Usage Fees

The Ontario Energy Board (OEB) issued a decision and order on December 29, 2016 approving the IESO's revised fee application. Effective January 1, 2017, there are two separate usage fees for the IESO, a fee of $1.1636/MWh to domestic customers and another fee of $0.9603/MWh to export customers.

The usage fee of $1.1636/MWh to domestic customers will be applied to each market participant's allocated quantity of energy withdrawn (AQEW) from the IESO-controlled grid plus the embedded generation volumes reported by each LDC to the IESO on a monthly basis.

The usage fee of $0.9603/MWh to export customers will be applied to each market participant's scheduled quantity of energy withdrawn (SQEW).

These fees will serve as the IESO's 2017 interim usage fees until the determination of its 2017 fees application which will be filed following the Minister of Energy's approval of the IESO's 2017-2019 business plan.

Both usage fees outlined above will now be settled under charge type 9990 "IESO Administration Charge" and charge type 754 "OPA Administration Charge" will no longer be utilized effective January 1, 2017.

More details can be found on the OEB's website in the Decision and Order (EB-2015-0275) document.

Smart Metering Entity Charge

The IESO operates as the Smart Metering (SME) under licence by the OEB. The SME is responsible for the implementation and operation of the province’s Metering Data Management/Repository (MDM/R), which manages consumption data for residential and small business smart meters to support time-of-use billing. The SME charge is set by the Ontario Energy Board. Effective May 1, 2013, the OEB set the SME charge at $0.79 per month which is levied and collected by the licensed electricity distributors from Residential and General Service <50kW customers. The SME charge is effective until October 31, 2018.

For more information about Ontario's smart metering program, see A Smarter Grid