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Hydro One delivers electricity safely and reliably to homes and businesses in Ontario. Effective January 1, 2023, new delivery rates will be in place.
Our regulator, the Ontario Energy Board (OEB), has approved our delivery rates for 2023. New delivery rates will apply to electricity use starting on January 1, 2023 and will be reflected on the Delivery line on the bill.
This approval also includes our 2023-2027 Investment Plan for our transmission and distribution systems. Our Investment Plan will reduce the impacts of power outages, renew and replace critical transmission and distribution infrastructure, enable economic growth, and prepare for climate change. Learn more.
*This decrease will be effective as of July 1, 2023. All other changes shown above are effective
January 1, 2023.
Most customers will see increases to the Delivery and Regulatory Charges lines on the bill. The amount
your bill will change depends on your rate class and how much electricity you use.
The table below shows the bill impacts for a typical/average customer.
Click here to see where rate class is shown on your
1Distribution charges for residential (Year-round) customers are capped at a level
prescribed by regulation ($38.08, effective July 1, 2022 to June 30, 2023).
2Residential (Year-round) customers with a low density rate class get additional rate
protection under the Rural and Remote Rate Protection program (currently at $60.50 per month).
This credit is applied to Delivery charges.
3Customer moving from General Service Demand to Sub Transmission under revised rate eligibility criteria pertaining to transformer ownership.
4Customer moving from Urban General Service Demand to Sub Transmission under revised rate eligibility criteria pertaining to transformer ownership.
Residential (Year-round) customers with a
medium or low density receive distribution rate protection, which is a subsidy that caps
the amount customers pay for base distribution rates (monthly service charge and
distribution volume charge) to $38.08 a month.
However, this rate protection doesn’t
include increases to transmission rates for the high-voltage system.
Distribution rate protection ensures rural
delivery rates are comparable to urban rates.
It is a cap that lowers base distribution
rates (monthly service charge and distribution volume charge that are included under the
• This cap ensures distribution charges
will not exceed $38.08 a month and only applies to residential (Year-round) customers
with a medium or low density rate class.
It’s a temporary adjustment being applied to
delivery rates to reverse tax savings that were applied in error to customers from January 1,
2018 to June 30, 2021. This charge is being applied until June 30, 2023.
We collect this charge on behalf of the
Independent System Electricity Operator from residential and general service energy billed
customers. The monthly charge has been reduced to $0.42 (from $0.43). This charge will be in
place until December 31, 2027.
The OEB directed us to clear our deferral/variance
accounts as they met the OEB-defined threshold. These credit adjustments will be in place until
December 31, 2025.
The OEB has directed us to end seasonal rates by
December 31, 2022. Starting on January 1, 2023, seasonal customers will be moved to one of our
three residential density-based classes:
The decision to end seasonal rates was based on
the OEB’s determination that delivery rates charged to seasonal customers are subsidized by
other residential customers and don’t reflect the actual cost to serve them. Learn more here.
The OEB directed us to transition to all-fixed
distribution rates for residential customers starting on February 1, 2016.
This is a portion of Regulatory Charges line item on the bill. The rate is set by the OEB to recover the costs of the services provided by the Independent Electricity System Operator (IESO). These services include operating the electricity system and administering the wholesale market. We collect this charge on behalf of the IESO. The new charge is 0.45 cents per kWh (from 0.34 cents per kWh).
This is a portion of the Regulatory Charges line
item on the bill. This charge is designed to reduce costs for eligible customers located in
rural or remote areas where the costs of distributing electricity is higher. This charge is paid
by all electricity consumers in the province and is approved by the OEB. The new charge is 0.07
cents per kWh (from 0.05 cents per kWh), effective January 1, 2023.
The OEB approved the rates that we charge for
electricity transmission and distribution over a five year period, beginning January 1, 2023 and
for each subsequent year through to December 31, 2027. These rates are reflected on the Delivery
line on bills.
We submitted a five-year application (2023-2027)
for our distribution and transmission rates. The OEB conducted an intensive, public review of
our projected costs and investment plan for the years 2023-2027.
We’re following the OEB’s multi-year rate-setting
approach. Our rates will be adjusted at the beginning of each year, consistent with the OEB’s
approval. Rates for the years 2024 to 2027 will be formulaic rate increases.
Delivery charges are made up of the following
Delivery rates are posted here.
The Sub Transmission classification applies to
To learn about the changes, click here
See how we can help you manage your electricity account, including:
We encourage you to call us at 1.888.664.9376 Monday to Friday from 7:30 a.m. to 8 p.m. to learn more about the support options available.
Our Investment Plan was informed by nearly 50,000 customers who told us they want a more
sustainable and resilient system that is ready for the future.