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On November 1, 2022, Time-of-Use (TOU) and Tiered prices for residential and small business customers under the Ontario Energy Board’s (OEB) Regulated Price Plan (RPP) will decrease. The winter Time-of-Use (TOU) hours and the change in the Tier threshold for residential customers on Tiered pricing will take effect November 1 as usual and remain in place until April 30, 2023.

Winter TOU Periods and Prices

Periods Day of Week and Time Nov. 1 2022 TOU Prices Nov. 1, 2021 TOU Prices
Off-Peak Weekdays 7 pm to 7 am, and all-day weekends and statutory holidays 7.4 cents per kWh 8.2 cents per kWh
Mid-Peak Weekdays 11 am to 5 pm 10.2 cents per kWh 11.3 cents per kWh
On-Peak Weekdays 7 am to 11 am, and 5 pm to 7 pm 15.1 cents per kWh 17 cents per kWh

Winter Tiered Thresholds and Prices 

Tiers Thresholds Nov. 1, 2022 Tiered Prices Nov. 1, 2021 Tiered Prices
1 Residential – first 1,000 kWh/month
Non-residential – first 750 kWh/month
8.7 cents per kWh 9.8 cents per kWh
2 Residential – for electricity used above 1,000 kWh/month
Non-residential – for electricity used above 750 kWh/month
10.3 cents per kWh 11.5 cents per kWh

 

About TOU and Tiered Pricing Under the Regulated Price Plan (RPP)

The Ontario Energy Board (OEB) normally sets RPP prices – both TOU and Tiered – on an annual basis, for November 1.

RPP prices are set based on a forecast of how much it will cost to supply RPP customers with the electricity they are expected to use over the next 12 months. Any variance between forecast and actual costs, whether a surplus or shortfall, is factored into the next price-setting.

Customers will see a reduction in the prices on the Electricity line of their bills on November 1 as the OEB has determined that the lower prices will be effective in recovering the forecast cost of supply. TOU and Tiered prices are set so that both recover the same forecast average cost of supply for a typical customer.

With TOU prices, the price depends on when customers use electricity. There are three TOU periods – on-peak, mid-peak and off-peak. Prices are highest during on-peak, lower during mid-peak and lowest during off-peak. Under Tiered prices, a customer can use a certain amount of electricity each month at a lower price. Once that limit is exceeded, the price goes up. In the winter period (November 1 – April 30), the Tier threshold for residential customers is 1,000 kWh, so that during the heating season households can use more power at the lower price. In the summer period (May 1 – October 31), the Tier threshold for residential customers is 600 kWh. The Tier threshold for non-residential customers is 750 kWh all year round.

Ontario Electricity Rebate (OER) is Also Changing November 1

Also effective November 1, 2022, the Ontario government’s Ontario Electricity Rebate (OER) will be changed to 11.7%. The OER is a pre-tax credit that appears at the bottom of electricity bills. For a typical residential customer who uses 700 kWh of electricity per month, the OER would decrease bills by about $13.91 each month.  OEB Announcement