Many Ontario residents find themselves in the position where they are simply unable to cover the total cost of day-to-day necessities, such as rent, food, and so on. In order to provide some measure of relief to these families, the Ontario Energy Board created the Ontario Electricity Support Program. The OESP allows qualifying households to apply a monthly credit to their bills, lowering the price they have to pay. This credit is calculated based two factors: the size of the household and the total household income.
Through the (OESP), the consumer may be eligible to receive a credit of up to $900 a year on their electricity bill.
How Much will the OESP Credit Worth?
The amount of the OESP credit is determined by the number of people in your household, and the household’s total combined income after taxes.
Household Income (After Tax) | Household Size (Number of people living in household) | ||||||
1 | 2 | 3 | 4 | 5 | 6 | 7+ | |
$28,000 or less | $68 | $68 | $75 | $83 | $90 | $113 | $113 |
$28,001-$39,000 | $60 | $68 | $75 | $83 | $90 | $113 | |
$39,001-$48,000 | $52 | $60 | $68 | $75 | $83 | ||
$48,001-$52,000 | $52 | $60 | $68 |
Homes which have electricity-based heating systems, or that have residents who require the use of an approved medical device that consumes a large amount of electricity (an oxygen concentrator or a mechanical ventilator) qualify for an “Energy Intensive” credit 50% larger than the figures listed above, as shown below.
When Can I Apply for OESP?
Anyone who qualifies for an OESP credit can apply at any time. There is no deadline or application window. However, it takes 1 ½ to 2 months for applications to be processed, so the sooner you apply, the sooner you can reduce your electricity bills.
How Long Does OESP Eligibility Last?
To continue receiving OESP credits, you must reapply every two years, or when factors which affect your eligibility change, such as your income or number of household occupants.
Persons who are 65 years of age or older, or who receive CPP disabilities pensions, are eligible for an extended 5-year period of eligibility before they must reapply.
How Do You Apply for OESP?
To apply for OESP, you can apply online through the OESP website or at ontarioelectricitysupport.ca. You will need to provide the following information:
- The Social Insurance Numbers or Temporary Tax Numbers of all household occupants.
- The names and birthdays of all residents.
- The electricity account number listed on your electricity bill.
- Your service address, as listed on your bill.
- Details about the electricity account holder.
If you have not recently paid income tax, you may still be eligible to apply for OESP. However, you will need to locate and visit an intake agency office. There is no cost for this service.
After your application, the government will let you know if you qualify for OESP about four to six weeks after your completed application and signed consent forms have been received. If you are qualified, the credit will appear directly on your electricity bill in about 6 to 8 weeks after you have been approved. You will receive OESP credits on your bill for 2 years before having to reapply.
Are the household income amounts listed in the OESP Monthly Credit Tables before or after-tax income?
To find out what your after-tax income is for the purposes of OESP eligibility, multiply your net income (line 236 on your Notice of Assessment) by 87.82%. The program encourages you to apply if your calculation of after-tax income is close to the amounts shown below or if you are unsure of your after-tax income:
- For a 1-person household, the household income is $28,000 or less.
- For a 2-person household, the household income is $39,000 or less.
- For a 3 – 4 person household, the household income is $48,000 or less.
- For a household of 5 or more people, the household income is $52,000 or less.
The household income amounts listed on the tables are after tax.
How is your Income, and the income of your household members, verified?
The Ministry of Finance will verify your income with the Canada Revenue Agency (CRA) using your Social Insurance Number (SIN) and the SINs of any other income tax filers in your household. The CRA verifies your income as declared on your tax return from last year or the year before. If you or other members of your household filed taxes only once in the last two years, income verification can still occur. This is true even if you and another household member filed in different tax years.
If you have not filed an income tax return recently, or if your situation has changed since you last filed, your income will need to be manually verified by a designated intake agency.
How do you qualify for the extended 5-year program eligibility period?
The extended program eligibility period of 5 years is applicable if any account holder listed on the bill is:
1) 65 and over. If there are multiple account holders on your electricity bill, an account holder 65 years or older needs to be entered as the OESP applicant in order to qualify for the extended 5-year eligibility period.
2) Receiving a CPP disability pension (see CPP definition of severe and prolonged disability at http://www.servicecanada.gc.ca/eng/services/pensions/cpp/disability/definition.shtml). Those on disability pensions still have to pass the program income criteria.
Are There Any Additional Energy Bill Assistance Programs Available?
Ontario residents who need emergency financial assistance with their energy bills may qualify for the Low-Income Energy Assistance Program (LEAP). LEAP is designed to help those who are behind on their electricity bills and in danger of having their service terminated. LEAP provides a one-time grant of up to $500 ($600 for electrically heated homes) to pay off electricity bills. To learn more about this program, visit the LEAP page on the Ontario Energy Board website.