Rates and Bills
A carefully designed rate structure
With a view to sustainable development, Hydro-Québec is constantly seeking ways to optimize the operation of its power system and make the best possible use of the electricity it generates. We use a variety of means, including our rate structure, to encourage the wise use of electricity.
Why different rates?
Hydro-Québec uses different rates to ensure customer electricity consumption billing is fair. This means that customers with comparable electricity consumption profiles and costs of providing service are billed based on similar rates.
The company has 2.8 million customers responsible for 3.8 million residential, commercial, institutional and industrial service contracts. A base rate is applied to the electricity consumption of each customer. Some rates are designed for domestic electrical use and are available only to residential and agricultural customers. The other rates are suited for general use by business customers and are broken down by the customer's power demand.
Domestic Rates Electricity used exclusively for residential or agricultural needs |
General Rates Electricity used for any purpose other than residential or agricultural |
|---|---|
Rate D |
Rate G |
Rate Options
Some customers have consumption profiles that do not correspond to any base rate. Rate options tailored to specific situations and their respective costs are therefore available to customers who have requirements not covered by the base rates.
Domestic Rates Electricity used exclusively for residential or agricultural needs |
General Rates Electricity used for any purpose other than residential or agricultural |
|---|---|
|
|
Rate D – Domestic rate (residential and farms)
Application
Rate D generally applies to residential subscribers, in other words for household use. The electricity that is supplied is metered separately.
Profile
Over 3,300,000 of Hydro-Québec's electrical service contracts are for residential or farm use, or 87% of its total number of contracts.
Rate D Structure
| Fixed charge per day | 40.64¢ |
|---|---|
| Energy costs | |
| - First 30 kWh per day | 5.45¢/kWh |
| - Remaining energy consumption | 7.46¢/kWh |
| Price of power above 50 kW | |
| - In winter | $6.21/kW |
| New measure - In summer |
$0.63/kW |
Rates effective April 1, 2009. Under no circumstances may this table be used to replace the Distribution Tarif.
billing demand
Contracts under which billing demand is generally equal to or higher than 50 kW.
New measure for residential and farm customers effective April 1, 2009
Changes to Rates D, DM and DT came into effect on April 1, 2009.
Three new factors are now taken into account in bill calculations when a customer's power demand exceeds 50 kW, sometimes even during the summer.
- During the summer, a demand-related charge of $0.63/kW will be applied for power demand above 50 kW (a premium of $6.21/kW is already applied in the winter).
- If the power factor is less than 90% and an appropriate meter is installed, apparent power (in kVA) will be taken into account in calculating your billing demand.
- Starting December 1, 2009, minimum billing demand will correspond to 65% of the
maximum power demand during a consumption period that falls wholly within the winter period.
Understanding rates
Rates have three main components that represent the cost categories of electrical service. In this way, rates reflect the cost of meeting customer electricity demand.
- Fixed charge
-
The fixed charge is unaffected by electricity consumption. It is set in relation to the fixed costs of providing electrical service, such as: Installing and reading the meter, metering, billing, collections and certain distribution system costs.
The fixed charge is also determined by the number of contracts at each rate.
- Energy
-
As the amount of energy consumed varies, the cost of energy varies as well.
- Demand
-
Basing billing solely on kilowatthours used would not be fair, since it would not account for the differences in cost, which can vary by the amount and duration of power demand.
Hydro-Québec equipment must be able to meet each customer's yearly maximum power demand. Even if power demand is variable and consumption is sometimes minimal, Hydro-Québec must always cover the costs related to the proper operation and maintenance of the equipment it uses to supply its customers' installations.
- Calculating billing demand
-
The demand charge is applied to the greater of the two following billing demand values:
- The maximum power demand corresponding to the greater of the two following values:
- Real power
- 90% of apparent power
- The minimum billing demand
or
In the case of Domestic Rates (residential and agricultural) D, DM and DT, the minimum billing demand is fixed at 65% of the
maximum power demand during a period that falls wholly within the winter period. - The maximum power demand corresponding to the greater of the two following values:
Additional factors affecting electricity rates
- Credit for medium or high voltage supply
-
Hydro-Québec grants a supply credit of 0.224¢/kWh* to domestic rate customers (residential and agricultural) to whom it supplies electricity at a voltage equal to or greater than 5 kV.
Rates D, DT and DM, like Hydro-Québec's other rates, assume that electricity will be supplied at low voltage. Customers who have equipment to step down the voltage of the electricity they are supplied or wish to use medium- or high-voltage electricity represent reduced costs for Hydro-Québec. In return, they are granted a monthly credit.
*Rate in effect on April 1, 2009.
Rate DM – Domestic rate for multiple-unit buildings (residential)
Rate DM applies to a contract for electricity delivered to an apartment building or community residence with dwellings, for which bulk metering has been chosen.
Profile
Hydro-Québec has over 21,000 Rate DM electrical service contracts.
New measure
Since April 1, 2008, and pursuant to Régie de l'énergie decision D-2008-003, Rate DM is no longer offered to customers wishing to obtain a new service contract. Customers who already have a service contract at Rate DM will continue to pay that rate.
See Frequently asked questions
Structure of Rate DM
| Fixed charge per day (times the multiplier) | 40.64¢ |
|---|---|
| Energy charge | |
| - First 30 kWh per day, times the multiplier | 5.45¢/kWh |
| - Remaining energy consumption | 7.46¢/kWh |
| Consumption exceeding 50 kW (or 4 kW times the multiplier) | |
| - Winter period (December 1 to March 31) | $6.21/kW |
| New measure - Summer period (April 1 to November 30) |
$0.63/kW |
Rates effective April 1, 2009. Under no circumstances may this table be used to replace the Distribution Tarif..
billing demand
Contracts under which billing demand is generally equal to or higher than 50 kW
New measure effective April 1, 2009
Three new factors are now taken into account in bill calculations for each consumption period for Rate DM customers whose consumption is subject to bulk metering and whose electrical equipment requires over 50 kW of power, sometimes even during the summer.
- If the multiplier applicable to the contract is greater than 12, the customer will only pay for the demand exceeding 4 kW times the multiplier. Otherwise, they will continue to pay for demand exceeding 50 kW.
- In light of this first modification, going forward the winter demand charge will be $6.21/kW. In the summer, a demand charge of $0.63/kW will be applied to the billed demand.
- If your power factor is less than 90% and an appropriate meter is installed, apparent power (in kVA) will be taken into account in calculating billing demand.
- Starting December 1, 2009, minimum billing demand will correspond to 65% of the
maximum power demand during a consumption period that falls wholly within the winter period.
Understanding rates
Rates have three main components that represent the cost categories of electrical service. In this way, rates reflect the cost of meeting customer electricity demand.
- Fixed charge
-
The fixed charge is unaffected by electricity consumption. It is set in relation to the fixed costs of providing electrical service, such as: Installing and reading the meter, metering, billing, collections and certain distribution system costs.
The fixed charge is also determined by the number of contracts at each rate.
- Energy
-
As the amount of energy consumed varies, the cost of energy varies as well.
- Demand
-
Basing billing solely on kilowatthours used would not be fair, since it would not account for the differences in cost, which can vary by the amount and duration of power demand.
Hydro-Québec equipment must be able to meet each customer's yearly maximum power demand. Even if power demand is variable and consumption is sometimes minimal, Hydro-Québec must always cover the costs related to the proper operation and maintenance of the equipment it uses to supply its customers' installations.
- Calculation of billing demand
-
The demand charge is applied to the greater of the two following billing demand values:
- The maximum power demand corresponding to the greater of the two following values:
- Real power
- 90% of apparent power
- The minimum billing demand
or
In the case of domestic rates (residential and agricultural) D, DM and DT, the minimum billing demand is fixed at 65% of the maximum power demand during a period that falls wholly within the winter period.
- The maximum power demand corresponding to the greater of the two following values:
Additional factors affecting electricity rates
- Credit for medium or high voltage supply
-
Hydro-Québec grants a supply credit of 0.224¢/kWh* to domestic rate customers (residential and agricultural) to whom it supplies electricity at a voltage equal to or greater than 5 kV.
Rates D, DT and DM, like Hydro-Québec's other rates, assume that electricity will be supplied at low voltage. Customers who have equipment to step down the voltage of the electricity they are supplied or wish to use medium- or high-voltage electricity represent reduced costs for Hydro-Québec. In return, they are granted a monthly credit.* Rate effective April 1, 2009
Rate DT – Domestic dual-energy rate (residential)
Control equipment
connection diagram [PDF]
Certificate of eligibility [PDF]
Dual-energy refers to the alternating use of two energy sources for heating a home.
Thinking about upgrading your heating system and opting for electricity as an alternate source of energy?
Good idea!
Hydro-Québec would like to remind you that the rate applicable to homes with dual-energy systems (Rate DT) is very worthwhile when it comes to heating.
The rate has become so popular that the high volume of applications has resulted, unfortunately, in unavoidable delays. Please rest assured that we are doing everything within our power to process your application as quickly as possible.
To find out more about calculating and comparing your energy costs, visit the Agence d'efficacité énergétique Web site.
Hydro-Québec's dual-energy concept involves using electricity as the principal energy source and a fossil fuel (oil, natural gas) as an auxiliary source. It is particularly suited to the conditions described below.
Electricity is used for most of the heating season (i.e. outside temperatures above or equal to -12°C or -15°C, depending on the region) and the auxiliary source takes over when temperatures are very cold (below-12°C or -15°C). The switch from electricity to the auxiliary source is done automatically by an automatic switching device within the heating system that obeys signals received from a temperature sensor placed outside the home. (Note that the switch-over temperature is generally higher when the electrical component of the system consists of a heat pump).
The main dual-energy combinations are:
- a heat pump with a fuel furnace
- an integrated dual-energy furnace (an electrical and a fuel component).
Residential dual-energy rate structure
| Fixed charge per day | 40.64¢ |
|---|---|
| Energy charge | |
| - Energy consumed when the temperature is equal to or higher than -12°C or -15°C, depending on the climatic zones defined by Hydro-Québec | 4.33¢ |
| - Energy consumed when the temperature is below -12°C or -15°C, as the case may be | 18.14¢ |
| Consumption exceeding 50 kW (or 4 kW times the multiplier) | |
| - Winter period (December 1 to March 31) | $6.21/kW |
| New measure - Summer period (April 1 to November 30) |
$0.63/kW |
Rates effective April 1, 2009. Under no circumstances may this table be used to replace the Distribution Tarif.
New measure effective April 1, 2009
Three new factors are now taken into account in bill calculations for each consumption period for Rate DM customers whose consumption is subject to bulk metering and whose electrical equipment requires over 50 kW of power, sometimes even during the summer.
- If the multiplier applicable to the contract is greater than 12, the customer will only pay for the power that exceeds 4 kW times the multiplier. Otherwise, they will continue to pay for demand exceeding 50 kW.
- In light of this first modification, going forward the winter demand charge will be $6.21/kW. In the summer, a demand charge of $0.63/kW will be applied to the billing demand.
- If your power factor is less than 90% and an appropriate meter is installed, apparent power (in kVA) will be taken into account in calculating billing demand.
- Starting December 1, 2009, minimum billing demand will correspond to 65% of the
maximum power demand during a consumption period that falls wholly within the winter period.
- Dual-energy offers a more advantageous differential rate
-
With dual-energy, customers can better control their energy consumption because:
- Fuel is used at temperatures when it is most effective
- Customers who choose a dual-energy system conforming to Hydro-Québec standards can take advantage of the DT rate, which enables appreciable savings on their overall energy bill. This rate is based on a differential temperature-based structure.
Little electricity is used during the few weeks of intense cold each year, when the home is heated by fossil fuel. A signal light indicates high-rate periods, so customers can choose to delay using certain electrical appliances and thereby achieve additional savings.
To qualify for the DT rate, the home must have a dual-counter meter installed by Hydro-Québec.
- Subscribing to Rate DT
-
Customers wishing to subscribe to Rate DT should contact the Hydro-Québec office in their sector (the telephone number is on the electricity bill).
Customers must have a heating contractor of their choice fill out a form attesting that the dual-energy system complies with Hydro-Québec's tariff by-laws (particularly the sections concerning dual-energy and the DT rate) Customers should also sign the form to confirm that they wish to subscribe to the DT rate. The high-rate signal light is supplied free of charge by Hydro-Québec. However, customers have to cover the costs of testing their system, installing the signal light and modifying the system to meet standards, where required. Customers and contractors requiring more information on this matter can contact the Hydro-Québec office in their sector.
- Dual-energy for wise management of our energy resources
-
Dual-energy optimizes the management of Québec's hydroelectric network by reducing the level of demand during peak periods, usually during periods of intense cold.
Rate DT applies to customers who are eligible for Rate D or Rate DM and use a dual-energy system, primarily for living purposes. A dual-energy system heats space, or space and water, with electricity as the main energy source and fuel as an auxiliary source.
Understanding rates
Rates have three main components that represent the cost categories of electrical service. In this way, rates reflect the cost of meeting customer electricity demand.
- Fixed charge
-
The fixed charge is unaffected by electricity consumption. It is set in relation to the fixed costs of providing electrical service, such as: Installing and reading the meter, metering, billing, collections and certain distribution system costs.
The fixed charge is also determined by the number of contracts at each rate.
- Energy
-
As the amount of energy consumed varies, the cost of energy varies as well.
- Demand
-
Basing billing solely on kilowatthours used would not be fair, since it would not account for the differences in cost, which can vary by the amount and duration of power demand.
Hydro-Québec equipment must be able to meet each customer's yearly maximum power demand. Even if power demand is variable and consumption is sometimes minimal, Hydro-Québec must always cover the costs related to the proper operation and maintenance of the equipment it uses to supply its customers' installations.
- Calculation of billing demand
-
The demand charge is applied to the greater of the two following billing demand values:
- The maximum power demand, which corresponds to the greater of the two following values:
- Real power
- 90 % of apparent power
- The minimum billing demand
or
In the case of domestic rates (residential and agricultural) D, DM and DT, the minimum billing demand is fixed at 65% of the maximum power demand during a period that falls wholly within the winter period.
- The maximum power demand, which corresponds to the greater of the two following values:
Additional factors affecting electricity rates
- Credits for supply
-
Rate DT, like Hydro-Québec's other rates, assumes that electricity will be supplied at low voltage. When the customer uses electricity supplied at a nominal voltage between phases equal to 5 kV or invests to transform it, then Hydro-Québec no longer has to pay the transformation costs. In return, the utility grants a discount of 0.567¢/kWh on the price of energy billed.
Self-generation net metering option
Hydro-Québec is continuing to act on its commitment to sustainable development. Among other things, it supports and encourages self-generators who produce electricity from their own facilities, using renewable energy sources. How? By offering a special kind of rate: the net metering rate option.
Time it Right rate project
A pilot project to test a time-of-use rate option.
Because when it comes to managing resources, timing counts.
This is the minimum amount of power the customer must pay for. The threshold is set so that the customer pays its share of the costs incurred by the Distributor to meet its maximum power needs during peak periods. The minimum billing demand is determined by the conditions of each rate, as indicated in the Distribution Tarif.
Expressed in kilowatthours (kWh), energy is the power used by electrical installations over a given period of time. It is calculated as the power multiplied by the time during which it is used.
Energy (kWh) = power (W) x time used (h)
1,000
Expressed in kilowatts (kW), power demand is the total amount of electricity required by equipment at a given time. In more technical terms, it is the combined effect of voltage and current.
Demand (kW) = voltage (V) x current (A)
1,000
Real power is the component of apparent power that operates equipment that produces heat (lighting equipment, radiators, etc.) and is expressed in kilowatts (kW).
Apparent power is the power supplied by Hydro-Québec. When it is used, it is broken down into real power (kW), which runs equipment, and reactive power (kVAR), which results in the creation of magnetic fields.
Maximum power demand corresponds to the greater of the two following values:
- Real power
- 90% of apparent power
The winter period runs from December 1 through March 31, inclusively.
Voltage is the difference in electrical potential between two points.
It is expressed in volts (V) and is a function of power expressed in watts (W).
Voltage (V) = power (W)
current (A)
The power factor is the ratio between real power and apparent power.
PF = Real Power
Apparent Power x 100
The summer period runs from April 1 through November 30, inclusively.
Method of measuring consumed energy with a single meter instead of separate meters for an entire multi-unit commercial or residential building. The building owner is responsible for dividing the costs between the occupants.
Method of measuring consumed energy using a separate meter for each residential or commercial unit in a building.
