O. Reg. 387/22: GENERAL

 

ontario regulation 387/22

made under the

Energy Consumer Protection Act, 2010

Made: April 14, 2022
Filed: April 20, 2022
Published on e-Laws: April 20, 2022
Printed in The Ontario Gazette: May 7, 2022

Amending O. Reg. 389/10

(GENERAL)

1. (1) The definition of “additional energy charges” in section 2 of Ontario Regulation 389/10 is amended by striking out “and” at the end of clause (c), by adding “and” at the end of clause (d) and by adding the following clause:

(e)  charges arising or amounts payable under an associated agreement;

(2) Section 2 of the Regulation is amended by adding the following definitions:

“associated agreement” means an agreement, including a lease, financing, hosting, licensing or other arrangement,

(a)  that is not an agreement for the provision of electricity, and

(b)  that is associated with a contract within the meaning of subsection 3 (1.1);

“associated renewable energy generation facility” means, in relation to an associated agreement, the renewable energy generation facility referred to in the definition of “third party generator”;

“renewable energy generation facility” has the same meaning as in the Electricity Act, 1998;

“third party generator” means a supplier who retails electricity produced by a renewable energy generation facility and who is an eligible third party generator within the meaning of Ontario Regulation 541/05 (Net Metering) made under the Ontario Energy Board Act, 1998;

2. Section 3 of the Regulation is amended by adding the following subsection:

(1.1) For the purposes of this Part, an agreement is associated with a contract if the agreement,

(a)  is separate from but relates to, in whole or in part, a contract for the provision to a consumer by a third party generator of electricity generated by an associated renewable energy generation facility; and

(b)  is for the provision to the consumer by the third party generator of the equipment, systems or technology comprising the associated renewable energy generation facility.

3. (1) Section 5 of the Regulation is amended by adding the following paragraphs:

3.1  Failing to disclose, in accordance with any code, order or rule issued or made by the Board, any of the following with respect to an associated agreement:

i.  The name and contact information of any other parties to the associated agreement.

ii.  Whether the associated agreement is a lease, financing, hosting, licensing or other arrangement.

iii.  The term of the associated agreement.

iv.  The date on which the associated agreement begins to apply to the consumer.

v.  For the associated renewable energy generation facility, the rated maximum output capacity as stated on the nameplate of the machinery or equipment that is used to produce electricity.

vi.  Any insurance or warranty rights or obligations, including any obligation to pay a deductible, related to the equipment, systems and technologies and any limitations or exclusions in respect of coverage.

vii.  The terms of payment, including any terms related to deposits, interest or any other financial or legal obligations under the associated agreement that affect the terms of payment.

viii.  Any options or obligations to purchase the renewable energy generation facility or related equipment during or at the end of the term, including any relevant dates and costs associated with the options or obligations.

ix.  Any other costs for which the consumer will be responsible, including costs related to administration and account billing, insurance or warranty rights, leasing, rental, installation, connection, ongoing operation, maintenance and removal of equipment.

x.  Any right to terminate, suspend, amend, extend or renew the associated agreement.

xi.  Any penalties under the associated agreement and the circumstances in which the consumer would be liable to pay the penalties.

xii.  Any right to transfer or assign the associated agreement.

xiii.  Any authority to put a lien on the consumer’s property and the circumstances that would give rise to such a right.

xiv.  Any maintenance and operation obligations the consumer has with respect to the associated renewable energy generation facility.

xv.  An estimate of the annual energy production of the associated renewable energy generation facility measured in kilowatt hours.

xvi.  An estimate of the annual electricity cost savings to the customer under the associated agreement.

3.2  Charging more for the removal of an associated renewable energy generation facility than the amount for removal set out in the associated agreement.

(2) Subparagraph 15 ii of section 5 of the Regulation is revoked and the following substituted:

ii.  any equipment, product or service that has been provided by the supplier to the consumer, except in the case of anything provided under an associated agreement.

4. (1) Subsection 7 (1) of the Regulation is amended by adding the following paragraph:

6.1  If the supplier is entering into an associated agreement with the consumer, a statement that the contract price does not include any additional charges related to the installation, leasing, rental, maintenance or removal of equipment, systems or technology the supplier is providing to the consumer under the associated agreement.

(2) Paragraph 10 of subsection 7 (1) of the Regulation is revoked and the following substituted:

10.  A statement,

i.  that the consumer may cancel the contract without cost or penalty up to 30 days after receiving the second bill under the contract, and

ii.  if the supplier is a third party generator, that the cancellation right referred to in subparagraph i may give rise to penalties or other charges payable under or in respect of any associated agreement.

(3) Subsection 7 (1) of the Regulation is amended by adding the following paragraph:

12.1  Despite paragraph 12, if the supplier is a third party generator, a statement that if the consumer permanently moves out of the premises to which electricity is provided under the contract, the consumer may be liable for the penalties or other charges set out in an associated agreement for the removal of the equipment, systems or technology comprising the associated renewable energy generation facility that the supplier provided to the consumer under the associated agreement.

(4) Section 7 of the Regulation is amended by adding the following subsection:

(5) A contract must not provide for the provision to a consumer of the equipment, systems or technology that comprise a renewable energy generation facility.

5. Subclause 14 (1) (a) (iii) of the Regulation is amended by striking out “the supplier does not” at the beginning and substituting “if the supplier is not a third party generator, the supplier does not”.

6. Section 26 of the Regulation is amended by adding the following subsection:

(2) The supplier and distributor are exempt from subsection 25 (1) of the Act if the notice of cancellation is given to a supplier who is a third party generator.

Commencement

7. This Regulation comes into force on the later of July 1, 2022 and the day this Regulation is filed.