Ontario opened its electricity market to competition on May
1, 2002.
This means you can continue to purchase power from your local
utility under the Regulated Price Plan (RPP), or you can shop around and buy your electricity from
an independent retailer licensed by the Ontario Energy Board.
Electricity retailers are currently contacting consumers in
the province offering fixed rate, fixed term contracts to
supply electricity.
The Ontario Energy Board (OEB) is responsible for licensing
the participants of the electricity market including the
Independent Electricity System Operator (IESO), generators,
transmitters, distributors, wholesalers and retailers.
Rates to be charged by utilities for the transmission and
distribution of electricity in the province must be approved
by the Board.
Unless you have chosen to sign with an electricity retailer,
your local utility will continue to supply you with power
at rates determined under the Regulated Price Plan.
You do not have to sign with an electricity retailer if you
do not want to. If you don’t want to switch, Tay
Hydro will continue to supply you with power.
There is no deadline for making a decision. You should take
your time and compare offers from companies competing to sell
you power.
- Electricity retailers and their sales people do not represent
your local utility;
- You should not show your utility bill or share account information
unless you decide to sign with a retailer; and,
- If you wish to purchase electricity from one
of the licensed retailers you will be required to sign a contract.
Read the contract carefully so you’re aware of all the
terms and conditions. Questions to ask retailers appear later
on in this article.
- You can also cancel an electricity contract up to 30 days after you receive your first bill under the contract. You will have to pay that bill, but you will not have to pay a cancellation fee. You will be switched back to your utility for your electricity supply without any interruption in service. This additional right to cancel without paying a cancellation fee does not apply to gas contracts.
If you decide to sign a contract, you have a
cooling off period. To cancel, you must notify the retailer,
in writing, within 10 business days. Please remember that
a contract is legally binding – be sure that you
do not sign a contract with more than one retailer.
As a condition of their OEB license, all retailers must follow
the Electricity Retailers Code of Conduct that establishes
guidelines and standards. Retailers must also comply with
legislation and regulations, including the Consumer Protection
Act (Ontario).
The Code requires retailers’ sales people to carry photo
identification when retailing door-to-door, to indicate that
the offer is not being made by the utility, to clearly state
the price and other terms, and to provide a clearly printed
contract.
The Board has a third-party dispute resolution service that
mediates complaints between retailers and consumers. All licensed
retailers subscribe to the service and there is no cost to
the consumer.
Consumers who wish to make a complaint about an electricity
retailer should note the sales person’s name, company,
and time/date of visit and should contact the OEB at the numbers
or address listed at the end of this article.
If a retailer is found to be in violation of their license
and did not comply with the Code of Conduct, the Board’s
director of licensing can issue penalties, and if warranted,
the Board can suspend or revoke a retailer’s license.
- Do you have a license from the OEB?
- What is the length of the contract and is there a penalty
for canceling it? Can the retailer cancel the contract?
- When does the service begin?
- Who gets any possible rebates?
- What is the price per kilowatt hour being offered?
- Are there additional charges and, if so, what are they?
- Do you offer any environmentally friendly energy?
- What if I move? Can I terminate early or transfer the contract?
If you decide to sign a contract, you have a cooling period.
To cancel, you must notify the retailer, in writing, within
10 business days.
For more information please see:
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