Understanding Your Bill


Understanding the "Unbundled" Bill

Since the opening of the electricity market in May of 2002 we have seen many changes in the industry.  One of these changes includes how the applicable charges appear on the monthly electricity invoice.  The unbundled bill now displays  four main categories, which include: Electricity, Delivery, Regulatory and Debt Retirement Charges.  The components of each category are listed below: 

Electricity Charge

This is the only portion of your bill that is subject to competition.  It is the amount charged for the electricity consumed at Spot Market, Retailer or Fixed Pricing (Regulated Price Plan).

Transmission Charges

These are regulated charges for the cost to deliver the electricity from the generating station to Norfolk Power Distribution Inc.'s distribution system. They include a Transmission Connection and Network charge.

Wholesale Market Charge

The regulated charge is for the cost of the services provided by the Independent Electricity System Operator and for the Rural Rate Assistance fees.

Distribution Charge

This regulated delivery charge recovers the cost of construction and maintenance of Norfolk Power Distribution Inc.'s electrical distribution infrastructure.

Monthly Service Charge

This regulated distribution or delivery charge recovers the fixed monthly cost for billing, metering and other fixed costs.

Debt Retirement Charge

The Debt Retirment Charge pays down the debt of the former Ontario Hydro.

Provincial Benefit

The price of generation in Ontario is set by a competitive 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.  Only customers not on the Regulated Price Plan receive this adjustment on their bill.  The Provincial Benefit may be either a positive or negative number, depending on whether the market price is lower or higher than the fixed rates.

OPG Rebate

The Ontario Government established a set price limit of the output from Ontario Power Generation's (OPG) unregulated generating assets (coal-fired and smaller hydroelectirc) operations.  Monies collected above this limit are to be refunded to customers who are not on the Regulated Price Plan in the form of an OPG Rebate.  Future rebates will be paid out on a quarterly basis.  Consumers with a retail contract may or may not receive this rebate depending on the contract provisions.

Electricity, Transmission and Wholesale Market charges are subject to system loss factor adjustments. 

Standard Supply Service (SSS) customers will be charged a monthly administration fee of $0.25.

Accounts with balances unpaid after the due date will be subject to an interest charge of 1.5% per month.  Further collection charges may apply if the account remains unpaid.