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Toronto Hydro customers to see lower electricity bills in 2017

Rate changes, combined with 8% Provincial Rebate will result in decrease on residential hydro bills

TORONTO, Dec. 29, 2016 /CNW/ - On January 1, 2017, the average Toronto Hydro residential customer (consuming 750 kilowatt-hours per month) can expect to see their bills drop by approximately 8.5%, or $13.66 per month. The reduction in electricity charges reflects several changes on the bill, including a decrease in the Delivery Charge, an increase in the Regulatory Charge and the introduction of an 8% Provincial Rebate from the Ontario government.

The Delivery Charge is going down by 5.2% for the average residential customer. Although Toronto Hydro's base distribution rates are increasing, they are being offset by decreases in other components of the Delivery Charge, such as the clearance of a number of variance accounts and decreasing transmission rates.

Average residential customers will also see an increase of 12.7% on the Regulatory Charge. This change reflects an increase in Rural or Remote Electricity Rate Protection, a program to assist rural and remote electricity consumers, and is administered by the Ontario Energy Board.

The Ontario government's 8% Provincial Rebate on before-tax total electricity charges represents the HST portion of the bill. This is expected to save customers an average of $130 each year.


  • The Delivery Charge represents the cost of getting power from electricity generators to residential and business customers. The charge includes costs from Toronto Hydro and Hydro One
  • The Regulatory Charge represents the costs associated with administering the wholesale electricity system and maintaining the provincial grid. These charges are collected by Toronto Hydro and passed on to the Independent Electricity System Operator
  • Changes to the Delivery Charge typically occur annually on January 1
  • Toronto Hydro's distribution rates account for approximately 80% of the Delivery Charge and approximately 25% of the total bill
  • The Ontario Energy Board approved Toronto Hydro's 2015-2019 rates application to invest approximately $2.5 billion in capital funding to help improve reliability, safeguard against extreme weather events and meet growing demand



"We're pleased that customers will be getting some relief on their bills, thanks to the decrease for the Delivery Charge and the Ontario Government's 8% Provincial Rebate. Toronto Hydro continues to invest in our distribution grid and implement our long-term plan to improve reliability for all Torontonians while balancing rate impacts."

-       Anthony Haines, President and CEO, Toronto Hydro


Toronto Hydro owns and operates an electricity distribution system, which delivers electricity to approximately 759,000 customers located in the city of Toronto. It is the largest municipal electricity distribution company in Canada and distributes approximately 19% of the electricity consumed in the province of Ontario.

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The Corporation includes forward-looking information in its news release within the meaning of applicable securities laws in Canada ("forward-looking information"). The purpose of the forward-looking information is to provide management's expectations regarding the Corporation's future results of operations, performance, business prospects and opportunities and may not be appropriate for other purposes.  All forward-looking information is given pursuant to the "safe harbour" provisions of applicable Canadian securities legislation. The words "will" and similar expressions are often intended to identify forward-looking information, although not all forward-looking information contains these identifying words. The forward-looking information reflects management's current beliefs and is based on information currently available to the Corporation's management.

The forward-looking information in this news release includes, but is not limited to, statements regarding the 2017 Delivery Charge. The statements that make up the forward-looking information are based on assumptions that include, but are not limited to a stable regulatory and legislative environment.

All forward-looking information in the news release is qualified in its entirety by the above cautionary statements and, except as required by law, the Corporation undertakes no obligation to revise or update any forward-looking information as a result of new information, future events or otherwise after the date hereof.


SOURCE Toronto Hydro Corporation

For further information: Tori Gass, Communications and Public Relations, 416-903-4037, media@torontohydro.com; 24-hour media line: 416-903-6845, media@torontohydro.com
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