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Explanation Of Electricity Terms On Your Bill

Electricity: This is the cost of the electricity supplied to you during this billing period and is the part of the bill that is subject to competition. The electricity consumed is multiplied by the adjustment factor*. Rideau St.Lawrence Distribution collects this money and pays this amount directly to our suppliers.

*When electricity is delivered over a power line, it is normal for a small amount of power to be consumed or lost as heat. Equipment, such as wires and transformers, consumes power before it gets to your home or business. The adjustment factor accounts for these losses.

Regulatory Charges: Regulatory charges are the costs of administering the wholesale electricity system and maintaining the reliability of the provincial grid.

Delivery: These are the costs of delivering electricity from generating stations across the province to Rideau St.Lawrence Distribution, then to your home or business. This includes the costs to build and maintain the transmission and distribution lines, towers and poles, and operate provincial and local electricity systems. A portion of these charges are fixed and do not change from month to month. The rest are variable and increase or decrease depending on the amount of electricity you use.

Debt Retirement Charge: The debt retirement charge pays down the debt of the former Ontario Hydro.

Provincial Benefit: The price of generation in Ontario is set by a competetive market. Certain generators receive payments through regulation or contract that differ from the market price. Your portion of the net adjustment arising from these different payments is included on your bill. This amount may be a credit or a charge to you, depending on the current provincial benefit rate.

For a detailed explanation of electricity terms, please visit www.ontarioenergyboard.ca.


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