May 11, 2017

By Michael Kramer

Share on

Electricity users will enjoy lower hydro bills for the next 10 years – but the province says we’ll then pay the price for that decrease – for the following 20 years.

Ontario electricity bills have roughly doubled in the last decade – sparking anger among consumers – and leading to plummeting approval ratings for Premier Kathleen Wynne.

But today, ten weeks after announcing a plan to lower hydro bills – the Liberal government introduced its legislation to lower time-of-use rates, take the cost of low-income and rural support programs off bills, and introduce new social programs.

Time-of-use rates will drop – through a plan to remove a portion of the global adjustment from hydro bills – a charge users pay for above-market rates to power producers.

And for the next 10 years, a new entity overseen by Ontario Power Generation will pay that difference – and take on debt to do so.

Then, it’s time to pay the piper.

The cost of paying back that debt – which the government says will be up to $28 billion – will go back onto ratepayers’ bills for the next 20 years as a “Clean Energy Adjustment.”

Join Our Fan Club
Coverage Area
Downtown Toronto
Toronto HD
96.3 HD-2
Kingston to Windsor, Parry Sound to Pittsburgh
ZoomerRadio Logo

Recently Played: