Ontario will reduce a major provincial electricity rebate effective Nov. 1 even as winter time-of-use pricing is lowered, the Ontario Energy Board said Friday, a move that will immediately alter bills for households, farms and small businesses across the province.
What the change means
The Ford government’s Ontario Electricity Rebate (OER) will be trimmed from covering 23.5 per cent of electricity bill costs to 15.7 per cent, the OEB said in a news release. For an average residential customer using 700 kilowatt‑hours (kWh) a month, the adjusted rebate will reduce bills by about $23 during the winter period.
"Electricity prices under the OEB’s [Regulated Price Plan] are decreasing year-over-year, which allows for a reduction in the OER," the OEB said.
The OEB, which operates as an independent Crown agency and regulator, added that the overall rate of increase for customer bills will remain consistent with previous years. The board also confirmed the province’s winter time-of-use (TOU) pricing will be lowered for the season that begins Nov. 1 and runs through April 30, 2027.
How households will feel the impact
The change narrows the gap between current and prior relief. Last year the OER reduced bills for households using 700 kWh per month by roughly $36, according to the OEB’s comparison cited in the announcement. This winter the estimated reduction for the same usage level will be close to $23.
- Rebate cut: OER falls from 23.5% to 15.7% as of Nov. 1.
- Estimated household impact: About $23 off monthly bills for a household using 700 kWh.
- Winter pricing: Time-of-use winter prices will be lower and in effect Nov. 1–Apr. 30, 2027.
- Targeted support: A spokesperson for the Minister of Energy and Mines said the government will continue targeted relief for low-income households.
Numbers at a glance
| Item | Previous | New (Nov. 1) |
|---|---|---|
| Ontario Electricity Rebate (OER) | 23.5% | 15.7% |
| Estimated monthly reduction for 700 kWh | $36 (last winter) | $23 (this winter) |
| Winter TOU period | Nov. 1, 2026 – Apr. 30, 2027 (lowered TOU prices) | |
Who is affected
The OER applies to households, small businesses and farms. Because the rebate is a percentage applied to bills under the OEB’s regulated price plan, the change alters the proportion of costs covered rather than changing base rates directly.
While the OEB framed the adjustment as possible because regulated electricity prices are lower year over year, the cut will nevertheless reduce the immediate level of ratepayer relief compared with the previous winter. The government’s energy ministry affirmed it will continue targeted support measures for vulnerable households.
What consumers should know now
Consumers should expect bills to reflect both the reduced rebate and the lower winter time-of-use prices beginning Nov. 1. The net effect for any individual household will depend on monthly consumption, the distribution utility’s charges, and the exact TOU schedule in effect during the winter period.
Customers concerned about their bills can:
- Monitor monthly consumption; small reductions in peak-period use can change costs under TOU.
- Contact their local distribution company for a bill breakdown and the specific TOU schedule that will apply in their area.
- Explore available provincial support programs if they qualify as low income.
The OEB’s announcement underscores a balancing act in provincial energy policy: lower wholesale or regulated prices can allow governments to reduce explicit subsidies like the OER, but doing so changes how savings are distributed among ratepayers. The government and regulator say overall customer bills will follow expected trajectories, while targeted supports will remain for those most in need.
Readers with questions about how the changes will affect their household are advised to consult their distribution utility and the OEB’s published guidance when it is updated for the winter pricing period.
