They're Here: Toronto Hydro Shifts to TOU Rates
10,000 Toronto Hydro customers to officially transition to TOU rates in
June
TORONTO, May 14 - Toronto Hydro-Electric System Limited (Toronto
Hydro) today made it official: the first 10,000 Toronto Hydro customers will
make the switch to Time-of-Use (TOU) rates beginning June 2009. Remaining
customers will transition to TOU rates over the next 12 months. The Hon.
George Smitherman, Deputy Premier and Minister of Energy and Infrastructure,
and Mayor David Miller helped make the announcement today with Toronto Hydro,
at an event that demonstrated how to optimize TOU rates around the home to
manage electricity consumption and costs.
Under the Province of Ontario's leadership, Toronto will now be the first
major urban city to transition all its customers to TOU rates. This will be
done in a phased approach. Toronto Hydro has all of the appropriate systems in
place and the first customers will see their first official TOU bill beginning
in August, based on a bi-monthly billing cycle.
"Toronto Hydro is proud to be a leader in the implementation of
conservation programs and with the installation of smart meters," said Clare
Copeland, Chairman, Toronto Hydro Corporation. "With TOU rates we will be able
to help customers understand the true cost of electricity in our province and
begin the shift to off-peak electricity use where possible."
"Time-of-use pricing is what makes our smart meters 'smart,' by telling
us how much electricity we are using throughout the day," added Minister
Smitherman. "With this information, the message is to first, reduce our
overall energy use, and second, to shift as much of our electricity use as
possible to later in the evening and on weekends because that's when it's
cheapest."
Toronto Hydro's smart meter installation strategy began outside the
downtown core, in more suburban areas, specifically the former Scarborough,
North York and Etobicoke areas. The downtown core of Toronto has smart meters
installed but have not been activated to begin transmitting data to Toronto
Hydro yet.
Those selected for TOU billing will have had a smart meter that has been
passing data at hourly intervals to Toronto Hydro systems for at least one
year. These customers have already been notified of their transition to TOU
rates.
All Toronto Hydro customers who have a smart meter that communicates
hourly data to Toronto Hydro systems - including those who are not yet on TOU
rates - can go online and register at www.torontohydro.com/tou, where they
will be able to see up-to-date information about how much electricity their
household is using by the hour, and the corresponding TOU rates for on-peak,
mid-peak and off-peak times. Customers can use the website as a tool to help
manage costs by following tips to move some electricity use to off-peak
periods, or by lowering their consumption during peak periods. For example, by
setting air conditioners a few degrees warmer during the afternoon, running
the dishwasher at night or doing laundry on weekends.
The bill impact for a customer on TOU pricing will not only depend on how
much electricity they are consuming, but also when they use it. TOU rates will
vary depending on the season, as electricity prices change every six months
(May and November).
Effective May 1, 2009, the TOU summer prices are:
------------------------------------------------------------------------
Time Time-of-Use Price (per kWh)
------------------------------------------------------------------------
Weekends & Holidays
------------------------------------------------------------------------
All Day Off-Peak 4.2 cents
------------------------------------------------------------------------
Summer Weekdays
(May 1 - Oct. 31)
------------------------------------------------------------------------
7:00 AM - 11:00 AM Mid-Peak 7.6 cents
------------------------------------------------------------------------
11:00 AM - 5:00 PM On-Peak 9.1 cents
------------------------------------------------------------------------
5:00 PM - 10:00 PM Mid-Peak 7.6 cents
------------------------------------------------------------------------
10:00 PM - 7:00 AM Off-Peak 4.2 cents
------------------------------------------------------------------------
"The stable supply of electricity in Ontario is critical to our economic
future, and we've been working diligently to establish a conservation culture
in Toronto," said Mayor David Miller. "Thanks to Toronto Hydro's efforts, our
city will see the largest rollout of TOU rates in North America, and Toronto
Hydro has worked hard to produce programs and information that will help
customers understand their electricity usage and how to manage their bill with
TOU rates."
In 2006, Toronto Hydro developed GET SMART TORONTO, a multi-year,
integrated communication strategy using a phased approach for the smart meter
and TOU roll-out. Customers have been educated and made aware of the smart
meter and TOU initiative using a variety of communications, some of which were
tested with customers through various pilots. To date, more than 611,000
Toronto Hydro customers have smart meters.
For more information and to find out how to use TOU rates to help manage
electricity costs, visit www.torontohydro.com/tou, or call 416-542-8000.
About Toronto Hydro-Electric System Limited
A wholly-owned subsidiary of Toronto Hydro Corporation, Toronto
Hydro-Electric System Limited delivers electricity through a complex network
of poles, wires and underground structures to 678,000 customers and
distributes approximately 18 per cent of the electricity in the province of
Ontario. Toronto Hydro Corporation is owned 100 per cent by the City of
Toronto.
