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Monday, September 19, 2016

Ontario- Unplugged?

The following excerpt is fairly typical of the emails we have received on the issue of recent increases in Hydro bills:

" I just opened my hydro bill. I almost fell off of my chair. It went up by over $300. And it's just my daughter and I here. And we do our laundry on weekends, we stay away from peak periods and even run our dishwasher in the middle of the night. I replaced my lights with LEDs. What the hell is going on???? And why do we need this 8% rebate? As if that's going to make up for it. I can see people losing their homes because of this. It's like paying a small mortgage. Can you please cover this? It's outrageous!!!!!"

In that spirit, please share your stories. Did your bill go up? By how much? What do you think of this? Are costs spiraling out of control? Your thoughts? 

3 comments:

  1. Captain HamiltonSeptember 19, 2016

    It is absolutely ridiculous. My bill increased by 280 and like the letter you quoted, I'm a miser when it comes to use. Something is definitely wrong here.

    Captain Hamilton

    ReplyDelete
  2. "Electricity generation in Ontario has become a contentious issue as prices have nearly doubled since 2006. The bulk of the cost increase is attributed to the Global Adjustment, which is a fee added to consumers’ bills to cover the difference between the cost paid to generate electricity and the revenue received in the electricity market. According to the Auditor General of Ontario, the Global Adjustment has cost $37 billion since its inception in 2006…

    Many of the policies and contracts that have defined Ontario’s electricity sector were put in place to ensure adequate supply expecting a large need for new generation to replace retiring coal plants and meet new load growth. However, since 2006 electrical demand has actually decreased by 8% in Ontario. As a result, these policies have generated a large surplus of supply in the province leading to very low wholesale market prices. These low prices are not passed on to the consumer because nearly all the electricity generation in the province has some form of price control shielding the producer from market prices."

    https://onlineacademiccommunity.uvic.ca/2060project/2016/01/13/understanding-ontarios-global-adjustment/

    Perspex

    ReplyDelete
    Replies
    1. you raise an interesting point. The province has had some real success with its "save on energy" program with ERIP incentives targeting mostly large industry and commercial big box units to retrofit existing H.I.D. and fluorescent lighting loads to LED. New incentives encouraging the installation of VFD's on large motor loads will have similar effects on demand.
      Although the increasing rates serve to accelerate ROI for customers who can participate, these same savings are then mitigated through increased rates.
      You cant help but compare the situation to that of municipal water rates."They" ask us to conserve, we comply, and are "rewarded" with increased rates to offset the diminished revenues. Damned if you do, out in the elements if you do not.

      Delete

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