Appendix B

Guidance Regarding The Notice Of Application And Notice of Written Hearing

In the Electricity Distribution Rate Handbook, the Board indicated that October 1, 2000 is the target date by which unbundled distribution rates will be approved for all distribution utilities. Consequently, there is a May 1, 2000 deadline for filing the year 1 evidence of the PBR plan for large utilities and an August 1, 2000 deadline for filing this evidence for small utilities. For timely review and approvals, utilities are encouraged to make their filings in advance of these dates.

Once the Board receives the utility's Application, it will be assigned a Board file or docket number. The Board will then issue a "Notice of Application and Notice of Written Hearing" (the "Notice"). The utility should fill out the appropriate sections of the draft Notice and include it with its filing.

After review of the draft Notice, the Board Secretary will issue a "Letter of Direction" and a final Notice. The utility will be required to publish the Board issued Notice in the local newspaper with the widest publication. For utilities located in designated french language areas, a french language version of this Notice must also be published in one issue of a local french language paper. If your utility services a french language designated area, you will be notified and a french translated Notice will be provided. The utility will be required to provide the Board with the date of publication. Further details will be provided in the Board's "Letter of Direction".

After filing an Application, the utility is required to have completed copies of the evidence package, the Application, and any additional material made available for convenient public perusal at the utility's head office. The utility will also be required to provide a copy of its submissions to any intervenor upon request.

In total, the Notice and hearing process could span anywhere from 8 to 12 weeks depending on the number of interventions, the time frame for publication of the Notice, complexity of the Application, etc.

RP-XXXX

NAME OF UTILITY HERE

ELECTRICITY RATE CHANGE

NOTICE OF APPLICATION AND NOTICE OF WRITTEN HEARING

Particulars of The Application

The [INSERT NAME OF UTILITY] (the "Utility") must unbundle electricity rates into electricity distribution rates and rates for power and other charges in order to meet the requirements of new legislation. The Utility has filed its submissions with the Ontario Energy Board (the "Board") with respect to rates for the distribution of electricity. The Utility will, at a future date, file its submission with respect to rates for the provision of regulated power supply (Standard Supply Service or "SSS") and other non-competitive electricity distribution rates related to the transmission of electricity and services provided by the Independent Electricity Market Operator to the Utility ("other non-competitive electricity distribution rates") .

In the first phase of this proceeding ("Phase One"), the Board will approve or fix just and reasonable rates for the distribution of electricity under subsection 78(3) of the Ontario Energy Board Act, 1998. In one or more subsequent phases of this proceeding ("Subsequent Phases"), the Board will approve or fix just and reasonable rates for SSS and other non- competitive electricity distribution rates.

The Ontario Energy Board (the "Board") has issued an Electricity Distribution Rate Handbook, which stipulates that the distribution rate component of the electricity bill must be sub-divided into a fixed monthly charge and a variable charge. This rate restructuring, while having no overall impact on the Utility's revenues, may result in individual customer rate changes. The Rate Handbook also allows a Utility to apply for a change in its distribution rates in order to earn up to a market based rate of return. The Utility has applied for a rate of return of "X" %. This adjustment would increase the customer bill (based on 1999 rates) for an average residential customer with an annual electricity consumption of 12,000 kWh [THE UTILITY MAY SPECIFY A DIFFERENT AVERAGE CONSUMPTION IF IT IS MORE SUITABLE] by "Y" %. [TO BE SPECIFIED BY THE UTILITY]. [INCLUDE BALANCE OF PARAGRAPH IF UTILITY IS PROPOSING TO MITIGATE THE RATE IMPACT]. In order to mitigate the rate impact, the Utility has applied to phase-in the rate of return adjustment. For an average residential customer, the first year impact of the Utility's proposal is an increase of "Z" % instead of "Y" % [TO BE SPECIFIED BY THE UTILITY]. [IF DESIRED, THE UTILITY MAY ALSO ELECT TO INCLUDE THE AVERAGE RATE IMPACT FOR OTHER CUSTOMER CLASSES].

How To Participate

If you wish to participate in this proceeding you must, within 14 days of the publication of this Notice, file a letter with the Board stating whether you wish to intervene, observe, or comment on Phase One, Subsequent Phases or all Phases of this proceeding.

For information on how to intervene in, observe or comment on the submissions, please contact the Board's Customer Service Centre at 1-877-632-2727 or by e-mail at Boardsec@oeb.gov.on.ca. Please reference Board file number RP-XXXX [FILE NUMBER TO BE PROVIDED BY THE BOARD]. You may also visit the frequently asked questions (FAQS) section of the Board's Web site at www.oeb.gov.on.ca

Hearing

If no person intervenes and requests a hearing, the Board intends to dispose of the application without a hearing. If any person requests a hearing, the Board intends to proceed in this matter by way of a written hearing unless the applicant or any intervenor satisfies the Board that there is good reason for not proceeding by holding a written hearing. A request for a hearing must be made within 14 days of the publication of this Notice.

If the Board proceeds in this matter by way of a written hearing, all intervenors who have registered in Phase One must file their written submissions with the Board and the Utility by 4:45 p.m. within 24 days of the publication of this Notice. The Utility must file any reply submissions by 4:45 p.m. within 10 days of the last day for intervenors to file written submissions. All letters of comment must be filed with the Board Secretary within 24 days of the publication of this Notice. The Board will then consider all submissions and issue a decision and Rate Order as soon as possible.

How To See The Applicant's Pre-filed Evidence

Copies of the submissions of [INSERT NAME OF UTILITY] are available for inspection at the Board's offices, and at the office of the Utility in [INSERT NAME OF MUNICIPALITY]. If you intend to intervene in the proceeding, the Utility upon request is required to give you a copy of its submissions with respect to that phase of the proceeding in which you intend to intervene.

IMPORTANT

IF YOU DO NOT FILE A LETTER OF INTERVENTION OR A LETTER OF COMMENT, OR IF YOU DO NOT FILE WRITTEN SUBMISSIONS OR PROVIDE REASONS FOR NOT HOLDING A WRITTEN HEARING, THE BOARD MAY PROCEED WITHOUT YOUR PARTICIPATION AND YOU WILL NOT BE ENTITLED TO ANY FURTHER NOTICE OF THE PROCEEDING.

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Addresses

Ontario Energy Board	(ADDRESS OF UTILITY)

P.O. Box 2319

2300 Yonge Street

26th Floor

Toronto, Ontario

M4P 1E4

Attn:	Mr. Paul B. Pudge

Board Secretary

1-888-632-6273 (Toll free)

(416) 440-7656 (Fax)

DATED at Toronto X, 2000.

ONTARIO ENERGY BOARD

Paul B. Pudge

Board Secretary