![]() ![]() The following charges are grouped together under the line item called Regulatory Charges: For example, it can be more costly to maintain equipment in more rural or cottage areas due to the terrain. The geographic location of customers and the complexity of maintaining distribution equipment within the region.The number of residential customers compared to the number of businesses and industrial customers. ![]() Customer density, and location of customers relative to one another.The age and condition of each utility’s equipment.If you compare utility bills in different parts of the province, you may notice that delivery rates vary. The charges for losses are included on the Delivery line of your bill. They do this using an adjustment factor that is approved by the Ontario Energy Board. In calculating your electricity costs for the billing period, your utility multiplies your electricity cost by an adjustment factor that accounts for those losses. ![]() Line Loss Adjustment: It is normal for a small amount of power to be lost as it travels over the utility's power lines to your home or business.Transmission Charge: A variable charge for the costs of transmitters to operate and maintain the high-voltage transmission system that carries electricity from generating stations to your utility.Utilities file detailed rate applications with the Ontario Energy Board if they want to change this charge. Distribution Charge: A variable charge for the cost of building and maintaining the distribution system, including overhead and underground power lines, poles and transformer stations.Customer Service Charge: A fixed charge for costs related to meter reading, billing, customer service and account maintenance, and for general utility operations.Other charges vary depending on how much electricity you use. Some of the delivery charges are "fixed," meaning the same amount no matter how much electricity you use in each month. ![]() The Ontario Energy Board sets delivery rates for electricity utilities in the province. This is the cost of delivering electricity from generating stations across the province to your home or business through high voltage (transmission) and low voltage (distribution) power lines. The Global Adjustment will also appear as a separate line on your bill (see above sample bills). If you sign up for a contract with an energy retailer, you have to pay your share of the Global Adjustment on top of the contract price. The Time-of-Use and Tiered electricity prices charged by your electricity utility already include an estimate of the Global Adjustment. The Global Adjustment also covers the costs of some conservation programs.Īll electricity consumers have to pay a share of the Global Adjustment. The Global Adjustment is the difference between that guaranteed price and the money the generators earn in the wholesale marketplace. Most electricity generating companies get a guaranteed price for the electricity that they produce. The Ontario Energy Board does not regulate this. Read more about choosing your electricity price plan.įor customers that have signed up for a contract with an energy retailer, the price is set out in the contract. If you pay TOU prices, you can now choose to switch to Tiered prices. Once you exceed that limit, the price goes up.
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