2024 electricity distribution rate applications

 

On October 13, 2016, the OEB issued the Handbook for Utility Rate Applications to provide guidance to utilities and stakeholders on applications to the OEB for approval of rates. The Rate Handbook outlines the key principles and expectations the OEB will apply when reviewing rate applications under the OEB’s renewed regulatory framework, Report of the Board: A Renewed Regulatory Framework for Electricity (the RRFE Report). Three alternative rate-setting methods are available to electricity distributors: Price Cap Incentive Rate-setting (Price Cap IR); Custom Incentive Rate-setting (Custom IR); and Annual Incentive Rate-setting Index (Annual IR Index).

On December 1, 2022, the OEB issued a letter identifying a preliminary list of electricity distributors (the Rebasing List) that are scheduled to file a cost of service application in respect of their 2024 rates assuming they opt for the Price Cap IR method. This letter also sets out the deadlines by which notice must be given to the OEB in respect of various other matters relating to the setting of 2024 rates, and by which cost of service applications for 2024 rates are expected to be filed. The following table summarizes these deadlines.

ActionOEB Deadline
Notification from any distributor on the 2024 Rebasing List that will be selecting either the Custom IR, or Annual IR Index method (therefore will not be filing a Price Cap IR rate application) for 2024 ratesJanuary 27, 2023
Notification from any distributor that is currently on Annual IR Index but that plans to file a cost of service rate application under the Price Cap IR method or a Custom IR application for 2024 ratesJanuary 27, 2023
Notification from any distributor that is not included on the 2024 Rebasing List but that plans to file a cost of service application for 2024 rates under the Price Cap IR method (early rebasing)January 27, 2023
Notification from any distributor on the 2024 Rebasing List that plans to submit a request to defer rebasingJanuary 27, 2023
Notification from any distributor that plans to file a cost a service application for 2024 rates and that wishes to convert its rate year from May 1 to January 1January 27, 2023
Deadline for cost of service applications for January 1, 2024 rates including those distributors that wish to convert from May 1 rates to January 1 ratesApril 28, 2023
Deadline for cost of service applications for May 1, 2024 rates and for Custom IR annual update applicationsAugust 31, 2023

 

The following table identifies all 58 rate regulated electricity distributors in Ontario. The table contains links to select documents of a distributor’s rate application. These documents include:

  • Key correspondence regarding the status of an application, including the choice of rate-setting method for 2024 rates. For applications to be decided under Delegated Authority, case management letters are used to communicate case steps and dates rather than a letter of direction and procedural order.
  • The Notice of Application issued by the OEB and to be published by the distributor, if applicable. The purpose of the Notice is to inform affected ratepayers and other stakeholders of the application, its nature and the impact on affected customers.
  • The Decision issued by the OEB when it has made determinations on the application and the subsequent Rate Order and Tariff of Rates and Charges that reflects the Decision.

 

APPLICATION DOCUMENTS

This table provides a list of select documents related to each application. To view all publicly available documents for the application, click the case number associated with that particular distributor.

DEFINITIONS:

Cost of Service: Distributors rebasing under the Price Cap Incentive Rate-setting method     
Price Cap IR: Distributors not rebasing under the Price Cap Incentive Rate-setting method     
Custom IR: Distributors filing under the Custom Incentive Rate-setting method     
Annual IR: Distributors filing under the Annual Incentive Rate-setting Index method     
Case Management Letter: Pursuant to powers granted in Section 6 of the Ontario Energy Board Act, 1998, an employee of the OEB (Delegated Authority) may make a decision on the application without holding a hearing. Certain mechanistic Price Cap IR and Annual IR applications are adjudicated by a Delegated Authority. For these applications, there are normally no formal hearings and thus, no publication requirements of a formal Notice of Application. The process and timelines associated with the assessment of the applications by OEB staff are communicated to distributors by way of Case Management letters.     
NoA: Notice of Application

Click the column header to sort the table by Distributor, Process, Application Received or Updated on. Click the column again to switch between ascending/descending order. To filter results, start typing in the search field below. As you type the table will re-sort to only show rows that match what you type (e.g. typing 'Niagara' will show only the rows for Canadian Niagara Power Inc., Niagara Peninsula Energy Inc. and Niagara-on-the-Lake Hydro Inc.).

 

ASSOCIATED DECISIONS

DateIssue/document
Jan 30-24

The OEB has issued a Decision and Order in the matter of Renewable Generation Connection Rate Protection Compensation Amounts effective January 1, 2024.

Dec 7-23

The OEB has issued a Decision and Order in the matter of regulatory charges effective January 1, 2024, for the Wholesale Market Services rate and the Rural or Remote Electricity Rate Protection charge.

Sep 26-23

The OEB has issued its Decision and Order updating the retail service charges (EB-2023-0193) and its Decision and Order updating the distribution pole attachment charge (EB-2023-0194), effective January 1, 2024.

May 30-23

The OEB has issued its Decision and Rate Order in the matter of Distribution Rate Protection(DRP) effective July 1, 2023.

 

UPDATES

DateIssue/document
Nov 29-23

The OEB has issued a letter re: Review of Fixed Monthly Charge for microFIT Generator Service Classification.

Oct 31-23

The OEB has issued a letter which sets out the Cost of Capital Parameter Updates for cost-based rates applications that have an effective date commencing in 2024.

Sep 28-23

The OEB has issued a letter which provides the calculations for 2024 preliminary Uniform Transmission Rates and facilitates their implementation in applicable 2024 electricity distributor rate applications.

Jun 29-23

The OEB has issued a letter on the inflation factors to be used to set rates for certain electricity transmitters and electricity and natural gas distributors for 2024. The OEB is issuing this earlier than in prior years to improve regulatory efficiency.

Jun 23-23

The OEB has posted updated versions of various models to be used for 2024 Rate Applications.    

Queries regarding the models should be sent to ratemodels@oeb.ca.    

Cost of Service Models:

Applicable to both Cost of Service and Incentive Rate-setting Mechanism (IRM):

Incentive Rate-setting Mechanism (IRM) Models:

Jun 21-23

The OEB has posted the presentation for the Updates to Chapter 3 Filing Requirements and Accounting Webinar held on June 21, 2023.

Jun 19-23

The OEB has posted materials from the June 19, 2023, Orientation session for Electricity Distributors rebasing rates in 2024 and 2025.

Jun 16-23

The OEB has posted an updated version of the LRAMVA workform and supporting instructions, applicable to both Cost of Service and Incentive Rate-setting Mechanism (IRM) Rate Applications:

  • Lost Revenue Adjustment Mechanism Variance Account (LRAMVA) Workform (xlsx)  
    NOTE: The workform has received two minor updates: Version 1.1 on June 23, 2023; Version 1.2 on June 28, 2023. To access the updated workform (Version 1.2), please use the link in the June 23rd update.
  • LRAMVA Workform Instructions
Jun 15-23

The OEB has posted an updated version of Chapter 3 of the Filing Requirements for 2024 Rate Applications.

Jun 6-23

The OEB has issued the tranche assignments which outline the filing dates for 2024 IRM applications.

Mar 10-23

The OEB has issued Data Models for Cost of Service Filing Requirements for 2024 Rates.

Dec 15-22

The OEB has posted updated Filing Requirements for 2024 Rate Applications.

Dec 1-22

The OEB has issued a letter that sets out a preliminary schedule of cost of service filers for the 2024 to 2027 rate years and establishes important filing and notification deadlines.

  • Letter (updated December 23, 2022)