Consumers who purchase electricity from their local utility are charged rates under either the Regulated Price Plan (RPP) or time-of-use rates.

Regulated Price Plan

The RPP sets rates for residential and non-residential consumers as well as the rate increases after a certain threshold amount of electricity in kilowatt-hours is consumed in a month. The monthly threshold is higher in the winter season to recognize the fact that consumers use more electricity for lighting, heating, and indoor activities in the winter than at other times of the year. Current RPP rates are available on the Ontario Energy Board website.

Time-of-Use Rates

Time-of-use rates may be in effect if smart meters have been installed in your area and your local distribution company has switched to this pricing mechanism. In this pricing structure, the rates for electricity vary by the time of day, on weekends and holidays and by season. This is to encourage consumers to shift their electricity use to off-peak times when the rates are lower. Current time-of-use rates are available on the Ontario Energy Board website.

Retailers

Consumers who purchase electricity from an electricity retailer will pay the price stated in their contract. Contracts are usually for a fixed price over a fixed term, with rates that are different from the RPP. The contract applies only to the cost of electricity and does not affect other charges that appear on your electricity bill.

Most consumers in Ontario have the option of purchasing electricity from their local distribution company or from an electricity retailer.

The local distribution company will still have responsibility for delivering the electricity to your home or business and you will still see delivery, regulatory and debt retirement charges on your bill.