Ontario Electricity Rebate 2025 – Save 13.1% (Increasing to 23.5%) on Your Monthly Hydro Bill

(As of July 2025)

The Ontario Electricity Rebate (OER) continues into 2025, providing eligible Ontario residents with substantial savings on their electricity bills. With high utility costs burdening households, this government-funded program ensures residents receive 13.1% (increasing to 23.5% on November 1, 2025) off their monthly electricity usage charges.

Whether you live in an apartment or a detached home, understanding the eligibility and application process for the OER can lead to hundreds of dollars in annual savings on your hydro bill.

Significant savings for Ontario households – Learn how to reduce your hydro costs through OER 2025

What is the Ontario Electricity Rebate (OER)?

The Ontario Electricity Rebate is a government initiative that provides a percentage-based discount directly on the electricity line of eligible residential and small business accounts. The rebate is applied before taxes and covers regulated price plan customers, as well as those billed under retailer contracts.

As of 2025, the rebate stands at 13.1% (which came into effect on November 1, 2024, and increases to 23.5% on November 1, 2025). This rebate reflects the province’s effort to stabilize household costs in a time of inflation and rising energy prices.

Who qualifies for the OER in 2025?

Eligibility for the Ontario Electricity Rebate is generally automatic for most residential customers, but there are specific criteria to keep in mind, especially for multi-unit dwellings and farms. To qualify for the OER, you must meet one of the following:

• You have a residential electricity account (typically detached homes, townhouses, condos)
• Your account is for a farm property classified as “residential/farm” under the Assessment Act
• Your building has fewer than 50% of units used for commercial activity
• You are a long-term care home or a licensed retirement residence

In some cases, you must submit a Notice of Eligibility to your utility provider if your residence is part of a multi-unit complex or has shared meters.

📉 Reduce your monthly hydro bill – OER 2025 offers instant savings

💡 Take advantage of the 13.1% (23.5% starting November 1, 2025) discount on your electricity bill now. It’s automatic for most residential accounts in Ontario!

How is the rebate calculated?

The OER discount is applied as a line item on your electricity bill. The 13.1% (or 23.5% as of November 1, 2025) is calculated based on the subtotal of electricity usage charges before HST. Here’s a simplified breakdown:

• Usage Charges (based on kWh) = $100
• OER (13.1% of $100) = -$13.10 (or -$23.50 at the 23.5% rate)
• Subtotal before taxes = $86.90 (or $76.50 at the 23.5% rate)

This rebate applies regardless of whether you’re on the Time-of-Use (TOU), Tiered, or Ultra-Low Overnight pricing plans under the Regulated Price Plan (RPP).

How do I apply for the OER?

For most residential customers, the Ontario Electricity Rebate is automatically applied by your utility provider. However, some accounts need to submit a one-time Notice of Eligibility form:

• Multi-unit residential complexes
• Farms and small businesses with residential portions
• Mixed-use buildings with combined commercial and residential use

The form must be submitted to your local utility with supporting documentation such as property tax bills or lease agreements. Once approved, the rebate is applied retroactively if applicable.

Are there exceptions or disqualifications?

Yes. If over 50% of a building’s square footage is used for commercial or non-residential purposes, the property may be disqualified from the OER. Also, customers who fail to submit the required form may not receive the rebate.

Ineligible properties include:

• Large industrial facilities
• Commercial-only properties
• Short-term rental units used primarily for business

To verify your eligibility, contact your electricity distributor directly or visit Ontario’s Ministry of Energy website for detailed criteria.

How long will the OER continue in 2025?

The 13.1% Ontario Electricity Rebate (increasing to 23.5% on November 1, 2025) is confirmed to continue throughout 2025, as part of the government’s affordability framework. While no firm end-date has been announced, annual reviews determine adjustments based on wholesale electricity rates and provincial funding capacity.

Any changes to the rebate amount will be communicated by your utility company or listed on the Ontario Energy Board (OEB) website.

How to confirm if you’re receiving the rebate?

To check if you are currently receiving the OER:

1. Look for a line item labeled “Ontario Electricity Rebate” on your hydro bill
2. Verify the amount deducted (should be 13.1% of usage subtotal, or 23.5% starting November 1, 2025)
3. If no rebate is listed, contact your local utility to confirm your eligibility

It’s important to act quickly if your account requires documentation, as delays could result in higher bills until approval is complete.

Tips to maximize your electricity savings

• Use smart thermostats to reduce energy usage during peak hours
• Opt into Ultra-Low Overnight plans if you consume more electricity at night
• Combine the OER with other local rebates or home energy retrofit programs
• Submit the OER eligibility form early if required

Even with the OER, adopting efficient energy habits can result in greater overall savings and lower long-term costs.

For complete program details and forms, visit the Ontario Ministry of Energy: https://www.ontario.ca/page/ontario-electricity-rebate

⚡ Ontario Electricity Rebate 2025 – FAQ

Q1. Is the Ontario Electricity Rebate applied automatically?

Yes, for most residential customers. Only certain accounts like multi-unit or mixed-use buildings need to submit forms.

Q2. How much can I save monthly with the OER?

You can save 13.1% (increasing to 23.5% on November 1, 2025) on the electricity portion of your bill, which translates to $150–$300 annually depending on usage.

Q3. Do renters qualify for the rebate?

Yes, if the electricity account is in your name or if your landlord has included you in the eligibility form.

Q4. Is the rebate taxable?

No, the Ontario Electricity Rebate is not considered taxable income and is deducted before HST.

Q5. Can I combine the OER with other savings programs?

Yes. You can use OER alongside federal retrofit programs or local utility rebates to maximize your savings.