We have followed the OEB guidelines for the 3rd Generation Incentive Regulation Mechanism (IRM). IRM is a short-term approach for setting rates between cost of service applications (i.e. our 2008 distribution rate application and our next application). It promotes efficiency within the distribution sector and through the regulatory process via simplified filing requirements.
Our portion of the delivery rates will be adjusted by a formula provided by the OEB to account for cost of living adjustment less productivity improvements. For more information on IRM, visit the OEB’s website.
On August 15, 2007, Hydro One Networks filed a distribution rate application with the Ontario Energy Board (OEB) for its 2008 revenue requirement. On December 18, 2008, the OEB issued its approval (Decision) on our 2008 Distribution Rate Application. New delivery rates will be implemented as of February 1, 2009.