Helping you understand your electricity rate
Rates generally consist of three main components that reflect the actual costs incurred by Hydro‑Québec to provide electrical service.
Fixed charge
The fixed charge, expressed in cents per day depending on the applicable rate, is a set amount to be paid for the electricity service itself.
The fixed charge is calculated based on an amount established on a daily basis, multiplied by the number of days in the consumption period. As a result, this amount will vary slightly from one bill to the next, depending on how many days are in the consumption period.
Energy
Energy, expressed in kilowatthours (kWh), is billed at a domestic or general rate for all customers, with no exceptions. In some cases, a first tier of kilowatthours will be billed at one amount, and any energy used beyond this threshold will be billed at a lesser amount.
Power
Customers don’t generally use electricity at exactly the same intensity throughout a given period; as such, their power demand (in kilowatts) will constantly vary. Hydro‑Québec must be equipped to respond at any time to the maximum power demand of its customers’ facilities.
Even though the power demand is often less than the maximum power demand, billing for electricity consumption is insufficient to cover Hydro‑Québec’s equipment operations and maintenance costs. This is why Hydro‑Québec bills customers who use a great deal of electricity for power demand.
Generally speaking, billing demand is calculated as described below.
Other useful information
Energy
Power used by electrical equipment over a given period of time. Expressed in kilowatthours (kWh), energy is calculated as power, expressed in kilowatts (kW), multiplied by the time during which the power is used, expressed in hours (h).
The formula for energy is as follows: energy (in kilowatthours) is equal to power (in kilowatts) multiplied by duration of use (in hours).
Energy (kWh) = power (kW) x time used (h).
Maximum power demand
Maximum power measured during a consumption period. It is the higher of the following two values: real power in kilowatts (kW), or a percentage (90% for domestic rates and small- and medium-power rates, or 95% for large-power rates) of the apparent power in kilovoltamperes (kVA).
Power
Total amount of electricity supplied at a given time. Expressed in kilowatts (kW), power is the combined effect of voltage, expressed in kilovolts (kV), and current, expressed in amperes (A).
Real power
Amount of electricity consumed in a useful manner to operate equipment, such as a motor or a heating or lighting system. Real power is expressed in kilowatts (kW).
Apparent power
Amount of electricity that Hydro-Québec supplies to a customer, expressed in kilovoltamperes (kVA). When it is used, apparent power breaks down into real power (kW), which runs devices, and reactive power (kVAR), which produces magnetic fields and which is not useful power for the customer.
Minimum billing demand (minimum demand)
The minimum amount of power that customers must pay for each consumption period, regardless of their electricity use. The threshold is set so that customers pay their share of the costs Hydro‑Québec incurs to meet their power needs at all times. The minimum billing demand is determined by the conditions of each rate, as indicated in the Electricity Rates.
- For all rates except Rate L, the minimum billing demand is automatically determined based on the previous winter’s maximum power demand.
- Rate L customers must set their own minimum billing demand, called “contract power,” based on their projected electricity use.
Winter period
Period from December 1 through March 31 of the next year, inclusive.