EPCOR increasing hydro rates for Collingwood customers

Collingwood residents will see a rate increase on their November EPCOR hydro bills after a lengthy process with the Ontario Energy Board ended with an approved rate hike for local customers. 

The Ontario Energy Board (OEB) posted its decision on Sept. 28, 2023 to allow EPCOR's Collingwood area rates to increase effective Oct. 1. 

The overall estimated difference for typical residential customers using about 750 kw/h of electricity in a month is $6.26 before taxes and the Ontario Electricity Rebate. That's a 5.23 per cent increase, according to the OEB.

Since the increase is effective Oct. 1, it will show up on the bills delivered in November. EPCOR is also required by the OEB to include information on the rate increases with those bills. 

EPCOR applied to the OEB in the fall of 2022 for a rate hike that would be effective as of January 1, 2023. However, part of the deal between the Town of Collingwood and EPCOR when the hydro utility was sold in 2018 was no rate hikes for the first five years. 

The deal between the town and EPCOR stated EPCOR would implement a one per cent reduction in local electricity rates and would not change the rate for five years. The sale closed in October 2018.

EPCOR's application was put on hold with the OEB until the utility company amended its request in compliance with the sale terms. 

In 2023, the OEB again asked EPCOR for changes to its application, noting the rate change was warranted, but at a lower rate than EPCOR was requesting. 

"The bill impact resulting from [EPCOR's] application would have been 6.97 per cent for the average residential customer using 750 kWh/month and 6.14 per cent for the average general service customer using 2,000 kWh/month," stated the OEB decision document from June 2023. "As a result of this decision, bill impacts will be close to five per cent for both customer classes."

EPCOR distributes electricity to customers in Collingwood, Stayner and Creemore and to a portion of the Town of The Blue Mountains. Its Ontario website states the company serves nearly 20,000 residential and commercial electricity customers in the area.