Rates

Please Note re May 1, 2009 Rate Changes:

As of May 1, 2002 the Ontario electricity market has been open to competition. This means that you can choose to lock in at a fixed price with an Ontario Energy Board (OEB) licensed retailer, or remain on standard supply service from Essex Powerlines and receive energy at market prices, or at a fixed rate set by legislation (referred to as Regulated Price Plan) if you qualify as a low volume or designated customer.

Your new bill is fully unbundled and includes several new line items. The "Standard Supply Service Commodity" shown as "Your Electricity Charges" on your bill, is the only item subject to competition and may be purchased from any Ontario Energy Board (OEB) licensed retailer. If you have already signed with a retailer, this line will say the retailer name with the name and telephone number of the retailer shown above. You do not have to sign with a retailer if you do not want to. If you don't switch, Essex Powerlines will continue to supply you with power at market prices, or at a fixed rate set by legislation if you qualify as a low volume or designated customer. This is called referred to as Summer or Winter - Block 1 and Block 2.

The only charges collected by Essex Powerlines Corporation included under delivery are fixed monthly charge and the variable distribution charge. The remainder of the charges are approved rates from the OEB that are collected and remitted to various agencies such as the IESO, Hydro One, the Debt Retirement Program, a Retailer or the Federal Government (GST). They are as follows:

Usage Including Losses:

After May 1, 2002 your consumption will be uplifted by a rate of 1.0544 to account for system losses that occur in the delivery of electricity to your home. For example if you had used 1,000 kWh in a month, this amount would be multiplied by the factor of 1.0544 for a total of 1,0054.4 kWh of consumption that would form the basis for some of the charges. These losses used to be included in the bundled cost of power. This "Total Loss Factor" is an Ontario Energy Board approved rate. Essex Powerlines pays for losses that occur up to the point electricity comes into our system.

Debt Retirement Charge:

This rate of $0.007 /kWh will be used to pay down Ontario Hydro's stranded debt. This rate was established by the Ministry of Finance. The total loss factor is not applied to this charge. These funds are remitted to the Ontario Electricity Financing Corporation.

Wholesale Market Services:

This rate represents all costs associated with maintaining the administration of the ISO wholesale market activities. The rate for this charge is $0.0065/kWh. This charge used to be included in the cost of power.

Transmission Line and Transformation Connection Service:

This rate represents the cost to operate and maintain the high voltage system to deliver power to Essex Powerlines. The cost of power used to include these charges.

Transmission Network Service:

This rate represents the cost to ensure there is sufficient capacity in the high voltage system to supply the increasing demands of a growing economy in Ontario. This used to be included in the cost of power.

SSS Administration Fee:

This $.25 cent charge to all Standard Supply Service customers represents the cost for Essex Powerlines to participate in the electricity commodity market on your behalf. Customers that have signed with a retailer do not receive this charge because it is included in their fixed price contract.