Ontario Electricity Rebate

The Ontario Electricity Rebate (OER) is for most households, farms, long-term care homes and small businesses. Eligible consumers automatically receive the rebate, which appears on bills as a separate line item. 

What is the Ontario Electricity Rebate?

Starting November 1, 2019, the built-in reduction and the previous 8% rebate are being replaced with the Ontario Electricity Rebate (OER). This will allow customers to see the true cost of electricity on their bill and the full value of the OER, if they are eligible for it. The OER is for households, farms, long-term care homes and many small businesses.

Who Is Eligible?

Eligible customers include residential, small business, farms and long-term care homes and some multi-unit complexes, if they meet certain eligibility criteria.

Residential, small commercial customers are automatically eligible for the rebate. These customers do not need to apply for the OER. The rebate will automatically appear on their bill.

The Ontario government is working to identify large-volume multi-unit complexes who are currently receiving the 8% rebate, to ensure that the program is treating consumers fairly.

In order to achieve this goal, consumers including: hospitals, universities, colleges and any multi-unit complexes that have fewer than 50% residential units, such as large commercial buildings, need to report to their Local Distribution Company (LDC) to receive an extension to continue to receive the benefit until November 1, 2020 while the Ministry of Energy, Northern Development and Mines collects data and ensure the program is being administered fairly.

For questions about eligibility or the requirements to provide notices, please contact the Ontario Energy Board.

What Is The Impact on My Bill?

Although there is a decrease in the OER amount, the lower Time-of-Use and Tiered rates announced for January 1, 2021 will offset this decrease. The average residential customer will not see an increase in their total bill amount based on this change.

When customers compare a bill with the new January 1, 2021 OER rate to a bill from prior to November 1, 2019, the bill for a typical homeowner who uses 700 kWh per month will increase by approximately $3.42 or 3.06%. Please see the below bill images for an example of the difference.

Bill Example - Prior to November 1, 2019

The sample bill below shows the savings from the 8% Provincial Rebate and the savings from the Ontario Fair Hydro Plan that appeared on bills prior to November 1, 2019. Click on the image to enlarge the bill.

Example of a bill prior to November 1 2019

 

Bill Example - After November 1, 2020

The below sample bill shows a typical residential bill after November 1, 2020. The impact of the Ontario Electricity Rebate is highlighted in red.

Copy of a bill with OER highlighted

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