O. Reg. 405/12: INFORMATION ON INVOICES TO LOW-VOLUME CONSUMERS OF ELECTRICITY

Link to law: http://www.ontario.ca/laws/regulation/r12405
Published: 2012-12-14

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ontario regulation 405/12

made under the

Ontario Energy Board Act, 1998

Made: December 12, 2012
Filed: December 14, 2012
Published on e-Laws: December 14, 2012
Printed in The Ontario Gazette: December 29, 2012


Amending O. Reg. 275/04

(INFORMATION ON INVOICES TO LOW-VOLUME CONSUMERS OF ELECTRICITY)

1. Subsection 3 (2) of Ontario Regulation 275/04 is amended by striking out “and” at the end of clause (b), by adding “and” at the end of clause (c) and by adding the following clause:

(d) all charges related to losses incurred in the distribution of electricity, except for such amounts that are already included in regulatory charges under subsection 4 (2).

2. Section 7 of the Regulation is revoked and the following substituted:

Metered consumption

7. The invoice must clearly indicate the consumer’s consumption of electricity as indicated on the consumer’s meter.

3. The Table to subsection 10 (1) of the Regulation is amended by striking out the terms “Electricity” and “Delivery” and the descriptions opposite those terms and substituting the following:

 


Electricity


This is the cost of the electricity supplied to you during this billing period and is the part of the bill that is subject to competition.




Delivery


These are the costs of delivering electricity from generating stations across the Province to (name of distributor) then to your home or business.  This includes the costs to build and maintain the transmission and distribution lines, towers and poles and operate provincial and local electricity systems.
A portion of these charges are fixed and do not change from month to month.  The rest are variable and increase or decrease depending on the amount of electricity that you use.
The delivery charge also includes costs relating to electricity lost through distributing electricity to your home or business.*  (Name of distributor) collects this money and pays this amount directly to our suppliers.
*When electricity is delivered over a power line, it is normal for a small amount of power to be consumed or lost as heat.  Equipment, such as wires and transformers, consumes power before it gets to your home or business.




4. Section 12 of the Regulation is revoked and the following substituted:

Temporary rules, retailer contracts

12. (1) This section applies to a distributor or other person who issues an invoice on or before June 30, 2015 to a low-volume consumer who has a contract for electricity with a retailer.

(2) Despite subsection 3 (2), the delivery charges are to be calculated as the sum of,

(a) all variable and fixed distribution charges;

(b) all charges based on the retail transmission network service rate; and

(c) all charges based on the retail transmission connection service rate.

(3) Despite subsection 10 (1), the distributor or other person must include on or with the invoice the following glossary of terms and their meanings, in the language as set out in the following table:

Table
Glossary of terms


Term


Description




Electricity


This is the cost of the electricity supplied to you during this billing period and is the part of the bill that is subject to competition.  The electricity consumed is multiplied by the adjustment factor*.  (Name of distributor) collects this money and pays this amount directly to our suppliers.
*When electricity is delivered over a power line, it is normal for a small amount of power to be consumed or lost as heat.  Equipment, such as wires and transformers, consumes power before it gets to your home or business.  The adjustment factor accounts for these losses.




Delivery


These are the costs of delivering electricity from generating stations across the Province to (name of distributor) then to your home or business.  This includes the costs to build and maintain the transmission and distribution lines, towers and poles and operate provincial and local electricity systems.
A portion of these charges are fixed and do not change from month to month.  The rest are variable and increase or decrease depending on the amount of electricity that you use.




Regulatory Charges


Regulatory charges are the costs of administering the wholesale electricity system and maintaining the reliability of the provincial grid and include the costs associated with funding Ministry of Energy conservation and renewable energy programs.




Debt Retirement Charge


The debt retirement charge pays down the debt of the former Ontario Hydro.




Commencement

5. This Regulation comes into force on the later of July 1, 2013 and the day it is filed.