Why Smart Meters Are Good

By the end of 2010 every home in Ontario will have a smart meter that records how much electricity you use each hour. Soon, if not already, your local electrical utility will use your smart meter to bill you a different price for the power you use each hour of the day.

This is a change from the past where you were billed a single or simple two-tiered price for all the power you used over a one-month or two-month billing period regardless of which hours you used the most electricity.

This change is good for the Ontario electricity system and good for the environment. It is good for the electricity system because power users face higher electricity prices during hours of high electricity demand and lower prices during periods of low demand. By discouraging power use during high power demand periods the total electricity demand on the whole system during these periods will be reduced. As a result, fewer power generating stations will be required to meet peak demand. Fewer stations means fewer new plants to build which means spending less in the future on the Ontario electricity system. It also will reduce the complexity of the power system and increase overall reliability. Requiring fewer stations is also good for the environment as there will be fewer greenhouse gas emissions, less nuclear waste and / or fewer new power generation sites to construct which sully the natural landscape.

Compare Hydro Rates Here