How to Read My Bill

Over the past few years you have seen changes in the presentation of your utility invoice. Midland PUC bills you for all electricity related costs. We then send of your payment to various government agencies including Canada Revenue Agency and Hydro One.

Electricity

This is the cost for the electricity you used during the billing period. Most Ontario consumers pay time-of-use (TOU) prices. TOU prices are set by the Ontario Energy Board (OEB).  TOU prices are based on how much the OEB expects it to cost to supply electricity to all households and small businesses over the next 12 months. Prices are designed to recover the payments made to the electricity generators that produce the power (including market costs and the Global Adjustment). Utilities are not allowed to make a profit on the electricity they buy for their customers.

The OEB reviews the prices twice a year, on May 1st and Nov 1st, and adjust them if necessary.  This part of your bill is subject to competition

Delivery

This is the cost of delivering electricity from generating stations across the province to your home or business through high voltage (transmission) and low voltage (distribution) power lines.

Delivery/Distribution

This is Midland PUC’s cost to distribute power from the transmission lines to your home or business. It includes upgrades to our pole lines, transformers and substations as well as repairs and maintenance to the distribution system in the Town of Midland. Operations and administration costs include wages, billing costs, insurance, metering, property taxes, vehicle and general plant expenses. While some costs are fixed and don’t change month to month, others are variable and increase or decrease based on your consumption. Midland PUC is the link between you and the electricity market.

Delivery/Transmission

Costs collected for transmission and operation of the provincial grid are paid to Hydro One and the Independent Electricity System (IESO).

Loss Adjustment

When electricity is delivered over a power line, it is normal for a small amount of power to be consumed, or lost, as heat. In calculating your electricity costs for the billing period, Midland PUC multiplies your electricity cost by an OEB-approved adjustment factor that accounts for those losses.

Regulatory Charges

These costs include administering the wholesale electricity system and maintaining the reliability of the provincial grid and include the costs associated with funding the Ministry of Energy and Infrastructure conservation and renewable energy programs.

Global Adjustment

Consumers who pay the Hourly Ontario Energy Price or have signed a retail contract will see a line for the Global Adjustment on their electricity bill.

If you buy electricity under the Regulated Price Plan, an estimate of the Provincial Benefit amount is reflected in the stable price for electricity set by the OEB, shown on the “Electricity” line of your bill. If you buy from an electricity retailer, the Provincial Benefit is not included in the contract price offered by the electricity retailer, therefore, it will appear as a separate line item on your bill.

Taxes

This is the 13% harmonized sales tax (HST) calculated at 13% of the net bill.  The HST is paid to Canada Revenue Agency.

For a more details on explanation of electricity terms, please visit www.ontarioenergyboard.ca