2015 electricity distribution rate applications

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As set out in the Report of the Board: A Renewed Regulatory Framework for Electricity (the "RRFE Report") (pdf), three alternative rate-setting methods are available to electricity distributors: 4th Generation Incentive Rate-setting (now named Price Cap IR); Custom Incentive Rate-setting ("Custom IR"); and Annual Incentive Rate-setting Index.

On February 20, 2014 the Board issued a letter identifying the list of electricity distributors (pdf) ("the 2015 Rebasing List") that are scheduled to file a cost of service application in respect of their 2015 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 Board in respect of various matters relating to the setting of 2015 rates, and by which cost of service applications for 2015 rates are expected to be filed. The following table summarizes these deadlines.

Action Board Deadline
Letter from any distributor included on the 2015 Rebasing List who wishes to defer rebasing beyond 2015 March 28, 2014
Notification from any distributor on the 2015 Rebasing List who will be selecting either the Custom IR or Annual Incentive Rate-setting Index method and therefore will not be filing a cost of service rate application for 2015 rates March 28, 2014
Notification from any distributor that is not included on the 2015 Rebasing List but who plans to file a cost of service application for 2015 rates under the Price Cap IR method March 28, 2014
Deadline for cost of service applications for January 1, 2015 rates April 25 , 2014
Deadline for cost of service applications for May 1, 2015 rates August 29 , 2014

 

The following table identifies all 77 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 2015 rates;
  • 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; and
  • The Decision issued by the Board when it has adjudicated on the application and the subsequent Rate Order and Tariff of Rates and Charges that reflects the Decision
Related information

2015 Electricity Distribution Rates Backgrounder (pdf)

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)

A Renewed Regulatory Framework for Electricity Distributors

 

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:

COS: 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 Index: Distributors filing under the Annual Incentive Rate-setting Index method
*DA – Delegated Authority: Pursuant to powers granted in Section 6 of the Ontario Energy Board Act, 1998, an employee of the Board may make a decision on the application without holding a hearing
NoA: Notice of Application

 

ASSOCIATED DECISIONS

Date

Issue / Document

May 21-15

The Board issued its Decision with Reasons and Order on the Green Energy Plan Electricity Rate Protection Benefit and Charge (Ontario Regulation 330/09), effective May 1, 2015.

Jan 22-15

The Board issued its Decision with Reasons and Order on the Green Energy Plan Electricity Rate Protection Benefit and Charge (Ontario Regulation 330/09), effective January 1, 2015.

Dec 19-14

The Board has issued a Decision and Order setting the charge for Rural or Remote Electricity Rate Protection (RRRP) for 2015.

 

UPDATES

Date

Issue / Document

Nov 20-14

The Board has issued a letter which sets out the Cost of Capital Parameter Updates for Cost of Service Applications with rates effective in 2015.

Oct 30-14

Consistent with the policy determinations set out in the Report of the Board on Rate Setting Parameters and Benchmarking under the Renewed Regulatory Framework for Ontario's Electricity Distributors (EB-2010-0379) (Issued November 21, 2013 and updated December 4, 2013), the Board has calculated the value of the inflation factor for incentive rate setting under the Price Cap IR and Annual Index plans, for rate changes effective in 2015, to be 1.6%. The derivation of this is shown in the following table. The Board will adjust the price escalator in each applicable distributor's 2015 Incentive Regulation Mechanism model such that this inflationary adjustment is reflected in distribution rate changes resulting from Price Cap IR and Annual Index applications effective in 2015.

Click here for table

Sources:

Data accessed September 15, 2014

September 18-14

The Board has issued its Report of the Board on New Policy Options for the Funding of Capital Investments: The Advanced Capital Module.

Jul 25-14

The Board has issued an updated version of Chapter 3 of the Filing Requirements for Electricity Distribution Rate Applications for 2015 rates.

Jul 23-14

The Board has posted the checklist for Chapter 2 of the Filing Requirements for Electricity Distribution Rate Applications (2014 Edition for 2015 Rates) which may be helpful to distributors as they prepare their cost of service applications.

The quality of the information provided in an application has a direct impact on the efficiency of the review process, and the Board’s ability to adjudicate effectively. As set out in Chapter 1 of the Filing Requirements, the Board expects applications to be accurate, complete and internally consistent. If an application is incomplete or deficient then the Board may decline to process it until the deficiencies have been addressed. The checklist which has been posted is drawn directly from the Board’s Filing Requirements and has been developed as a tool to be used by the Board as part of its assessment as to whether or not an application is complete.

Jul 22-14

The Board has posted presentations and other supporting material for the July 24th Orientation Session for electricity distributors that are scheduled to file a cost of service application for 2015 rates.

Jul 18-14

The Board has issued updated versions of Chapters 1 and 2 of the Filing Requirements for Electricity Distribution Rate Applications for 2015 rates. On June 26, 2014, the Board issued draft versions of the Chapter 2 Appendices and Cost of Service Models. No changes have been to the appendices or models other than the Deferral and Variance Account (Continuity Schedule) Workform model. The remaining versions posted on June 26 are now final.

Jun 26-14

** Please note, as of July 18, 2014 the appendices and models below are now final. **

The Board has issued draft versions of the Chapter 2 Appendices and Cost of Service Models.

Cost of Service Models:

Incentive Regulation Models:

Feb 20-14

The Board has issued a letter identifying the list of distributors that are scheduled to file a cost of service application in respect of their 2015 rates under the 4th Generation Incentive Rate-setting method.  This letter also sets out the deadlines by which notice must be given to the Board in respect of various matters relating to the setting of 2015 rates, and by which cost of service applications for 2015 rates are expected to be filed.