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Better Farming

January 2017

The Business of

Ontario Agriculture

51

HOW

IT

WORKS

But guess what? My delivery

charge of $114.13 exceeded my total

usage charge of $112.85! Does this

make sense? Not to me.

I know that the delivery charge

includes the line loss charge. (The

latter charge used to be shown

separately on our bills.) To add

insult, we also have to pay the

“regulatory charges” that presum-

ably cover the cost of billing.

Then, let us not forget the HST

(harmonized sales tax) of 13 per

cent that has been added to the total

hydro bill. Many of us farmers have

been able to recover a portion of

that cost.

Other users have not been as

fortunate. But there is good news

for them. As of Jan. 1, the HST on

electrical bills is reduced by 8 per

cent. This is great news – especially

for low-income seniors.

What is in the future?

On Aug. 30, I attended an open

meeting organized by Jeff Yurek, the

MPP for Elgin-Middlesex-London.

He arranged to have the new Hydro

One Ombudsman, Fiona Crean, with

him to hear concerns from local

residents and to answer their ques-

tions. About 200 people attended the

meeting and the questions/comments

were many and serious.

Two issues stood out. First, many

seniors who are on fixed incomes

stated very clearly that they cannot

afford to pay their Hydro One bill and

still put food on their tables.

Secondly, there is an issue with

erroneous billing. Many commercial

operators talked about ridiculous bills

due to meter reading errors. These

operators also talked about closing

down businesses and/or moving to

Manitoba or Quebec where hydro

costs are much lower.

The provincial government

announced that it is going to buy

clean “hydro electricity” from

Quebec. For some of you younger

readers the term “hydro” is synony-

mous with electricity generated from

water falling to produce electrical

power using turbines like the ones at

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A typical farm single

phase transformer.