Off-peak Time-of-Use (TOU) Electricity Rate

On January 3, 2022, it was announced that in response to trends that showed a rapid increase in COVID-19 hospitalizations, the Ontario government, in consultation with the Chief Medical Officer of Health, temporarily moved the province into a modified version of Step Two of its Roadmap to Reopen for a 21-day period starting January 5, 2022.

On January 7, 2022, the Ontario government announced that it would provide electricity rate-relief to support small businesses, as well as workers and families spending more time at home while the province is in Modified Step Two.

On January 13, 2022, regulatory amendments were made to Ontario Regulation 95/05: Classes of Consumers and Determination of Rates to implement this rate change. The impact of these amendments was that for 21 days starting on January 18, 2022 electricity prices will be set 24 hours a day at the current off-peak rate of 8.2 cents per kilowatt-hour. The off-peak rate will apply automatically to residential, small businesses and farms who pay TOU or Tiered rates set by the Ontario Energy Board (OEB) through the RPP.

The government worked with the OEB and Local Distribution Companies (LDCs) to implement the off-peak rate quickly to provide immediate electricity rate relief to families and businesses impacted by COVID-19.

A typical residential customer paying TOU prices would be expected to see a bill reduction of approximately 13 per cent for the days that the rate is in place. Individual customer benefits will be dependent on total electricity consumption, consumption behaviours, service territory and rate plan.

Since the start of the pandemic, the province has moved to 24 hour a day off-peak pricing twice, from March 24 to May 31, 2020 and again from January 1 to February 22, 2021 to support Ontarians while the government asked them to stay home.