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Net Metering
Encourages Conservation

As a way to encourage conservation, Toronto Hydro-Electric System ("Toronto Hydro") established a Net Metering Policy for eligible customers wishing to participate in the Net Metering program. This program is in compliance with Ontario Regulation 541/05 - Net Metering February 10, 2006.


What is Net Metering?

Net Metering is a program whereby eligible customers with specific generation facilities can reduce their net energy costs by exporting surplus generated energy back onto the utility distribution system for credit against the energy the customer consumes from the distribution system.

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Who is eligible to participate in the Net Metering program?

Participation in the Net Metering Program is available to all Toronto Hydro customers with a generator that meets all of the following conditions:

  1. The electricity is generated primarily for the customer's own use;
  2. The electricity generated is conveyed to the customer's own consumption point without reliance on the Toronto Hydro distribution system;
  3. The maximum cumulative output capacity of the generator does not exceed 500 kW;
  4. The electricity is solely generated from a renewable energy source (such as wind, drop in water elevation, solar radiation, agricultural bio-mass, or any combination thereof).

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What are the requirements for participating in Net Metering?

In order to participate in the Net Metering program, the customer will be required to meet all the parallel generation requirements for Connecting Micro-Generation Facilities (10 kW or less) or Other Generation Facilities (greater than 10 kW and less than 500 kW), as applicable to the generator size, as found in Section 3.5 - Embedded Generation Facilities of the Toronto Hydro Conditions of Service.

In general, the requirements include, but are not limited to:

  1. The customer must have a bi-directional revenue meter that records energy flow in both directions:
    • A two-register energy meter, measuring kWh in and kWh out, if the average peak demand is less than 50 kW during the past 12 consecutive months billing period; or in the absence of a demand meter, if the load is less than 150,000 kWh over the past 12 consecutive months billing period.
    • A four-quadrant interval meter, connected to a dedicated telephone line, if the average peak demand is between 50 kW to 500 kW during the past 12 consecutive months billing period.
  2. The customer pays Toronto Hydro all incremental costs for upgrading the meter and meter installation, where approved by the OEB.
  3. The customer must install an isolation device satisfying Section 84 of the Ontario Electrical Safety Code, located outside typically near the meter, and agree to the utility's staff access to and operation of this as required for the maintenance and repair of the distribution system.
  4. The customer, or their qualified electrical contractor, must submit an Application for Inspection to the Electrical Safety Authority.
  5. The customer must have the generation facility inspected and obtain a "Certificate of Inspection" from the Electrical Safety Authority, either directly, or through their qualified electrical contractor, and provide a copy to Toronto Hydro.
  6. Toronto Hydro must receive a copy of the "Certificate of Inspection" from the customer
  7. Toronto Hydro must receive a "Connection Authorization" from the Electrical Safety Authority.
  8. The customer signs an Embedded Generation Connection Agreement with Toronto Hydro:
    • For generators 10 kW or less, the standard agreement will be of the form found in Section 6, Schedule B1 of the Toronto Hydro Conditions of Service.
    • For generators over 10 kW, the template agreement will be of the form as found in Section 6, Schedule B2 of the Toronto Hydro Conditions of Service.
  9. For Micro-Size Generators (10 kW or less), the generator interface protection must have protective relay settings in accordance with Section 6, Schedule B1 of the Toronto Hydro Conditions of Service.
  10. For generators over 10 kW, the generator interface protection must meet the requirements as stated in Section 6, Ref. #3 " Toronto Hydro Parallel Generation Requirements " of the Toronto Hydro Conditions of Service. These technical requirements may be replaced by the applicable CSA Interconnection Standards (C22.2 No 257 and C22.3 No. 9) once they are approved and issued by the CSA in 2007.

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What is the process for participating in Net Metering?


Customers interested in participating in the Net Metering program will follow the same connection process as those customers wishing to install and connect an Embedded Generator. The Ontario Energy Board has established an Embedded Generation Connection Process in the Distribution System Code Appendix F.

To learn how to connect, review Toronto Hydro's Metering Connection Process.

To contact Toronto Hydro about the Net Metering program, please call (416) 542-3099 or email at: fit@torontohydro.com

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