OEB Approves Service Area Amendment Applications by Hydro One, Peterborough Distribution Inc. and Whitby Hydro Electric Corporation

    TORONTO, July 25 /CNW/ - Today the Ontario Energy Board (the Board)
issued a Decision and Order amending the service areas in the distribution
licences of Hydro One Networks Inc. (Hydro One), Whitby Hydro Electric
Corporation (Whitby) and Peterborough Distribution Inc. (Peterborough). In the
same Decision and Order, the Board granted Whitby leave to sell associated
distribution assets to Hydro One and Hydro One to sell associated distribution
assets to Peterborough.
    Hydro One filed two joint applications, one with Whitby and one with
Peterborough, seeking to amend the service areas in the applicants' current
electricity distribution licences. The service area amendments are sought in
order to eliminate the long term load transfer arrangements between Hydro One
and Whitby and Hydro One and Peterborough.
    Long term load transfer is a situation in which a customer is within one
distributor's service area but is served by a second distributor. The Board's
Distribution System Code requires distributors to eliminate long term load
transfers before January 31, 2009.
    In the case of Hydro One and Whitby, 27 customers currently served by
Whitby will become Hydro One customers.
    In the case of Peterborough and Hydro One, four customers currently
served by Hydro One will become customers of Peterborough and two customers
currently served by Peterborough will become customers of Hydro One.
    According to the applications, residential customers consuming 1,000 kWh
per month transferring from Whitby to Hydro One will experience an increase of
approximately 23.7% per month on their total bill. Residential customers
consuming 1,000 kWh per month transferring from Peterborough to Hydro One will
experience an increase of approximately 34% per month on their total bill. The
customers transferring from Hydro One to Peterborough will experience a rate
    To mitigate the impact on the affected customers, the Board directed
Hydro One to establish a credit to each transferred customer, equivalent to
one-half of one year's increase on the delivery portion of their bill based on
the individual customer's previous 12 months' consumption and the rates in
effect at the time of the Board's Decision and Order. The credit is to be
applied to the customer's bill in equal instalments over the course of one

    The Ontario Energy Board regulates the province's electricity and natural
gas sectors in the public interest. It envisions a viable and efficient energy
sector with informed consumers served by responsive regulatory processes that
are effective, fair and transparent.

    For more information on the Board, please visit our web site at
www.oeb.gov.on.ca or contact the Consumer Relations Centre at 416-314-2455 or
toll-free at 1-877-632-2727.

For further information:

For further information: Vanda Wall, Ontario Energy Board, (416)

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