Ontario’s Fair Hydro Plan

Information on how your electricity bill has decreased and programs to reduce your bill even more.

The provincial government’s introduction of the Fair Hydro Plan in 2017 resulted in 25 per cent lower electricity bills* for Ontario’s residential customers and as many as half a million small businesses and farms, as compared to what they would have paid without the implementation of the Fair Hydro Plan.

Alectra Utilities customers and Ontario’s Fair Hydro Plan

The 25 per cent reduction was implemented for Alectra Utilities customers in three stages. Households and small businesses started to see the full benefit of the Fair Hydro Plan on July 1, 2017.

 

1. January 1, 2017 > An eight per cent rebate equal to the provincial portion of the Harmonized Sales Tax on the bills of residential, farm, small business and other eligible customers was introduced by the Government of Ontario. 8%
2. May 1, 2017 > The Ontario Energy Board reduced Time-of-Use electricity rates across the province and eliminated the Ontario Electricity Support Program charge that was a component of Regulatory Charges. 9%
3. July 1, 2017 > The Ontario Energy Board further reduced Time-of-Use electricity rates across the province and lowered the Rural and Remote Rate Protection charge that is a component of Regulatory Charges. 8%
Average reduction: 25%

Quick facts about the Fair Hydro Plan

  • Ontario’s Fair Hydro Plan is improving energy sector efficiency and modernize the province’s electricity market, building on the collaboration of Independent Electricity System Operator and Ontario Energy Board.
  • The Industrial Conservation Initiative was expanded to include electricity consumers in the manufacturing and greenhouse sectors with an average monthly peak demand of greater than 500 kW and less than 1 MW.
  • As part of the Fair Hydro Plan, rate increases are being held to the rate of inflation for four years.
  • The province expanded the Ontario Electricity Support Program, providing 50 per cent more support in the form of monthly credits for people with low incomes and increasing eligibility.
  • Lower-income Ontarians and those living in eligible rural and northern communities are receiving even greater reductions, as much as 40 to 50 per cent, as a result of the Fair Hydro Plan.
  • The province also established an Affordability Fund for customers who do not qualify for low-income conservation programs and who are unable to undertake energy efficiency improvements without financial assistance. See what you qualify for at www.affordabilityfund.org.

To find out more, visit Ontario.ca/FairHydroPlan.

* Based on an average residential customer consuming 750 kWh per month, per year and an average small business customer consuming 2,000 kWh per month, per year.