Commercial Electricity Rates
Market Commercial Electricity Rates
We charge customers for the cost of electricity and collect payment on behalf of the organizations that work together to ensure the safe and reliable operation of Ontario’s electricity system. The charges on your bill fall under four categories: electricity costs, delivery costs, regulatory and taxes.
Electricity Costs
How much electricity you use determines the rate you pay. Residential consumers and small businesses, for the most part, pay for electricity via time-of-use (TOU), Tiered or Ultra-Low Overnight (ULO) rates, which include the Global Adjustment charge. Larger commercial customers usually pay the Ontario Electricity Market Price (or the Ontario Market Price), plus the Global Adjustment.
Ontario Electricity Market Price
The Ontario Market Price is determined by the Independent Electricity System Operator (IESO) and fluctuates based on supply and demand. To calculate the Ontario Market Price, the IESO establishes a base price that reflects the cost of supplying electricity. That base price is adjusted depending on the transmission system’s ability to deliver electricity throughout the province. Learn more about the Ontario Market Price.
Global Adjustment
Global Adjustment is collected on behalf of the Independent Electricity System Operator (IESO) and covers the cost for providing both adequate generating capacity and conservation programs for Ontario. It applies to business customers who pay the Ontario Market Price and customers who have signed a contract with a licensed electricity retailer. Find out more about the Global Adjustment
Delivery Charge
The delivery charge covers the costs of delivering electricity from generating stations across Ontario to Burlington Hydro and then to your business. It includes the costs to build and maintain distribution lines, towers and poles, and to operate the local electricity system. The delivery charge also includes Hydro One transmission costs and system losses.
Before Burlington Hydro can make any changes to its rates it is required to seek approval from the OEB through a rate application process. The OEB reviews Burlington Hydro’s rate application independently in a public process and approves the rates Burlington Hydro can charge. BHI’s current rates: Burlington Hydro - Distribution Rates and Charges
Electric Vehicle Charging Rate
If you own or operate a commercial electric vehicle (EV) charging station, you may be eligible for the new Electric Vehicle Charging (EVC) Rate.
The EVC Rate is an electricity delivery rate designed specifically for eligible EV charging stations in Ontario to better reflect the transmission costs of serving EV chargers with low load factors. It reduces the Retail Transmission Service Rates (RTSRs) paid by participating EV charging stations.
Who is eligible for the EVC Rate?
EV charging stations must meet all the following criteria to participate in the EVC Rate:
- Have at least one Direct Current Fast Charger,
- Ensure that at least 90% of total monthly peak demand is attributable to EV charging,
- Have a monthly peak demand between 50 kW and 4,999 kW,
- Have a 12-month average load factor of 20% or less,
- Must not primarily serve commercial/public sector EV fleets, and
- Any distributed energy resource behind the account's meter must not exceed the station's annual peak demand.
Who is considered a 'customer' under the EVC Rate?
A 'customer' refers to the owner or operator of an EV charging station whose facilities are connected to or are intended to be connected to an electricity distributor's distribution system. A customer is not the end-user of the EV charging service, such as the driver of a vehicle that uses the EV charging station.
How is the EVC Rate calculated?
The EVC Rate reduces the RTSRs that participating EV charging stations would otherwise pay. RTSRs are part of the electricity bill.
Participating customers will pay 17% of the RTSR that other customers in a distributor's General Service 50 kW to 4,999 kW class will pay. In other words, if a customer's base RTSR is $10/kW, it would instead pay $1.70/kW under the EVC Rate.
The EVC Rate better aligns the RTSRs paid by participating EV charging stations with the transmission system costs incurred to serve them.
How do I apply for the EVC Rate?
You must submit an opt-in form to us. You can download the fillable pdf by clicking the button below.
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