CTV News has learned that the Ontario government has set the wheels in motion to possibly reduce hydro rates for so-called smart-meter customers.
Premier Dalton McGuinty had first mused about the possibility earlier this month, but CTV News has learned the discussions between the government and the Ontario Energy Board on how to do so are actively underway.
The changes, which come after a week in which the governing Liberals took heat over electricity issues, could take effect as early as the next scheduled rate change in November.
The two ways the government could go about it are dropping rates or expanding the off-peak time periods.
People have been saying that although they were shifting their dish and laundry-washing to off-peak times, they were seeing their hydro bills go up instead of down.
Data from Toronto Hydro showed 80 per cent of its smart-meter customers paying more.
About 4.1 million smart meters are installed in Ontario. All homes and businesses are expected to have one by the end of this year. The government has said that shifting electricity use from peak times would save the system money.
But because the price of off-peak hydro has increased about 20 per cent since 2009, others would not have seen any absolute savings.
Torontonians with smart meters would have seen their hydro bills go up about two to seven per cent.
"I think we've got to ensure that the appropriate incentives are in place," McGuinty told reporters on Sept. 14 after taking heat from the opposition during Queen's Park's question period.
With a report from CTV Toronto's Paul Bliss
