FinanceOntario Electricity Support Program Lowers Electricity Bills For Low-Income Consumers

Ontario Electricity Support Program Lowers Electricity Bills For Low-Income Consumers

Estimated reading time: 10 minutes

The Ontario Electricity Support Program (OESP) is a program that helps those with a lower income in Ontario with lowered electricity bills.

The OESP program started in January 2016, and if approved, you get a direct credit on your Hydro bill on an ongoing monthly basis.

Ontario Hydro Rates have undoubtedly only seen increases in electricity bills, but we learned that there is an electricity discount for low-income consumers.

Lower-Income Hydro Rebates For Ontario

This program, funded by the Provincial tax base since March 2017, is part of the Ontario Fair Hydro Plan to help lower-income consumers.

The OESP provides a monthly credit to eligible customers based on household income and household size. The OESP credits are applied directly to eligible customers’ bills. – OESP Support

Imagine your electricity bills dropping from hundreds of dollars each month to just under $100 for one person.

Well, it happened to my mother-in-law as I share her story today in hopes of helping others with a low income who could benefit from this program.

Who would have thought you could apply for an electricity rebate in Ontario?

I sure didn’t know, nor did my mother-in-law and late father-in-law, who had bills ranging from $300 to $800 every two months.

Now we pay for Hydro costs monthly, but a few years back, the bills would come every two months.

Perhaps you’re reading this today and don’t qualify for the OESP, but there might be someone you love who does.

This is my in-law’s story and our experience dealing with the OESP application.

Explosive Hydro Costs

Since we take care of my in-law’s finances now, it’s hard to look back and see how many thousands of dollars were spent on their electricity bills.

It’s heartbreaking because now we see my mother-in-law struggling with the bit of money she gets, and she doesn’t even know it.

Eventually, she will have to sell her house and move into something smaller, rent, or she may end up in a long-term care facility since her health will only decline.

The summer months were even more costly, and my wife sometimes would cringe when her mother would tell her how much her electricity bill was.

There were times we’d try to compare our electricity bills, and although there were usage differences, we couldn’t compare them as it seemed outrageous for two people who didn’t work and were so ill.

My father-in-law, who suffered from severe heart disease and had many heart attacks, needed the air-conditioner all summer.

I found out there would have been a rebate for him had he bought a new air conditioner; however, he’s gone now, so that was a missed opportunity for them.

Perhaps a newer mode central air conditioning unit would have been far more efficient than the ancient one that sits dead at the back of the house.

You could walk in the house in the summer and feel like you were in a freezer, which felt good until your teeth started clattering.

Nothing a jacket, sweater, or heavy blanket couldn’t solve, though.

Their bungalow is just over 2000 sq feet, so you can imagine the cost of their electricity bill.

He also ran heaters in his greenhouse to heat it over the winter, not to mention having a high heat indoors.

It was like a sauna when we would sleep over, but it was nothing compared to knowing you would likely die of a heart attack.

We dealt with it and opened a window in our guest room while the door was shut to invite cool air in.

All we could do in order not to melt during the Fall and throws of winter when we’d visit was take it in stride and understand the circumstances.

He swore by medicinal herbs and would drink fresh fennel greens tea to ease the pain in his stomach from all the pills he had to take.

Reading Bills, Understanding Bills, Paying Bills

My father-in-law did not pay the Hydro bill, and although he knew how expensive it was.

He thought that was the price he had to pay in Ontario, and everyone else was doing the same.

In theory, everyone who uses hydro in Ontario and pays the bills gets billed for what they use.

He didn’t understand that the amount he used was far more than an average couple would.

Paying bills was a part of life, and he believed that what he was told to pay was what he paid. I suppose this was the old-school way of living; I’m not sure.

The most significant Hydro bill expenses always came from the heat and air conditioning because, without it, he struggled to breath as fluid filled his lungs.

Remember that water and Hydro are combined with their Ontario Hydro bill.

The excess water usage over the summer months watering their flowers and vegetable garden also hit the electricity bills hard.

Costs To Run Old Appliances

His basement also housed many freezers he’d collected over the years, and they put stockpiling food to use.

It looked like it was an obsession by the end because we had to donate so much that two of them would never eat.

I guess food was love and all they could offer to guests and the kids when they came over, so they always had enough.

You’d never go home empty-handed.

They didn’t know that those old freezers were costing them a fortune on their electricity bill.

Through research, my wife found out about the OESP only because she struggled to balance her mother’s monthly budget.

Her mother currently lives on a survivors pension, and her early CPP wasn’t enough to cover such high bills.

Everything happened fast, so it’s not a matter of selling the house and moving somewhere smaller.

Finding out what was costing her so much on her electricity bills was a matter.

OESP Eligibility

Are you eligible for the Ontario Electricity Support Program?

To apply for the OESP, you must be a Hydro account holder and reside at the address you are applying for an OESP rebate.

Whether you qualify for the OESP depends on your after-tax income and how many people live in the household.

Try this OESP self-assessment to see if you will qualify.

1. How many people currently live in your house?

2. What is your total annual household income after taxes? (Please do not include commas in your response)

Apply for OESP

The good news was that there was no official time frame for applying to receive an OESP electricity rebate, possibly, so we did it right away for my mother-in-law.

Since we don’t live in the same city as her and we had power of attorney, we were able, with assistance from the OESP intake agency staff, to fill out the application and send it in online.

There are 173 intake agencies around Ontario to help people with their application at no cost by calling the OESP contact center. (number at the end of the post)

You will need your after-tax income amount, which you can find on your income tax assessment on line 236.

Your Social Insurance Number and income tax returns with the government will verify your household income.

To find out what your after tax income is for the purposes of OESP eligibility, multiply your net income (line 236 on your Notice of Assessment) by 87.82%.

You will also need the following to apply for the OESP

  1. Your Electricity Bill with your name and account number, along with the service address
  2. Social insurance number of all people living in the home or temporary tax numbers
  3. Birthdate and Names of all people living in the home

If you pay for your electricity bill online, you can log into your account to find the information on the bill that you need.

Ontario Energy Support Program application form

No one will come to you about your Hydro Bill, so if you want to get in on the program and are eligible, you must apply online at OntarioElectricitySupport.ca.

We completed the application online.

You can also mail your application to the Ontario Contact centre by request. Give them a call if you need to go this route.

Once approved, you must re-apply every two years unless you are 65 or older or collecting CPP-Disability. It is every five years as part of the extended eligibility program.

If your financial status improves or changes, you must also tell them if you are moving.

How much will my OESP credit be?

The OESP on-bill credit amount will depend on how many people live in the house and the combined household income after tax.

Effective May 1, 2017

OESP Monthly Credit Amounts by Household Income Level

Household Income (After Tax)Household Size (Number of people living in household)
 1234567+
$28,000 or less$45$45$51$57$63$75$75
$28,001 – $39,000 $40$45$51$57$63$75
$39,001 – $48,000  $35$40$45$51$57
$48,001 – $52,000    $35$40$45

OESP Monthly Credit Amounts by Household Income Level – Energy Intensive

There is also a higher level of assistance program for those who qualify because they may have health-related medical equipment at home.

To qualify for the higher level, you must use one or more of the following;

  1. Kidney Dialysis Machine
  2. Mechanical Ventilators (invasive and non-invasive)
  3. Oxygen Concentrator
Household Income (After Tax)Household Size (Number of people living in household)
 1234567+
$28,000 or less$68$68$75$83$90$113$113
$28,001-$39,000 $60$68$75$83$90$113
$39,001-$48,000  $52$60$68$75$83
$48,001-$52,000    $52$60$68

How To Save Money On Hydro Bill Ontario

Some of the ways we helped my mother-in-law cut the costs of her electricity bills besides applying for the OESP were, at best simple and overwhelming.

  1. All the freezers were emptied and donated.
  2. Lowered the temperature on the thermostat.
  3. Air-conditioner is broken, so she has two fans now.
  4. No more watering the garden.
  5. Sold the electric heaters for the garden.
  6. One less person to use water in the house.
  7. Less cooking, dishes, lighting on, televisions running.
  8. Unplugs everything she doesn’t need to be plugged in.
  9. Time of use helps as she only washes clothes very early in the morning.

All of the above contributed to electricity bills that were way over the top for their low-income status.

FromToSummer Rate (May – Oct)Winter Rate (Nov – Apr)7:00 AM8:00 AMmid-peak rate
9.4 cents/kWhon-peak rate
13.2 cents/kWh8:00 AM9:00 AM9:00 AM10:00 AM10:00 AM11:00 AM11:00 AM12:00 PMon-peak rate
13.2 cents/kWhmid-peak rate
9.4 cents/kWh12:00 PM1:00 PM1:00 PM2:00 PM2:00 PM3:00 PM3:00 PM4:00 PM4:00 PM5:00 PM5:00 PM6:00 PMmid-peak rate
9.4 cents/kWhon-peak rate
13.2 cents/kWh6:00 PM7:00 PM7:00 PM8:00 PMoff-peak rate
6.5 cents/kWhoff-peak rate
6.5 cents/kWh8:00 PM9:00 PM9:00 PM10:00 PM10:00 PM11:00 PM11:00 PMMidnightMidnight1:00 AM1:00 AM2:00 AM2:00 AM3:00 AM3:00 AM4:00 AM4:00 AM5:00 AM5:00 AM6:00 AM6:00 AM7:00 AM
The above is only for Monday to Friday Time of Use- Source

Provincial Electricity Rates

Electricity Rates By Province – Source

Province375 kWh750 kWh1,000 kWh2,000 kWh5,000 kWh
Quebec32.4852.7768.66146.46379.86
Manitoba34.0360.9678.92150.75366.24
British Columbia32.0561.9289.07197.63523.34
New Brunswick52.8888.32111.94206.44489.94
Average50.7987.88113.72218.8537.38
Alberta57.77596.175121.78224.195531.44
New Foundland / Labrador56.5797.97125.48235.51565.62
Saskatchewan61.955103.685131.505242.79576.65
Ontario64.7110.64141.69267.34674.38
Nova Scotia64.69118.55154.46298.09728.98

Whether you qualify for OESP or not, remember that everything you do at home with your electricity and water will cost you big bucks.

Doing an electricity audit to see what’s costing you money and where you can lower your utility bills is important.

After seeing what, my MIL has changed since my FIL was alive and the massive change in her electricity bill was an eye-opener for us regarding electricity usage and costs.

Contact OESP If You Need Help

If you were like us and unsure how to apply for the OESP due to health reasons of the homeowner or you have other questions about the program, I urge you to call.

It’s a simple phone call that can change how much money you pay for your electricity bills each month if you qualify.

Not too many people are aware of the OESP program like my in-laws, which meant they would have had far more money saved up for times in need as my mother-in-law is in now.

If you have questions about the program, you can contact the OESP Contact Centre in the following ways:

Call 1-855-831-8151 (toll free within Ontario)
Email help@ontarioelectricitysupport.ca
Use the Bell Relay service at 1-800-855-1155 (TTY to TTY)

The OESP Contact Centre is open Monday to Friday, from 8:00 a.m. to 9:00 p.m. ET.

Mail the completed Ontario Electricity Support Program Application Form to the address below:
Ontario Electricity Support Program (OESP)
PO Box 1540 STN B
Ottawa, ON, K1P 0C7

Discussion: Do you struggle to pay your Hydro bill in Ontario? How much do you pay monthly? Leave me a comment below, as I love to hear your feedback.

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