Decision boosts electricity bills

NEWS RELEASE

ONTARIO ENERGY BOARD

************************* OEB announces 2011 uniform electricity transmission rates for Ontario

TORONTO (January 17) - Today the Ontario Energy Board (the board) has announced the uniform Ontario electricity transmission rates for the 2011 rate year.

The new rates are effective January 1, 2011.

The 2011 uniform electricity transmission rates are based on board rate decisions concerning three regulated electricity transmitters in Ontario:

EB-2009-0948 Great Lakes Power Transmission Inc. May 17, 2010

EB-2009-0387 Five Nations Energy Inc. November 1, 2010

EB-2010-0002 Hydro One Networks Inc. Transmission December 23, 2010 Transmission costs represent about 7 percent of the total bill for a typical electricity consumer in Ontario and these costs are part of the delivery line on the electricity bill.

The new rates will result in an estimated average increase on total customer bills of about 0.5 percent.

A residential customer consuming 800 kWh per month will see their total monthly bill climb by about 62 cents in 2011 as a result of the transmission rate increase.

The transmission rates announced today are primarily the result of a 7 percent increase in Hydro One's transmission revenue requirement.

Hydro One accounts for 97 percent of the total electricity transmission revenue requirement for Ontario.

The delivery component of the customer bill is one of the four regular items that appear on all Residential and General Service electricity bills.

This change to the delivery component of the bill is separate from other potential changes to electricity bills such as changes to the "electricity" component charges and changes to distribution charges.

The Ontario Energy Board regulates the province's electricity and natural gas sectors in the public interest.

It envisions a viable and efficient energy sector with informed consumers and works toward this vision through regulation that is effective, fair and transparent.

For more information on the board, please visit our website or contact the Consumer Relations Centre at 416-314-2455 or toll-free at 1-877-632-2727.

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