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ARTICLE · 13 APRIL 2016

OEB To Consider Rate Design And Billing For Customers With Load Displacement Generation

The OEB's Notice points to the fact that there is an increasing number of customers with load displacement or behind-the-meter generation facilities.

CanadaEnergy and Natural Resources

On March 29, 2016, the OEB issued a Notice indicating that it is commencing a policy review to address the question of how a commercial and industrial customer should be billed when they have a Load Displacement Generator (LDG) behind the meter. As part of this process, the OEB indicates that it will also undertake a review of the appropriate billing for other rates such as Retail Transmission Service Rates (RTSR) and other elements of the bill, including the Global Adjustment (GA). It is not clear how the planned policy review will fit with the OEB's ongoing project on Rate Design for Electricity Commercial and Industrial Customers (described in a recent post).

The OEB's Notice points to the fact that there is an increasing number of customers with load displacement or behind-the-meter generation facilities. The OEB notes that most of these customers are billed on a "net load" basis (such that their distribution bill is based on net energy consumption as measured

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