs associated with funding Ministry of Energy and Infrastructure conservation and renewable energy programs. These charges are collected, without mark-up, by Toronto Hydro and passed on to the Independent Electricity System Operator.
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What is a Debt Retirement Charge?
The Debt Retirement Charge pays down the debt of the former Ontario Hydro. Toronto Hydro collects this charge, without mark-up, on behalf of the Ontario Electricity Financial Corporation.
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What is a Late Payment Penalty Rate Rider?
In February 2011, the Ontario Energy Board approved an amount to be collected from all electricity customers in the province for the settlement of a court case related to how energy distributors in the province previously collected fees for lat payments. This new charge reflects the amount the Ontario Energy Board has approved for collection by Toronto Hydro and is effective until April 30, 2013.
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