To provide immediate financial support for companies when they need it most, The Government of Ontario has announced its decision to defer a portion of the Global Adjustment (GA) charges, starting April 2020.  This decision will impact industrial and commercial electricity consumers, and retailer participant customers (All Class B – Non-Regulated Price Plan Electricity Consumers and Class A Consumers) who do not participate in the Regulated Price Plan (RPP).

Class B Customers
The GA rate for smaller industrial and commercial consumers (i.e., Class B) and retailer participants has been set at $115 per megawatt-hour (MWh).

Class A Customers
Large industrial and commercial electricity consumers (i.e., Class A) will receive the same percentage reduction in GA charges as Class B consumers which will be reflected in the applied charge to their bill.

There is no action is required by the customer. All affected customers will automatically see this relief reflected on their bills. Consumers who have already received their April bill, will see an adjustment on a future bill and will receive a reduced May rate to average GA Pricing over the three-month period (See table below).

Comparison of Adjusted and Unadjusted Rates

Adjusted

Month

First Estimate ($/MWh) Second Estimate ($/MWh)

Actual ($/MWh)

April

137.07 115.00 115.00

May

92.93 115.00

115.00

June 115 115.00

115.00

Unadjusted

Month

First Estimate ($/MWh) Second Estimate ($/MWh) Actual ($/MWh)

April

137.07 169.27

TBD

May 179.10 TBD

TBD

June TBD TBD

TBD

For customers who have already been billed under April rates, of $137/MWh, this will result in over-payment. To address this scenario, the IESO will set May’s first estimate at a reduced GA pricing of $93/MWh ensuring the average rate for these 2 months becomes $115/MWh.

It is expected that this relief will be in place through to the end of June 2020. This is subject to necessary extensions and approvals to implement this initiative.

Please contact Synergy North Customer Service if you have questions about your bill.