Residential and small business customers who are billed under the tiered pricing structure pay a set rate for the electricity they consume up to kilowatt-hour (kWh) threshold per month. Customers that exceed the monthly threshold are billed at a higher rate per kWh for all additional electricity consumed.
The tiers are different for home and business consumers. The Ontario Energy Board (OEB) determines the new tiered rates at the same time as it sets the time-of-use (TOU) rates.
TOU and tiered rates are based on a forecast of the expected cost of supply and are typically adjusted every May 1 (summer season) and November 1 (winter season).
Your electricity bill includes the costs for the electricity that you use (billed at Tiered rates), the services your local utility provides and other costs of delivering electricity. Other charges may also appear on your bill related to your account.
Effective May 1, 2021, residential consumers under the tiered pricing rate structure are charged the following electricity rates:
9.8¢ per kWh for consumption up to 600 kWh/month
11.5¢ per kWh for consumption above 600 kWh/month
Effective May 1, 2021, small business consumers are charged:
9.8¢ per kWh for consumption up to 750 kWh/month
11.5¢ per kWh for consumption above 750 kWh/month
For more information about either TOU rates or tiered pricing, please refer to the Ontario Energy Board’s electricity rates page.