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As part of its regulation of electricity distributors, the Ontario Energy Board established a multi-year electricity distribution rate setting plan which indicated that, commencing with 2008 rates, a limited number of distributors would be identified each year to file a future test year cost of service application based on Chapter 2 of the Board’s Filing Requirements, re-issued June 29, 2010. The plan would run for four years enabling each rate regulated distributor in the province to rebase its rates once during the four year plan.

For any of the other distributors seeking approval to change their distribution rates, distributors would file a mechanistic, formulaic update to their current rates based on the Board’s incentive regulation mechanism (IRM).

On April 20, 2010, the Board issued a letter addressing the issue of electricity distributors filing rate applications to have their rates set through a cost of service proceeding earlier than scheduled. The letter requested that any distributor wishing to change their filing year should file a letter with the Board by May 31, 2010. The letter also identified a list of 18 electricity distributors that would be subject to the cost of service process in 2011.

It is anticipated that the following distributors will file cost of service applications for rates effective May 1, 2011:

  • Attawapiskat Power Corporation
  • Brant County Power Incorporated
  • Fort Albany Power Corporation
  • Horizon Utilities Corporation
  • Hydro One Brampton Networks Incorporated
  • Kaschechewan Power Corporation
  • Kenora Hydro Electric Corporation
  • Kingston Electricity Distribution Limited 
  • Milton Hydro Distribution Incorporated

  • Niagara Peninsula Energy Incorporated

  • Parry Sound Power Corporation
  • St. Thomas Energy Incorporated

  • Toronto Hydro-Electric Systems

  • Waterloo North Hydro Incorporated

  • West Perth Power Inc.

  • Woodstock Hydro Services Incorporated

The following table contains links to select documents of a distributor’s rate application.  These documents include: 

  • The “Application” as filed by the distributor, provided as an Adobe Acrobat PDF file;

  • The “Notice of Application” Issued by the Board and to be published by the distributor.  The purpose of the Notice is to inform the affected ratepayers and other stakeholders of the application, its nature and the impact on affected customers;

  • For those distributors applying for rates based on COS, excel models filed in support of the application such as the Cost Allocation model, Revenue Requirement Workform, etc;

  • For those distributors applying for rates based on IRM, the application models used to calculate the revised rates modified as necessary to reflect the Board’s Decision.

  • The Decision issued by the Board when it has adjudicated on the application and the subsequent Rate Order that reflects the Decision in the Tariff of Rates and Charges.

Related information

Estimated Total Bill Impacts (pdf) (For those utilities whose Rate Orders have not yet been issued, no information is supplied in the bill impact chart. The chart will be updated as Rate Orders are released)

Estimated Total Bill Impacts for Hydro One Networks (pdf)

 

 APPLICATION DOCUMENTS

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

 

UPDATES

Date

Issue / Document

Mar 3-11

The Board has issued a letter which sets out the Cost of Capital Parameter Updates for Cost of Service Applications effective May 1, 2011.

Mar 2-11

The Board has announced the price escalator (or inflation index) for the 2nd and 3rd Generation Incentive Regulation mechanisms for adjusting electricity distribution rates effective May 1, 2011.

 

Consistent with the Board’s findings in its December 20, 2006 Report of the Board on Cost of Capital and 2nd Generation Incentive Regulation for Ontario's Electricity Distributors, the Board will use the annual percent change in the Implicit Price Index for National Gross Domestic Product (GDP-IPI) for Final Domestic Demand.  On February 28, 2011, Statistics Canada published the change for 2010 over 2009 as part of the National Economic Accounts.  The percent change is 1.3% (click for Statistics Canada reference (1)Statistics Canada Reference (2) ).

 

The Board will adjust the price escalator in each distributor’s Incentive Regulation Mechanism model, if necessary, such that this change is reflected in the 2011 distribution rates for electricity distributors that are under the 2nd and 3rd Generation Incentive Regulation mechanisms.

Nov 15-10

The Board has issued a letter which sets out the Cost of Capital Parameter Updates for 2011 Cost of Service Applications effective January 1, 2011.

Sep 15-10

The Board has made available the following Microsoft Excel workbook for distributors to complete as part of their 2011 electricity rate application.

Aug 20-10

2011 2nd and 3rd Generation Rate Generators

The Board has made available the following Microsoft Excel workbooks, with completion instructions, for distributors to complete as part of their 2011 IRM rate application.

IRM2 Specific

IRM3 Specific

Related to Both

2011 Retail Transmission Service Rates (“RTSRs”)

The Board has made available the following Microsoft Excel workbook for distributors to complete as part of their 2011 electricity rate application.

Jul 9-10

The Board has issued an update of Chapter 3 of the Board’s “Filing Requirements for Transmission and Distribution Applications”. This chapter outlines the information that the Board requires an electricity distributor file when it makes an application seeking approval for incentive regulation mechanism (“IRM”) based rates.

 

Jul 8-10

The Board has issued revision 2.0 to Guideline G-2008-0001 - Electricity Distribution Retail Transmission Service Rates. This guideline outlines the information that the Board requires an electricity distributor file to seek approval to adjust its retail transmission service rates.

Jun 29-10

The Board has released an updated version of Chapter 2 of the Filing Requirements for Transmission and Distribution Applications which details the Board’s expectations as to what electricity transmitters and distributors are to file when requesting cost of service rate adjustments based on a forward test year.

Apr 20-10

The Board has issued a letter to all licensed electricity distributors addressing the issue of electricity distributors filing rate applications to have their rates set through a cost of service proceeding earlier than scheduled:

 

IRM FREQUENTLY ASKED QUESTIONS 

Question:
When I enter the rate classes on sheet B1.1 Curr&Appl Rt Class General the entry under "Fixed Metric" continues to show NA. How do I fix this?

Rate group Rate class Fixed metric Vol metric
RES Residential NA kWh
GSLT50 General service less than 50kW NA kWh

Answer
See Sheet B1dot1.doc

Question:
Sheet C1.1 Smart Meter Funding Adder does not show some of the rate classes I would expect to see. How do I fix this?

Answer
See Sheet B1dot1.doc

Question:
Global Adjustment Rate Riders don't appear on Sheet C4.1 Curr Rates & Chgs General or Sheet N1.1 Appl For Mthly R&C General.

Answer
Global Adjustment Rate Riders; both Electricity component and Delivery Component do not show on the subject sheets but will be shown on the model generated tariff sheet.

Question:
I cannot enter any values for USoA 1595 on sheet D1.5 Def Var - Cont Sch 2009. Why is this?

Answer
See Account 1595 Residual Disposition.doc

Question:
I filed our IRM rate application today, however, was unable to file the Excel models – I get an error saying invalid extension. What do I need to do?

Answer
See Saving Excel 2007 or higher documents in earlier version format.pdf