Settlements

Actual Global Adjustment Components

The three values below represent the main components of the total monthly global adjustment costs used by the IESO to calculate the monthly Class B global adjustment rates:

• GA-OEFC-NUG (M$) - Contracts administered by the Ontario Electricity Financial Corporation with existing generation facilities
• GA-OPG (M$) - Ontario Power Generation nuclear and hydroelectric generating stations
• GA-OPA (M$) - Contracts with the IESO (and with the former Ontario Power Authority) for new gas-fired generation, renewable facilities, energy from waste and biomass, nuclear refurbishments, as well as conservation programs. For more information on the various contracts, please visit the Global Adjustment Costs web page.

As of January 1, 2021, Global Adjustment costs for all electricity consumers are being reduced because approximately 85 per cent of non-hydro renewable energy contract costs are being shifted from the rate base to the tax base. Savings will vary, depending on consumers’ electricity consumption, ICI participation, and location. Further details on the Non-Hydro Renewables Funding Amount are available on the market summary reports, which are published on a monthly basis.

For historical global adjustment values, see Data Directory (Price).

Global Adjustment Costs and Consumption by Customer Class

The total global adjustment costs for each month are charged to Class A and Class B customers. Class A customers pay their share of global adjustment based on their Peak Demand Factor (PDF). A customer’s PDF is based on their percentage contribution (i.e. the quantity of energy withdrawn from the IESO controlled grid or distribution system of a local distribution company) during the top five peak hours of the corresponding base period. All other customers, which are referred to as Class B customers, pay their share of GA based on their monthly consumption multiplied by the applicable Class B rate for that month. The breakdown of the total GA charges and associated energy consumption totals for the two classes is shown below.

For historical global adjustment values, see Data Directory (Price).