How Electricity is
Generated in Ontario

Electricity produced from renewable and nuclear sources is considered primary energy because it is captured directly from natural resources, while electricity based on fossil fuels is considered secondary energy because it is produced from primary energy commodities such as coal, natural gas and oil.

Electricity Rates in Ontario

Electricity prices differ across Canada due to a number of factors; in Ontario, the electricity market is partially restructured. Most consumers pay rates based on the seasonal cost of electricity. Changes in prices generally reflect variations in electricity demand, availability of generation sources, fuel costs, and power plant availability.

With electricity rates for Ontario small businesses increasing across the province, the majority of Canadian consumers are looking for ways to lower their energy bills. For mid-size and large operations, implementing a cost effective energy plan can help businesses potentially save money on Ontario electricity rates.

Reducing Consumption and Cutting Costs

Ontario businesses can implement a few of these cost-saving strategies to keep their wholesale energy bills as low as possible without
sacrificing operations.

MONITOR COMMODITY PRICES

Commodity prices for Ontario electricity rates changes throughout the day, week and season, providing businesses an opportunity to adjust their energy use to take advantage of lower prices. Shifting operations to cheaper times of the day, or running operations overnight will help to reduce your business’ energy costs.

USE HIGH EFFICIENCY EQUIPMENTS

Improving energy efficiency can lead to streamlined operations, lower electricity bills, less maintenance and increased profits. Outdated or insufficient equipment can lead to energy waste. Purchasing new, more energy efficient office equipment or machinery is especially effective at reducing energy waste.

SWITCH TO LED LIGHTING

Switching to energy-efficient lighting such as LED bulbs are a simple way for Ontario businesses to manage electricity rates. Typically, LED bulbs will also reduce maintenance requirements due to their longer life spans. With energy-efficient lights, most buildings will be able to reduce the number of fixtures required to further
reduce energy usage.

CONSIDER RENEWABLE RESOURCES

If possible, using commercial renewable energy sources, such as solar and wind, to power some or all of your business can help lower your Ontario businesses’ electricity rates over time. Doing so also generates power that’s free of harmful CO2 emissions and other greenhouse gases.

Frequently Asked Questions

Electricity produced from renewable and nuclear sources is considered primary energy because it is captured directly from natural resources. By contrast, electricity generated from fossil fuels is considered secondary energy because it is produced from primary energy commodities such as coal, natural gas and oil.

In Ontario, the electricity market is partially restructured, which means that most consumers pay rates based on the seasonal cost of electricity. Changes in prices generally reflect variations in electricity demand, availability of generation sources, fuel costs, and power plant availability. These variables differ across Canada, and the result is a difference in cost to the residential or business energy consumer.

Commodity prices are also highly variable, and sometimes even change daily. When a business focuses on such changes in the commodity markets, the potential for energy cost savings can be substantial. In addition, shifting operations to cheaper times of the day, or running operations overnight will help to reduce your business’ energy costs.

Outdated or insufficient equipment can lead to energy waste. Purchasing new, more energy efficient office equipment or machinery is especially effective at reducing energy waste. Improving energy efficiency can lead to streamlined operations, lower electricity bills, less maintenance and increased profits.

For a manufacturer, lighting is not the major factor in explaining high energy bills. Nevertheless, reducing the amount of energy devoted to lighting can make a significant difference — for the business, the power grid and the environment. Offices and retail operations typically use more lighting, and so the savings can add up for these customers.

For businesses and consumers alike, switching to energy-efficient lighting such as LED bulbs is a simple way to control electricity rates. LED bulbs will also reduce maintenance requirements due to their longer life spans. With energy-efficient lights, most buildings will be able to reduce the number of fixtures required, resulting in additional energy cost savings.

In most markets, you have the ability to shop for the most cost-effective, planet-friendly energy source for your needs. Business, commercial, industrial and residential electricity or natural gas consumers can get a custom quote from available providers.

In addition, using commercial renewable energy sources, such as solar and wind, to power some or all of a business can help lower Ontario electricity rates for everyone over time. Doing so also generates power that’s free of harmful CO2 emissions and other greenhouse gases.




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