Smart meters give dumb results


CSA Z463 Electrical Maintenance -

Our customized live online or in‑person group training can be delivered to your staff at your location.

  • Live Online
  • 6 hours Instructor-led
  • Group Training Available
Regular Price:
$249
Coupon Price:
$199
Reserve Your Seat Today

Ontario time-of-use electricity pricing aims to shift demand using smart meters, off-peak rates, and peak pricing signals, cleaner power results, yet many households report higher hydro bills amid HST and Green Energy Act impacts.

 

What's Behind the News

A rate structure charging higher prices at peak hours and lower off-peak rates to shift demand and cut costs.

  • Peak: 9.9¢/kWh (summer 11am-5pm); Off-peak: 5.3¢/kWh (9pm-7am)
  • Smart meters enable time-of-use billing in 4.1 million Ontario homes
  • Goal: shift usage to cleaner, cheaper off-peak power sources
  • Opposition links HST, Green Energy Act, and peak rates to higher bills

 

The McGuinty government is looking at giving consumers a break on hydro prices under a program that critics say is not living up to its promise to save electricity users money and promote energy conservation.

 

Ontario is the first province in Canada to introduce time-of-use pricing designed to encourage electricity consumers to reduce consumption and run appliances during periods of lower demand, when power tends to come from cheaper, cleaner sources. The government has spent more than $1-billion on the program.

Premier Dalton McGuinty acknowledged that he is hearing the same complaints that opposition members are raising: many people who throw in a load of laundry late at night when electricity prices are lower are getting hit with higher hydro bills.

Under the current pricing system, he said, rates might not be low enough in off-peak hours to allow consumers to reap savings. Under time-of-use billing, consumers are charged 9.9 cents a kilowatt hour during peak periods 11 a.m. to 5 p.m. in the summer and 5.3 cents during off-peak periods 9 p.m. to 7 a.m..

"There should be an appropriate price differential in place that in fact rewards people for changing their behaviour," Mr. McGuinty told reporters. "We want to make sure that the pricing signals are right so that there is a real savings associated with using electricity in off-peak periods."

Opposition parties say the Green Energy Act, along with the harmonized sales tax that took effect July 1, adding 8-per-cent to bills, and higher daytime rates for electricity during peak periods have all combined to drive up rates for consumers.

Mr. McGuinty did not say how his government plans to change the program. But Queen's Park is grappling with the soaring cost of hydro amid worries that it will become a topic of debate during next year's provincial election.

Opposition members are accusing the government of mismanaging the system. "Can the Premier explain why he spent a billion and a half dollars on a scheme that doesn't conserve energy, but does raise people's hydro rates?" New Democratic Party Leader Andrea Horwath said during Question Period.

Norma-Jean Campbell, a dog breeder in St. Thomas in southwestern Ontario, said she got a rude surprise when she opened her latest hydro bill. It had increased to $130 from about $100.

"I just thought, when they put the smart meter in place and the HST on top of that, where is this going to go?" Ms. Campbell said in an interview. "I feel powerless."

Local utilities have installed smart meters that allow consumers to monitor their electricity usage in 4.1 million homes in Ontario. The New Democrats released figures showing that 80 per cent of Toronto Hydro's 500,000 customers on time-of-use billing have seen their electricity bills rise, and most are not changing their usage patterns.

A government official disputed that figure, saying 68 per cent of customers paid $2.79 more on average, while 32 per cent paid $7.40 less on average.

 

Related News

Related News

Told "no" 37 times, this Indigenous-owned company brought electricity to James Bay anyway

Five Nations Energy Transmission Line connects remote First Nations to the Ontario power grid, delivering…
View more

U.S. Grid overseer issues warning on Coronavirus

NERC COVID-19 Grid Security Alert urges utilities to update business continuity plans, assess supply chain…
View more

Dubai Planning Large-Scale Solar Powered Hydrogen Production

Dubai Green Hydrogen advances electrolysis at the Mohammed Bin Rashid Al Maktoum Solar Park, with…
View more

27,000 Plus More Clean Energy Jobs Lost in May

U.S. Clean Energy Job Losses highlight COVID-19 impacts on renewable energy, solar, wind, and energy…
View more

More than Two-thirds of Americans Indicate Willingness to Give or Donate Part of their Income in Support of the Fight Against Climate Change

U.S. Climate Change Donation Survey reveals Americans' willingness to fund sustainability via government incentives, electrification,…
View more

Explainer: Why nuclear-powered France faces power outage risks

France Nuclear Power Outages threaten the grid as EDF reactors undergo stress corrosion inspections, maintenance…
View more

Sign Up for Electricity Forum’s Newsletter

Stay informed with our FREE Newsletter — get the latest news, breakthrough technologies, and expert insights, delivered straight to your inbox.

Electricity Today T&D Magazine Subscribe for FREE

Stay informed with the latest T&D policies and technologies.
  • Timely insights from industry experts
  • Practical solutions T&D engineers
  • Free access to every issue

Download the 2026 Electrical Training Catalog

Explore 50+ live, expert-led electrical training courses –

  • Interactive
  • Flexible
  • CEU-cerified