As most of us know, hydro rates are a significant burden for most Ontarians. In particular, Hydro One’s seasonal rates are a major concern as the delivery component is some three times that of our permanent neighbours.
In the interest of addressing this inequity, the Balsam Lake Coalition (BLC) was formed in 2012 and has intervened in all of the appropriate Hydro One rate cases since that time.
In March of 2015, the Ontario Energy Board issued its decision (EB-2013-0416) regarding Hydro One rates. The directive from the board instructed Hydro One to eliminate the seasonal rate class and migrate the existing seasonal customers to their respective ‘density-based’ rate groups (Urban, R1, and R2). The board further directed Hydro One to recommend a ‘transition plan’ to phase in these changes over a five-year period to minimize any significant ‘rate shock’ experienced by some customers with this change.
Quoting directly from the decision:
The OEB finds the arguments of BLC to be persuasive. The board has determined that the seasonal customer classification is no longer justified and directs Hydro One to prepare a plan by August 4, 2015, for the elimination of the seasonal rate class commencing January 1, 2016.
Hydro One opposed this directive and had instead agreed to introduce flat rate delivery charges to all its customers over the next few years. While this will result in a more equitable distribution of Hydro One’s delivery costs across its customer base, it still leaves some seasonal customers unfairly subsidizing other Hydro One customers.
While this outcome is disappointing, BLC continues to monitor the situation and remain involved in this issue as it develops. The Balsam Lake Coalition involves a few dedicated individuals working to correct this inequity. The Balsam Lake Association will continue to support their efforts.
For details, please visit the association’s website at www.balsamlakeassociation.ca or email: balsamlakeassociation@gmail.com.
