Why our Hydro Bills are so high! ………… and none of it “makes any sense”, whatsoever!!!

Posted: February 6, 2014 in Uncategorized
31 Reasons why your Hydro Bill is Unjust, Illegal, Too High, Ruinous, and otherwise UNSUSTAINABLE!

This report may consolidate ALL THAT’S WRONG with our present Hydro Billing and should be printed out to hang on your fridge when you phone Hydro One asking why you just received a bill totalling a $1,000.00 for one month’s use even though you were away at the cottage for a month!

Hopefully the Ontario Ombudsman won’t be so overwhelmed by the corruption and dysfunction at the Liberal’s Energy Plan (or lack of) that he won’t be able to even put pen to paper for an equitable conclusion to this “run-away train of malfeasance“!

Tell me again: why are my electricity bills so high?

Any lights on in there?

If you live in an Ontario city and just received your first electricity bill for the year, you are probably looking at it and scratching your head!   Wow, did we really use that much electricity for those lights on the Christmas tree?
The answer is, no, you didn’t, but your electricity rates and your delivery rates have climbed a lot over the past several years, even though you may have used less electricity.
Ontario’s electricity sector is very big with annual revenues of about $20 billion (approximately 4.5% of total 2012 Ontario primary household income).  The sector has been undergoing massive changes over the past decade as the current Liberal government, supported by the NDP, decided we should go “green” and save the world from global warming or its current iteration, “climate change.”
So exactly what has caused the price of electricity in Ontario to rise at a level we haven’t seen in our lifetime?  Here is a list of the principal changes that have affected our electricity bills during the past decade. Many will continue to push our bills even higher over the ten years.   They are in no particular order and remember, they all cost you money.
1  $230 million for taxpayers and almost $900 million for ratepayers to move the gas plants.
2    $60-$70 million annually—the Ontario Power Authority or OPA’s budget. One of our “energy ministers” created the temporary (OPA) instructing them to develop a Integrated Power System Plan.  It’s no longer temporary even though it has never produced an acceptable plan.
3    $300 million plus annually for the OPA to run the province’s “conservation” program, to pick up your old fridge, provide coupons for purchases of lightbulbs and thermostats.
4   Rate increases: when you actually conserve electricity the program allows your local distribution company (LDC) to apply to the Ontario Energy Board (OEB) for a rate increase on their delivery rates because they lost revenue.
5     More: the same program supports local municipalities to convert their street lights to LED bulbs.
6   $20 billion, now reduced to $13 billion, for the OPA to sign that Samsung contract to pay them for putting up wind turbines and solar panels and (maybe) produce power over the 20-year contract.
7    70.2 cents per kilowatt for the OPA to develop the feed-in tariff (FIT) program which pays various school boards to put solar panels on school roofs, or for IKEA, Loblaws and Canadian Tire, etc. to put them on their stores, and then charge them 8 or 9 cents to buy back the power.
8    $11 billion because the energy minister(s) instructed Hydro One (transmission & distribution monopoly) to spend on both transmission and distribution assets, including a big chunk just to hook up solar panels and wind turbines.
9      $700.54 for each of Hydro One’s 1.1 million smart meters—a lot more than other LDCs spent. The total cost of smart meters for the province is around $2 billion .
10     Despite all that spending on smart meters Hydro One is continually messing up their distribution customer’s hydro bills due to faulty meters and a billing system that doesn’t work very well.(One radio commentator said it’s in constant “FAIL” mode.)
11     1,700 employees at Hydro One up 39% since 2005, but they actually distribute less electricity now than they did then.
12     $4.8 billion, as of spring 2013 for pension shortfalls at OPG and Hydro One. Ratepayers are on the hook for and must pay for through their monthly bills.
13     $600 million: the amount OPG went over budget on the Big Becky tunnel under Niagara Falls.
14     $2.6 billion because OPG was directed to move forward with the Mattagami project, for run-of-river hydro which will produce power principally in the spring when we won’t really need it.
15     $6 billion, the amount the Energy Minister recently said we made in “profit” selling our excess power but ratepayers subsidize those exports at a cost of over $1 billion every year.
17     We now pay wind turbine developers to not produce power and we also pay solar farm developers for not producing power because it might put Ontario’s grid at risk for blackouts or brownouts.
18     We now pay for meteorological stations to be erected at wind developments to measure how much power they might have produced, but we can’t use, and pay for it anyway.
19     Five: the top five executives at Hydro One earned almost twice as much as Hydro One paid out under the LEAP (Low-income Energy Assistance Program) grant program which was developed to alleviate “energy poverty.”
20     $7.7 billion: in 2005 when the Global Adjustment was called the Provincial Benefit it actually was a benefit and reduced electricity bills by $53.1 million, but for 2013 it was a charge on ratepayer’s bills that exceeded $7.7 billion.
22     $1.2 billion: on July 1, 2010 the Province started collecting the provincial portion of the HST and that 8% tax increase now costs ratepayers at least $1.2 billion annually.
23    140%: the amount the “Off-Peak” time-of-use rates have risen since they first appeared, moving them closer to “On-Peak” rates—so much for encouraging power consumption to off-peak hours as a conservation measure.
24    Discounts to big industry: because Ontario has added so much generation our Energy Minister has directed the OPA to start two new industrial incentive programs that will allow big industry to pay for electricity at huge discounts similar to what we are paid for our exports which ordinary ratepayers will subsidize.
25     3,600 megawatts of wind and 1,200 MW of solar: what the OPA has contracted for which will all be paid for at above market prices, and will push that Global Adjustment pot up much further than it was in 2013.
26     The “renewable generation connection” charge: what we pay for Hydro One to connect wind and solar projects to the grid.
27     $12 billion: what Ontario’s ratepayers have handed over to pay off the residual stranded debt of $7.8 billion but here’s the bad news—there is still $3.9 billion to be paid.
28     $1.5 billion: the cost for the Province via the IESO to develop a “smart grid,” some of which is now appearing on our bills under the “regulatory” line.
29     $200 to 400 million a year, we pay to subsidize electricity consumption for large industrial users.
30     $1 billion a year: what we pay gas generators through a “net revenue requirement,” so they can be at the ready when the wind’s not blowing or the sun is not shining.
31     $ 1 billion a year and more: what taxpayers have been paying for the past four years to provide ratepayers with a “Ontario Clean Energy Benefit” of 10%. It expires in one year, meaning electricity bills will jump by 10% more.
So, no, it wasn’t your Christmas lights that jacked up your bill.  Here’s hoping a light goes on somewhere in the halls at Queen’s Park, and the government takes action to stop this madness.
©Parker Gallant
February 3, 2014
The opinions expressed are those of the author.
  1. R says:

    They should also say talk about the positives – which arent many with all the new policies that have been coming into place.

    Ontario has a good source of hydro power – most already established, and our nuclear fleet only 2 reasons why we ever had cheap power. To think our bill has increased so much over the last years and all thats changed is more waste in oversight/management and the wind/solar prices handed out.

    you can’t be against nuclear power here, and then also complain about your power bill

    your more than welcome to have triple the price of power supplied from wind 33% of them time, then gas plants can back up when the winds not blowing.

    • Rob Price says:

      there are no positives to wind and solar power in Ontario… they are actually diverting water away from the power plants at Niagara falls when the wind blows because the contracts say they have to buy wind power first. And keeping gas plants on standby for the same reason increases the ghg emissions they emit, compared to running them full out since they can supply every kwh we now overpay wind and solar producers for… We don’t need a single public wind or solar turbine in Ontario, nor should we be subsidizing them…


  2. Anonymous says:

    bigger government yay that will save us all

  3. anna wilkins says:

    Im on pension I cant afford to pay my hydro bill from my $ 1500.00 a months I’m getting last months was $ 836.00 dollars and I worked all my life it is NOT fair.

  4. Mary Bates says:

    Please join the Facebook group Hydro One-Enough is Enough. We have an online petition with over 45,000 signers and a written petition to be present at a Massive protest at Queens Park in May. Please join and be heard!!

  5. mike says:

    well they can come and get my dumb merters because i not paying for there f…. ups

  6. Aurel Lachapelle General Manager Cheminis Lumber Inc. says:

    If your smart meter are defective don’t you think they should be replace, with a unit that read the kilowatt more accurately instead of gauging the consumers. And why weren’t this unit verify before installation was done . I have a small sawmill in Northern Ontario costing 30,000/month of hydro and the mill has be shut down since April 2014 and my consumption keep going up. How does my consumption keep going up if I’m not running. I wish that some one could help me understand how you do your billing. When we sell our lumber we sell the exact amount required, not what we think he should receive. I wish some one in the government could open there eyes and see what is going on with hydro and how it is manage.

  7. helen busch says:

    On thepointman.wordpress.com there is an article there called The sun is setting on solar power. It shows pictures of weeds, etc growing between the panels and lots of damage. Who’s going to maintain these sites, the taxpayers? These panel are usually planted on farmland, not cement, and the weed battle will soon start!

    thebiggreenlie posted: “31 Reasons why your Hydro Bill is Unjust, Illegal, Too High, Ruinous, and otherwise UNSUSTAINABLE! This report may consolidate ALL THAT’S WRONG with our present Hydro Billing and should be printed out to hang on your fridge when you phone Hydro One askin”

    • It’s also been proven that the ground “under” the solar panels become totally void of any life, right down to microbes that would qualify for “life”!
      Suzuki did a “spin tour” with his daughter on CBC in one of the largest solar farms in Europe and as he ranted and raved about how “pissed off” he was with Canada for not planting these “farms” all over our rural landscape, his shoes kicked up huge clouds of dust every step he took which hung in the air behind him like he was walking on talcum powder. I guess he didn’t care that this ground would be considered “fallow ground” for millennia!

  8. Anonymous says:

    mauice strong father of the global warming hoax now lives in china. he advises the chi coms on how to steal ontario . he laffs at the stupid people of ontario who keep drinking the liberal and ndp poison green coolaid of the u.n. agenda 21. cheers infowarrior

  9. Veronica says:

    Great job gathering all that data! If people don’t wake up soon, we’ll be broke and the power comapnies will be controlling everything. I hope this info pisses off some people out there enough to get them active in this fight. This is absoultely insane the way they are robbing us blind. When will folks wake up?

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