Ontario cuts hydro bills for consumers, small businesses

NEWS RELEASE

DAVID ORAZIETTI, MPP

****************************** Orazietti announces province cutting hydro bills by 10 percent for consumers and small businesses

Ontario Clean Energy Benefit further reduces residential power bills

SAULT STE. MARIE - The provincial government released its fall economic update today, which included a significant new cost saving measure on power prices with a 10 percent reduction on household and small business hydro bills for all Ontarians.

The province’s Clean Energy Benefit will reduce residential and business electricity bills by 10 percent, every month, for five years and provide additional savings to northern residents who are also receiving cost saving support from the province’s Northern Ontario Energy Credit and the Ontario Energy and Property Tax Credit (OEPTC) that were created earlier this year to help decrease energy costs, David Orazietti, MPP announced today.

“We are cutting all residential and small business hydro bills by 10 percent, which will be deducted directly from the total bill, as part of our plan to provide pocketbook relief that helps Ontarians manage daily household and business costs and live a higher quality of life,” said Orazietti. “The province’s newest cost saving measure goes well beyond eliminating the provincial portion of the HST on hydro bills by reducing the cost of power by an additional two percent, which when combined with the other provincial energy rebates and tax credits, provides a considerable amount of support for northerners.” 

Today’s announcement follows the province’s introduction of the Ontario Energy and Property Tax Credit, which will provide an additional $525 million in tax savings for 2.8 million Ontarians, including 740,000 seniors, by delivering $1.3 billion in total annual energy and tax support.

Low to middle income northern Ontario residents will also receive a credit for their home energy costs through the new permanent Northern Ontario Energy Credit (NOEC) that will provide $35 million annually in energy support.

The NOEC will provide up to $200 per family and up to $130 for individuals.

It will be available to more than half of all northerners.

In contrast, the federal government has not reduced electricity rates for consumers or offered any tax credits to assist consumers in reducing their energy costs.

The federal government continues to charge their portion of the HST on electricity bills and has not moved forward to assist with economic development or job creation in the green energy sector.

The Ontario Clean Energy Benefit will help more than four million residential consumers and more than 400,000 small businesses, farms and other consumers and will take effect on January 1, 2011.

Additional provincial government energy rebates and tax credits that help residents with energy costs include:

- $1.4 billion from the Ontario Clean Energy Benefit

- $1.3 billion from the Ontario Energy and Property Tax Credit (OEPTC), which includes an additional $525 million in tax savings for 2.8 million Ontarians, including 740,000 seniors

- $35 million annually for the new permanent Northern Ontario Energy Credit, which is available to approximately half of all northern Ontario residents, providing $35 million annually in energy support and including up to $200 per family and up to $130 for individuals

- $11.8 billion in permanent and temporary tax relief over three years to Ontario families and single individuals

- Permanently cutting Ontario personal income tax for 93 percent of tax payers

- Eliminating income tax for 90,000 low income Ontarians

- Supporting low- to middle-income families and individuals by enhancing sales tax credits and property tax credits

- Transition payments totalling $1,000 for families, including senior couples, with net incomes of $160,000 or less and $300 for single individuals with adjusted net incomes of $80,000 or less

Key provincial government investments that are transforming Sault Ste. Marie into the green energy capital of North America while also strengthening the local economy and creating jobs in the Sault and Algoma include:

- Ontario power purchase agreement to facilitate $400 million investment by Brookfield Renewable Power in 189 MW wind farm

- Ontario power purchase agreement to facilitate $250 million capital investment by Starwood Energy in 50 MW solar farm

- Ontario power purchase agreement to facilitate $175 million investment by St. Mary’s Paper in 30 MW biomass co-gen plant

- Ontario power purchase agreement to facilitate $135 million investment by Essar Steel in 70 MW co-gen plant – eliminating 400 tons of nitrous oxide

- Over $7 million to green Sault Ste. Marie schools including energy retrofits

- $6.2 million in provincial gas tax funding has reduced air emissions through increased public transportation ridership

- $3 million to Sault Ste. Marie and Region Conservation Authority for water protection

- $2.5 million for Heliene Canada to build a $10 million solar module manufacturing plant

- $2 million for Ellsin Environmental tire recycling project in Sault Ste. Marie

- $1.4 million to construct methane collection system at landfill to reduce greenhouse gases

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