Time-of-Use Rates (TOU)
With TOU, customers pay rates that generally reflect the value of electricity supply at different times of the day.
There are three TOU periods – on-peak, mid-peak and off-peak. Prices are highest during on-peak, lower during mid-peak and lowest during off-peak.
TOU periods are different in the summer (
May 1 to October 31) than they are in the winter (
November 1 to April 30). The difference reflects the seasonal variations and the customer’s lifestyle and how they use electricity. During the summer, people use more during the hottest part of the day, while in winter, with less daylight, electricity use peaks twice: in the morning and when people get home from work.
Tiered Rates
Under tiered rates, the price does not change depending on the time the customer uses electricity; instead, it changes depending on how much electricity the customer uses in a month.
A tiered rate customer can use a certain amount of electricity each month at a lower rate. Once that limit is exceeded, the rate goes up. The thresholds and rates are set by the Ontario Energy Board (OEB) and changes twice a year - for the winter season (
November 1 to April 30) and for the summer season (
May 1 to October 31).