Is the Ultra Low Overnight Electricity Plan Right for You?

On May 1, 2023, the Ontario Government rolled-out an Ultra-Low Overnight (ULO) price plan with six electric utility companies to encourage residents to shift their electricity usage to overnight hours. All utility companies, including Burlington Hydro, were required to offer this plan by Nov. 1, 2023.

Why was the ULO price plan introduced?

Electricity needs to be used as soon as it’s generated and, because it’s not possible to rapidly turn production up and down from a nuclear power source, this unused, clean overnight energy is often exported at a loss. By offering a deep discount for residents during nighttime hours, this could reduce demand during peak hours, from 11 a.m. to 5 p.m. in the summer and from 7 to 11 a.m. and 5 to 7 p.m. in the winter.

How do the Time of Use (TOU) and ULO plans compare?

  1. The trade-off for ULO electricity is higher rates during the On-Peak times.
  2. The ULO On-Peak is between 4 and 9 p.m. on weekdays, compared to TOU Plan from 7 to 11 a.m. and 5 to 7 p.m. in the winter.

Below is how the ULO plan compares to the typical TOU plan that most residents are familiar with on a per kilowatt hour (kWh) as of Nov. 1, 2023. (Please note that Mid Peak and On-Peak TOU hours vary between Summer (May 1 – Oct. 31) and Winter periods (Nov. 1 – Apr.30)):

PeriodsUltra-Low Overnight Plan (ULO)Time of Use Plan (TOU)
Overnight2.8 ¢/kWh Every day 11 p.m. to 7 a.m.N/A
Off-Peak8.7 ¢/kWh Weekends and holidays 7 a.m. to 11 p.m.8.7 ¢/kWh Weekdays 7 p.m. to 7 a.m. and all day weekends and holidays
Mid-Peak12.2 ¢/kWh Weekdays 7 a.m. to 4 p.m. and 9 p.m. to 11 p.m.12.2 ¢/kWh Weekdays 11 a.m. to 5 p.m.  
On-Peak28.6 ¢/kWh Weekdays 4 p.m. to 9 p.m.  18.2 ¢/kWh Weekdays 7 a.m. to 11 a.m. and 5 to 7 p.m.
Comparison of ULO and TOU Plans (Nov. 1, 2023 – Apr. 30, 2024)

Is the ULO plan right for you? 

Maybe. The most compelling scenario is for residents who own an electric vehicle (EV) and don’t mind shifting high-energy demands like laundry, air-conditioning, dishwasher, etc. out of the On-Peak timeframes. After all the goal of the Province is to help spread out demand on the electrical grid.  It also helps that customers can switch between price plans as often as once a month. So, if they try ULO and it isn’t working, they can switch back to TOU or Tiered.

What would it cost to charge a typical long-range EV with a battery capacity of about 70 kWh on the ultra-low rate? At 2.8 cents per kWh, the cost to fully charge an EV with a range of about 400 km would be about $1.96. 

Residents who can adapt their schedule or who work overnight shifts should see significant savings on the ULO plan. The best way to know for sure is to look at your Burlington Hydro bill and better understand your energy use trends. You can use your bill to enter information into the OEB’s bill calculator to see which plan is right for you. Even if the ULO plan isn’t right for you, you could still save money every month simply by being more aware of your energy usage and adjusting your schedule to the lower-peak timeframes. 

For more information on all available electricity pricing plans, please visit Burlington Hydro’s website at burlingtonhydro.com/customerservices/billing/choose-your-price-plan.html 

Connection to climate action in Burlington

The City supports electric mobility as part of our Climate Action Plan to reduce transportation related greenhouse gas emissions. Free charging for EVs is available in many City of Burlington parking lots (parking rates and time of use restrictions may apply).  More information can be found here.

This post was provided by P. Fletcher, a former member of the Burlington Sustainable Development Advisory Committee.


2 thoughts on “Is the Ultra Low Overnight Electricity Plan Right for You?

  1. Very interesting. But why not just offer the 2.8 cents from 11 pm to 6 am anyway and that would move people who can adjust their energy use to that timeframe. Especially for EV users. Putting the rate up to 28 cents during peak dinner time is ludicrous and is a disincentive to consider this plan. 

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