Electricity prices are changing. Find out why.

Like in a lot of places around the world, electricity prices in Ontario are going up.

Ontario has shut down 8 coal units so far and plans to shut down all remaining units by 2014.

Why?

Ontario is building the infrastructure we need to make sure the lights stay on, now and in the future. That means upgrading old transmission lines and power plants. It also means shutting down coal plants that pollute the air we breathe and moving to cleaner sources of electricity.

Energy Sources
2003 Generation (148 TWh) Coal 25% Bioenergy 1% Gas/Oil 8% Nuclear 42% Water 24%	2010 Projected Generation (157 TWh) Coal 8% Bioenergy 1% Conservation 4% Gas/Oil 15% Nuclear 52% Wind 2% Water 19%	2030 Projected Generation (198 TWh) Bioenergy 1.3% Conservation 14% Gas 7% Nuclear 46% Solar PV 1.5% Wind 10% Water 20%

Since 2003, over 8,400 megawatts of new electricity generation have been built or refurbished – enough to power Toronto and Ottawa for a year.

How much will I pay?

Over the next 20 years, including taxes and other charges, electricity bills are projected to rise about 3.5 per cent per year. However, largely because of investments being made in the short term to bring on new energy supply and upgrade electricity infrastructure, electricity bills are expected to increase by about 7.9 per cent per year over the next five years.

How can I manage costs?

Although electricity prices are rising, you may be eligible for credits and benefits that can help manage costs.

The new Ontario Clean Energy Benefit takes 10 per cent off electricity bills for families, farms and small businesses. The average household will see savings of about $150 this year. The credit will be applied directly to your electricity bill for the next five years.

When you file a 2010 tax return, you may also be eligible for the Ontario Energy and Property Tax Credit. You could be eligible for up to $900 and as much as $1,025 for qualifying seniors. To find out more, go to ontario.ca/energyplan.

If you live in the North, you tend to pay more for energy because of severe winters and higher home heating costs. Now, you could be eligible for the new Northern Ontario Energy Credit, available for families and individuals. To apply, fill out a form at ontario.ca/northernenergycredit and mail it in or pick up an application at your nearest ServiceOntario centre.

Big Becky, a large tunnel-boring machine, is expanding the amount of hydroelectric power at Niagara Falls.

What about conservation?

Taking steps to use less energy — lowering heat when you’re not home, choosing high-efficiency appliances or shifting household activities away from times when demand is highest — can also help cut electricity bills and reduce strain on the energy system.

Time-of-use pricing is scheduled to be in place across the province by 2012 and can help you manage your electricity bill. Different rates are available during different times of the day — rates are discounted when demand isn’t as high and the cost of producing power is lowest.

Where’s my money going?

Your electricity bill payments are helping to:

Put an end to smog-producing coal plants, to help clean up the air.
Improve transmission and distribution lines that carry power to our homes, hospitals, schools and businesses.
Upgrade nuclear plants that produce about 50 per cent of Ontario’s electricity supply.
Construct hydro-electric projects like the one in Northern Ontario on the Lower Mattagami River.
Build new, clean sources of electricity like wind turbines and solar farms – creating a new sector focused on clean technologies.

Types of Electricity
COAL Chemical energy that is converted into heat by burning fossil fuels.	NATURAL GAS A mixture of methane and other gases used as fuel and generally found under the earth.	NUCLEAR Uranium is used in nuclear reactors to heat water that produces steam, which generates electricity.	RENEWABLES Comes from natural sources such as wind, water, sunlight and bioenergy.

Why not coal?

Coal plants release greenhouse gases that pollute the air we breathe. According to a 2005 study prepared for the government, the health-related damages of coal could top $3 billion a year. Moving to cleaner sources of electricity – like wind, solar and bioenergy – will help clean up the air and reduce our reliance on coal. Ontario plans to end coal-fired generation by 2014.

In the last year, over $9 billion in private sector investment has been committed to renewable energy projects in Ontario.

How is clean energy helping?

Besides the health benefits of clean energy, a new clean industry is taking shape in Ontario. This industry is supporting jobs in clean energy and high-tech manufacturing, building solar panels, wind turbines and other components for sale here at home and around the world.

The Sarnia Solar Project, one of five large solar farms in Ontario, is the largest solar farm of its kind in the world and created 800 jobs during construction.

CS Wind announced it will build a new wind tower manufacturing plant in Windsor, creating 300 new full-time jobs and up to 400 construction and indirect service jobs.

Siemens Canada will build Ontario’s first-ever wind blade manufacturing plant in Tillsonburg, bringing as many as 300 permanent jobs, and up to 600 additional construction and indirect service jobs to the region.

Find out more

For more information about price changes, what the government is doing to help and how you can manage costs, visit ontario.ca/energyplan.