Ontario Power Market
Wholesale Electricity Price

Proposed Generation

The IESO constructed a Fuel Price Index which is a weighted average of coal, uranium and natural gas prices. The weights are the actual annual production shares for each fuel type. The reference year is 2002. The fuel adjustment calculation essentially maintains fuel prices at 2002 levels. The resulting price trend therefore strips out the effect of fuel price inflation on the wholesale price of electricity and it shows the trend in the cost of electricity after accounting for fuel cost increases.

All-in Wholesale Electricity Cost (in dollars per MWh)

All-in Wholesale Electricity Cost

NOTE: 2002 refers to the period May 2002 to December 2002. Please note that fi gures for 2002 through 2004 do not include the OEFC payment for non-utility generator contract amounts in excess of market revenues; however these payments are included in the global adjustment values for 2005 and 2006. Strictly speaking, the Debt Retirement Charge is not a wholesale charge but is included in this table to provide a more complete picture of the charges that impact a typical consumer’s bill. The OPG rebate has existed since the market opened in 2002. Initially, it was the Market Power Mitigation Agreement (MPMA) rebate. This was followed by the Business Protection Plan Rebate. The current OPG rebate has existed since April 2005.