TORONTO – Consumers will soon see their energy bills rise as a result of new electricity price hikes approved by the Ontario Energy Board.
The price changes only apply to Regulated Price Plan eligible residential and small business customers who buy electricity directly from their local utility.
Time-of-use (TOU) prices will go up nearly 1 cent a kilowatt hour at “on-peak” hours with the changes taking effect May 1, 2012.
For typical residential consumers on TOU pricing who uses 800 kWh per month, this amounts to an additional $3.99 on your electricity bill.
Other consumers on who pay tiered pricing using 800 kWh per month will see an increase of approximately $5.80 on their monthly bill.
The OEB says prices are changing because the forecast supply cost is changing.
As coal generation continues to decline, it is being replaced with natural gas, nuclear and renewable generation. This includes refurbished units at the Bruce Nuclear Generating Station along with more wind and solar generation.
Below is a complete price list.
Time-of-use (TOU) prices are changing as follows:
On-peak (from 11 a.m. to 5 p.m. weekdays) = 11.7 ¢/kWh (up 0.9 cents)
Mid-peak (from 7 a.m. to 11 a.m. and 5 p.m. to 7 p.m. weekdays) = 10.0 ¢/kWh (up 0.8 cents)
Off-peak (from 7 p.m. to 7 a.m. weekdays and all day on weekends and holidays) = 6.5 ¢/kWh (up 0.3 cents)
Consumers who are not yet paying TOU prices pay tiered prices, with the changes are as follows:
For consumption up to the tier threshold (Tier 1 prices): 7.5 ¢/kWh (up 0.4 cents)
For consumption above the tier threshold (Tier 2 prices): 8.8 ¢/kWh (up 0.5 cents)