The Filing includes the Application; the Manager s Summary; and live versions of the following models:

Transcription

1 August th, 206 Via RESS and Courier Ms. Kirsten Walli, Board Secretary Ontario Energy Board 2300 Yonge Street, 27th Floor Toronto, Ontario M4P E4 Dear Ms. Walli, Re: Electricity Distribution Licence ED Annual Filing for Electricity Distribution Rates (EB ) Horizon Utilities Corporation ( Horizon Utilities ) is submitting its second Annual Filing (the Filing ) to its 5 year Custom Incentive Rate-making ( Custom IR ) Application (EB ) to the Ontario Energy Board ( OEB ) for electricity distribution rates ( EDR ) effective January, 207. The Filing has been updated with the annual adjustments, as agreed upon in the Settlement Agreement and the Decision to the Custom IR Application. Generic changes, similar to those included in Incentive Regulation Mechanism ( IRM ) filings have also been included where applicable, as identified in the Settlement Agreement. Subsequent to the issuance of the Decision and Final Rate Order in Horizon Utilities Custom IR Application, the OEB issued the following generic policy changes: i) Distribution Rate Design for Residential Electricity Customers; and ii) New Cost Allocation Policy for Street Lighting Rate Class; and implemented the Ontario Electricity Support Program ( OESP ). Horizon Utilities has implemented these changes, which are applicable to all distributors, and included them in the Filing. The Filing includes the Application; the Manager s Summary; and live versions of the following models: ) Revenue Requirement Work Form 2) Income Tax/PILs Work Form 3) Deferral and Variance Account (Continuity Schedule) Work Form 4) 207 RTSR Work Form 5) Cost Allocation Model Horizon Utilities Corporation 55 John Street North, Hamilton, ON Tel: Mail to: PO Box 2249 STN LCD, Hamilton, ON L8N 3E4

2 The Filing and supporting materials are being filed through the Board s RESS system; two hard copies will follow by courier. Please do not hesitate to contact me if you require anything further. Yours truly, Original Signed by Indy J. Butany-DeSouza, MBA Vice-President, Regulatory Affairs Horizon Utilities Corporation Tel: (905) Attachments

3 EB IN THE MATTER OF the Ontario Energy Board Act, 998, being Schedule B to the Energy Competition Act, 998, S.O. 998, c.5; AND IN THE MATTER OF an Application by Horizon Utilities Corporation to the Ontario Energy Board for an Order or Orders approving or fixing just and reasonable rates and other service charges for the distribution of electricity as of January, 207. HORIZON UTILITIES CORPORATION ANNUAL FILING UNDER BOARD-APPROVED CUSTOM INCENTIVE RATE SETTING ( CIR ) PLAN FILED: August, 206 Applicant Horizon Utilities Corporation 55 John Street North PO Box 2249, Station LCD Hamilton, Ontario L8R 3M8 Indy J. Butany-DeSouza, MBA Vice-President, Regulatory Affairs Tel: (905) indy.butany@horizonutilities.com

4 Table of Contents ANNUAL FILING APPLICATION... MANAGER S SUMMARY... 8 ANNUAL ADJUSTMENTS AND GENERIC POLICY CHANGES... 9 Generic Policy Changes... 9 Annual Adjustments...2 Models...8 Cost Allocation and Rate Design Overview Cost Allocation Class Revenue to Cost Ratios Rate Design and Rate Design Steps Cost Allocation and Rate Design Cost Allocation and Rate Design...30 New Distribution Rate Design...33 Distribution and Total Bill Impacts...39 Summary of Adjustments to the Revenue Requirement...40 Earnings Sharing Mechanism...43 Adjustments to the Stranded Meter Rate Rider...47 Deferral and Variance Account Disposition...48 Horizon Utilities Settlement Process with the IESO...64 CONCLUSION...69 Appendix A - CURRENT TARIFF OF RATES AND CHARGES JANUARY, 206 Appendix B - PROPOSED TARIFF OF RATES AND CHARGES JANUARY, 207 Appendix C - HORIZON UTILITIES CUSTOMER BILL IMPACTS

5 Appendix D REVENUE REQUIREMENT WORK FORM Appendix E INCOME TAX/PILS WORK FORM Appendix F DEFERRAL AND VARIANCE ACCOUNT (CONTINUITY SCHEDULE) WORK FORM Appendix G COST ALLOCATION MODEL Appendix H SUMMARY OF FIXED/VARIABLE SPLITS Appendix I 207 RTSR WORK FORM

6 EB Horizon Utilities Corporation Annual Filing Update Filed: August, 206 Page of ANNUAL FILING APPLICATION. The Applicant is Horizon Utilities Corporation ( Horizon Utilities ). Horizon Utilities is a corporation incorporated pursuant to the Business Corporations Act (Ontario) with its head office in the City of Hamilton. Horizon Utilities carries on the business of distributing electricity within the Cities of Hamilton and St. Catharines under Ontario Energy Board ( OEB or the Board ) Electricity Distributor Licence No. ED Horizon Utilities filed a Custom Incentive Rate-setting ( Custom IR ) Application (EB ) with the OEB on April 6, 204, for electricity distribution rates effective: January, 205; January, 206; January, 207; January, 208; and January, Horizon Utilities and the Intervenors filed a partial settlement proposal with the OEB (the Settlement Proposal ) on September 22, 204. On October 0, 204, the OEB advised that it had accepted the Settlement Proposal. The Settlement Proposal specified that the parties to the Settlement Proposal had agreed to the revenue requirement for each of the years , effective January st of each year, subject to annual adjustments. The actual effective dates for rates for each of those years would be contingent on the timing of the Annual Filing by Horizon Utilities and the OEB s approval. The OEB issued its Decision and Order (the Decision ) on the Custom IR Application on December, On June 2, 205, the Board issued its new Cost Allocation Policy for the Street Lighting rate class (the Cost Allocation Policy ). It required distributors to update the cost allocation model to incorporate a street light adjustment factor ( SLAF ) for allocating costs rather than using a methodology based on the number of Street Lighting connections. The Board stated in its Decision on Horizon Utilities Custom IR Application that in the event that there is direction from the Board with respect to a new policy concerning the methodology for cost allocation related to street lighting which is applicable to Horizon Utilities, the Board was of the view that the Settlement Agreement provided for Horizon Utilities to adjust street lighting rates accordingly. 5. Horizon Utilities filed its first annual update to its Custom IR Application with the OEB on August 2, 205. Horizon Utilities updated its 206 rates to include certain adjustments and

7 EB Horizon Utilities Corporation Annual Filing Update Filed: August, 206 Page 2 of changes due to reopeners, in accordance with (i) the Settlement Proposal and the Decision and Order on its Custom IR Application; and (ii) the Board s new Cost Allocation Policy. 6. Horizon Utilities hereby submits its second Annual Filing to the OEB pursuant to section 78 of the Ontario Energy Board Act, 998 as amended (the OEB Act ) and pursuant to the Decision of the Board in its Custom IR Application and its 206 Annual Filing, for approval of its proposed distribution rates and other charges, effective January, The parties to the Settlement Proposal (the Parties ) agreed that the proposed off-ramps, reopeners and annual adjustments outside the normal course of business are generally consistent with the current Board policy and practice as provided in the Report of the Board titled Renewed Regulatory Framework for Electricity Distributors: A Performance-Based Approach ( RRFE ) and are appropriate. The Parties agreed that the Board s policy in relation to off-ramps, set out at page of the RRFE, will continue to apply to Horizon Utilities. Each of the off-ramps, reopeners and annual adjustments is discussed in detail in the Manager s Summary accompanying this Application. 8. The Parties also agreed to three additional adjustments: an Earnings Sharing Mechanism ( ESM ); an Efficiency Adjustment; and a Capital Investment Variance Account ( CIVA ). These items are also discussed in the Manager s Summary. 9. This Annual Filing incorporates, or will incorporate, the following guidelines, reports and policy changes, where appropriate: OEB Cost of Capital Parameters Update to incorporate the cost of capital parameters issued October 5, 205 with a subsequent update anticipated November 206; Board Policy New Cost Allocation Policy for Street Lighting Rate Class (EB ), issued June 2, 205; Amending O.Reg 493/0 Removal of Debt Retirement Charge to Residential customer for implementation January, 206; OEB Policy: A New Distribution Rate Design for Residential Electricity Customers (EB ) issued April 2, 205; OEB Policy: - Ontario Electricity Support Program (EB );

8 EB Horizon Utilities Corporation Annual Filing Update Filed: August, 206 Page 3 of 69 Conservation and Demand Management Requirement Guidelines for Electricity Distributors - (EB ) issued December 9, 204; Empirical Research in Support of Incentive Rate-Setting: 204 Benchmarking Update for determination of Stretch Factor Assignments for 206 dated July 30, 205; Filing Requirements For Electricity Distribution Rate Applications Edition for 207 Rate Applications - Chapter 3 Incentive Rate Setting Applications issued July 4, 206 (the Chapter 3 Filing Requirements ); Filing Requirements For Electricity Distribution Rate Applications Edition for 207 Rates Applications - Chapter 2 Cost of Service issued July 4, 206; Report of the Board on the Renewed Regulatory Framework for Electricity Distributors: A Performance-Based Approach ( RRFE ) issued October 8, 202; Guidelines for Electricity Distributor Conservation and Demand Management (EB ) issued April 26, 202; Report of the Board on the Cost of Capital for Ontario s Regulated Utilities, issued December, 2009; Report of the Board on Electricity Distributors Deferral and Variance Account Review Initiative ( EDDVAR ) issued July 3, 2009; and Report of the Board on the Updated Policy for the Lost Revenue Adjustment Mechanism ( LRAMVA ) Calculation: Lost Revenues and Peak Demand Savings from Conservation and Demand Management Programs issued May 9, Horizon Utilities has calculated adjustments to its 207 revenue requirement using the Cost of Service Models (i.e., Re venue Requirement Work Form, Income Tax/PILs Work Form, 207 Deferral and Variance Account (Continuity Schedule) Work Form; 207 RTSR Work Form and Cost Allocation Models) and directions provided by the Board in July 206 for 207 filers. 0. The Manager s Summary will address the following: a. Off-ramps; b. Reopeners and Generic Policy Changes; c. Annual adjustments;

9 EB Horizon Utilities Corporation Annual Filing Update Filed: August, 206 Page 4 of d. Models used to calculate the adjustments and any modifications made; e. A summary of the adjustments to the Revenue Requirement used for determining Distribution Rates (updated in accordance with the above-mentioned Settlement Agreement); f. Distribution and Total Bill Impacts; g. A request for approval of the revised stranded meter rate rider updated for the cost of capital parameters issued October 5, 205, as agreed in the Settlement Agreement. A subsequent update is anticipated in November 206; and h. A request for approval of the disposition of Group Deferral and Variance Account balances and associated carrying charges as per the EDDVAR Report and the updated changes to Chapter 3 Filing Requirements, issued July 4,

10 EB Horizon Utilities Corporation Annual Filing Update Filed: August, 206 Page 5 of Relief Requested:. Horizon Utilities applies for an Order or Orders approving the Tariff of Rates and Charges set out in Appendix B to this Annual Filing as just and reasonable rates and charges pursuant to section 78 of the OEB Act, to be effective January, Horizon Utilities is seeking approval of the calculation of the 205 regulated Return on Equity ( ROE ) for the purposes of earnings sharing. 3. Horizon Utilities is seeking approval of the calculation its 205 capital additions for the purpose of calculating the 205 entry to the Capital Investment Variance Account. 4. Horizon Utilities is seeking approval for the continuation of the implementation of the New Distribution Rate Design for residential customers. 5. Horizon is seeking approval to reduce the 207 Street Lighting Class revenue to cost ratio ( RCR ) by 6.67% to 3.33% from the 206 RCR of 20%. 6. Horizon Utilities is seeking approval for the recovery of the remaining balance of stranded meter assets including a return on those assets equal to the short term debt rate as established by the Board in its Cost of Capital parameters in Horizon Utilities is seeking approval for the clearance of the balances recorded in certain deferral and variance accounts by means of class-specific rate riders effective January, 207 to December 3, 207; 8. Horizon Utilities is seeking approval for the clearance of the balance in the 589 Account RSVA - Global Adjustment attributed to new Class A customers as of July, 205, by means of customer-specific bill adjustments for each new Class A customer; and 9. Horizon Utilities requests that its current (i.e., 206) rates provided in Appendix A be declared interim effective January, 207, as necessary, if the preceding approvals cannot be issued by the OEB in time to implement final rates effective January, This Annual Filing has been prepared in accordance with the Decisions of the Board in Horizon Utilities Custom IR and 206 Annual Filing Applications and relevant OEB guidelines and requirements. Specifically, changes to OEB policies on distributor rate design, changes to the revenue allocated to unmetered load customers resulting from the Board s New Cost Allocation policy; and changes to revenue to cost ratio for the Street Lighting class.

11 EB Horizon Utilities Corporation Annual Filing Update Filed: August, 206 Page 6 of Proposed Effective Date of Rate Order 2. Horizon Utilities proposes that the Board make its Rate Order, together with the other relief sought in this Annual Filing, effective January, 207. A list of requested approvals is set out in the Manager s Summary. The proposed Schedule of Rates and Charges is provided as Appendix B. 22. Horizon Utilities requests that the Board declare Horizon Utilities current (i.e., 206) rates provided in Appendix A as interim effective January, 207, as necessary, if the preceding approvals cannot be issued by the OEB in time to implement final rates, effective January, Horizon Utilities requests that, in the event that the Board is unable to provide a Decision and Order in this Application for rates effective on January, 207, the Board approve a rate rider that would provide for the recovery of incremental revenue for the period from January, 207 to the implementation date of the 207 Schedule of Rates and Charges. Form of Hearing Requested 24. Horizon Utilities requests that this Annual Filing be disposed of by way of a written hearing. Notice of Application 25. Upon receipt of the Letter of Direction from the Board, Horizon Utilities will arrange to have: 26. A copy of the Notice, the application and evidence posted in a prominent place on Horizon Utilities website at: under Regulatory Affairs. It will also be posted through the following social media accounts on Twitter and Facebook - /HorizonUtilities. 27. A copy of the Notice, the application and evidence, and any amendments thereto, made available for public review at the offices of Horizon Utilities. 28. An Affidavit filed, with the OEB in both electronic and paper forms proving completion of the matters in paragraphs 25 and 26 above immediately thereafter. 29. A copy of the Notice, application and evidence, and any amendments thereto, to anyone requesting the material.

12 EB Horizon Utilities Corporation Annual Filing Update Filed: August, 206 Page 7 of Contact Information 30. Horizon Utilities requests that all documents filed with the Board in this proceeding be served on the undersigned. All of which is respectfully submitted this th day of August, 206. Original signed by Indy J. Butany-DeSouza Indy J. Butany-DeSouza, MBA Vice-President, Regulatory Affairs Horizon Utilities Corporation 55 John Street North PO Box 2249, Station LCD Hamilton, Ontario L8R 3M8 indy.butany@horizonutilities.com 5

13 EB Horizon Utilities Corporation Annual Filing Update Filed: August, 206 Page 8 of MANAGER S SUMMARY Horizon Utilities filed a Custom Incentive Rate-setting Application (the Custom IR Application, Board File No. EB ) with the Board on April 6, 204 under section 78 of the OEB Act, (Schedule B), seeking approval for five years of distribution rates effective on January of each year from 205 to 209. The following eight parties requested and were granted intervenor status in that proceeding: Association of Major Power Consumer in Ontario ( AMPCO ); Building Owners and Managers Association ( BOMA ); City of Hamilton ( Hamilton ); Consumers Council of Canada ( CCC ); Energy Probe Research Foundation ( Energy Probe ); School Energy Coalition ( SEC ); Sustainable Infrastructure Alliance of Ontario ( SIA ); and Vulnerable Energy Consumers Coalition ( VECC ) A Settlement Conference was held on August 27-29, 204. All intervenors of record participated at the Settlement Conference except SIA and Hamilton. A partial settlement was reached and a Settlement Proposal was filed with the Board on September 22, 204. Issues pertaining to Cost Allocation and Rate Design remained unsettled. An Oral Hearing on the unsettled issues was held on September 30, October, October 9, and October 0, 204. The Board advised that it had approved the Settlement Proposal on October 0, 204. The Board issued its Decision and Order on the outstanding matters in the Custom IR Application on December, 204, and its Final Rate Order on the Custom IR Application on January 8, 205, for rates effective January, 205. On August 2, 205, Horizon Utilities filed its first annual update for rates effective January, 206. The OEB issued its decision on December 0, 205 on all matters in the Annual Filing. The Annual Filing incorporated changes as a result of the OEB s New Cost Allocation Policy for Street Lighting Rate Class (EB ), issued June 2, 205 and changes as a result of the New Distribution Rate Design for Residential Electricity Customers (EB ) issued by the OEB on April 2, 205. The New Cost Allocation Policy required distributors to update the cost allocation model to incorporate a street light adjustment factor ( SLAF ) for allocating costs. The Board stated in its Decision on Horizon Utilities Custom IR Application that in the event that there

14 EB Horizon Utilities Corporation Annual Filing Update Filed: August, 206 Page 9 of is direction from the Board with respect to a new policy concerning the methodology for cost allocation related to street lighting which is applicable to Horizon, the Board was of the view that the Settlement Agreement provided for Horizon Utilities to adjust street lighting rates accordingly. Accordingly, Horizon Utilities implemented the SLAF in its 206 cost allocation model. In its Decision and Order on the 206 Annual Filing, The OEB accepts Horizon s update for the SLAF. The policy provided that adjustments be made as a part of a Custom IR update. The OEB is satisfied that Horizon has implemented the policy correctly. As it relates to changes in distribution rate design, the OEB stated in its policy: A New Distribution Rate Design for Residential Electricity Customers (EB ) issued April 2, 205: The OEB expects that all distributors will transition to fixed rates in equal increments over a four- year period. Accordingly, Horizon Utilities incorporated the first year transition adjustment in its proposed rates for 206 in a manner consistent with OEB policy. As per the Decision and Order, The OEB finds that Horizon has correctly implemented the OEB s policy on distribution rate design for residential customers. Horizon Utilities is now seeking adjustments to 207 rates in accordance with the Settlement Proposal and the Decision and Order on its Custom IR Application; and the Decision and Order on its 206 Annual Filing. ANNUAL ADJUSTMENTS AND GENERIC POLICY CHANGES Generic Policy Changes The Parties to the Settlement Proposal agreed to the list of reopeners proposed in the Custom IR Application. Each reopener agreed to is listed below with corresponding relief sought, if applicable: Changes to income tax rates and laws. At the time of the submission of this Annual Filing, Horizon Utilities is not aware of changes to income tax rates and laws that would impact the calculation of its 207 revenue requirement. If there are any such changes prior to the Board rendering its Decision on this Annual Filing, Horizon Utilities will advise the OEB and update this Annual Filing, accordingly. Changes to OEB policies on distributor rate design. In the Report of the Board: A New Distribution Rate Design for Residential Electricity Customers (EB ), issued April 2, 205, the OEB has confirmed that rates for Residential customers will be migrated

15 EB Horizon Utilities Corporation Annual Filing Update Filed: August, 206 Page 0 of to a fixed monthly distribution charge over a four-year transition period commencing in 206 and ending in 209. A letter, issued by the OEB on July 6, 205, instructed distributors to conduct further analysis on the impact that the new fixed rate design would have on the 0 th percentile of energy consuming customers. Horizon Utilities has incorporated the second year transition adjustment in its proposed rates for 207 and conducted the analysis on the 0 th consumption percentile of energy consuming customers. This adjustment is discussed in further detail below. Changes to environmental laws that would impact business requirements and processes resulting in increased expenditures. At the time of this Annual Filing, Horizon Utilities is not aware of changes to environmental laws that would impact business requirements and processes resulting in increased expenditures. If there are any such changes prior to the Board rendering its Decision on this Annual Filing, Horizon Utilities will bring this to the attention of the Board and update this Annual Filing accordingly. Changes to technical requirements beyond the control of the utility. At the time of submission of this Annual Filing, Horizon Utilities is not aware of changes to technical requirements beyond its control. If there are any such changes prior to the Board rendering its Decision on this Annual Filing, Horizon Utilities will bring this to the attention of the Board and update this Annual Filing accordingly. Items that would meet the OEB s Z-Factor criteria as defined in Chapter 3 of the Board s Filing Requirements for Transmission and Distribution Applications that are material unforeseen events, that have a significant influence on the operation of the distributor. At the time of submission of this Annual Filing, Horizon Utilities is not aware of any items that would qualify for Z-Factor adjustments. If there are any such items prior to the Board rendering its Decision on this Annual Filing, Horizon Utilities will bring this to the attention of the Board and update this Annual Filing accordingly. Ministerial Directives or similar required government action to provide a service to customers (such as the previous Smart Meter Deployment and CDM); Horizon Utilities implemented the Ontario Energy Support Program ( OESP ) on January, 206 to provide support to eligible low-income customers. It is funded through electricity rates as a volumetric charge and delivered as a reduction on qualifying customers bills. The current charge is $0.00/ kwh. If there are any changes to the OESP charge prior to the

16 EB Horizon Utilities Corporation Annual Filing Update Filed: August, 206 Page of Board rendering its Decision on this Annual Filing, Horizon Utilities will update this Annual Filing, accordingly. Accounting framework changes that have a significant impact on the recording of expenses and revenues. At the time of submission of this Annual Filing, Horizon Utilities is not aware of any such changes. If there are any such changes prior to the Board rendering its Decision on this Annual Filing, Horizon Utilities will bring this to the attention of the Board and update this Annual Filing accordingly. Changes to amend distributor licences to allow market rates to be charged for wireless pole attachments. On July 30, 205, the Board issued a letter advising electricity distributors that it intends to initiate a proceeding on its own motion to amend rateregulated distributor licences in the near future. Horizon Utilities will address any directions from the Board arising out of the proceeding at a later date, as may be necessary. Changes to the revenue allocated to unmetered load customers resulting from changes to the Board s policies on cost allocation for unmetered loads. On June 2, 205, the Board issued its new Cost Allocation Policy for the Street Lighting rate class (the Cost Allocation Policy ). It required distributors to update the cost allocation model to incorporate a street light adjustment factor ( SLAF ) for allocating costs rather than using a methodology based on the number of Street Lighting connections. In the Cost Allocation Policy, the Board advised that, consistent with past practice, it will implement the changes to street lighting cost allocation policy only through cost of service and Custom IR applications. However, where the Board has addressed the matter of adjustments to street lighting cost allocation and/or rate design in a prior decision, adjustments consistent with the decision will be made in subsequent mechanistic incentive rate-setting mechanism ( IRM ) applications or as part of a Custom IR annual update. In the OEB s Decision in Horizon Utilities Custom IR Application (EB ), the OEB identified that in the event that there is direction from the Board with respect to a new policy concerning the methodology for cost allocation related to street lighting which is applicable to Horizon Utilities, the Board s view was that the Settlement Agreement provided for Horizon Utilities to adjust street lighting rates accordingly. Horizon Utilities updated its 206 cost allocation model with the street lighting adjustment factor ( SLAF ) and proposed that the RCR for the Street Lighting class be adjusted to 00%. In its Decision and Order, the OEB accepted Horizon Utilities update for the SLAF

17 EB Horizon Utilities Corporation Annual Filing Update Filed: August, 206 Page 2 of and was satisfied that Horizon Utilities had updated the policy correctly. The OEB also directed that the implementation of a RCR of 00% for street light class should be phased in, as has been the past practice, starting with a move to 20% for 206. Moving the RCR to 00% should be done over subsequent years at a reduction of 6.6% per year for three years. This progression will assist in gradually phasing in the change. Horizon Utilities also requested approval of its cost allocation models for 207 to 209 in its 206 Annual Filing. These models were based on the Custom IR Decision and updated to include the Street Lighting Adjustment Factor ( SLAF ), consistent with the Board s new Cost Allocation Policy. The OEB approved this request and stated in its Decision and Order that Subject to the findings in this Decision and any changes in policy or cost allocation models that the OEB directs utilities to implement during a Custom IR rate plan term, the OEB approves Horizon's cost allocation models for Horizon Utilities has derived its 207 rates using Version 3.4 of the Cost Allocation Model inclusive of the Street Lighting Adjustment Factor and the reduction to the RCR from 20% in 206 to 3.33% in 207. Annual Adjustments Changes in the Cost of Capital. This Annual Filing, has been updated for the 206 Cost of Capital parameters issued by the OEB on October 5, 205. Horizon Utilities will make a subsequent update for the 207 Cost of Capital parameters which are expected to be available prior to the Board rendering its Decision on this Annual Filing. When the Board issues the updated values, Horizon Utilities will update this Annual Filing accordingly. Changes to working capital. Horizon Utilities has made changes to the working capital included in rate base as a result of the following changes to the Cost of Power: o Power and Global Adjustment charges have been updated based on the rates published by the OEB in the Regulated Price Plan ( RPP ) Price Reports on April 20, 205; October 5, 205; November 6, 205 and April 4, 206. RPP rates, the Hourly Ontario Energy Price ( HOEP ) and Global Adjustment Rates were updated to the most recent rates effective from November, 205 to October 3, 206. These charges were previously based on prices effective May, 204. RPP prices are expected to be updated by the OEB in October 206, effective November, 206. Horizon Utilities will update this Annual Filing for any changes

18 EB Horizon Utilities Corporation Annual Filing Update Filed: August, 206 Page 3 of o to the working capital allowance included in rate base resulting from the new power and global adjustment charges and RPP prices; Retail Transmission Service Rates ( RTSRs ) have been updated to incorporate 205 demand for Horizon Utilities, and 206 Hydro One Uniform Transmission Rates ( UTRs ) and Sub Transmission Rates ( STRs ) approved by the OEB January 4, 206. The rates approved in Horizon Utilities Custom IR were based on Horizon Utilities 203 demand and 204 Hydro One UTRs and STRs; o The Smart Metering Entity ( SME ) Charge has been updated to incorporate 205 Residential and GS < 50kW customer counts. The charge approved in Horizon Utilities Custom IR was based on Horizon Utilities 203 Residential and GS < 50kW customer counts. There was no change to the Rate Rider for the SME Charge; o o o The ratio of RPP vs. non-rpp volumes has been updated for 205 actuals. The ratio approved in Horizon Utilities Custom IR was based on 203 actuals. The Wholesale Market Service Rate has been updated from $0.0044/kWh to $0.0036/kWh as directed by the OEB in its Decision and Order issued November 9, 205; and The Ontario Electricity Support Program ( OESP ) Charge of $0.00/kWh has been included in the Wholesale Market Service Charges in the Cost of Power Changes in the tax rates. At the time of this Annual Filing, Horizon Utilities is not aware of any changes in tax rates; allowable deductions; implementation of surtaxes; or Payments in Lieu of Taxes and other commodity taxes that would impact the calculation of revenue requirement. If there are any such changes prior to the Board rendering its Decision on this Annual Filing, Horizon Utilities will advise the Board and update this Annual Filing, accordingly. Changes in other third party pass through charges. Other than the changes to the estimates identified above under Changes to working capital, Horizon Utilities has not made any changes to third party pass through charges. CDM results that vary from plan. Revenue requirement amounts related to differences between actual CDM results and forecasted amounts included in the determination of

19 EB Horizon Utilities Corporation Annual Filing Update Filed: August, 206 Page 4 of rates, are recorded in Account 568 the LRAM Variance Account ( LRAMVA ). Section 3.4 of the Board s Guidelines for Electricity Distributor Conservation and Demand Management (EB ) states that At a minimum, distributors must apply for disposition of the balance in the LRAMVA at the time of their Cost of Service rate applications. Distributors may apply for the disposition of the balance in the LRAMVA on an annual basis, as part of their Incentive Regulation Mechanism applications, if the balance is deemed significant by the applicant. While this is not an IRM application, Horizon Utilities confirms that it is not proposing to dispose of its Account 568 balance in this Annual Filing. The balance in Account 568 as at the end of December 3, 205 was $25,006 which Horizon Utilities does not consider significant. Disposition of deferral and variance accounts. Horizon Utilities confirms that the balance in its Group Deferral and Variance accounts as at December 3, 205 exceeds the threshold test of $0.00/kWh; disposition of the balances identified in Table is requested. Table - Group Total Disposition Balance Description Account $ Total Disposition Low Voltage 550 $478,87 Smart Meter Entity Charge (Residential and GS<50 Classes only) 55 ($23,038) Wholesale Market Service Charge ("WMS") excluding Capacity Based Recovery ("CBR") A 580 ($9,433,737) Retail Transmission Network Charge 584 ($,252,342) Retail Transmission Connection Charge 586 ($23,630) Power 588 ($864,097) Global Adjustment 589 $2,657,566 Cost of Service EB (205) 595 $84,542 Total for Disposition excluding WMS Charge - CBR A ($8,484,548) In 206, Horizon Utilities started to track costs in the variance account 508 Other Regulatory Assets, Sub-account OEB Cost Assessment Variance ; which was established by the OEB to record the difference between OEB cost assessments built into rates, and cost assessments that result from the application of its new cost assessment model effective April, 206. The OEB provided direction to record costs in this variance account in its letter Revisions to the Ontario Energy Board Cost Assessment Model, dated February 9, 206. Horizon Utilities will request disposition of the account balance in future rate proceedings, in accordance with the Board s policy on disposition of Group 2 accounts.

20 EB Horizon Utilities Corporation Annual Filing Update Filed: August, 206 Page 5 of 69 Any additional annual adjustments as identified by the Board in developing the Custom IR Application process. The OEB has not, as of the date of this filing, included any additional annual adjustments to the Custom IR Application process. However, the Settlement Agreement included three additional annual adjustments for: an Earnings-Sharing Mechanism ( ESM ); a Capital Investment Variance Account ( CIVA ); and an Efficiency Adjustment o Earnings Sharing Mechanism The Settlement Agreement provided for the introduction of a deferral account for an ESM (508 Sub-account Earnings Sharing Variance Account ) where earnings in excess of the Board s annual approved regulatory return on equity ( ROE ), as established by the Board in its Cost of Capital Parameters. For each of the years , earnings in excess of approved ROE would be divided on a 50/50 basis between Horizon Utilities and its ratepayers. The ratepayer share of earnings will be credited to a new deferral account, for clearance at the next applicable annual rate filing. The Settlement Agreement included the following example to illustrate the timing for filing: For example: If Horizon Utilities over-earned in 205, it would report the balance in the deferral account in the 206 annual adjustment filing, for refund to ratepayers over the twelve months commencing January, 207. Horizon Utilities reports on its results for 205 in this annual filing, the first year for which the ESM is in place. Regulatory net income and ROE reported for 205 for the purposes of earnings sharing are $7,707,474 and 9.275% respectively as identified in Table 2 below. The compares to the regulatory net income and ROE of $7,422,493 and 9.30% approved in Horizon Utilities Custom IR Application. Horizon Utilities did not incur earnings in excess of the 205 approved ROE and as such has not established, or made an entry to, the ESM deferral account 508 Sub-account Earnings Sharing Variance Account. Horizon Utilities seeks approval for the calculation of its 205 achieved ROE of 9.275% for the purposes of earnings sharing. Detailed calculations are provided on page 43.

21 EB Horizon Utilities Corporation Annual Filing Update Filed: August, 206 Page 6 of 69 Table Regulatory Net Income and ROE Custom IR 205 Actuals 205 Regulatory ROE Application ESM EB Regulatory Net Income $2,303,9 $20,859,30 Current Income Taxes - Current Period $3,596,437 $3,336,809 Regulatory Net Income $7,707,474 $7,522,493 Deemed Equity $90,920,52 $88,43,90 Return on Equity 9.275% 9.300% o Rate of Return in Excess of Board Approved ROE % Capital Investment Variance Account The Settlement Agreement provided for the introduction of a deferral account (508 Sub-account Capital Additions Variance Account, referred to in the Settlement Proposal as the Capital Investment Variance Account, or CIVA ) to refund to ratepayers any difference in the revenue requirement should in-service capital additions be lower than, or the pacing of capital additions be slower than, forecast over the period. The Parties agreed to track variances in the revenue requirement due to variances in the capital budget. Over the term of the plan, if Horizon Utilities spends less than its capital forecast, the reduced revenue requirement impact of this will be returned to customers. The Parties agreed, and the OEB approved, that the CIVA balance would be disposed of following the end of the five-year Custom IR term, if applicable. Horizon Utilities reports on its capital additions for 205 in this Annual Filing. 205 is the first year Horizon Utilities is required to track variances in the revenue requirement due to variances in the capital budget. As identified in Table 3 below, Horizon Utilities actual capital additions for 205 were $46,643,26, $8,328,692 higher than the capital additions of $38,34,524 forecast in its Custom IR Application. Therefore, Horizon Utilities has not established, or made an entry to, Referred to as the Capital Expenditure Variance Account in the Decision of the Board dated December, 205.

22 EB Horizon Utilities Corporation Annual Filing Update Filed: August, 206 Page 7 of the 508 Sub-account Capital Investment Variance Account ( CIVA ). Actual capital additions for 205 of $46,643,26 are consistent with Horizon Utilities RRR Capital filed April 29, 206. Forecasted capital additions for 205 of $38,34,524 were approved by the Board in Horizon Utilities Settlement Agreement for its Custom IR Application (refer to Settlement Table 9, page 33). Horizon Utilities seeks approval of its 205 capital additions of $46,643,26 as reported in its RRR Capital filed April 29, 206 for the purpose of calculating the 205 entry to the CIVA. Table Capital Additions 205 Actual vs. Custom IR Application 205 Capital Additions Actuals Custom IR Application EB Actuals vs. EB Gross Capital Additions $5,750,56 $42,947,524 $8,802,992 Less Capital Contributions $5,07,300 $4,633,000 ($474,300) Net Capital Additions $46,643,26 $38,34,524 $8,328, o Efficiency Adjustment The Settlement Agreement included an Efficiency Adjustment which is intended to incent Horizon Utilities to maintain or improve its cohort position based on the Board s Empirical Research in Support of Incentive Rate-Setting: 203 Benchmarking Update for determination of Stretch Factor Assignments for 205 dated August 4, 204 (August 4, 204 Report). The Efficiency Adjustment applies in the event that Horizon Utilities is placed in a less efficient cohort than the Starting Point in any year during the Custom IR term. The August 4, 204 Report placed Horizon Utilities in Group III among Ontario distributors for the purpose of calculating stretch factors for 205. The Group III Cohort is therefore the Starting Point for the rate plan. The Efficiency Factor is calculated by the difference between the Stretch Factor of the Starting Point and the Stretch Factor of the Ending Point. This Efficiency Factor is multiplied by the given rate year plan revenue requirement to provide a dollar adjustment for the

23 EB Horizon Utilities Corporation Annual Filing Update Filed: August, 206 Page 8 of purpose of calculating rates for that year as explained on page 3 of the Settlement Agreement: As an example, if Horizon Utilities Starting Point cohort is Group III and it moves to Group IV (Ending Point) in 206, the Efficiency Adjustment for 206 would be determined as (0.30% less 0.45%) * $3,484,693 = $70,227. If Horizon Utilities subsequently returns to the Starting Point cohort, no adjustment is made for that subsequent year. If Horizon Utilities remains in a lower cohort than the Starting Point, there will be an Efficiency Factor adjustment in each year that continues to be true. The OEB issued the Board s Empirical Research in Support of Incentive Rate- Setting: 205 Benchmarking Update for determination of Stretch Factor Assignments for 206 dated August 4, 206 (August 4, 206 Report). The August 4, 206 Report placed Horizon Utilities in Group III among Ontario distributors for the purposes of calculating stretch factors for 207. Horizon Utilities Starting Point is Cohort III; the Ending Point is also Cohort III. No Efficiency Adjustment should be made to the revenue requirement for the 207 Rate Year as per the Settlement Agreement. o The Settlement Agreement provided for the creation of a deferral account (508 Sub-account Special Studies ) to record costs related to the development (including related intervenor costs) of a Specific Service Charge study to determine the appropriateness of, and any necessary changes to Horizon Utilities Specific Service Charges. Horizon Utilities confirms that at this time no studies have commenced; there are no costs recorded in this account to date o Horizon Utilities confirms that there are no additional annual adjustments identified by the Board in the Custom IR Application process Models Horizon Utilities has included the following live models with this Annual Filing: Revenue Requirement Work Form Model filed as Appendix D Horizon Utilities has updated the 207 Revenue Requirement Work Form v 7.02, as approved by the Board in

24 EB Horizon Utilities Corporation Annual Filing Update Filed: August, 206 Page 9 of 69 2 the Decision on its Custom IR Application, to include the updates as the result of changes to the Cost of Power flow-through costs and Cost of Capital parameters; Cost Allocation Model filed as Appendix G Horizon Utilities has updated the 207 Cost Allocation Model using the Board s v 3.4 Cost Allocation Model issued on July 2, 206, to include the updates as the result of (i) changes to the Cost of Power flow-through costs and Cost of Capital parameters; and (ii) the new Cost Allocation Policy. Appendix H provides a summary of the proposed Fixed and Variable percentages for 207; RTSR Work Form - Horizon Utilities has updated the 207 RTSR Work Form v., filed as Appendix I, to incorporate i) Hydro One 206 UTRs and STRs approved by the OEB on January 4, 206; and ii) an update to Horizon Utilities demand from 204 to 205 actual values; Income Tax/Payments in Lieu of Taxes ( PILs ) Work Form Horizon Utilities has updated the 207 Income Tax/PILs Work Form v.02, filed as Appendix E, as approved by the Board in the Decision on the Custom IR Application, to include changes to PILs as a result of the changes to the revenue requirement from the update to the Cost of Power flowthrough costs and the Cost of Capital parameters; and Deferral and Variance Account (Continuity Schedule) Work Form Horizon Utilities has updated version 2.7 of the Board s Deferral and Variance Account (Continuity Schedule) Work Form, filed as Appendix F, to request the approval of the disposition of Group Deferral and Variance Account balances and associated carrying charges Horizon Utilities did not make any material changes to the approved Work Forms and Models from the Board s Decision on the Custom IR Application, with the exception of: (i) any updates to model versions released by the Board; (ii) any updates as the result of changes to the Cost of Power flow-through costs and Cost of Capital parameters; and (iii) the implementation of the new Cost Allocation Policy. Cost Allocation and Rate Design Overview For its 205 Custom IR Application, Horizon Utilities prepared a cost allocation model for each of the five years in the rate plan term using the OEB s v 3. Cost Allocation Model ( Board 3. CA Model ) in accordance with the internal documentation contained in that model. The Board s 3. CA Models were used to determine each rate class proportion of Horizon Utilities total revenue

25 EB Horizon Utilities Corporation Annual Filing Update Filed: August, 206 Page 20 of requirement in each year. The revenue-to-cost ratios for each class for each of the rate plan years were determined using the total revenues over costs in each respective year. Horizon Utilities engaged Elenchus Research Associates ( Elenchus ) to review the cost allocation models for its 205 Custom IR Application. Based on this review, Horizon Utilities implemented refinements to: i) its definition of customer classes; ii) the methodology used to identify primary and secondary assets; iii) the allocators for customer classes based on more current load profile information; and iv) the ratio of street lighting devices per connection based on a physical count of devices and connections in the Hamilton service area. The OEB accepted Horizon Utilities update of the ratio of devices to connections in its Decision and Order for Utilities Custom IR Application. On June 2, 205, the OEB issued a letter titled Issuance of New Cost Allocation Policy for Street Lighting Rate Class ( Board Letter ) and a study, Cost Allocation to Different Types of Street Lighting Configurations (the Navigant Study ). The Board Letter summarizing the Board s revised policy states at page : A new street lighting adjustment factor will be used to allocate costs to the street lighting rate class for primary and line transformer assets. The street lighting adjustment factor replaces the number of connections allocator. The OEB will implement the policy changes during either a distributor s cost of service or custom incentive rate-setting (Custom IR) application, with a few exceptions as discussed below. As a related matter, effective immediately the OEB is narrowing the revenue to cost ratio policy range for the street lighting rate class from the range of 70%-20% to 80%-20%. This change is consistent with views expressed in the Report of the Board: Review of Cost Allocation for Unmetered Loads (Unmetered Loads Report), issued December 9, 203. At page 3, the Board Letter states that The OEB adopts the recommendations included in the Navigant study for the allocation of costs associated with the different street lighting configurations. The Navigant recommendations are summarized at page 23 of the Navigant Report:

26 EB Horizon Utilities Corporation Annual Filing Update Filed: August, 206 Page 2 of The allocation of the primary and line transformer assets and related costs to street lighting be calculated using a newly devised street lighting adjustment factor instead of the existing allocation that is based on number of street lighting connections. 2. The street lighting adjustment factor is calculated as the ratio of i) the four highest monthly non coincident peak demands (NCP4) for the residential customer class divided by the number of residential customers, and ii) the NCP4 for the street lighting customer class divided by the number of streetlight devices. 3. No change for the allocation of the secondary assets and related costs, which is based on the number of connections. In its 206 Annual Filing, Horizon Utilities updated its 206 cost allocation model with the street lighting adjustment factor ( SLAF ). In its Decision and Order, the OEB accepted Horizon Utilities update for the SLAF and was satisfied that Horizon Utilities had updated the policy correctly. Horizon Utilities also proposed to update the load profile for the street lighting class to include a reduction in load for the City of Hamilton as a result of its conversion in 205 to light emitting diodes (LEDs). The impact of these two changes resulted in an increase in the RCR for the street lighting class from 8.35% to 60.09%. The policy in this circumstance would be to move the Street Lighting class to the top end of the Board Approved range which would result in a 20% RCR for the Street Lighting class. Horizon Utilities submitted that the street lighting class had experienced substantial rate volatility over the years and proposed to reduce the RCR to 00%. In its Decision and Order for Horizon Utilities 206 Annual Filing the OEB directed that the implementation of a RCR of 00% for street light class should be phased in, as has been the past practice, starting with a move to 20% for 206. Moving the RCR to 00% should be done over subsequent years at a reduction of 6.6% per year for three years. This progression will assist in gradually phasing in the change. With respect to updating load profiles approved in Horizon Utilities Custom IR Application, the OEB did not accept Horizon Utilities proposal to update the load profile used for the street lighting class in the cost allocation model. The OEB stated in its Decision and Order for Horizon Utilities 206 Annual Filing that while the use of up to date data is preferable, there is no advantage to selective updating. Until data that is more accurate is available for all classes, Horizon must continue to use the existing load profiles for the purpose of its cost allocation model.

27 EB Horizon Utilities Corporation Annual Filing Update Filed: August, 206 Page 22 of As a result of, and in accordance with, the OEB s Decision and Order on its 206 Annual Filing, the 206 Cost Allocation and Rate Design models were based on the Custom IR decision and updated to (i) include the Street Lighting Adjustment Factor ( SLAF ), consistent with the Board s new Cost Allocation Policy; and (ii) include a RCR of 20% for the Street Lighting class for 206. Horizon Utilities also requested approval of its cost allocation models for 207 to 209 in its 206 Annual Filing. These models were based on the Custom IR Decision and updated to include the Street Lighting Adjustment Factor ( SLAF ), consistent with the Board s new Cost Allocation Policy. The OEB approved this request and stated in its Decision and Order that Subject to the findings in this Decision and any changes in policy or cost allocation models that the OEB directs utilities to implement during a Custom IR rate plan term, the OEB approves Horizon's cost allocation models for Cost Allocation Horizon Utilities has completed the OEB s 3.4 Cost Allocation Model ( Board 3.4 CA Model ) for 207 and, in accordance with the OEB s Decision on Horizon Utilities 206 Annual Filing, has incorporated (i) the new SLAF as identified in Table 4 below; and (ii) the load profile for the Street Lighting class which was approved in Horizon Utilities Custom IR Application. For ease of reference and comparison purposes, the Street Lighting Adjustment Factor calculated and approved by the OEB for 206 is identified in Table 5 below. Table Street Lighting Adjustment Factor 2 Primary System Customers Average NCP4 (per Customer NCP4 or Devices or Device) Residential,480, , Street Lighting 38,062 52, Street Lighting Adjustment Factor (Primary System) 9.086

28 EB Horizon Utilities Corporation Annual Filing Update Filed: August, 206 Page 23 of 69 Table Street Lighting Adjustment Factor Primary System Customers Average NCP4 (per Customer NCP4 or Devices or Device) Residential,478, , Street Lighting 38,05 52, Street Lighting Adjustment Factor (Primary System) 9.64 Horizon Utilities has calculated the 207 Street Lighting Adjusted Connections based on the SLAF in Table 6 below. Table Street Lighting Adjusted Connections Number of Devices (A) 52,328 Street Lighting Adjustment Factor (B) Street Lighting Adjusted Connections C=A/B 5,759 Horizon Utilities provides a comparison of the total costs allocated from the Cost Allocation Model as approved in the Custom IR Decision compared to the total costs per the revised Cost Allocation methodology i.e. inclusive of the SLAF in Table 7 below. Please refer to page 40 for an explanation of the increase in revenue requirement. Table 7 Total 207 Costs Allocated from Cost Allocation Model 2 Rate Class 207 Board Approved EB Increase/ (Decrease) 207 Proposed Residential $72,230,86 $74,99,829 $,968,967 GS < 50kW $6,393,592 $6,536,260 $42,667 GS > 50 to 4999kW $23,897,45 $23,847,386 ($50,028) Standby $,67,256 $,62,370 ($4,887) LU () $2,35,753 $2,342,756 ($8,998) LU (2) $,240,79 $,239,652 ($,067) Sentinel Lights $45,644 $49,099 $3,455 Street Lighting $3,438,328 $,804,37 ($,634,90) Unmetered and Scattered Load $397,74 $423,885 $26,7 Total Base Revenue Requirement $2,62,742 $2,605,372 $442,63. Appendix I of Horizon Utilities' Draft Rate Order, dated December 8, 204

29 EB Horizon Utilities Corporation Annual Filing Update Filed: August, 206 Page 24 of Class Revenue to Cost Ratios The results of a cost allocation study are typically presented in the form of revenue-to-cost ratios. This is shown by rate class and is the ratio of distribution revenue collected by rate class compared to the costs allocated to the class. A ratio lower than the bottom of the Board range for the revenue-to-cost ratio for that rate class indicates the rate class is under-contributing and is being subsidized by other classes of customers. A ratio greater than the Board s top end of the range indicates the rate classification is overcontributing and is subsidizing other classes of customers. Horizon Utilities provides a comparison of the 207 Board Approved RCRs and the 207 RCRs updated for the SLAF from the Cost Allocation Model in Table 8 below. Table Revenue to Cost Ratios before Rate Design from Cost Allocation Model Rate Class 207 Rate Design and Rate Design Steps 207 Board Approved EB Before Rate Design 207 Inclusive of SLAF Before Rate Design OEB Approved Range Residential 03.6% 0.46% 85%-5% GS < 50kW 98.38% 98.98% 80%-20% GS > 50 to 4999kW 94.32% 96.07% 80%-20% Standby 7.72% 73.04% 80%-20% LU () 2.36% 3.25% 85%-5% LU (2) 66.7% 67.45% 85%-5% Sentinel Lights 98.77% 93.6% 80%-20% Street Lighting 82.43% 20.60% 80%-20% Unmetered and Scattered Load 9.88% 4.47% 80%-20%. Appendix I of Horizon Utilities' Draft Rate Order, dated December 8, 204 In addition to the implementation of the SLAF, the OEB directed Horizon Utilities to reduce the RCR for the Street Lighting Class from 20% in 206 by 6.6% per year in each of 207 to 209 as previously discussed. Horizon Utilities has updated its rate design model for 207 to include a RCR 3.33% for the Street Lighting class. This corresponds to an increase in the RCR of

30 EB Horizon Utilities Corporation Annual Filing Update Filed: August, 206 Page 25 of % as compared to the RCR of 82.43% used in the Custom IR Decision and prior to the revised Cost Allocation methodology. As identified in Table 8 above, the 207 RCR ratio in the 207 cost allocation model inclusive of the SLAF was 20.60%. As such the first step in the rate design for 207 was to reduce the RCR for the street lighting class from 20.60% to 3.33%. The next step was to adjust the RCR for those rate classes that were outside of the Board s Policy Range to the upper or lower end of the range, as applicable. The RCR for the LU (2) class was adjusted from 67.45% to 85.00%. The net effect of these two changes was a revenue sufficiency. The associated revenue sufficiency was then allocated by way of an equal percentage to all rate classes that were above 00 percent RCR, with the exclusion of the Standby Class. This is consistent with Horizon Utilities approach in its Custom IR Application. This approach was approved by the OEB in the Decision on the Application 2. Further, the OEB also approved setting a standby charge that is equal to the variable charge proposed for the GS > 50 kw class (where most users of standby generation reside), in that Decision. Similarly, for comparison purposes, the Standby Rate for the LU () and LU (2) classes are adjusted, consistent with the Decision of the OEB in the Custom IR Application. The adjusted 207 revenue-to-cost ratios, inclusive of the SLAF and the necessary adjustments to move the revenue-to-cost ratios to within the OEB approved ranges are identified in the table below. In the process of setting the standby charge equal to the variable charge for the GS > 50 kw class, the revenue to cost ratio falls outside the Board range, consistent with the methodology as approved in the Decision on the Custom IR Application. 2 Page 0 of Horizon Utilities Decision and Order, dated December, 204

31 EB Horizon Utilities Corporation Annual Filing Update Filed: August, 206 Page 26 of 69 Table Revenue to Cost Ratios after Rate Design Rate Class Horizon Utilities provides a comparison of the costs and revenues by class after the implementation of the rate design steps above, in Table 0. The resulting 207 proposed base revenue amounts identified in Table below are used to derive the proposed distribution charges in this Annual Filing. 207 Board Approved EB After Rate Design Table Proposed Revenues and Costs 207 Inclusive of SLAF After Rate Design OEB Approved Range Residential 03.30% 0.35% 85%-5% GS < 50kW 98.38% 98.98% 80%-20% GS > 50 to 4999kW 94.32% 96.07% 80%-20% Standby 7.62% 73.04% 80%-20% LU () 2.02% 3.2% 85%-5% LU (2) 85.00% 85.00% 85%-5% Sentinel Lights 98.77% 93.6% 80%-20% Street Lighting 82.43% 3.33% 80%-20% Unmetered and Scattered Load 9.52% 4.35% 80%-20%. Appendix I of Horizon Utilities' Draft Rate Order, dated December 8, Rate Class 207 Proposed 207 Proposed Revenue vs. Revenues Costs Cost $ RCR Residential $75,200,824 $74,99,829 $,000, % GS < 50kW $6,367,765 $6,536,260 ($68,494) 98.98% GS > 50 to 4999kW $22,90,02 $23,847,386 ($937,365) 96.07% Standby $847,562 $,62,370 ($34,808) 72.92% LU () $2,650,202 $2,342,756 $307, % LU (2) $,053,704 $,239,652 ($85,948) 85.00% Sentinel Lights $45,96 $49,099 ($3,38) 93.6% Street Lighting $2,044,629 $,804,37 $240, % Unmetered and Scattered Load $484,704 $423,885 $60, % Total $2,605,372 $2,605,372 $0

32 EB Horizon Utilities Corporation Annual Filing Update Filed: August, 206 Page 27 of 69 Table 207 Base and Service Revenue Requirement by Class Rate Class Horizon Utilities seeks OEB approval of: i) the steps outlined above on the implementation of the Street Lighting Adjustment Factor; and ii) the resulting Rate Design and just and reasonable rates. For illustrative purposes Horizon Utilities has completed cost allocation and rate design for 208 and 209 to incorporate the inclusion of the SLAF and the reduction of 6.6% per year in the RCR for the Street Lighting class. 208 Cost Allocation and Rate Design Horizon Utilities has completed the Board s 3.4 CA Model for 208 to include the new SLAF as identified in Table 2 below. 207 Proposed Base Revenue Requirement Table Street Lighting Adjustment Factor 207 Proposed Miscellaneous Revenue 207 Proposed Service Revenue Requirement Residential $7,373,807 $3,827,07 $75,200,824 GS < 50kW $5,689,093 $678,672 $6,367,765 GS > 50 to 4999kW $2,949,93 $960,828 $22,90,02 Standby $796,458 $5,04 $847,562 LU () $2,509,603 $40,599 $2,650,202 LU (2) $,032,899 $20,805 $,053,704 Sentinel Lights $43,07 $2,890 $45,96 Street Lighting $,999,469 $45,60 $2,044,629 Unmetered and Scattered Load $455,842 $28,862 $484,704 Total $5,849,435 $5,755,938 $2,605, Primary System Customers Average NCP4 (per Customer NCP4 or Devices or Device) Residential,487, , Street Lighting 38,04 52, Street Lighting Adjustment Factor (Primary System) Horizon Utilities has calculated the 208 Street Lighting Adjusted Connections based on the SLAF in Table 3 below.

33 EB Horizon Utilities Corporation Annual Filing Update Filed: August, 206 Page 28 of 69 Table Street Lighting Adjusted Connections Number of Devices (A) 52,300 Street Lighting Adjustment Factor (B) Street Lighting Adjusted Connections C=A/B 5,780 Horizon Utilities provides a comparison of the total costs allocated from the Cost Allocation Model as approved in the Custom IR Decision compared to the total costs per the revised Cost Allocation methodology (i.e. inclusive of the SLAF) in Table 4 below. Table 4 Total 208 Costs Allocated from Cost Allocation Model Rate Class 208 Board Approved EB Horizon Utilities provides a comparison of the 209 Board Approved RCRs and the 209 RCRs updated for the SLAF from the Cost Allocation Model in Table 5 below. Increase/ (Decrease) 208 Proposed Residential $72,00,565 $73,724,394 $,722,830 GS < 50kW $6,49,690 $6,235,38 $85,628 GS > 50 to 4999kW $24,998,73 $24,847,866 ($50,865) Standby $,98,889 $,88,424 ($0,465) LU () $2,386,689 $2,367,259 ($9,430) LU (2) $,74,754 $,67,747 ($7,007) Sentinel Lights $44,986 $48,80 $3,95 Street Lighting $3,432,78 $,784,045 ($,648,736) Unmetered and Scattered Load $39,436 $46,287 $24,85 Total Base Revenue Requirement $2,779,520 $2,779,520 ($0). Appendix I of Horizon Utilities' Draft Rate Order, dated December 8, 204

34 EB Horizon Utilities Corporation Annual Filing Update Filed: August, 206 Page 29 of 69 Table Revenue to Cost Ratios before Rate Design from Cost Allocation Model Rate Class 208 Board Approved EB Before Rate Design The adjusted 208 revenue-to-cost ratios, inclusive of the new SLAF, and the necessary adjustments to move the revenue-to-cost ratios to the OEB approved target or to within the OEB approved ranges are identified in Table 6 below. Table Revenue to Cost Ratios after Rate Design 208 Inclusive of SLAF Before Rate Design OEB Approved Range Residential 04.2% 02.27% 85%-5% GS < 50kW 00.06% 00.72% 80%-20% GS > 50 to 4999kW 90.62% 92.5% 80%-20% Standby 7.86% 73.09% 80%-20% LU ().08% 2.05% 85%-5% LU (2) 90.84% 90.79% 85%-5% Sentinel Lights 97.59% 92.35% 80%-20% Street Lighting 82.60% 3.83% 80%-20% Unmetered and Scattered Load 20.24% 4.90% 80%-20%. Appendix I of Horizon Utilities' Draft Rate Order, dated December 8, Board Approved Rate Class EB Inclusive 7 8 After Rate of SLAF After OEB Approved 9 Design Rate Design Range Residential GS < 50kW 04.2% 00.06% 02.27% 00.72% 85%-5% 0 80%-20% GS > 50 to 4999kW 90.63% 92.63% 80%-20% Standby 7.86% 73.09% 80%-20% LU ().08% 2.04% 85%-5% 2 LU (2) 90.84% 9.27% 85%-5% Sentinel Lights 97.59% 92.8% 80%-20% Street Lighting 82.60% 06.66% 80%-20% Unmetered and Scattered Load % 80%-20%. Appendix I of Horizon Utilities' Draft Rate Order, dated December 8, 204

35 EB Horizon Utilities Corporation Annual Filing Update Filed: August, 206 Page 30 of Table 7 provides 208 comparative information on calculated base revenue amounts used to derive proposed distribution charges. Table Proposed Revenues and Costs Rate Class 208 Proposed 208 Proposed Revenue vs. Revenues Costs Cost $ RCR Residential $75,395,5 $73,724,394 $,670, % GS < 50kW $6,35,49 $6,235,38 $6, % GS > 50 to 4999kW $23,05,686 $24,847,866 ($,832,80) 92.63% Standby $873,3 $,88,424 ($35,293) 73.47% LU () $2,652,376 $2,367,259 $285,7 2.04% LU (2) $,065,780 $,67,747 ($0,968) 9.27% Sentinel Lights $44,76 $48,80 ($3,464) 92.8% Street Lighting $,902,863 $,784,045 $8, % Unmetered and Scattered Load $478,327 $46,287 $62, % Total $2,779,520 $2,779,520 $0 209 Cost Allocation and Rate Design Horizon Utilities has completed the Board s 3.4 CA Model for 209 to include the new SLAF as identified in Table 8 below. Table Street Lighting Adjustment Factor Primary System Customers Average NCP4 (per Customer NCP4 or Devices or Device) Residential,492, , Street Lighting 38,022 52, Street Lighting Adjustment Factor (Primary System) 9.00 Horizon Utilities has calculated the 209 Street Lighting Adjusted Connections based on the SLAF in Table 9 below. Table Street Lighting Adjusted Connections 3 Number of Devices (A) 52,273 Street Lighting Adjustment Factor (B) 9.00 Street Lighting Adjusted Connections C=A/B 5,802

36 EB Horizon Utilities Corporation Annual Filing Update Filed: August, 206 Page 3 of Horizon Utilities provides a comparison of the total costs allocated from the Cost Allocation Model as approved in the Custom IR Decision compared to the total costs per the revised Cost Allocation methodology (i.e. inclusive of the SLAF) in Table 20 below. Table 20 Total 209 Costs Allocated from Cost Allocation Model Rate Class 209 Board Approved EB Horizon Utilities provides a comparison of the 209 Board Approved RCRs and the 209 RCRs updated for the SLAF from the Cost Allocation Model in Table 2 below. Increase/ (Decrease) 209 Proposed Residential $74,896,902 $76,637,556 $,740,655 GS < 50kW $6,942,996 $7,02,67 $78,675 GS > 50 to 4999kW $24,455,048 $24,306,922 ($48,27) Standby $,259,659 $,248,682 ($0,977) LU () $2,477,96 $2,457,79 ($20,70) LU (2) $,54,24 $,48,095 ($6,9) Sentinel Lights $45,428 $48,66 $3,88 Street Lighting $3,55,372 $,853,48 ($,662,224) Unmetered and Scattered Load $397,736 $422,836 $25,00 Total Base Revenue Requirement $25,45,37 $25,45,37 $0. Appendix I of Horizon Utilities' Draft Rate Order, dated December 8, 204 Table Revenue to Cost Ratios before Rate Design from Cost Allocation Model 9 Rate Class 209 Board Approved EB Before Rate Design 209 Inclusive of SLAF Before Rate Design OEB Approved Range Residential 03.03% 0.25% 85%-5% GS < 50kW 97.8% 98.30% 80%-20% GS > 50 to 4999kW 95.07% 97.09% 80%-20% Standby 7.94% 73.49% 80%-20% LU () 0.0% 0.87% 85%-5% LU (2) 95.64% 95.93% 85%-5% Sentinel Lights 96.08% 9.29% 80%-20% Street Lighting 82.44% 04.94% 80%-20% Unmetered and Scattered Load 9.76% 4.5% 80%-20%. Appendix I of Horizon Utilities' Draft Rate Order, dated December 8, 204

37 EB Horizon Utilities Corporation Annual Filing Update Filed: August, 206 Page 32 of The adjusted 209 revenue-to-cost ratios, inclusive of the new SLAF, and the necessary adjustments to move the revenue-to-cost ratios to the OEB approved target or to within the OEB approved ranges are identified in Table 22 below. Table Revenue to Cost Ratios after Rate Design Rate Class Table 23 provides 209 comparative information on calculated base revenue amounts used to derive proposed distribution charges. 209 Board Approved EB After Rate Design Table Proposed Revenues and Costs 209 Inclusive of SLAF After Rate Design OEB Approved Range Residential 03.03% 0.25% 85%-5% GS < 50kW 97.8% 98.52% 80%-20% GS > 50 to 4999kW 95.08% 97.3% 80%-20% Standby 7.77% 73.49% 80%-20% LU () 0.0% 0.87% 85%-5% LU (2) 95.64% 96.7% 85%-5% Sentinel Lights 96.08% 9.49% 80%-20% Street Lighting 82.44% 0 80%-20% Unmetered and Scattered Load 9.76% 4.5% 80%-20%. Appendix I of Horizon Utilities' Draft Rate Order, dated December 8, 204 Rate Class 209 Proposed 209 Proposed Revenue vs. Revenues Costs Cost $ RCR Residential $77,596,395 $76,637,556 $958, % GS < 50kW $6,768,99 $7,02,67 ($252,752) 98.52% GS > 50 to 4999kW $23,65,94 $24,306,922 ($655,008) 97.3% Standby $97,226 $,248,682 ($33,456) 73.46% LU () $2,724,948 $2,457,79 $267, % LU (2) $,04,4 $,48,095 ($43,98) 96.7% Sentinel Lights $44,477 $48,66 ($4,39) 9.49% Street Lighting $,853,48 $,853,48 $0 0 Unmetered and Scattered Load $484,76 $422,836 $6, % Total $25,45,37 $25,45,37 $0 Table 24 below provides a comparison of the RCRs for 206 to 209 updated for the SLAF and the reduction in the RCR for the Street Lighting Class from 20% in 206 to 00% in 209.

38 EB Horizon Utilities Corporation Annual Filing Update Filed: August, 206 Page 33 of Table to 209 RCRs updated for the SLAF Rate Class New Distribution Rate Design 206 Inclusive of SLAF After Rate Design The New Distribution Rate Design for Residential customers, issued by the OEB on April 2, 205, confirmed that rates for Residential customers will be migrated to a fixed monthly distribution charge over a four-year transition period commencing in 206 and ending in 209. The Board directed that Each distributor will determine its fully fixed charge and will make equal increases in the fixed charge over four years to get to the fully fixed charge. At the same time, the usage charge will be reduced in order to keep the distributor revenue-neutral. Horizon Utilities incorporated the first year transition adjustment in its proposed rates for 206 in a manner consistent with OEB policy. As per the Decision Order for the 206 Annual Filing: The OEB finds that Horizon has correctly implemented the OEB s policy on distribution rate design for residential customers. The OEB expects that all distributors will transition to fixed rates in equal increments over a four- year period. 207 Inclusive of SLAF After Rate Design 208 Inclusive of SLAF After Rate Design 209 Inclusive of SLAF After Rate Design Horizon Utilities has incorporated the second year transition adjustment for its proposed rates for 207. The Residential portion of the proposed 207 base revenue requirement to which the new distribution rate design applies is $7,374,49 as identified in the table below. OEB Approved Range Residential 0.47% 0.35% 02.27% 0.25% 85%-5% GS < 50kW 98.87% 98.98% 00.72% 98.52% 80%-20% GS > 50 to 4999kW 94.92% 96.07% 92.63% 97.3% 80%-20% Standby 74.6% 73.04% 73.09% 73.49% 80%-20% LU () 3.50% 3.2% 2.04% 0.87% 85%-5% LU (2) 86.53% 85.00% 9.27% 96.7% 85%-5% Sentinel Lights 95.02% 93.6% 92.8% 9.49% 80%-20% Street Lighting % 06.66% 0 80%-20% Unmetered and Scattered Load 4.42% 4.35% 4.90% 4.5% 80%-20%

39 EB Horizon Utilities Corporation Annual Filing Update Filed: August, 206 Page 34 of Table 25 - Base Revenue Requirement by Rate Class 207 Proposed Rate Class Revenue Requirement Residential $7,373,807 GS < 50kW $5,689,093 GS > 50 to 4999kW $2,949,93 Standby $796,458 LU () $2,509,603 LU (2) $,032,899 Sentinel Lights $43,07 Street Lighting $,999,469 Unmetered and Scattered Load $455,842 Total Base Revenue Requirement $5,849,435 Horizon Utilities has completed Appendix 2-PA for 207, 208, and 209 issued by the Board on July 6, 205, as identified in Tables 26, 27, and 28 below. As identified in Table 28 below, Horizon Utilities fully fixed charge in 209 for Residential customers is $26.95/month, exclusive of annual adjustments in 208 and 209. This indicative fixed charge is based on Horizon Utilities 209 base revenue requirement of $9,9,48 and the 209 Residential customer count of 227,762 as approved in Horizon Utilities Custom IR Application. For purposes of Rate Design, Horizon Utilities has used the fixed/variable percentage as calculated in 2-PA for the derivation of Residential fixed and variable distribution rates. Horizon Utilities has calculated the 207 distribution rates for all other rate classes using the normal formulaic derivation.

40 EB Horizon Utilities Corporation Annual Filing Update Filed: August, 206 Page 35 of 69 Table 26 Appendix 2-PA 207 New Rate Design Policy for Residential Customers Please complete the following tables. A) Data Inputs Test Year Billing Determinants for Residential Class Customers 224,088 kwh,639,722,296 Proposed Residential Class Specific $ 7,373,807 Revenue Requirement Residential Base Rates on Current Tariff Monthly Fixed Charge ($) 8.80 Distribution Volumetric Rate ($/kwh) 0.02 B) Current Fixed/Variable Split Base Rates Billing Determinants Revenue % of Total Revenue Fixed ,088 $ 50,554, % Variable 0.02,639,722,296 $ 9,840, % TOTAL - - $ 70,394, C) Calculating Test Year Base Rates Number of Required Rate Design Policy Transition Years 2 3 Reconciliation - Test Test Year Test Year Base Year Base Current F/V Split Current F/V Split Current F/V Split Fixed $ 5,257, $ 5,253,468 Variable $ 20,6, $ 20,68,584 TOTAL $ 7,373,807 - $ 7,422,053 New F/V Split new F/V Split Final Adjusted Base Rates Revenue Adjusted Rates Fixed 8.2% $ 57,962, $ 57,976,6 Variable 8.79% $ 3,4, $ 3,445,723 TOTAL - $ 7,373,807 - $ 7,42,839 Checks 3 Change in Fixed Rate $ 2.50 Difference Between Proposed Rates and Class Specific Revenue Requirement Notes: $ 48, % The final residential class specific revenue requirement, as shown in Appendix 2-P, should be used (i.e. the revenue requirement after any proposed adjustments to R/C ratios). 2 Default number of transition years for rate design policy change is 4. Where the change in the residential rate design will result in the fixed charge increasing by more than $4/year, a distributor may propose an additional transition year. 2 3 Change in fixed rate due to rate design policy should be less than $4. The difference between the proposed class revenue requirement and the revenue at calculated base rates should be minimal (i.e. should be reasonably considered as a rounding error)

41 EB Horizon Utilities Corporation Annual Filing Update Filed: August, 206 Page 36 of 69 Table 27 Appendix 2-PA 208 New Rate Design Policy for Residential Customers Please complete the following tables. A) Data Inputs Test Year Billing Determinants for Residential Class Customers 225,98 kwh,646,663,057 Proposed Residential Class Specific $ 7,509,39 Revenue Requirement Residential Base Rates on Current Tariff Monthly Fixed Charge ($) 2.56 Distribution Volumetric Rate ($/kwh) B) Current Fixed/Variable Split Base Rates Billing Determinants Revenue % of Total Revenue Fixed ,98 $ 58,465, % Variable ,646,663,057 $ 3,502, % TOTAL - - $ 7,968,533 - C) Calculating Test Year Base Rates Number of Required Rate Design Policy Transition Years 2 2 Reconciliation - Test Test Year Test Year Base Year Base Current F/V Split Current F/V Split Current F/V Split Fixed $ 58,092, $ 58,086,247 Variable $ 3,46, $ 3,337,97 TOTAL $ 7,509,39 - $ 7,424,28 New F/V Split new F/V Split Final Adjusted Base Rates Revenue Adjusted Rates Fixed 90.62% $ 64,80, $ 64,8,452 Variable 9.38% $ 6,708, $ 6,75,39 TOTAL - $ 7,509,39 - $ 7,562,770 Checks 3 Change in Fixed Rate $ 2.48 Difference Between Proposed Rates and Class Specific Revenue Requirement Notes: $ 53, % The final residential class specific revenue requirement, as shown in Appendix 2-P, should be used (i.e. the revenue requirement after any proposed adjustments to R/C ratios). 2 Default number of transition years for rate design policy change is 4. Where the change in the residential rate design will result in the fixed charge increasing by more than $4/year, a distributor may propose an additional transition year. 2 3 Change in fixed rate due to rate design policy should be less than $4. The difference between the proposed class revenue requirement and the revenue at calculated base rates should be minimal (i.e. should be reasonably considered as a rounding error)

42 EB Horizon Utilities Corporation Annual Filing Update Filed: August, 206 Page 37 of 69 Table 28 Appendix 2-PA 209 New Rate Design Policy for Residential Customers Please complete the following tables. A) Data Inputs Test Year Billing Determinants for Residential Class Customers 227,762 kwh,652,79,93 Proposed Residential Class Specific $ 73,649,655 Revenue Requirement Residential Base Rates on Current Tariff Monthly Fixed Charge ($) Distribution Volumetric Rate ($/kwh) B) Current Fixed/Variable Split Base Rates Billing Determinants Revenue % of Total Revenue Fixed ,762 $ 65,322, % Variable 0.004,652,79,93 $ 6,776, % TOTAL - - $ 72,098,46 - C) Calculating Test Year Base Rates Number of Required Rate Design Policy Transition Years 2 Reconciliation - Test Test Year Test Year Base Year Base Current F/V Split Current F/V Split Current F/V Split Fixed $ 66,727, $ 66,76,73 Variable $ 6,92, $ 6,94,42 TOTAL $ 73,649,655 - $ 73,657,594 New F/V Split new F/V Split Final Adjusted Base Rates Revenue Adjusted Rates Fixed 0 $ 73,649, $ 73,658,372 Variable $ - TOTAL - $ 73,649,655 - $ 73,658,372 Checks 3 Change in Fixed Rate $ 2.54 Difference Between Proposed Rates and Class Specific Revenue Requirement Notes: $ 8,77 0.0% The final residential class specific revenue requirement, as shown in Appendix 2-P, should be used (i.e. the revenue requirement after any proposed adjustments to R/C ratios). 2 Default number of transition years for rate design policy change is 4. Where the change in the residential rate design will result in the fixed charge increasing by more than $4/year, a distributor may propose an additional transition year. 2 3 Change in fixed rate due to rate design policy should be less than $4. The difference between the proposed class revenue requirement and the revenue at calculated base rates should be minimal (i.e. should be reasonably considered as a rounding error)

43 EB Horizon Utilities Corporation Annual Filing Update Filed: August, 206 Page 38 of In the New Rate Design, the Board instructed distributors that, for the purposes of implementing the new fixed rate design, a 0% test will be applied to customers who consume much less electricity than the typical residential customers. This will allow any mitigation plans to be tailored to those customers who use the least power and whose bills will likely increase due to the shift in the fixed rates. If a customer at the 0 th consumption percentile level of electricity has a bill impact of 0% or higher, the distributor must make a proposal for a rate mitigation plan. Horizon Utilities can confirm that the Residential monthly service charge will not increase by more than $4 per year. Accordingly, rate mitigation is not necessary since a customer at the lowest decile of electricity consumption will not have a bill impact of 0% or higher. Horizon Utilities completed a Residential class consumption segmentation analysis for its 207 Annual Filing. The following is a description of the method Horizon Utilities used to derive the 0 th consumption percentile. ) Horizon Utilities calculated the number of active residential customers who consumed electricity at the location for a minimum of twelve months during the July, 205 to June 30, 206 period. The query produced 93,564 records. 2) Horizon Utilities calculated the customer specific average daily consumption (Total usage for the twelve-month period divided by number of billing days in the twelve-month period) to obtain the average daily usage. 3) Horizon Utilities calculated average monthly usage by multiplying the average daily usage by 30 days. 4) Horizon Utilities calculated the number of monthly kwhs at the 0 th consumption percentile, at 29 kwh. Horizon Utilities has provided in Table 29 below the bill impact for a Residential customer who consumes 29 kwh monthly. The monthly service charge increased by $2.76 and the bill impact for a customer at the 0th consumption percentile of electricity consumption is 2.32%.

44 EB Horizon Utilities Corporation Annual Filing Update Filed: August, 206 Page 39 of 69 Table 29 0 th Consumption Percentile Residential Customer Bill Impact (29 kwh) Customer Class: Residential TOU / non-tou: TOU Consumption 29 kwh May - October Approved Rates 207 Proposed Rates 207 vs 206 Charge Unit Volume Rate Charge Rate Charge $ Change % Change ($) ($) ($) ($) Monthly Service Charge Monthly $ 8.80 $ 8.80 $ 2.56 $ 2.56 $ % Stranded Meter Rate Adder Monthly $ 0.79 $ 0.79 $ 0.78 $ $ % Smart Meter Incremental Revenue Monthly Recovery of Green Energy Act Monthly Distribution Volumetric Rate per kwh 29 $ 0.02 $ 2.65 $ $.80 -$ % Smart Meter Disposition Rider Monthly LRAM & SSM Rate Rider per kwh 29 Rate Rider for Tax Change per kwh 29 Sub-Total A (excluding pass through) $ $ 24.4 $ % Deferral/Variance Account per kwh $ $ $ 0.07 Disposition Rate Rider -$ $ % Deferral/Variance Account per kwh Disposition Rate Rider per kwh 29 Low Voltage Service Charge per kwh 29 $ $ 0.0 $ $ 0.0 -$ 0.00 Line Losses on Cost of Power 8.30 $ 0.8 $ 0.93 $ 0.8 $ 0.93 Smart Meter Entity Charge Monthly $ 0.79 $ 0.79 $ 0.79 $ 0.79 Sub-Total B - Distribution (includes Sub-Total A) $ $ $ % RTSR - Network per kwh 227 $ $.77 $ $.68 -$ % RTSR - Line and Transformation Connection per kwh 227 $ $.34 $ $.34 $ % Sub-Total C - Delivery (including Sub-Total B) $ 27.5 $ $ % Wholesale Market Service Charge per kwh $ $ $.07 (WMSC) $.07 Rural and Remote Rate Protection per kwh $ $ $ 0.30 (RRRP) $ 0.30 Standard Supply Service Charge Monthly $ $ 0.25 $ $ 0.25 Debt Retirement Charge (DRC) per kwh 29 TOU - Off Peak per kwh 40 $ $ 2.9 $ $ 2.9 TOU - Mid Peak per kwh 39 $ $ 5.20 $ $ 5.20 TOU - On Peak per kwh 39 $ $ 7.0 $ $ 7.0 Energy - RPP - Tier per kwh 29 $ $ $ $ Energy - RPP - Tier 2 per kwh 0 $ 0.20 $ 0.20 n/a Total Bill on TOU (before Taxes) $ $ $ % Distribution and Total Bill Impacts A summary of bill impacts for the typical Residential (750 kwh) and GS < 50 kw (2000 kwh) customer is presented in Table 30. Appendix C provides a detailed summary of the bill impacts for each customer class for 207. The calculation of the bill impacts has been modified to account for the disposition of the GA balance based on an energy basis (kwh) for all customers. This change is discussed in further detail on page 57.

45 EB Horizon Utilities Corporation Annual Filing Update Filed: August, 206 Page 40 of Table 30 - Residential and GS < 50kW Bill Impacts Rate Class kwh Distribution % (207 vs 206) Residential (on TOU) 750 (0.59)% GS < 50 kw (On TOU) % Rate Class kwh Total Bill % (207 vs 206) Residential (on TOU) 750 (.83)% GS < 50 kw (On TOU) 2000 (.40)% Note: Total Bill Impacts in the above table are exclusive of HST. Summary of Adjustments to the Revenue Requirement The revenue requirement has been adjusted to incorporate (i) changes to the Working Capital Allowance portion of rate base as a result of changes to Cost of Power flow-through costs; and (ii) changes to the revenue requirement as a result of changes to the Cost of Capital parameters. The updated Cost of Power amounts incorporate (i) the RPP price increase effective May, 206; (ii) Hydro One 206 UTRs and STRs approved by the OEB January 4, 206; (iii) an update to Horizon Utilities demand from 204 to 205 actuals in the RTSR model; (iv) an increase to the SME charge as a result of an update to the number of customers; (v) a change in the ratio of RPP to non-rpp volumes; (vi) a decrease in the Wholesale Market Service Rate of $0.0008/kWh from $0.0044/kWh to $0.0036/kWh as approved by the OEB on November 205; and (vii) the inclusion of the Ontario Electricity Support Program ( OESP ) Charge of $0.00/kWh. A summary of the changes to the Cost of Power is provided in Table 3 below. Table 3 Cost of Power 207 Annual Filing vs. Custom IR Category 207 Annual Custom IR Filing EB Variance % Variance Power $336,728,367 $283,05,876 $53,676, % Global Adjustment $23,536,782 $82,55,588 $48,985, % Wholesale Market Services $29,499,256 $28,024,293 $,474, % Network $37,66,2 $40,73,750 ($3,052,638) (7.50%) Connection $30,73,866 $30,680,627 $33,239 0.% Low Voltage $32,002 $32,002 $0 Smart Meter Entity $2,268,806 $2,267,389 $, % TOTAL $668,720,92 $567,60,525 $0,8, % The Cost of Power has increased $0,8,667 with a corresponding increase of $860,507 to revenue requirement as identified in Table 32 below.

46 EB Horizon Utilities Corporation Annual Filing Update Filed: August, 206 Page 4 of 69 Table 32 Impact to Revenue Requirement due to Cost of Power Update Description % Amount Cost of Power Increase $0,8,667 Increase to Working Capital/Rate Base 2.00% $2,34,240 Rate Base Breakdown Short Term Debt Increase 4.00% $485,370 Long Term Debt Increase 56.00% $6,795,74 Equity Increase 4 $4,853, Revenue Requirement Components Deemed Interest - Short Term Debt 2.6% $0,484 Deemed Interest - Long Term Debt 3.47% $235,882 Return on Equity 9.30% $45,394 PILs Gross-Up 26.50% $62,747 Total Revenue Requirement Increase 7.09% $860,507 Revenue requirement has also been updated from Horizon Utilities Custom IR Application to incorporate the Cost of Capital parameters issued by the Board on October 5, 205. Horizon Utilities will make a subsequent update for the updated Cost of Capital parameters which are expected to be available prior to the Board rendering its Decision on this Annual Filing. Revenue requirement has decreased by $47,876 from $36,920,637 to $36,502,760 as a result of the change in Cost of Capital parameters as identified in Table 33 below. Table 33 Impact to Revenue Requirement due to Update of Cost of Capital Parameters Description 207 Annual Filing After COP and COC Parameter Increase/ (Decrease) in Revenue Requirement due to Cost of Power Increase/ (Decrease) in Revenue Requirement due to Cost of Capital Parameters % 207 Custom IR Application EB % 207 Annual Filing After COP Update % Update Update Rate Base $508,493,59 $520,627,759 $520,627,759 $2,34,240 $0 Rate Base Breakdown Short Term Debt 4.00% $20,339, % $20,825,0 4.00% $20,825,0 $485,370 $0 Long Term Debt 56.00% $284,756, % $29,55, % $29,55,545 $6,795,74 $0 Deemed Equity 4 $203,397,408 4 $208,25,04 4 $208,25,04 $4,853,696 $0 2 3 Revenue Requirement Components Deemed Interest - Short Term Debt 2.6% $439, % $449,822.65% $343,64 $0,484 ($06,208) Deemed Interest - Long Term Debt 3.47% $9,884, % $0,20, % $0,20,675 $235,882 $0 Return on Equity 9.30% $8,95, % $9,367, % $9,38,276 $45,394 ($229,076) PILs Gross-Up 26.50% $6,820, % $6,982, % $6,900,95 $62,747 ($82,592) Total Revenue Requirement Increase/(Decrease) 7.09% $36,060, % $36,920, % $36,502,760 $860,507 ($47,876) Table 34 below identifies the significant changes in the revenue requirement proposed for 207 in this Annual Filing, as compared to that which was approved in Horizon Utilities Custom IR

47 EB Horizon Utilities Corporation Annual Filing Update Filed: August, 206 Page 42 of Application. The net impact of the change to the Cost of Power (increase of $860,507) and the Cost of Capital Parameters (decrease of $47,876) is an increase to revenue requirement of $442,63. Table Summary of Significant Changes Note Description Custom IR EB Changes 207 Annual Filing EB Rate Base: Average Net Fixed Assets $ 432,973,97 $ 432,973,97 Working Capital Base $ 629,330,08 $ 0,8,667 $ 730,448,685 Working Capital Factor 2.00% 2.00% 2 Working Capital Allowance $ 75,59,602 $ 2,34,240 $ 87,653,842 Total Rate Base $ 508,493,59 $ 2,34,240 $ 520,627,759 Revenue Requirement: 3 Deemed Interest on Debt $ 0,324,3 $ 40,58 $ 0,464,289 4 Return on Equity (ROE) $ 8,95,959 $ 222,38 $ 9,38,276 Total Return on Rate Base $ 29,240,090 $ 362,475 $ 29,602,566 Depreciation $ 25,272,52 $ 25,272,52 OM&A $ 6,49,23 $ 6,49,23 Property Tax $ 309,263 $ 309,263 5 PILs $ 4,922,006 $ 80,55 $ 5,002,6 Service Revenue Requirement $ 2,62,742 $ 442,63 $ 2,605,372 7 Revenue Offsets $ 5,755,938 $ 5,755,938 Base Revenue Requirement $ 5,406,804 $ 442,63 $ 5,849,435 Notes The increase in working capital base is the result of changes to the Cost of Power flow-through costs: (i) the RPP price increase effective May, 206; (ii) Hydro One 206 UTRs and STRs approved by the OEB January 4, 206; (iii) an update to Horizon Utilities demand from 204 to 205 actuals in the RTSR model; (iv) an increase to the SME charge as a result of an update to the number of customers; (v) a change in the ratio of RPP to non-rpp volumes; vi) a decrease in the Wholesale Market Service Rate of $0.0008/kWh from $0.0044/kWh to $0.0036/kWh as approved by the OEB on November 205; and (viii) the inclusion of the Ontario Electricity Support Program ( OESP ) Charge of $0.00/kWh. 2 The increase in working capital allowance is due to the increase in working capital base as a result of changes to Cost of Power flow-through costs The increase in deemed interest on debt is due to the increase in working capital base as a result of changes to Cost of Power flowthrough costs; partly offset by a decrease in the deemed short term debt rate from 2.% to.65%. The increase in return on equity is due to the increase in working capital base as a result of changes to Cost of Power flow-through costs; partly offset by a decrease in the return on equity from 9.30% to 9.9%. The increase in PILs is due to the increase in working capital base as a result of changes to Cost of Power flow-through costs; partly offset by a decrease in the Cost of Capital Parameters.

48 EB Horizon Utilities Corporation Annual Filing Update Filed: August, 206 Page 43 of Earnings Sharing Mechanism Horizon Utilities reports on its results for 205 in this annual filing, the first year for which the ESM is in place. 205 regulatory net income and ROE have been calculated in accordance with the Settlement Agreement. Specifically, the 205 regulatory net income reported in RRR 2..7 and filed with the OEB on April 29, 206 has been adjusted for (i) revenue and expense items prescribed by the OEB for the purposes of determining whether a distributor s performance falls outside of the ±300 basis points deadband; and (ii) revenue and expense items specifically included or excluded for the purposes of earnings sharing. Regulatory net income for the purposes of determining whether a distributor s performance falls outside of the ±300 basis points deadband is reported in RRR Adjustments to the regulatory net income reported in RRR 2..7 in order to determine regulatory net income for RRR are as follows: Exclude costs associated with the potential merger of Horizon Utilities, Enersource Hydro Mississauga Inc. and PowerStream Inc. such as: payments for due diligence professional services; consulting fees in respect of the proposed merger and business valuation; and legal fees in respect of the proposed merger and acquisition of Hydro One Brampton shares by the merged entity. These costs have been included in the regulatory net income reported in RRR 2..7 as per direction from OEB staff; but should be excluded from regulatory net income reported in RRR Merger costs were not included in the calculation of ROE in Horizon Utilities Custom IR Application; Exclude net interest revenue/expense on Deferral and Variance Accounts (DVAs). Interest revenues and expenses related to DVAs were not included in the calculation of ROE in Horizon Utilities Custom IR Application; Exclude non-rate regulated items not approved in the distributor s last cost of service application. Horizon Utilities has excluded 205 Conservation and Demand Management ( CDM ) Incentive Payments of $2,034,823 from the regulatory net income reported in RRR ; Calculate the cost of debt based on the deemed debt ratio of 56% long term debt and 4% short term debt; and using the Cost of Capital parameters approved in the Horizon Utilities Custom IR Application; and

49 2 EB Horizon Utilities Corporation Annual Filing Update Filed: August, 206 Page 44 of 69 PILs shall be recalculated from actual to reflect the adjusted net income as a result of any revenue and expense adjustments Additionally, the regulatory net income for the purposes of RRR incorporates current tax only (i.e. excludes deferred taxes) which is consistent with the PILs calculation in Horizon Utilities Custom IR Application. The 205 regulatory net income reported by Horizon Utilities in RRR 2..7 was $8,838,466 as identified in Table 35 below. A net adjustment of $249,535, based on the items identified above, was made to the regulatory net income reported in 2..7 to determine regulatory net income reported in RRR of $9,088,00. Adjustments to the regulatory net income reported in RRR in order to determine regulatory net income for the purposes of earnings sharing are as follows: 2 3 Exclude revenue associated with the Smart Meter Disposition Rider for Smart Meter installations from ; 4 Exclude the Rate of Return on Stranded Meters at the short term debt rate of 2.%; Include one-time costs incurred for Horizon Utilities Custom IR Application, calculated as one-fifth of $2,476,925 in each of 205 through 209; and PILs shall be recalculated from actual to reflect the adjusted net income as a result of any revenue and expense adjustments These adjusting revenue and expense items were approved on page 30 of Horizon Utilities Settlement Agreement for its Custom IR Application. Horizon Utilities has also made the following adjustments: Excluded out of period tax adjustments ($550,28 refund) from the calculation of ROE for the purposes of earnings sharing. Out of period tax adjustments were not included in the calculation of PILs in the Custom IR Application; and Included current tax on the stranded meter recovery as approved on page 4 of the Settlement Proposal. Current tax on the stranded meter recovery was included in the calculation of PILs in the Custom IR Application The 205 regulatory net income reported by Horizon Utilities in RRR was $9,088,00 as identified in Table 35 below. A net adjustment of ($,380,57), based on the items identified

50 EB Horizon Utilities Corporation Annual Filing Update Filed: August, 206 Page 45 of above, was made to the regulatory net income reported in to determine regulatory net income reported for the purposes of earnings sharing of $7,707,474. The compares to the regulatory net income of $7,422,493 approved in Horizon Utilities Custom IR Application. A reconciliation of current income tax is provided in Table 36 below. The adjustments to the regulatory net income required for the purposes of earnings sharing result in an achieved ROE of 9.275% as identified in Table 35. Horizon Utilities approved ROE for 205 was 9.30%. A reconciliation of deemed equity is provided in Table 37 below. Horizon Utilities did not incur earnings in excess of the 205 approved ROE and as such has not established, or made an entry to, the ESM deferral account 508 Sub-account Earnings Sharing Variance Account. Horizon Utilities seeks approval for the calculation of its 205 achieved ROE of 9.275% for the purposes of earnings sharing. Table 35 Calculation of 205 Regulatory ROE 205 Regulatory ROE 205 Actuals as per Actuals as per Actuals ESM Custom IR Application EB Regulatory Net Income including Merger Costs and before Adjustments $22,685,84 $22,685,84 $22,685,84 $20,859,30 Add Back Merger Costs n/a ($4,56,459) ($4,56,459) (Deduct Net Interest Revenue) on DVAs n/a $283,677 $283,677 Add back Net Interest Expense on DVAs n/a ($54,943) ($54,943) Deduct non rate regulated items n/a $2,034,823 $2,034,823 Add back Interest Expense on P&L n/a ($7,075,66) ($7,075,66) Deduct Deemed Interest n/a $9,679,670 $9,679,670 Regulatory Net Income after Adjustments and before ESM Adjustments $22,685,84 $22,433,582 $22,433,582 $20,859,30 Deduct Smart Meter Disposition Rider Revenue n/a n/a $538,50 n/a Deduct Rate of Return on Stranded Meters Revenue n/a n/a $95,777 n/a Deduct /5th of One-time costs incurred for the Custom IR Application n/a n/a $495,385 n/a Regulatory Net Income after ESM Adjustments $22,685,84 $22,433,582 $2,303,9 $20,859,30 Current Income Taxes including Out of Period Tax Adjustments $3,846,78 $3,345,582 $3,046,29 $3,336,809 Exclude Out of Period Tax Adjustments n/a n/a ($550,28) n/a Current Income Taxes - Current Period $3,846,78 $3,345,582 $3,596,437 $3,336,809 Regulatory Net Income $8,838,466 $9,088,00 $7,707,474 $7,522,493 Deemed Equity $9,37,302 $90,920,52 $90,920,52 $88,43,90 Return on Equity 9.856% 9.998% 9.275% 9.300%

51 EB Horizon Utilities Corporation Annual Filing Update Filed: August, 206 Page 46 of 69 Table 36 Calculation of Current Taxes Adjustments $ Current Tax Impact Tax Rate RRR 2..7 $22,685,84 $3,846, % Add Back Merger Costs ($4,56,459) $87,872.95% (Deduct Net Interest Revenue) on DVAs $283,677 ($75,74) 26.50% Add back Net Interest Expense on DVAs ($54,943) $4, % Deduct non rate regulated items $2,034,823 ($539,228) 26.50% Add back Interest Expense on P&L ($7,075,66) $,874, % Deduct Deemed Interest $9,679,670 ($2,565,3) 26.50% Record Tax on Stranded Meter Rate Rider as per Custom IR Application $674,527 Total Adjustments to 2..7 $25,602 ($50,37) RRR $22,433,582 $3,345, % Deduct Smart Meter Disposition Rider Revenue $538,50 ($42,705) 26.50% Deduct Rate of Return on Stranded Meters Revenue $95,777 ($25,38) 26.50% Deduct /5th of One-time costs incurred for the Custom IR Application $495,385 ($3,277) 26.50% Add back Out of Period Tax Adjustments $550,28 n/a Total Adjustments to $,29,672 $250, Earnings Sharing $2,303,9 $3,596, %. Merger Costs treated as Eligible Capital Expenditures Table 37 Calculation of Deemed Equity Deemed Equity Calculation RRR RRR 2..7 and ESM Cost of Power $55,899,480 $55,899,480 Operating Expenses $63,63,408 $63,63,408 Total Cost of Power and Operating Expenses including Merger Costs $65,52,888 $65,52,888 Deduct Merger Costs ($4,56,459) Total Cost of Power and Operating Expenses excluding Merger Costs $65,52,888 $60,996,429 Working Capital Allowance % 2.0% 2.0% Total Working Capital Allowance $73,86,547 $73,39,572 Fixed Assets Opening Balance - NBV $392,059,90 $392,059,90 Closing Balance - NBV $45,903,56 $45,903,56 Average NBV $403,98,709 $403,98,709 4 Total Rate Base $477,843,255 $477,30,280 Regulated Deemed 40% $9,37,302 $90,920,52

52 EB Horizon Utilities Corporation Annual Filing Update Filed: August, 206 Page 47 of Adjustments to the Stranded Meter Rate Rider The stranded meter rate rider has been adjusted to incorporate changes to the cost of capital parameters issued October 5, 205. Horizon Utilities will make a subsequent update for the updated Cost of Capital parameters which are expected to be available prior to the Board rendering its Decision on this Annual Filing. This update was identified on page, Tab 2 in the Settlement Agreement for Horizon Utilities Custom IR Application (EB ). The revised stranded meter recovery using a short term debt rate of 2.% in 205 and.65% in 206 is identified in Table 38 below. The stranded meter recovery for 207 is $2,740,47 which is consistent with the amount calculated in Horizon Utilities response to Technical Conference Undertaking JTC 0 for its 206 Annual Filing EB The proposed fixed rate rider based on customer count is identified in Table 39. When the OEB issues the 207 Cost of Capital parameters in Q4, 206, Horizon Utilities will update the 207 stranded meter rate rider accordingly. Table 38 Calculation of Stranded Meter Recovery Fixed Asset Continuity Opening Balance $7,974,590 $5,36,393 $2,658,97 Depreciation ($2,658,97) ($2,658,97) ($2,658,97) Closing Balance $5,36,393 $2,658,97 $0 Average Balance $6,645,492 $3,987,295 $,329, Determination of Total Recovery Over Rate Rider Period Total Depreciation $2,658,97 $2,658,97 $2,658,97 $7,974,590 Debt (Short-Term Debt Rate) $84,32 $39,474 $3,58 $36,764 Equity (Short-Term Debt Rate) $56,088 $26,36 $8,772 $9,76 Cost of Capital $40,220 $65,790 $2,930 $227,940 PILS Gross-up on Equity CoC $20,222 $9,488 $3,63 $32,873 Total $2,88,639 $2,733,475 $2,683,290 $8,235,404 Rate Rider Recovery $2,754,462 $2,740,47 $2,740,47 $8,235,404 Table 39 Calculation of Stranded Meter Rate Rider Customer Class # of Active Metered Customers (average 207) NBV of Stranded Meters 205 Rate Rider Recovery including 2.% Regulated Rate of Return 206 Rate Rider Recovery including.65% Regulated Rate of Return 207 Rate Rider Recovery including.65% Regulated Rate of Return Remaining Recovery Period (years) Monthly Charge Charge per Year Residential 224,088 $6,4,65 $2,2,88 $2,0,44 $2,0,44 $0.78 $2,0,44 GS< 50kW 8,565 $,56,25 $539,220 $536,48 $536,48 $2.4 $536,48 GS>50kW 2,258 $272,299 $94,053 $93,576 $93,576 $3.45 $93,576 Total 244,9 $7,974,590 $2,754,462 $2,740,47 $2,740,47 $2,740,47

53 EB Horizon Utilities Corporation Annual Filing Update Filed: August, 206 Page 48 of Deferral and Variance Account Disposition As discussed in the Report of the Board on the Electricity Distributors Deferral and Variance Account Review Initiative (EB ), (the EDDVAR Report ), issued July 3, 2009, under the Price Cap IR or the Annual IR Index, the distributor s Group account balances will be reviewed and disposed if the pre-set disposition threshold of $0.00 per kwh (debit or credit) is met. Consistent with a letter from the Board on July 25, 204, distributors may also elect to dispose of Group account balances below the threshold. Additionally, the Board-approved Settlement Proposal in Horizon Utilities Custom IR Application includes the disposition of Deferral and Variance accounts in the proposed annual recurring adjustments as identified on page 29 of the Settlement Proposal. Group accounts consist of the following Uniform System of Accounts ( USoA ): Low Voltage Account; 55 - SME Charge Account; RSVA Wholesale Market Service Charge Account; RSVA Retail Transmission Network Charge Account; RSVA Retail Transmission Connection Charge Account; RSVA Power Account; RSVA Global Adjustment Account; Recovery of Regulatory Asset Balances Account (if applicable); and Disposition and Recovery/Refund of Regulatory Balances Account The Group balances as of December 3, 205, in the amount of $,260,052 have been adjusted for the following items to determine the amount for disposition of ($8,484,548) as identified in Table 40 below: Only residual balances in Account 595 for which rate riders have expired are included; Only Class B Capacity Based Recovery ( CBR ) amounts are to be disposed of through this rate proceeding as directed by the OEB in its Accounting Guidance on Capacity Based Recovery issued July 25, 206 and;

54 2 3 EB Horizon Utilities Corporation Annual Filing Update Filed: August, 206 Page 49 of 69 Projected carrying charges for each Group Account balance to the proposed rate rider implementation date are included (i.e. the amount for disposition includes 206 projected carrying charges) Table 40 Group Account Balances for Disposition Description Amount Group Account Balances as of December 3, 205 $,260,052 Subtract 206 Annual Filing Disposition (EB ) - Recovery from Customers $9,527,458 Subtract Wholesale Market Service Charge - Capacity Based Recovery ("CBR") Class A $25,8 Add 206 Projected Carrying Charges (excluding CBDR A) ($92,024) Adjusted Group Account Balances for Disposition - Repayment to Customers ($8,484,548) Horizon Utilities has computed the disposition threshold, based on the adjusted Group balances to be $0.006/kWh, as identified in the table below. Horizon Utilities requests disposition of its Group account balances in this Annual Filing. Table 4 - Calculation of Disposition Threshold Description Account Amount Low Voltage 550 $765,960 Smart Meter Entity Charge 55 ($4,895) RSVA - Wholesale Market Service Charge - Capacity Based Recovery ("CBR") Class A 580 $25,8 RSVA - Wholesale Market Service Charge - Capacity Based Recovery ("CBR") Class B 580 $,2,93 RSVA - Wholesale Market Service Charge excluding CBR 580 ($,59,565) RSVA - Retail Transmission Network Charge 584 $2,35,960 RSVA - Retail Transmission Connection Charge 586 $2,42,09 RSVA - Power 588 ($3,799,45) RSVA - Global Adjustment 589 $9,625,99 Disposition and Recovery/Refund of Regulatory Balances 595 $254,667 Group Account Balances as of December 3, 205 $,260,052 Subtract 206 Annual Filing Disposition (EB ) - Recovery from Customers $9,527,458 Subtract Wholesale Market Service Charge - Capacity Based Recovery ("CBR") Class A $25,8 Add 206 Projected Carrying Charges (excluding CBR A) ($92,024) Adjusted Group Account Balances for Disposition - Repayment to Customers ($8,484,548) 205 kwhs 5,427,55,2 Threshold Test $/kwh ($0.006) Horizon Utilities has completed and filed the Deferral and Variance Account (Continuity Schedule) Work Form ( DVA Work Form ) as Appendix F. Horizon Utilities has reconciled the Group balances filed in the 205 RRR, section 2..7 as identified in Table 42 below. Horizon Utilities confirms that the last Board approved balance of $9,527,458 has been transferred to Account 595 (as identified in Horizon Utilities Annual Filing EB ). The interest rates used to record carrying charges are.47% for Q 205; and.0% for Q2 205 to Q The interest rate used for Q4 206 is.0%. These interest rates are consistent with the Board s prescribed

55 EB Horizon Utilities Corporation Annual Filing Update Filed: August, 206 Page 50 of 69 2 interest rates. No adjustments have been made to any deferral and variance account balances previously approved by the Board on a final basis.

56 Table 42 Deferral and Variance Account Reconciliation EB Horizon Utilities Corporation Annual Filing Update Filed: August, 206 Page 5 of 69 Account Description Account Principal Amounts as of Dec 3, 205 Carrying Charges to Dec 3, 205 Principal Disposition during instructed by Board EB Interest Disposition during instructed by Board EB Projected Carrying Charges to Dec 3, 206 Principal Adjustment during 206 Total Disposition Group Accounts: Low Voltage ,738 7,222 (287,70) (5,244) 5,8 478,87 Smart Meter Entity Charge 55 (4,462) (432) 8, (249) (23,038) RSVA - Wholesale Market Service Charge - CBR A , ,99 RSVA - Wholesale Market Service Charge - CBR B 580,08,630 3, ,95,24,388 RSVA - Wholesale Market Service Charge excluding CBR 580 (,587,76) 67,6,79,82 (03,254) (4,488) (0,558,25) RSVA - Retail Transmission Network Charge 584 2,254,473 6,487 (3,49,680) (63,03) (3,609) (,252,342) RSVA - Retail Transmission Connection Charge 586 2,37,234 49,875 (2,60,536) (48,670) (2,533) (23,630) RSVA - Power 588 (3,749,649) (49,766) 2,889,873 54,903 (9,458) (864,097) Sub-total not including RSVA Power Global Adjustment (8,760,469) 39,935 (2,293,090) (64,952) (22,6) - (,200,738) RSVA - Power Global Adjustment (balance to June 30, 205) 589,59,420 20,70 (6,88,53) (78,578) 52,502 4,857,540 RSVA - Power Global Adjustment (balance from July, 205) 589 (2,60,285) (5,925) - - (23,763) (2,99,973) Total including RSVA Power Global Adjustment 670, ,79 (9,,603) (343,530) (93,422) - (8,543,72) Disposition and Recovery/Refund of Regulatory Balances (204) - (IRM 4) ,77 48 (72,77) (48) - 0 Disposition and Recovery/Refund of Regulatory Balances (205) - (COS 5) ,898 (7,555) - - 2,99 84,542 Total ,075 (7,408) (72,77) (48) 2,99-84,542 Total Group 942,740 37,32 (9,83,780) (343,678) (9,223) - (8,358,629) 2 Total Amount for Disposition 942,740 37,32 (9,83,780) (343,678) (9,223) - (8,358,629) Total Amount for Disposition excluding WMS Charge - CBR A 87,996 36,937 (9,83,780) (343,678) (92,024) - (8,484,548)

57 EB Horizon Utilities Corporation Annual Filing Update Filed: August, 206 Page 52 of 69 With the exception of the balance in 580 Sub-account RSVA - Wholesale Market Service Charge CBR Class A, Horizon Utilities is seeking a one-year disposition period for the Group balances. This approach is consistent with the EDDVAR Report which states on page 6 that the default disposition period used to clear the account balances through a rate rider should be one year. Horizon Utilities is disposing of the balance in 580 Sub-account RSVA - Wholesale Market Service Charge CBR Class A by means of customer-specific bill adjustments for each Class A customer as directed by the OEB in its Accounting Guidance on Capacity Based Recovery issued July 25, 206. This approach is consistent with the Chapter 3 Filing Requirements issued by the OEB on July 4, 206. The Capacity Based Demand Response program ( CBDR ) and disposition of the associated DVA balances are discussed in further detail below. Wholesale Market Participants ( WMPs): Horizon Utilities has established separate rate riders to dispose of the balances in the RSVAs for WMPs that are not allocated the RSVA balances related to charges for which the WMPs settle directly with the Independent Electricity System Operator ( IESO ) (e.g. power, global adjustment and wholesale market services including CBR). Global Adjustment Disposition: Horizon Utilities has also established separate rate riders to dispose of the global adjustment ( GA ) account balance. These rate riders are applicable for non-rpp Class B customers only. Horizon Utilities Class A customers are invoiced the actual GA and as such none of the variance in the GA account balance should be attributed to these customers. There were six Horizon Utilities customers who qualified as Class A customers effective July, 205 under the IESO s expansion of the Industrial Conservation Initiative ( ICI ). These customers paid GA as Class B customers up to and including June 30, 205; and paid GA as Class A customers from July, 205 to December 3, 205. As such, these customers should be allocated only the portion of the GA account balance which accrued prior to their classification as Class A customers (i.e. from January, 205 to June 30, 205). Horizon Utilities proposed in its 206 Annual Filing EB that these customers be allocated their portion of the GA account balance based on their percentage of non-rpp Class B volume during the period they were Class B customers. The DVA Work Form includes a tab which uses this methodology to allocate the GA balance to these new Class A customers; and calculates specific amounts for each customer who was reclassed to Class A effective July, 205. These amounts will be settled through twelve equal adjustments to bills as directed in the Chapter 3 Filing Requirements. These customers will not be charged the GA rate rider. Table 43 below

58 EB Horizon Utilities Corporation Annual Filing Update Filed: August, 206 Page 53 of identifies the GA balances disposed of through rate riders and specific bill adjustments. The total GA balance to be disposed of is $2,657,566, of which $2,564,67 will be disposed of via rate rider; and $92,950 will be disposed of via specific bill adjustments to the six new Class A customers as discussed above. Tab 5a GA Allocation Class A in the DVA Work Form identifies the detailed calculation of the bill adjustment of $92,950. Horizon Utilities requests disposition of its GA balance of $92,950 related to its six new Class A customers (effective July, 205) through the bill adjustments identified in the DVA Work Form. Table 43 Disposition of GA Balances Description Account Amount Global Adjustment - Non-RPP Class B Customers Jan /205 -Dec 3/ $2,564,67 Global Adjustment - New Class A Customers July / $92,950 Class B Non-RPP Customers only - GA Rate Rider/Bill Adjustment $2,657,566 CBR Disposition: In April of 205, the IESO introduced the CBDR program which provides availability and utilization payments to aggregated and individual loads which are capable of reducing their consumption at times of peak demand. LDCs are charged by the IESO on a monthly basis for the CBDR program; the charges are divided into CBR for Class A consumers and CBR for Class B consumers. Horizon Utilities recorded CBR A and B charges in separate sub-accounts of Account 4708 Wholesale Market Service Charges in accordance with the OEB s letter on New Charge Types for Recording in Account 4708 issued June 4, 205. In 205, there was no rate set to recover CBR charges from customers and as such there was no revenue collected for CBR. The amounts recorded in Account 4708 for CBR were transferred to the 580 Sub-accounts RSVA - Wholesale Market Service Charge CBR Class A and RSVA - Wholesale Market Service Charge CBR Class B for recovery from customers. Horizon Utilities will dispose of the 580 Sub-account RSVA - Wholesale Market Service Charge CBR Class A by issuing customer-specific bill adjustments in 206 for each customer. Horizon Utilities proposes disposition of the 580 Sub-account RSVA - Wholesale Market Service Charge CBR Class B via a separate volumetric rate rider in accordance with the OEB s direction in its letter on Accounting Guidance on Capacity Based Recovery dated July 25, 206. As previously mentioned, there were six Horizon Utilities customers who qualified as Class A customers effective July, 205 under the IESO s expansion of the Industrial Conservation Initiative ( ICI ). Horizon Utilities proposes that these customers be allocated only their portion of the CBR B balance which accrued prior to their classification as Class A customers (i.e. from

59 EB Horizon Utilities Corporation Annual Filing Update Filed: August, 206 Page 54 of 69 2 January, 205 to June 30, 205). To facilitate this, Horizon Utilities separated the balance in Account 580 related to Class B CBR as follows: Sub-account RSVA - Wholesale Market Service Charge CBR Class B (balance up to June 30, 205) 580 Sub-account RSVA - Wholesale Market Service Charge CBR Class B (balance July, 205 to June 30, 206) Table 44 below identifies (i) the CBR B amount to be disposed of by rate class, which relates to the period up to June 30, 205; and (ii) the corresponding rate rider based on Class B volumes for the same period. Table 44 Disposition of CBR B Balances up to June 30, 205 April - June 205 Balances kwh kw $ Unit Rate Rider Residential,602,300,04 n/a $83,85 kwh General Service <50kW 595,06,735 n/a $3,30 kwh General Service >50kW,775,636,598 4,869,832 $92,883 kw 0.09 Large Use () 25,64,440 46,34 $,36 kw Large Use (2) 4,789,874 39,028 $25 kw Unmetered Scattered Load,533,33 n/a $603 kwh Sentinel Lighting 432,55,234 $23 kw Street Lighting 35,68,78 98,824 $,840 kw TOTAL 4,050,32,243 5,055,052 $2,860 Table 45 below identifies (i) the CBR B amount to be disposed of by rate class, which relates to the period from July, 205 to December 3, 205; and (ii) the corresponding rate rider based on Class B volume for the same period. Table 45 Disposition of CBR B Balances July, 205 to December 3, 205 July - December 205 Balances kwh kw $ Unit Rate Rider Residential,602,300,04 n/a $372,07 kwh General Service <50kW 595,06,735 n/a $38,90 kwh General Service >50kW,655,25,42 4,627,48 $384,366 kw Large Use () 25,64,440 46,34 $5,843 kw Large Use (2) 4,789,874 39,028 $,2 kw Unmetered Scattered Load,533,33 n/a $2,678 kwh Sentinel Lighting 432,55,234 $00 kw Street Lighting 35,68,78 98,824 $8,67 kw TOTAL 3,929,746,788 4,82,638 $92,528 A summary of the consolidated rate riders for the disposition of CBR B balances is identified in Table 46 below. The six new Class A customers are only allocated the CBR B rate rider of $0.09/kW which relates to the GA balance incurred for the period during which they were Class B customers.

60 EB Horizon Utilities Corporation Annual Filing Update Filed: August, 206 Page 55 of Table 46 Consolidated CBR B Rate Riders by Customer Group Rate Class Customers Unit Rate Rider $/unit Residential All kwh General Service <50kW All kwh General Service >50kW Class B - Full Year 205 kw 0.02 New Class A Customers 205 kw 0.09 Large Use () Class B kw Large Use (2) Class B kw Unmetered Scattered Load All kwh Sentinel Lighting All kw Street Lighting All kw 0.03 A summary of the rate riders applicable to each group of customers is identified in Table 47 below. Table 47 Rate Riders by Customer Group WMPs are charged DVA Rate Rider only, which includes account balances for low voltage charges, retail transmission network charges, retail transmission connection charges and the remaining balance in Account 595 related to Horizon Utilities 205 Custom IR Application (EB ). Class A customers (who were Class A from January December 3, 205) are charged the sum of DVA Rate Rider and DVA Rate Rider 2, the latter of which includes account balances for power and wholesale market service charges excluding CBR. Class B, non-rpp customers (who were Class A customers effective July December 3, 205) are charged the sum of DVA Rate Rider and DVA Rate Rider 2; the CBR B Rate Rider, which includes only the account balance for CBR B charges up to and including June 30, 205; and a bill adjustment for their portion of the GA account balance. Class B, non-rpp customers (who were Class B from January December 3, 205) are charged the sum of DVA Rate Riders and 2; the GA Rate Rider; and the CBR B Rate Rider. Class B RPP customers are charged the sum of DVA Rate Riders and 2; and the CBR B Rate Rider. DVA Rate Rider x DVA Rate Rider 2 CBR B Rate Rider GA Rate Rider GA Bill Adjustment Customers WMPs Class A (Jan, Dec 3, 205) x x Class B non-rpp (Jan, Jun 30, 205)/Class A (Jul, Dec 3, 205) Customers x x x x Class B non-rpp (Jan, Dec 3, 205) Customers x x x x Class B RPP Customers x x x

61 EB Horizon Utilities Corporation Annual Filing Update Filed: August, 206 Page 56 of The Group Disposition by customer group is identified in Table 48 below. The amount to be disposed of by rate rider is ($8,577,498) and the amount to be disposed of via customer specific bill adjustments is $28,869 ($92,950 GA and $25,99 CBR A). Table 48 Group Disposition by Customer Group Description Account Amount Low Voltage 550 $478,87 Smart Meter Entity Charge (Residential and GS<50kW Classes Only) 55 ($23,038) Retail Transmission Network Charge 584 ($,252,342) Retail Transmission Connection Charge 586 ($23,630) IRM $84,542 All Customers - DVA Rate Rider ($844,280) Power 588 ($864,097) Wholesale Market Service Charge excluding CBR 580 ($0,558,25) All Customers ex WMPs - DVA Rate Rider 2 ($,422,222) Wholesale Market Service Charge - CBR Class A 580 $25,99 All Class A Customers ex WMPs - CBR A Bill Adjustment 580 $25,99 Wholesale Market Service Charge - CBR Class B 580 $,24,388 All Class A Customers ex WMPs - CBR B Bill Adjustment 580 $,24,388 Global Adjustment - Non-RPP Class B Customers Jan /205 -Dec 3/ $2,564,67 Global Adjustment - New Class A Customers July / $92,950 Class B Non-RPP Customers only - GA Rate Rider/Bill Adjustment $2,657, Total (Repayment to)/recovery from Customers ($8,358,629) Disposition via Rate Rider ($8,577,498) Disposition via Customer Specific Bill Adjustments - GA for New Class A Customers July /205 $92,950 Disposition via Customer Specific Bill Adjustments - CBR A $25,99 All balances claimed are allocated to the rate classes based on the default cost allocation methodology as identified in the EDDVAR report with the exception of the balance in 580 Sub- account RSVA - Wholesale Market Service Charge CBR Class A as previously discussed. The 205 actuals reported in Horizon Utilities RRRs have been used to calculate the rate riders as per the Chapter 3 Filing Requirements issued by the OEB on July 4, 206, with one exception identified below. In 206, a Class B customer ( Customer X ) was reclassified from the GS > 50kW customer class to the Large Use (2) customer class. Prior to this reclassification (i.e. in 205), the Large Use (2) customer class contained Class A customers only. Class A customers are not charged the GA rider; if the 205 RRR load data were not adjusted, no GA rate rider would be calculated for the Large Use (2) class and Customer X would not pay their portion of the GA balance incurred in 205. Consequently, Horizon Utilities has revised the 205 data for the GS > 50kW customer

62 EB Horizon Utilities Corporation Annual Filing Update Filed: August, 206 Page 57 of class and the Large Use (2) customer class for the purposes of determining the billing determinants. Table 49 below identifies Horizon Utilities 205 RRR load data; the adjustment to reclassify Customer X from the GS>50kW customer class to the Large Use (2) customer class; and the billing determinants used for the rate rider calculations. Table 49 Adjustment to Billing Determinants VOLUMES - RRR 205 Customer Total Metered kwh Count Customers Customers (%) RESIDENTIAL kwh 22,272,602,300,04-06,82,805 - GENERAL SERVICE LESS THAN 50 KW kwh 8,66 595,06,735-06,249,720 - GENERAL SERVICE 50 TO 4,999 KW kw 2,042,825,362,84 5,02,568,632,250,738 4,490,37 LARGE USE () kw 6 246,409,680 53, ,409,680 53,544 LARGE USE (2) kw 5,,20,385,93,948,,20,385,93,948 UNMETERED SCATTERED LOAD kwh,868,533,33-394,534 - SENTINEL LIGHTING kw ,55,234 4,428 3 STREET LIGHTING kw 4 35,68,78 98,824 34,94,40 98,85 Total Metered kwh Total Metered kw Total Metered kw Metered kwh for Non-RPP Metered kwh for Non-RPP Estimated Metered kw for Non-RPP Estimated Metered kw for Non-RPP VOLUME - CUSTOMER X Customer Count RESIDENTIAL kwh GENERAL SERVICE LESS THAN 50 KW kwh GENERAL SERVICE 50 TO 4,999 KW kw () (4,789,874) (39,028) (4,789,874) (39,028) LARGE USE () kw LARGE USE (2) kw 4,789,874 39,028 4,789,874 39,028 UNMETERED SCATTERED LOAD kwh SENTINEL LIGHTING kw STREET LIGHTING kw REVISED VOLUMES FOR RATE RIDER CALCULATIONS Count Non-RPP Non-RPP RESIDENTIAL kwh 22,272,602,300,04-06,82,805 - GENERAL SERVICE LESS THAN 50 KW kwh 8,66 595,06,735-06,249,720 - GENERAL SERVICE 50 TO 4,999 KW kw 2,04,820,572,940 4,982,540,627,460,864 4,454,03 LARGE USE () kw 6 246,409,680 53, ,409,680 53,544 LARGE USE (2) kw 6,5,99,259,952,976,5,99,259,952,976 UNMETERED SCATTERED LOAD kwh,868,533,33-394,534 - SENTINEL LIGHTING kw ,55,234 4,428 3 STREET LIGHTING kw 4 35,68,78 98,824 34,94,40 98,85 Table 50 identifies the billing determinants used to calculate the DVA Rate Rider, DVA Rate Rider 2, and GA Rate Rider. Customer Total Metered kwh Total Metered kw Metered kwh for Estimated Metered kw for

63 EB Horizon Utilities Corporation Annual Filing Update Filed: August, 206 Page 58 of 69 Table 50 Billing Determinants 205 Actuals By Class DVA Rate Rider DVA Rate Rider 2 GA Rate Rider kw kwhs kw kwhs kw kwhs RESIDENTIAL CLASS,602,300,04,602,300,04,602,300,04 GENERAL SERVICE <50 KW CLASS 595,06, ,06, ,06,735 GENERAL SERVICE >50 KW NON TIME OF USE 4,982,540,820,572,940 4,962,58,809,30,800 4,627,48,655,25,42 LARGE USE () CLASS 53, ,409, ,4 2,570,47 46,34 25,64,440 LARGE USE (2) CLASS,952,976,5,99, , ,872,423 39,028 4,789,874 UNMETERED & SCATTERED LOADS,533,33,533,33,533,33 SENTINEL LIGHTS, ,55, ,55, ,55 STREET LIGHTING 98,824 35,68,78 98,824 35,68,78 98,824 35,68,78 STANDBY 284, , ,226 Totals 7,833,344 5,427,55,2 6,548,573 4,646,294,970 5,096,864 3,929,746,788 Allocators DVA Rate Rider DVA Rate Rider 2 kw kwhs kw kwhs RESIDENTIAL CLASS 29.52% 34.49% GENERAL SERVICE <50 KW CLASS 0.96% 2.8% GENERAL SERVICE >50 KW NON TIME OF USE 63.6% 33.54% 75.78% 38.94% LARGE USE () CLASS 6.56% 4.54% 6.00% 4.55% LARGE USE (2) CLASS 24.93% 20.56% 2.35% 8.20% UNMETERED & SCATTERED LOADS 0.2% 0.25% SENTINEL LIGHTS 0.02% 0.0% 0.02% 0.0% STREET LIGHTING.26% 0.65%.5% 0.76% STANDBY 3.63% 4.34% Totals See Below for Non-RPP Allocators Allocators - Non-RPP kwh/kw for GA Rate Rider Rate Class Total kwhs Non-RPP kwhs Ratio % kwh RESIDENTIAL CLASS,602,300,04 06,82,805 7% 6% GENERAL SERVICE <50 KW CLASS 595,06,735 06,249,720 8% 6% GENERAL SERVICE >50 KW NON TIME OF USE,655,25,42,462,39,066 88% 84% LARGE USE () CLASS 25,64,440 25,64,440 00% % LARGE USE (2) CLASS 4,789,874 4,789,874 00% 0% UNMETERED & SCATTERED LOADS,533,33 394,534 3% 0% SENTINEL LIGHTS 432,55 4,428 % 0% STREET LIGHTING 35,68,78 34,94,40 99% 2% STANDBY - - 0% 0% Total 3,929,746,788,739,866,007 00% Tables 5-53 identify the calculations for the DVA Rate Rider, DVA Rate Rider 2, and GA Rate Rider respectively. As identified in the Chapter 3 Filing Requirements, Effective in 207, the billing determinant and all the rate riders for the GA will be calculated on an energy basis (kwhs) regardless of the billing determinant used for distribution rates for the particular class.

64 EB Horizon Utilities Corporation Annual Filing Update Filed: August, 206 Page 59 of 69 Table 5 Calculation of DVA Rate Rider OEB Allocator Amount Residential Class General Service < 50 General Service > 50 Large Use () Large Use (2) Unmetered & Scattered Loads Group Accounts: Low Voltage 550 kwh 478,87 4,69 52,43 60,400 2,70 98,324, , ,87 Smart Metering Entity Charge Variance Account 55 kwh (23,038) (2,246) (,792) (23,038) RSVA - Wholesale Market Service Charge 580 kwh 0 RSVA - Retail Transmission Network Charge 584 kwh (,252,342) (369,74) (37,35) (420,078) (56,856) (257,503) (2,66) (00) (8,5) 0 (,252,342) RSVA - Retail Transmission Connection Charge 586 kwh (23,630) (68,38) (25,397) (77,696) (0,56) (47,627) (492) (8) (,50) 0 (23,630) RSVA - Power 588 kwh 0 Sub-Total Group One RSVA Accounts (Excluding 589 & 595) (,028,822) (38,72) (2,072) (337,374) (45,663) (206,807) (2,37) (80) (6,57) 0 (,028,822) RSVA - Global Adjustment 589 non-rpp kwh 0 Sub-Total Sentinel Lights Street Lighting Standby Totals Disposition and Recovery/Refund of Regulatory Balances (205) - Custom IR (EB ) 595 kwh 84,542 54,480 20,234 6,902 8,378 37, , ,542 Sub-Total ,542 54,480 20,234 6,902 8,378 37, , ,542 Total (844,280) (263,69) (9,838) (275,473) (37,284) (68,862) (,745) (65) (5,32) 0 (844,280) 2 Class Residential Class General Service < 50 General Service > 50 Large Use () Large Use (2) Unmetered & Scattered Loads Billing Determinants kwh kwh kw kw kw kwh kw kw kw All Customers - Group One RSVA Accounts Recovery Rate Riders (excluding Power, GA and WMS) (0.0002) (0.0002) (0.0553) (0.0726) (0.0865) (0.0002) (0.0530) (0.0538) - Sentinel Lights Street Lighting Standby

65 EB Horizon Utilities Corporation Annual Filing Update Filed: August, 206 Page 60 of 69 Table 52 Calculation of DVA Rate Rider 2 OEB Allocator Amount Residential Class General Service < 50 General Service > 50 Group Accounts: Low Voltage 550 kwh 0 Smart Metering Entity Charge Variance Account 55 kwh 0 RSVA - Wholesale Market Service Charge 580 kwh (0,558,25) (3,64,027) (,352,306) (4,,433) (480,767) (865,485) (26,208) (983) (79,97) 0 (0,558,25) RSVA - Retail Transmission Network Charge 584 kwh 0 RSVA - Retail Transmission Connection Charge 586 kwh 0 RSVA - Power 588 kwh (864,097) (297,989) (0,675) (336,488) (39,347) (70,833) (2,45) (80) (6,54) 0 (864,097) Sub-Total Group One RSVA Accounts (Excluding 589 & 595) (,422,222) (3,939,05) (,462,98) (4,447,920) (520,4) (936,38) (28,353) (,063) (86,457) 0 (,422,222) RSVA - Global Adjustment 589 non-rpp kwh Large Use () Large Use (2) Unmetered & Scattered Loads Sub-Total Sentinel Lights Street Lighting Standby Totals Disposition and Recovery/Refund of Regulatory Balances (205) - Custom IR (EB ) 595 kwh 0 Sub-Total Total (,422,222) (3,939,05) (,462,98) (4,447,920) (520,4) (936,38) (28,353) (,063) (86,457) 0 (,422,222) 2 Class Residential Class General Service < 50 General Service > 50 Large Use () Large Use (2) Unmetered & Scattered Loads Billing Determinants kwh kwh kw kw kw kwh kw kw kw All Customers excl. WMP - Group One RSVA Accounts Recovery Rate Riders (Including Power and WMS) (0.0025) (0.0025) (0.8963) (.323) (.579) (0.0025) (0.867) (0.8749) Sentinel Lights Street Lighting Standby

66 EB Horizon Utilities Corporation Annual Filing Update Filed: August, 206 Page 6 of 69 Table 53 Calculation of GA Rate Rider OEB Allocator Amount Residential Class General Service < 50 General Service > 50 Large Use () Large Use (2) Group Accounts: Low Voltage 550 kwh 0 Smart Metering Entity Charge Variance Account 55 kwh 0 RSVA - Wholesale Market Service Charge 580 kwh 0 RSVA - Retail Transmission Network Charge 584 kwh 0 RSVA - Retail Transmission Connection Charge 586 kwh 0 RSVA - Power 588 kwh 0 Sub-Total Group One RSVA Accounts (Excluding 589 & 595) RSVA - Global Adjustment 589 non-rpp kwh 2,564,67 56,57 56,65 2,55,238 37,093 7, , ,564,67 Sub-Total 589 2,564,67 56,57 56,65 2,55,238 37,093 7, , ,564,67 Unmetered & Scattered Loads Sentinel Lights Street Lighting Standby Totals Disposition and Recovery/Refund of Regulatory Balances (205) - Custom IR (EB ) 595 kwh 0 Sub-Total Total 2,564,67 56,57 56,65 2,55,238 37,093 7, , ,564,67 2 Class Residential Class General Service < 50 General Service > 50 Large Use () Large Use (2) Unmetered & Scattered Loads Billing Determinants kwh kwh kwh kwh kwh kwh kwh kwh kwh All Non RPP Customers excl. WMP, Class A - Group One RSVA Accounts Recovery Rate Riders (589) (Balance to June 30, 205) Sentinel Lights Street Lighting Standby

67 EB Horizon Utilities Corporation Annual Filing Update Filed: August, 206 Page 62 of Horizon Utilities requests disposition of its adjusted Group balances of ($8,577,498), identified in Table 48, through the rate riders identified in Table 54 below. For rate classes with no Class A consumers or WMPs, DVA Rate Rider, DVA Rate Rider 2 and the CBR B rider have been consolidated into one DVA Rate Rider on the tariff sheets as identified in Table 55 below. For a typical Residential customer using 750 kwh/month and paying RPP rates, the bill impact of the proposed rate riders is a decrease of $0.0023/kWh or $.73/month (.7% on total bill). Table 54 Proposed Rate Riders Customer Class Deferral and Variance Accounts Rate Riders All Customers (Excluding WMS, Power and GA) Deferral and Variance Accounts Rate Riders All non-wmps (Including POWER and WMS; Excluding GA) Global Adjustment Rate Rider Non-RPP Class B from Jan /205 - Dec 3/205 CBR B Rate Rider Class B Consumer from Jan /205 - Dec 3/205 CBR B Rate Rider Class B Consumer from Jan /205 - Jun 30/205 7 $/kwh $/kw $/kwh $/kw $/kwh $/kw $/kwh $/kw $/kwh $/kw RESIDENTIAL (0.0002) (0.0025) GENERAL SERVICE <50 KW (0.0002) (0.0025) GENERAL SERVICE >50 KW (0.0553) (0.8963) LARGE USE () (0.0726) (.323) LARGE USE (2) (0.0865) (.579) UNMETERED & SCATTERED LOADS (0.0002) (0.0025) SENTINEL LIGHTS (0.0530) (0.867) STREET LIGHTING (0.0538) (0.8749) STANDBY

68 EB Horizon Utilities Corporation Annual Filing Update Filed: August, 206 Page 63 of 69 Table 55 Consolidated DVA Rate Rider Deferral and Variance Customer Class Accounts Rate Rider $/kwh $/kw RESIDENTIAL (0.0023) GENERAL SERVICE <50 KW (0.0023) UNMETERED & SCATTERED LOADS (0.0023) SENTINEL LIGHTS (0.850) STREET LIGHTING (0.8275)

69 EB Horizon Utilities Corporation Annual Filing Update Filed: August, 206 Page 64 of 69 As identified in the Chapter 3 Filing Requirements, Horizon Utilities provides its settlement process with the IESO below. Horizon Utilities Settlement Process with the IESO The manner in which Horizon Utilities settles with the IESO is provided in Table 56 below and depends on the following: (i) whether the customer is a Regulated Price Plan ( RPP ) consumer; and (ii) whether the customer is a Class A or Class B consumer. It is not dependent on the rate class. Table 56 Settlement Process with the IESO Customer GA Rate used for Billing GA Rate used to Record Cost Class A Actual Actual Class B non-rpp st Estimate Actual Class B RPP RPP Time-of-Use ("TOU") or Tiered Rates Actual. GA is not billed separately for Class B RPP customers; incorporated into RPP Rates 2. RPP vs. Market Price Claim is discussed in further detail below Settlement Process Consumption Estimates Impact on GA Variance Account Horizon Utilities pays the IESO Actual GA and bills customers Actual GA - no further settlement with the IESO is required Horizon Utilities pays the IESO Actual GA and bills customers st estimate GA - no further settlement with the IESO is required Horizon Utilities pays the IESO Actual GA and bills customers RPP rates - Horizon Utilities settles with the IESO on a monthly basis via the RPP vs. Market Price Claim 2 Class A consumption actuals are submitted to the IESO - actuals are known at the time of submission; therefore an estimate is not required Class B non-rpp consumption is not submitted to the IESO; however an estimate is used in order to calculate the RPP consumption used in the RPP vs. Market Price Claim 2 RPP consumption is estimated and provided to the IESO as part of the RPP vs. Market Price Claim 2 provided to the IESO none difference between revenues and costs recorded to GA variance account on a monthly basis and recovered from/repaid to Class B non-rpp consumers on disposal of the GA Variance Account none Class A Customers: The IESO publishes the actual GA for a month on the tenth business day of the following month. Class A Customers are billed by Horizon Utilities around the 5 th of each month, at which time the actual GA is known. Horizon Utilities pays the IESO Class A GA actual based its customers percentage contribution to the top five peak Ontario demand hours. No further settlement with the IESO is required. Horizon Utilities settles GA costs with Class A customers on the basis of actual costs and as such, none of the variance in the GA account balance is attributed to these customers, as previously mentioned. Horizon Utilities submits total Class A actual demand to the IESO on a monthly basis. An estimate is not required since actual consumption is known at the time of submission. Class B non-rpp Customers: Class B non-rpp customers are billed by Horizon Utilities throughout the month. These customers pay the spot price for energy either the Weighted Average Hourly Spot price ( WAHSP ) or the Hourly Ontario Energy Price ( HOEP ); and the GA. Horizon Utilities bills its Class B non-rpp customers using the IESO s st estimate for GA for the

70 EB Horizon Utilities Corporation Annual Filing Update Filed: August, 206 Page 65 of 69 month which is published by the IESO on the last business day of the preceding month. Horizon Utilities pays the IESO Class B GA based on its actual Class B volume at the actual Class B rate. No further settlement with the IESO is required. Any difference between GA revenues and GA costs are recorded in the GA variance account to be recovered from or repaid to Class B non- RPP customers. Horizon Utilities allocates the Class B GA billed by the IESO to its RPP and non- RPP customers based on consumption. Class B non-rpp consumption is equal to the consumption for all customers billed at spot pricing (interval metered and non-interval metered) less the consumption for Class A customers. Actual consumption for interval metered spot customers and Class A customers is obtained from MV90, a data and processing application owned by Itron used for interval meter data collection, management and analysis. Non-interval metered consumption is estimated using billed kwh from Horizon Utilities billing system. The proportion of Class B non-rpp consumption to total Class B consumption is used to determine the actual GA allocated to Class B non-rpp customers on a monthly basis. Total Class B consumption is defined as the following: Total kwh wholesale power purchased from the IESO Add: Embedded Generation Less: Class A consumption The determination of Class B RPP consumption is discussed in further detail below. Class B RPP Customers: Class B RPP customers are billed by Horizon Utilities throughout the month at RPP TOU or Tiered Rates. The difference between how much Horizon Utilities recovers from RPP customers at these rates and the amount Horizon Utilities pays for the commodity supply in the wholesale marketplace to the IESO, is recorded and managed in an account by the IESO. On a monthly basis, Horizon Utilities determines the balance in this account and submits it to the IESO ( the RPP vs. Market Price claim ). The amount submitted is reflected on the invoice as either a debit (Horizon Utilities collected more revenue from RPP customers than it paid for electricity) or a credit (Horizon Utilities collected less revenue from RPP customers than it paid for electricity). Horizon Utilities compares the amount collected from RPP customers (kwh billed at TOU or Tiered Pricing) to the amount it pays to the IESO for electricity for that same volume, to determine this amount. There are three components to the RPP vs. Market Price claim:

71 EB Horizon Utilities Corporation Annual Filing Update Filed: August, 206 Page 66 of 69. Estimated Claim for the Current Month (based on Estimated Purchases and Energy Prices) 2. True-up of Prior Month Claim using Actual Purchases and Energy Prices 3. True-up of Current Month (5-month lag) Claim using Actual Billed Consumption. Estimated Claim for the Current Month (based on Estimated Purchases and Energy Prices) Eligible kwh, for the purposes of calculating the RPP vs. Market price claim, is the actual billed consumption for RPP customers on a monthly basis. Since actual billed consumption is not available until five months post consumption due to a billing lag, Horizon Utilities estimates the eligible kwh using wholesale power purchased from the IESO for the current month and makes an adjustment to reflect billed kwh five months later. Eligible kwh includes embedded generation and is defined as the following: Total kwh wholesale power purchased from the IESO Add: Embedded Generation Less: kwh Consumption for Interval Metered Customers billed at Spot Less: Billed kwh for Non-Interval Metered Customers billed at Spot (monthly consumption is not available from the billing system for these customers so billed kwh is used as a proxy for consumption. 2. True-up of Prior Month Claim using Actual Purchases and Energy Prices In the month after the RPP vs. Market Price claim is submitted, more accurate information is available to determine the claim. The prior month s claim is recalculated using updated values for purchases and energy prices. The differences between the current month s claim and the reestimated claim is submitted in the subsequent month (e.g. re-estimated claim for April is submitted as part of the May RPP vs. Market Price Claim). Although this results in a more accurate claim amount, eligible kwhs are still based on purchases not actual consumption. The RPP vs. Market Price claim is trued up five months later when consumption is available from the billing system. 3. True-up of Current Month (5-month lag) Claim using Actual Billed Consumption The original estimate and revised estimate of eligible kwh and associated dollar amounts are based on a top-down estimate of RPP consumption using wholesale power purchased. Horizon Utilities billing system is used to determine the actual kwh consumed by and billed to RPP

72 EB Horizon Utilities Corporation Annual Filing Update Filed: August, 206 Page 67 of 69 customers. This information is not available until five months after the claim has been submitted to the IESO (there is a time lag between consumption and billing which is dependent upon a customer s meter read cycle and billing frequency). The true-up of the original estimate based on power purchased occurs one month after the original claim is filed. The final true-up based on actual billed consumption occurs five months after the original claim is filed as identified in Table 57 below. Table 57 Timing of RPP vs. Market Claim True-up April Submission Original Claim Revised Claim True-up Actual Claim True-up Period April May November The billed kwh consumption and corresponding dollar values are available from Horizon Utilities billing system. These are allocated by month based on the customer s meter read date range it is assumed that consumption occurs evenly over the period (same kwh usage and dollar per day). Although kwh consumption by hour is available from smart meters it is not available in the billing system; or aggregated elsewhere. The calculation is performed five months subsequent to the customer s consumption to ensure that 00% of consumption for a particular month is captured (for example, after five months, 00% of consumption for November 204 will have been billed by April 205). Similar to the true-up for the prior month s claim discussed previously, the actual claim is calculated using actual billed kwh consumption by category (TOU or Tiered pricing) and actual RPP, WAHSP and GA rates. This claim is compared to the true-up for that month s claim and the difference is included in the RPP vs. Market Price Claim submission to the IESO. Horizon Utilities Class A Customers Prior to July, 205, Class A customers were defined by the IESO as customers with an average hourly peak demand of 5MW or higher. Class A customers are charged GA based on their percentage contribution to the top five peak demand hours (i.e. peak demand factor) in the province each year. As of July, 205, under section of the O.Reg 429/04, an eligible customer with an average hourly peak demand above 3MW and below or at 5MW can elect to become a Class A customer on an annual basis. Horizon Utilities had seventeen (7) Class A customers for the adjustment period from July, 205 to June 30, 206; and has eighteen (8) Class A customers for the adjustment period from

73 EB Horizon Utilities Corporation Annual Filing Update Filed: August, 206 Page 68 of 69 July, 206 to June 30, 207. Two customers who qualified as Class A for the first time effective July, 205 to June 30, 206 did not qualify for the adjustment period from July, 206 to June 30, 207. This was offset by the addition of three newly eligible customers, one with average hourly peak demand above 3MW and below or at 5MW; and two with average hourly peak demand above 5MW. Horizon Utilities Class A customers and peak demand factor for each period is identified in Table 58 below. Table 58 Class A Customers and Peak Demand Factor by Adjustment Period Adjustment Period # of Class A Peak Demand Customers Factor July, June 30, July, June 30, The three newly eligible customers have paid GA as Class B customers up to and including June 30, 206; and will pay GA as Class A customers from July, 206 to June 30, 207. As such, when the 206 deferral and variance account balances are disposed of, these customers should be allocated their portion of the GA account balance for the period prior to their classification as Class A customers (i.e. from January, 206 to June 30, 206). The converse is true for the two customers who paid GA as Class A customers for the adjustment period from July, 205 to June 30, 206; and who will pay GA as Class B customers from July, 206 to June 30, 207. When the 206 deferral and variance account balances are disposed of, these customers should be allocated their portion of the GA account balance for the period after their classification as Class A customers ended (i.e. from July, 206 to December 3, 206). The method in the DVA Work Form of disposing of GA balances for customers who were Class A customers for only part of the year will ensure that both (i) newly eligible Class A customers and (ii) existing Class A customers who elect to become Class B customers are allocated only the GA balance for the period when they were classified as Class B customers. Horizon Utilities respectfully requests that the OEB consider using a similar methodology to the one used in Tab 5a of the DVA Work Form for the disposition of CBR B account balances as well as the disposition of GA balances i.e. customers who were Class A consumers for part of the year for which DVA balances are disposed of, recover or repay their portion of the CBR B balance through twelve equal adjustments to bills. This methodology would simplify the rate riders for customers who transition between Class A and Class B consumers on an annual basis.

74 EB Horizon Utilities Corporation Annual Filing Update Filed: August, 206 Page 69 of 69 CONCLUSION Horizon Utilities proposed 207 rates for the distribution of electricity include the annual adjustments agreed upon in the Board-Approved Settlement Agreement in Horizon Utilities Custom IR Application and in the Board-Approved Decision and Order in Horizon Utilities 206 Annual Filing. Horizon Utilities Specific Service Charges are consistent with those previously approved by the Board in Horizon Utilities 205 Tariff of Rates and Charges (EB ). Horizon Utilities respectfully requests that the Board approve the relief sought in this Annual Filing. Horizon Utilities requests that this Annual Filing be disposed of by way of a written hearing. All of which is respectfully submitted, this th day of August, 206. Original Signed by Indy J. Butany DeSouza Indy J. Butany-DeSouza, MBA Vice President, Regulatory Affairs Horizon Utilities Corporation 55 John Street North PO Box 2249, Station LCD Hamilton, Ontario L8R 3M8 indy.butany@horizonutilities.com

75 EB Horizon Utilities Corporation Annual Filing Update Filed: August, 206 APPENDIX A - CURRENT TARIFF OF RATES AND CHARGES JANUARY, 206

76 Horizon Utilities Corporation TARIFF OF RATES AND CHARGES Effective and Implementation Date January, 206 This schedule supersedes and replaces all previously approved schedules of Rates, Charges and Loss Factors EB RESIDENTIAL SERVICE CLASSIFICATION This classification applies to an account taking electricity at 750 volts or less where the electricity is used exclusively in a separate metered living accommodation. Customers shall be residing in single-dwelling units that consist of a detached house or one unit of a semi-detached, duplex, triplex or quadruplex house, with a residential zoning. Separately metered dwellings within a town house complex or apartment building also qualify as residential customers. All customers are single-phase. Further servicing details are available in the distributor s Conditions of Service. APPLICATION The application of these rates and charges shall be in accordance with the Licence of the Distributor and any Code or Order of the Ontario Energy Board, and amendments thereto as approved by the Ontario Energy Board, which may be applicable to the administration of this schedule. No rates and charges for the distribution of electricity and charges to meet the costs of any work or service done or furnished for the purpose of the distribution of electricity shall be made except as permitted by this schedule, unless required by the Distributor s Licence or a Code or Order of the Ontario Energy Board, and amendments thereto as approved by the Ontario Energy Board, or as specified herein. Unless specifically noted, this schedule does not contain any charges for the electricity commodity, be it under the Regulated Price Plan, a contract with a retailer or the wholesale market price, as applicable. In addition, the charges in the MONTHLY RATES AND CHARGES Regulatory Component of this schedule do not apply to a customer that is an embedded wholesale market participant. It should be noted that this schedule does not list any charges, assessments, or credits that are required by law to be invoiced by a distributor and that are not subject to Ontario Energy Board approval, such as the Debt Retirement Charge, the Global Adjustment, and the HST. MONTHLY RATES AND CHARGES Delivery Component Service Charge $ 8.80 Rate Rider for Smart Metering Entity Charge effective until October 3, 208 $ 0.79 Rate Rider for Recovery of Stranded Meter Assets effective until December 3, 207 $ 0.79 Distribution Volumetric Rate $/kwh 0.02 Low Voltage Service Rate $/kwh Rate Rider for Disposition of Deferral/Variance Accounts (206) effective until December 3, 206 $/kwh Rate Rider for Disposition of Global Adjustment (206) effective until December 3, 206 Applicable only for Non-RPP Class B Consumers $/kwh Retail Transmission Rate Network Service Rate $/kwh Retail Transmission Rate Line and Transformation Connection Service Rate $/kwh MONTHLY RATES AND CHARGES Regulatory Component Wholesale Market Service Rate $/kwh Rural or Remote Electricity Rate Protection Charge (RRRP) $/kwh Ontario Electricity Support Program Charge (OESP) $/kwh 0.00 Standard Supply Service Administrative Charge (if applicable) $ 0.25 Issued December 22, 205

77 Horizon Utilities Corporation TARIFF OF RATES AND CHARGES Effective and Implementation Date January, 206 This schedule supersedes and replaces all previously approved schedules of Rates, Charges and Loss Factors EB ONTARIO ELECTRICITY SUPPORT PROGRAM RECIPIENTS In addition to the charges specified on page of this tariff of rates and charges, the following credits are to be applied to eligible residential customers. APPLICATION The application of the credits is in accordance with the Distribution System Code (Section 9) and subsection 79.2 of the Ontario Energy Board Act, 998. The application of these credits shall be in accordance with the Licence of the Distributor and any Code or Order of the Ontario Energy Board, and amendments thereto as approved by the Ontario Energy Board, which may be applicable to the administration of this schedule. In this class: Aboriginal person includes a person who is a First Nations person, a Métis person or an Inuit person; account-holder means a consumer who has an account with a distributor that falls within a residential-rate classification as specified in a rate order made by the Ontario Energy Board under section 78 of the Act, and who lives at the service address to which the account relates for at least six months in a year; electricity-intensive medical device means an oxygen concentrator, a mechanical ventilator, or such other device as may be specified by the Ontario Energy Board; household means the account-holder and any other people living at the accountholder s service address for at least six months in a year, including people other than the account-holder s spouse, children or other relatives; household income means the combined annual after-tax income of all members of a household aged 6 or over; MONTHLY RATES AND CHARGES Class A (a) account-holders with a household income of $28,000 or less living in a household of one or two persons; (b) account-holders with a household income of between $28,00 and $39,000 living in a household of three persons; (c) account-holders with a household income of between $39,00 and $48,000 living in a household of five persons; (d) account-holders with a household income of between $48,00 and $52,000 living in a household of seven or more persons; but does not include account-holders in Class E. OESP Credit $ (30.00) Class B (a) account-holders with a household income of $28,000 or less living in a household of three persons; (b) account-holders with a household income of between $28,00 and $39,000 living in a household of four persons; (c) account-holders with a household income of between $39,00 and $48,000 living in a household of six persons; but does not include account-holders in Class F. OESP Credit $ (34.00) Class C (a) account-holders with a household income of $28,000 or less living in a household of four persons; (b) account-holders with a household income of between $28,00 and $39,000 living in a household of five persons; (c) account-holders with a household income of between $39,00 and $48,000 living in a household of seven or more persons; but does not include account-holders in Class G. OESP Credit $ (38.00) Issued December 22, 205

78 Horizon Utilities Corporation TARIFF OF RATES AND CHARGES Effective and Implementation Date January, 206 This schedule supersedes and replaces all previously approved schedules of Rates, Charges and Loss Factors EB ONTARIO ELECTRICITY SUPPORT PROGRAM RECIPIENTS Class D (a) account-holders with a household income of $28,000 or less living in a household of five persons; (b) account-holders with a household income of between $28,00 and $39,000 living in a household of six persons; but does not include account-holders in Class H. OESP Credit $ (42.00) Class E Class E comprises account-holders with a household income and household size described under Class A who also meet any of the following conditions: (a) the dwelling to which the account relates is heated primarily by electricity; (b) the account-holder or any member of the account-holder s household is an Aboriginal person; or (c) the account-holder or any member of the account-holder s household regularly uses, for medical purposes, an electricity-intensive medical device at the dwelling to which the account relates. OESP Credit $ (45.00) Class F (a) account-holders with a household income of $28,000 or less living in a household of six or more persons; (b) account-holders with a household income of between $28,00 and $39,000 living in a household of seven or more persons; or (c) account-holders with a household income and household size described under Class B who also meet any of the following conditions: i. the dwelling to which the account relates is heated primarily by electricity; ii. the account-holder or any member of the account-holder s household is an Aboriginal person; or iii. the account-holder or any member of the account-holder s household regularly uses, for medical purposes, an electricity-intensive medical device at the dwelling to which the account relates. OESP Credit $ (50.00) Class G Class G comprises account-holders with a household income and household size described under Class C who also meet any of the following conditions: (a) the dwelling to which the account relates is heated primarily by electricity; (b) the account-holder or any member of the account-holder s household is an Aboriginal person; or (c) the account-holder or any member of the account-holder s household regularly uses, for medical purposes, an electricity-intensive medical device at the dwelling to which the account relates. OESP Credit $ (55.00) Class H Class H comprises account-holders with a household income and household size described under Class D who also meet any of the following conditions: (a) the dwelling to which the account relates is heated primarily by electricity; (b) the account-holder or any member of the account-holder s household is an Aboriginal person; or (c) the account-holder or any member of the account-holder s household regularly uses, for medical purposes, an electricity-intensive medical device at the dwelling to which the account relates. OESP Credit $ (60.00) Class I Class I comprises account-holders with a household income and household size described under paragraphs (a) or (b) of Class F who also meet any of the following conditions: (a) the dwelling to which the account relates is heated primarily by electricity; (b) the account-holder or any member of the account-holder s household is an Aboriginal person; or (c) the account-holder or any member of the account-holder s household regularly uses, for medical purposes, an electricity-intensive medical device at the dwelling to which the account relates. OESP Credit $ (75.00) Issued December 22, 205

79 Horizon Utilities Corporation TARIFF OF RATES AND CHARGES Effective and Implementation Date January, 206 This schedule supersedes and replaces all previously approved schedules of Rates, Charges and Loss Factors EB GENERAL SERVICE LESS THAN 50 kw SERVICE CLASSIFICATION This classification applies to a non residential account taking electricity at 750 volts or less whose average monthly maximum demand is less than, or is forecast to be less than, 50 kw. Further servicing details are available in the distributor s Conditions of Service. APPLICATION The application of these rates and charges shall be in accordance with the Licence of the Distributor and any Code or Order of the Ontario Energy Board, and amendments thereto as approved by the Ontario Energy Board, which may be applicable to the administration of this schedule. No rates and charges for the distribution of electricity and charges to meet the costs of any work or service done or furnished for the purpose of the distribution of electricity shall be made except as permitted by this schedule, unless required by the Distributor s Licence or a Code or Order of the Ontario Energy Board, and amendments thereto as approved by the Ontario Energy Board, or as specified herein. Unless specifically noted, this schedule does not contain any charges for the electricity commodity, be it under the Regulated Price Plan, a contract with a retailer or the wholesale market price, as applicable. In addition, the charges in the MONTHLY RATES AND CHARGES Regulatory Component of this schedule do not apply to a customer that is an embedded wholesale market participant. It should be noted that this schedule does not list any charges, assessments, or credits that are required by law to be invoiced by a distributor and that are not subject to Ontario Energy Board approval, such as the Debt Retirement Charge, the Global Adjustment, and the HST. MONTHLY RATES AND CHARGES Delivery Component Service Charge $ 4.2 Rate Rider for Smart Metering Entity Charge effective until October 3, 208 $ 0.79 Rate Rider for Recovery of Stranded Meter Assets effective until December 3, 207 $ 2.42 Distribution Volumetric Rate $/kwh Low Voltage Service Rate $/kwh Rate Rider for Disposition of Deferral/Variance Accounts (206) effective until December 3, 206 $/kwh Rate Rider for Disposition of Global Adjustment (206) effective until December 3, 206 Applicable only for Non-RPP Class B Consumers $/kwh Retail Transmission Rate Network Service Rate $/kwh Retail Transmission Rate Line and Transformation Connection Service Rate $/kwh MONTHLY RATES AND CHARGES Regulatory Component Wholesale Market Service Rate $/kwh Rural or Remote Electricity Rate Protection Charge (RRRP) $/kwh Ontario Electricity Support Program Charge (OESP) $/kwh 0.00 Standard Supply Service Administrative Charge (if applicable) $ 0.25 Issued December 22, 205

80 Horizon Utilities Corporation TARIFF OF RATES AND CHARGES Effective and Implementation Date January, 206 This schedule supersedes and replaces all previously approved schedules of Rates, Charges and Loss Factors EB GENERAL SERVICE 50 to 4,999 kw SERVICE CLASSIFICATION This classification applies to a non residential account whose average monthly maximum demand used for billing purposes is equal to or greater than, or is forecast to be equal to or greater than, 50 kw but less than 5,000 kw. Further servicing details are available in the distributor s Conditions of Service. APPLICATION The application of these rates and charges shall be in accordance with the Licence of the Distributor and any Code or Order of the Ontario Energy Board, and amendments thereto as approved by the Ontario Energy Board, which may be applicable to the administration of this schedule. No rates and charges for the distribution of electricity and charges to meet the costs of any work or service done or furnished for the purpose of the distribution of electricity shall be made except as permitted by this schedule, unless required by the Distributor s Licence or a Code or Order of the Ontario Energy Board, and amendments thereto as approved by the Ontario Energy Board, or as specified herein. Unless specifically noted, this schedule does not contain any charges for the electricity commodity, be it under the Regulated Price Plan, a contract with a retailer or the wholesale market price, as applicable. In addition, the charges in the MONTHLY RATES AND CHARGES Regulatory Component of this schedule do not apply to a customer that is an embedded wholesale market participant. It should be noted that this schedule does not list any charges, assessments, or credits that are required by law to be invoiced by a distributor and that are not subject to Ontario Energy Board approval, such as the Debt Retirement Charge, the Global Adjustment, and the HST. MONTHLY RATES AND CHARGES Delivery Component Service Charge $ Rate Rider for Recovery of Stranded Meter Assets effective until December 3, 207 $ 3.50 Distribution Volumetric Rate $/kw Low Voltage Service Rate $/kw Rate Rider for Disposition of Deferral/Variance Accounts (206) effective until December 3, 206 $/kw Rate Rider for Disposition of Deferral/Variance Accounts (206) effective until December 3, 206 Not applicable for Wholesale Market Participants $/kw (0.3089) Rate Rider for Disposition of Global Adjustment (206) effective until December 3, 206 Applicable only for Non-RPP Class B Consumers $/kw.3366 Retail Transmission Rate Network Service Rate $/kw Retail Transmission Rate Line and Transformation Connection Service Rate $/kw 2.25 MONTHLY RATES AND CHARGES Regulatory Component Wholesale Market Service Rate $/kwh Rural or Remote Electricity Rate Protection Charge (RRRP) $/kwh Ontario Electricity Support Program Charge (OESP) $/kwh 0.00 Standard Supply Service Administrative Charge (if applicable) $ 0.25 Issued December 22, 205

81 Horizon Utilities Corporation TARIFF OF RATES AND CHARGES Effective and Implementation Date January, 206 This schedule supersedes and replaces all previously approved schedules of Rates, Charges and Loss Factors EB LARGE USE SERVICE CLASSIFICATION This classification applies to an account whose average monthly maximum demand used for billing purposes is equal to or greater than, or is forecast to be equal to or greater than, 5,000 kw. Further servicing details are available in the distributor s Conditions of Service. APPLICATION The application of these rates and charges shall be in accordance with the Licence of the Distributor and any Code or Order of the Ontario Energy Board, and amendments thereto as approved by the Ontario Energy Board, which may be applicable to the administration of this schedule. No rates and charges for the distribution of electricity and charges to meet the costs of any work or service done or furnished for the purpose of the distribution of electricity shall be made except as permitted by this schedule, unless required by the Distributor s Licence or a Code or Order of the Ontario Energy Board, and amendments thereto as approved by the Ontario Energy Board, or as specified herein. Unless specifically noted, this schedule does not contain any charges for the electricity commodity, be it under the Regulated Price Plan, a contract with a retailer or the wholesale market price, as applicable. In addition, the charges in the MONTHLY RATES AND CHARGES Regulatory Component of this schedule do not apply to a customer that is an embedded wholesale market participant. It should be noted that this schedule does not list any charges, assessments, or credits that are required by law to be invoiced by a distributor and that are not subject to Ontario Energy Board approval, such as the Debt Retirement Charge, the Global Adjustment, and the HST. MONTHLY RATES AND CHARGES Delivery Component Service Charge $ 23, Distribution Volumetric Rate $/kw.3985 Low Voltage Service Rate $/kw Rate Rider for Disposition of Deferral/Variance Accounts (206) effective until December 3, 206 $/kw Rate Rider for Disposition of Deferral/Variance Accounts (206) effective until December 3, 206 Not applicable for Wholesale Market Participants $/kw (0.4495) Rate Rider for Disposition of Global Adjustment (206) effective until December 3, 206 Applicable for Customers who were Non-RPP Class B Consumers from January, 204 to December 3, 204 $/kw Retail Transmission Rate Network Service Rate $/kw Retail Transmission Rate Line and Transformation Connection Service Rate $/kw MONTHLY RATES AND CHARGES Regulatory Component Wholesale Market Service Rate $/kwh Rural or Remote Electricity Rate Protection Charge (RRRP) $/kwh Ontario Electricity Support Program Charge (OESP) $/kwh 0.00 Standard Supply Service Administrative Charge (if applicable) $ 0.25 Issued December 22, 205

82 Horizon Utilities Corporation TARIFF OF RATES AND CHARGES Effective and Implementation Date January, 206 This schedule supersedes and replaces all previously approved schedules of Rates, Charges and Loss Factors EB LARGE USE WITH DEDICATED ASSETS SERVICE CLASSIFICATION This classification applies to an account whose average monthly maximum demand used for billing purposes is equal to or greater than, or is forecast to be equal to or greater than, 5,000 kw and using dedicated assets. Further servicing details are available in the distributor s Conditions of Service. APPLICATION The application of these rates and charges shall be in accordance with the Licence of the Distributor and any Code or Order of the Ontario Energy Board, and amendments thereto as approved by the Ontario Energy Board, which may be applicable to the administration of this schedule. No rates and charges for the distribution of electricity and charges to meet the costs of any work or service done or furnished for the purpose of the distribution of electricity shall be made except as permitted by this schedule, unless required by the Distributor s Licence or a Code or Order of the Ontario Energy Board, and amendments thereto as approved by the Ontario Energy Board, or as specified herein. Unless specifically noted, this schedule does not contain any charges for the electricity commodity, be it under the Regulated Price Plan, a contract with a retailer or the wholesale market price, as applicable. In addition, the charges in the MONTHLY RATES AND CHARGES Regulatory Component of this schedule do not apply to a customer that is an embedded wholesale market participant. It should be noted that this schedule does not list any charges, assessments, or credits that are required by law to be invoiced by a distributor and that are not subject to Ontario Energy Board approval, such as the Debt Retirement Charge, the Global Adjustment, and the HST. MONTHLY RATES AND CHARGES Delivery Component Service Charge $ 4, Distribution Volumetric Rate $/kw Low Voltage Service Rate $/kw Rate Rider for Disposition of Deferral/Variance Accounts (206) effective until December 3, 206 $/kw Rate Rider for Disposition of Deferral/Variance Accounts (206) effective until December 3, 206 Not applicable for Wholesale Market Participants $/kw (0.4000) Retail Transmission Rate Network Service Rate $/kw Retail Transmission Rate Line and Transformation Connection Service Rate $/kw MONTHLY RATES AND CHARGES Regulatory Component Wholesale Market Service Rate $/kwh Rural or Remote Electricity Rate Protection Charge (RRRP) $/kwh Ontario Electricity Support Program Charge (OESP) $/kwh 0.00 Standard Supply Service Administrative Charge (if applicable) $ 0.25 Issued December 22, 205

83 Horizon Utilities Corporation TARIFF OF RATES AND CHARGES Effective and Implementation Date January, 206 This schedule supersedes and replaces all previously approved schedules of Rates, Charges and Loss Factors UNMETERED SCATTERED LOAD SERVICE CLASSIFICATION EB This classification applies to an account taking electricity at 750 volts or less whose average monthly maximum demand is less than, or is forecast to be less than, 50 kw and the consumption is unmetered. Such connections include cable TV power packs, bus shelters, telephone booths, traffic lights, railway crossings, etc. The level of the consumption will be agreed to by the distributor and the customer, based on detailed manufacturer information/ documentation with regard to electrical consumption of the unmetered load or periodic monitoring of actual consumption. Further servicing details are available in the distributor s Conditions of Service. APPLICATION The application of these rates and charges shall be in accordance with the Licence of the Distributor and any Code or Order of the Ontario Energy Board, and amendments thereto as approved by the Ontario Energy Board, which may be applicable to the administration of this schedule. No rates and charges for the distribution of electricity and charges to meet the costs of any work or service done or furnished for the purpose of the distribution of electricity shall be made except as permitted by this schedule, unless required by the Distributor s Licence or a Code or Order of the Ontario Energy Board, and amendments thereto as approved by the Ontario Energy Board, or as specified herein. Unless specifically noted, this schedule does not contain any charges for the electricity commodity, be it under the Regulated Price Plan, a contract with a retailer or the wholesale market price, as applicable. In addition, the charges in the MONTHLY RATES AND CHARGES Regulatory Component of this schedule do not apply to a customer that is an embedded wholesale market participant. It should be noted that this schedule does not list any charges, assessments, or credits that are required by law to be invoiced by a distributor and that are not subject to Ontario Energy Board approval, such as the Debt Retirement Charge, the Global Adjustment, and the HST. MONTHLY RATES AND CHARGES Delivery Component Service Charge (per device) $ 8.44 Distribution Volumetric Rate $/kwh 0.03 Low Voltage Service Rate $/kwh Rate Rider for Disposition of Deferral/Variance Accounts (206) effective until December 3, 206 $/kwh Rate Rider for Disposition of Global Adjustment (206) effective until December 3, 206 Applicable only for Non-RPP Class B Consumers $/kwh Retail Transmission Rate Network Service Rate $/kwh Retail Transmission Rate Line and Transformation Connection Service Rate $/kwh MONTHLY RATES AND CHARGES Regulatory Component Wholesale Market Service Rate $/kwh Rural or Remote Electricity Rate Protection Charge (RRRP) $/kwh Ontario Electricity Support Program Charge (OESP) $/kwh 0.00 Standard Supply Service Administrative Charge (if applicable) $ 0.25 Issued December 22, 205

84 Horizon Utilities Corporation TARIFF OF RATES AND CHARGES Effective and Implementation Date January, 206 This schedule supersedes and replaces all previously approved schedules of Rates, Charges and Loss Factors SENTINEL LIGHTING SERVICE CLASSIFICATION EB This classification applies to safety/security lighting with a Residential, General Service or Large Use customer. This is typically exterior lighting, and often unmetered. Consumption is estimated based on the equipment rating and estimated hours of use. Further servicing details are available in the distributor s Conditions of Service. APPLICATION The application of these rates and charges shall be in accordance with the Licence of the Distributor and any Code or Order of the Ontario Energy Board, and amendments thereto as approved by the Ontario Energy Board, which may be applicable to the administration of this schedule. No rates and charges for the distribution of electricity and charges to meet the costs of any work or service done or furnished for the purpose of the distribution of electricity shall be made except as permitted by this schedule, unless required by the Distributor s Licence or a Code or Order of the Ontario Energy Board, and amendments thereto as approved by the Ontario Energy Board, or as specified herein. Unless specifically noted, this schedule does not contain any charges for the electricity commodity, be it under the Regulated Price Plan, a contract with a retailer or the wholesale market price, as applicable. In addition, the charges in the MONTHLY RATES AND CHARGES Regulatory Component of this schedule do not apply to a customer that is an embedded wholesale market participant. It should be noted that this schedule does not list any charges, assessments, or credits that are required by law to be invoiced by a distributor and that are not subject to Ontario Energy Board approval, such as the Debt Retirement Charge, the Global Adjustment, and the HST. MONTHLY RATES AND CHARGES Delivery Component Service Charge (per connection) $ 5.45 Distribution Volumetric Rate $/kw Low Voltage Service Rate $/kw Rate Rider for Disposition of Deferral/Variance Accounts (206) effective until December 3, 206 $/kw 0.97 Rate Rider for Disposition of Global Adjustment (206) effective until December 3, 206 Applicable only for Non-RPP Class B Consumers $/kw.309 Retail Transmission Rate Network Service Rate $/kw Retail Transmission Rate Line and Transformation Connection Service Rate $/kw.707 MONTHLY RATES AND CHARGES Regulatory Component Wholesale Market Service Rate $/kwh Rural or Remote Electricity Rate Protection Charge (RRRP) $/kwh Ontario Electricity Support Program Charge (OESP) $/kwh 0.00 Standard Supply Service Administrative Charge (if applicable) $ 0.25 Issued December 22, 205

85 Horizon Utilities Corporation TARIFF OF RATES AND CHARGES Effective and Implementation Date January, 206 This schedule supersedes and replaces all previously approved schedules of Rates, Charges and Loss Factors STREET LIGHTING SERVICE CLASSIFICATION EB This classification applies to an account for roadway lighting with a Municipality, Regional Municipality, Ministry of Transportation and private roadway lighting, controlled by photo cells. The consumption for these customers will be based on the calculated connected load times the required lighting times established in the approved OEB street lighting load shape template. Further servicing details are available in the distributor s Conditions of Service. APPLICATION The application of these rates and charges shall be in accordance with the Licence of the Distributor and any Code or Order of the Ontario Energy Board, and amendments thereto as approved by the Ontario Energy Board, which may be applicable to the administration of this schedule. No rates and charges for the distribution of electricity and charges to meet the costs of any work or service done or furnished for the purpose of the distribution of electricity shall be made except as permitted by this schedule, unless required by the Distributor s Licence or a Code or Order of the Ontario Energy Board, and amendments thereto as approved by the Ontario Energy Board, or as specified herein. Unless specifically noted, this schedule does not contain any charges for the electricity commodity, be it under the Regulated Price Plan, a contract with a retailer or the wholesale market price, as applicable. In addition, the charges in the MONTHLY RATES AND CHARGES Regulatory Component of this schedule do not apply to a customer that is an embedded wholesale market participant. It should be noted that this schedule does not list any charges, assessments, or credits that are required by law to be invoiced by a distributor and that are not subject to Ontario Energy Board approval, such as the Debt Retirement Charge, the Global Adjustment, and the HST. MONTHLY RATES AND CHARGES Delivery Component Service Charge (per device) $ 2.28 Distribution Volumetric Rate $/kw Low Voltage Service Rate $/kw Rate Rider for Disposition of Deferral/Variance Accounts (206) effective until December 3, 206 $/kw Rate Rider for Disposition of Global Adjustment (206) effective until December 3, 206 Applicable only for Non-RPP Class B Consumers $/kw.3268 Retail Transmission Rate Network Service Rate $/kw Retail Transmission Rate Line and Transformation Connection Service Rate $/kw.6644 MONTHLY RATES AND CHARGES Regulatory Component Wholesale Market Service Rate $/kwh Rural or Remote Electricity Rate Protection Charge (RRRP) $/kwh Ontario Electricity Support Program Charge (OESP) $/kwh 0.00 Standard Supply Service Administrative Charge (if applicable) $ 0.25 Issued December 22, 205

86 Horizon Utilities Corporation TARIFF OF RATES AND CHARGES Effective and Implementation Date January, 206 This schedule supersedes and replaces all previously approved schedules of Rates, Charges and Loss Factors STANDBY POWER SERVICE CLASSIFICATION EB This classification refers to an account that has Load Displacement Generation and requires the distributor to provide back-up service. Further servicing details are available in the distributor s Conditions of Service. APPLICATION The application of these rates and charges shall be in accordance with the Licence of the Distributor and any Code or Order of the Ontario Energy Board, and amendments thereto as approved by the Ontario Energy Board, which may be applicable to the administration of this schedule. No rates and charges for the distribution of electricity and charges to meet the costs of any work or service done or furnished for the purpose of the distribution of electricity shall be made except as permitted by this schedule, unless required by the Distributor s Licence or a Code or Order of the Ontario Energy Board, and amendments thereto as approved by the Ontario Energy Board, or as specified herein. Unless specifically noted, this schedule does not contain any charges for the electricity commodity, be it under the Regulated Price Plan, a contract with a retailer or the wholesale market price, as applicable. It should be noted that this schedule does not list any charges, assessments, or credits that are required by law to be invoiced by a distributor and that are not subject to Ontario Energy Board approval, such as the Debt Retirement Charge, the Global Adjustment, and the HST. MONTHLY RATES AND CHARGES DELIVERY COMPONENT-APPROVED ON AN INTERIM BASIS GS > 50 kw Standby Charge for a month where standby power is not provided. The charge is applied to the amount of reserved load transfer capacity contracted or the amount of monthly peak load displaced by a generating facility $/kw Large Use Standby Charge for a month where standby power is not provided. The charge is applied to the amount of reserved load transfer capacity contracted or the amount of monthly peak load displaced by a generating facility $/kw.3985 Large Use With Dedicated Assets Standby Charge for a month where standby power is not provided. The charge is applied to the amount of reserved load transfer capacity contracted or the amount of monthly peak load displaced by a generating facility $/kw Issued December 22, 205

87 Horizon Utilities Corporation TARIFF OF RATES AND CHARGES Effective and Implementation Date January, 206 This schedule supersedes and replaces all previously approved schedules of Rates, Charges and Loss Factors microfit GENERATOR SERVICE CLASSIFICATION EB This classification applies to an electricity generation facility contracted under the Independent Electricity System Operator s microfit program and connected to the distributor s distribution system. Further servicing details are available in the distributor s Conditions of Service. APPLICATION The application of these rates and charges shall be in accordance with the Licence of the Distributor and any Code or Order of the Ontario Energy Board, and amendments thereto as approved by the Ontario Energy Board, which may be applicable to the administration of this schedule. No rates and charges for the distribution of electricity and charges to meet the costs of any work or service done or furnished for the purpose of the distribution of electricity shall be made except as permitted by this schedule, unless required by the Distributor s Licence or a Code or Order of the Ontario Energy Board, and amendments thereto as approved by the Ontario Energy Board, or as specified herein. Unless specifically noted, this schedule does not contain any charges for the electricity commodity, be it under the Regulated Price Plan, a contract with a retailer or the wholesale market price, as applicable. It should be noted that this schedule does not list any charges, assessments, or credits that are required by law to be invoiced by a distributor and that are not subject to Ontario Energy Board approval, such as the Debt Retirement Charge, the Global Adjustment, and the HST. MONTHLY RATES AND CHARGES Delivery Component Service Charge $ 5.40 ALLOWANCES Transformer Allowance for Ownership - per kw of billing demand/month $/kw (0.73) Primary Metering Allowance for transformer losses applied to measured demand and energy % (.00) Issued December 22, 205

88 Horizon Utilities Corporation TARIFF OF RATES AND CHARGES Effective and Implementation Date January, 206 This schedule supersedes and replaces all previously approved schedules of Rates, Charges and Loss Factors SPECIFIC SERVICE CHARGES EB APPLICATION The application of these rates and charges shall be in accordance with the Licence of the Distributor and any Code or Order of the Ontario Energy Board, and amendments thereto as approved by the Ontario Energy Board, which may be applicable to the administration of this schedule. No charges to meet the costs of any work or service done or furnished for the purpose of the distribution of electricity shall be made except as permitted by this schedule, unless required by the Distributor s Licence or a Code or Order of the Ontario Energy Board, and amendments thereto as approved by the Ontario Energy Board, or as specified herein. It should be noted that this schedule does not list any charges, assessments, or credits that are required by law to be invoiced by a distributor and that are not subject to Ontario Energy Board approval, such as the Debt Retirement Charge, the Global Adjustment, and the HST. Customer Administration Arrears Certificate $ 5.00 Statement of Account $ 5.00 Pulling post-dated cheques $ 5.00 Duplicate invoices for previous billing $ 5.00 Request for other billing information $ 5.00 Easement Letter $ 5.00 Income tax letter $ 5.00 Notification Charge $ 5.00 Account history $ 5.00 Credit reference/credit check (plus credit agency costs) $ 5.00 Returned Cheque charge (plus bank charges) $ 5.00 Charge to certify cheque $ 5.00 Legal letter charge $ 5.00 Account set up charge / change of occupancy charge (plus credit agency costs if applicable) $ Special Meter reads $ Meter dispute charge plus Measurement Canada fees (if meter found correct) $ Credit Card Convenience Charge $ 5.00 Non-Payment of Account Late Payment - per month %.50 Late Payment - per annum % 9.56 Collection of account charge no disconnection $ Collection of account charge no disconnection after regular hours $ Disconnect/Reconnect at meter during regular hours $ Disconnect/Reconnect at meter after regular hours $ Disconnect/Reconnect at pole during regular hours $ Disconnect/Reconnect at pole after regular hours $ Install / remove load control device during regular hours $ Install / remove load control device after regular hours $ Other Service call customer-owned equipment $ Service call after regular hours $ Temporary service install and remove overhead no transformer $ Temporary service install and remove underground no transformer $ Temporary service install and remove overhead with transformer $, Specific Charge for Access to the Power Poles per pole/year $ Administrative Billing Charge $ Issued December 22, 205

89 Horizon Utilities Corporation TARIFF OF RATES AND CHARGES Effective and Implementation Date January, 206 This schedule supersedes and replaces all previously approved schedules of Rates, Charges and Loss Factors RETAIL SERVICE CHARGES (if applicable) EB APPLICATION The application of these rates and charges shall be in accordance with the Licence of the Distributor and any Code or Order of the Ontario Energy Board, and amendments thereto as approved by the Ontario Energy Board, which may be applicable to the administration of this schedule. No rates and charges for the distribution of electricity and charges to meet the costs of any work or service done or furnished for the purpose of the distribution of electricity shall be made except as permitted by this schedule, unless required by the Distributor s Licence or a Code or Order of the Ontario Energy Board, and amendments thereto as approved by the Ontario Energy Board, or as specified herein. Unless specifically noted, this schedule does not contain any charges for the electricity commodity, be it under the Regulated Price Plan, a contract with a retailer or the wholesale market price, as applicable. It should be noted that this schedule does not list any charges, assessments, or credits that are required by law to be invoiced by a distributor and that are not subject to Ontario Energy Board approval, such as the Debt Retirement Charge, the Global Adjustment, and the HST. Retail Service Charges refer to services provided by a distributor to retailers or customers related to the supply of competitive electricity One-time charge, per retailer, to establish the service agreement between the distributor and the retailer $ Monthly Fixed Charge, per retailer $ Monthly Variable Charge, per customer, per retailer $/cust Distributor-consolidated billing monthly charge, per customer, per retailer $/cust Retailer-consolidated billing monthly credit, per customer, per retailer $/cust. (0.30) Service Transaction Requests (STR) Request fee, per request, applied to the requesting party $ 0.25 Processing fee, per request, applied to the requesting party $ 0.50 Request for customer information as outlined in Section and Chapter of the Retail Settlement Code directly to retailers and customers, if not delivered electronically through the Electronic Business Transaction (EBT) system, applied to the requesting party Up to twice a year no charge More than twice a year, per request (plus incremental delivery costs) $ 2.00 LOSS FACTORS If the distributor is not capable of prorating changed loss factors jointly with distribution rates, the revised loss factors will be implemented upon the first subsequent billing for each billing cycle. Total Loss Factor Secondary Metered Customer < 5,000 kw.0379 Total Loss Factor Secondary Metered Customer > 5,000 kw.060 Total Loss Factor Primary Metered Customer < 5,000 kw.0276 Total Loss Factor Primary Metered Customer > 5,000 kw.0060 Issued December 22, 205

90 EB Horizon Utilities Corporation Annual Filing Update Filed: August, 206 APPENDIX B - PROPOSED TARIFF OF RATES AND CHARGES JANUARY, 207

91 Horizon Utilities Corporation PROPOSED TARIFF OF RATES AND CHARGES Effective and Implementation Date January, 207 This schedule supersedes and replaces all previously approved schedules of Rates, Charges and Loss Factors EB RESIDENTIAL SERVICE CLASSIFICATION This classification applies to an account taking electricity at 750 volts or less where the electricity is used exclusively in a separate metered living accommodation. Customers shall be residing in single-dwelling units that consist of a detached house or one unit of a semi-detached, duplex, triplex or quadruplex house, with a residential zoning. Separately metered dwellings within a town house complex or apartment building also qualify as residential customers. All customers are single-phase. Further servicing details are available in the distributor s Conditions of Service. APPLICATION The application of these rates and charges shall be in accordance with the Licence of the Distributor and any Code or Order of the Ontario Energy Board, and amendments thereto as approved by the Ontario Energy Board, which may be applicable to the administration of this schedule. No rates and charges for the distribution of electricity and charges to meet the costs of any work or service done or furnished for the purpose of the distribution of electricity shall be made except as permitted by this schedule, unless required by the Distributor s Licence or a Code or Order of the Ontario Energy Board, and amendments thereto as approved by the Ontario Energy Board, or as specified herein. Unless specifically noted, this schedule does not contain any charges for the electricity commodity, be it under the Regulated Price Plan, a contract with a retailer or the wholesale market price, as applicable. In addition, the charges in the MONTHLY RATES AND CHARGES Regulatory Component of this schedule do not apply to a customer that is an embedded wholesale market participant. It should be noted that this schedule does not list any charges, assessments, or credits that are required by law to be invoiced by a distributor and that are not subject to Ontario Energy Board approval, such as the Debt Retirement Charge, the Global Adjustment, and the HST. MONTHLY RATES AND CHARGES Delivery Component Service Charge $ 2.56 Rate Rider for Smart Metering Entity Charge effective until October 3, 208 $ 0.79 Rate Rider for Recovery of Stranded Meter Assets effective until December 3, 207 $ 0.78 Distribution Volumetric Rate $/kwh Low Voltage Service Rate $/kwh Rate Rider for Disposition of Deferral/Variance Accounts (207) effective until December 3, 207 $/kwh (0.0023) Rate Rider for Disposition of Global Adjustment (207) effective until December 3, 207 Applicable only for Non-RPP Class B Consumers $/kwh Retail Transmission Rate Network Service Rate $/kwh Retail Transmission Rate Line and Transformation Connection Service Rate $/kwh MONTHLY RATES AND CHARGES - Regulatory Component Wholesale Market Service Rate $/kwh Rural or Remote Electricity Rate Protection Charge (RRRP) $/kwh Ontario Electricity Support Program Charge (OESP) $/kwh 0.00 Standard Supply Service Administrative Charge (if applicable) $ 0.25 Issued January, 207

92 Horizon Utilities Corporation PROPOSED TARIFF OF RATES AND CHARGES Effective and Implementation Date January, 207 This schedule supersedes and replaces all previously approved schedules of Rates, Charges and Loss Factors EB ONTARIO ELECTRICITY SUPPORT PROGRAM RECIPIENTS In addition to the charges specified on this tariff of rates and charges, the following credits are to be applied to eligible residential customers. APPLICATION The application of the credits is in accordance with the Distribution System Code (Section 9) and section 79.2 of the Ontario Energy Board Act, 998. The application of these credits shall be in accordance with the Licence of the Distributor and any Code or Order of the Ontario Energy Board, and amendments thereto as approved by the Ontario Energy Board, which may be applicable to the administration of this schedule. Definitions: Aboriginal person includes a person who is a First Nations person, a Métis person or an Inuit person; account-holder means a consumer who has an account with a distributor that falls within a residential-rate classification as specified in a rate order made by the Ontario Energy Board under section 78 of the Act, and who lives at the service address to which the account relates for at least six months in a year; electricity-intensive medical device means an oxygen concentrator, a mechanical ventilator, or such other device as may be specified by the Ontario Energy Board; household means the account-holder and any other people living at the accountholder s service address for at least six months in a year, including people other than the account-holder s spouse, children or other relatives; household income means the combined annual after-tax income of all members of a household aged 6 or over. MONTHLY RATES AND CHARGES Class A - OESP Credit $ (30.00) (a) account-holders with a household income of $28,000 or less living in a household of one or two persons; (b) account-holders with a household income of between $28,00 and $39,000 living in a household of three persons; (c) account-holders with a household income of between $39,00 and $48,000 living in a household of five persons; (d) account-holders with a household income of between $48,00 and $52,000 living in a household of seven or more persons; but does not include account-holders in Class E. Issued January, 207

93 Class B - OESP Credit $ (34.00) (a) account-holders with a household income of $28,000 or less living in a household of three persons; (b) account-holders with a household income of between $28,00 and $39,000 living in a household of four persons; (c) account-holders with a household income of between $39,00 and $48,000 living in a household of six persons; but does not include account-holders in Class F. Class C - OESP Credit $ (38.00) (a) account-holders with a household income of $28,000 or less living in a household of four persons; (b) account-holders with a household income of between $28,00 and $39,000 living in a household of five persons; (c) account-holders with a household income of between $39,00 and $48,000 living in a household of seven or more persons; but does not include account-holders in Class G. Class D - OESP Credit $ (42.00) (a) account-holders with a household income of $28,000 or less living in a household of five persons; and (b) account-holders with a household income of between $28,00 and $39,000 living in a household of six persons; but does not include account-holders in Class H. Class E - OESP Credit $ (45.00) Class E comprises account-holders with a household income and household size described under Class A who also meet any of the following conditions: (a) the dwelling to which the account relates is heated primarily by electricity; (b) the account-holder or any member of the account-holder s household is an Aboriginal person; or (c) the account-holder or any member of the account-holder s household regularly uses, for medical purposes, an electricity-intensive medical device at the dwelling to which the account relates. Class F - OESP Credit $ (50.00) (a) account-holders with a household income of $28,000 or less living in a household of six or more persons; (b) account-holders with a household income of between $28,00 and $39,000 living in a household of seven or more persons; or (c) account-holders with a household income and household size described under Class B who also meet any of the following conditions: i. the dwelling to which the account relates is heated primarily by electricity; ii. the account-holder or any member of the account-holder s household is an Aboriginal person; or iii. the account-holder or any member of the account-holder s household regularly uses, for medical purposes, an electricity-intensive medical device at the dwelling to which the account relates. Class G - OESP Credit $ (55.00) Class G comprises account-holders with a household income and household size described under Class C who also meet any of the following conditions: (a) the dwelling to which the account relates is heated primarily by electricity; (b) the account-holder or any member of the account-holder s household is an Aboriginal person; or (c) the account-holder or any member of the account-holder s household regularly uses, for medical purposes, an electricity-intensive medical device at the dwelling to which the account relates. Issued January, 207

94 Class H - OESP Credit $ (60.00) Class H comprises account-holders with a household income and household size described under Class D who also meet any of the following conditions: (a) the dwelling to which the account relates is heated primarily by electricity; (b) the account-holder or any member of the account-holder s household is an Aboriginal person; or (c) the account-holder or any member of the account-holder s household regularly uses, for medical purposes, an electricity-intensive medical device at the dwelling to which the account relates. Class I - OESP Credit $ (75.00) Class I comprises account-holders with a household income and household size described under paragraphs (a) or (b) of Class F who also meet any of the following conditions: (a) the dwelling to which the account relates is heated primarily by electricity; (b) the account-holder or any member of the account-holder s household is an Aboriginal person; or (c) the account-holder or any member of the account-holder s household regularly uses, for medical purposes, an electricity-intensive medical device at the dwelling to which the account relates. Issued January, 207

95 Horizon Utilities Corporation PROPOSED TARIFF OF RATES AND CHARGES Effective and Implementation Date January, 207 This schedule supersedes and replaces all previously approved schedules of Rates, Charges and Loss Factors EB GENERAL SERVICE LESS THAN 50 kw SERVICE CLASSIFICATION This classification applies to a non residential account taking electricity at 750 volts or less whose average monthly maximum demand is less than, or is forecast to be less than, 50 kw. Further servicing details are available in the distributor s Conditions of Service. APPLICATION The application of these rates and charges shall be in accordance with the Licence of the Distributor and any Code or Order of the Ontario Energy Board, and amendments thereto as approved by the Ontario Energy Board, which may be applicable to the administration of this schedule. No rates and charges for the distribution of electricity and charges to meet the costs of any work or service done or furnished for the purpose of the distribution of electricity shall be made except as permitted by this schedule, unless required by the Distributor s Licence or a Code or Order of the Ontario Energy Board, and amendments thereto as approved by the Ontario Energy Board, or as specified herein. Unless specifically noted, this schedule does not contain any charges for the electricity commodity, be it under the Regulated Price Plan, a contract with a retailer or the wholesale market price, as applicable. In addition, the charges in the MONTHLY RATES AND CHARGES Regulatory Component of this schedule do not apply to a customer that is an embedded wholesale market participant. It should be noted that this schedule does not list any charges, assessments, or credits that are required by law to be invoiced by a distributor and that are not subject to Ontario Energy Board approval, such as the Debt Retirement Charge, the Global Adjustment, and the HST. MONTHLY RATES AND CHARGES - Delivery Component Service Charge $ 4.83 Rate Rider for Smart Metering Entity Charge effective until October 3, 208 $ 0.79 Rate Rider for Recovery of Stranded Meter Assets effective until December 3, 207 $ 2.4 Distribution Volumetric Rate $/kwh Low Voltage Service Rate $/kwh Rate Rider for Disposition of Deferral/Variance Accounts (207) effective until December 3, 207 $/kwh (0.0023) Rate Rider for Disposition of Global Adjustment (207) effective until December 3, 207 Applicable only for Non-RPP Class B Consumers $/kwh Retail Transmission Rate Network Service Rate $/kwh Retail Transmission Rate Line and Transformation Connection Service Rate $/kwh MONTHLY RATES AND CHARGES - Regulatory Component Wholesale Market Service Rate $/kwh Rural or Remote Electricity Rate Protection Charge (RRRP) $/kwh Ontario Electricity Support Program Charge (OESP) $/kwh 0.00 Standard Supply Service Administrative Charge (if applicable) $ 0.25 Issued January, 207

96 Horizon Utilities Corporation PROPOSED TARIFF OF RATES AND CHARGES Effective and Implementation Date January, 207 This schedule supersedes and replaces all previously approved schedules of Rates, Charges and Loss Factors EB GENERAL SERVICE 50 TO 4,999 kw SERVICE CLASSIFICATION This classification applies to a non residential account whose average monthly maximum demand used for billing purposes is equal to or greater than, or is forecast to be equal to or greater than, 50 kw but less than 5,000 kw. Further servicing details are available in the distributor s Conditions of Service. APPLICATION The application of these rates and charges shall be in accordance with the Licence of the Distributor and any Code or Order of the Ontario Energy Board, and amendments thereto as approved by the Ontario Energy Board, which may be applicable to the administration of this schedule. No rates and charges for the distribution of electricity and charges to meet the costs of any work or service done or furnished for the purpose of the distribution of electricity shall be made except as permitted by this schedule, unless required by the Distributor s Licence or a Code or Order of the Ontario Energy Board, and amendments thereto as approved by the Ontario Energy Board, or as specified herein. Unless specifically noted, this schedule does not contain any charges for the electricity commodity, be it under the Regulated Price Plan, a contract with a retailer or the wholesale market price, as applicable. In addition, the charges in the MONTHLY RATES AND CHARGES Regulatory Component of this schedule do not apply to a customer that is an embedded wholesale market participant. It should be noted that this schedule does not list any charges, assessments, or credits that are required by law to be invoiced by a distributor and that are not subject to Ontario Energy Board approval, such as the Debt Retirement Charge, the Global Adjustment, and the HST. MONTHLY RATES AND CHARGES - Delivery Component Service Charge $ Rate Rider for Recovery of Stranded Meter Assets effective until December 3, 207 $ 3.45 Distribution Volumetric Rate $/kw Low Voltage Service Rate $/kw Rate Rider for Disposition of Deferral/Variance Accounts (207) effective until December 3, 207 $/kw (0.0553) Rate Rider for Disposition of Deferral/Variance Accounts (207) effective until December 3, 207 $/kw (0.8963) Not Applicable for Wholesale Market Participants Rate Rider for Disposition of Capacity Based Recovery (207) effective until December 3, 207 $/kw 0.02 Not Applicable for any Consumers who were Class A in 205 Rate Rider for Disposition of Capacity Based Recovery (207) effective until December 3, 207 $/kw 0.09 Applicable for Customers who were Class A Consumers from July, 205 December 3, 205 only Rate Rider for Disposition of Global Adjustment (207) effective until December 3, 207 $/kwh Applicable only for Non-RPP Class B Consumers (exclude customers who were Class A Consumers during 205) Retail Transmission Rate Network Service Rate $/kw Retail Transmission Rate Line and Transformation Connection Service Rate $/kw 2.23 MONTHLY RATES AND CHARGES - Regulatory Component Wholesale Market Service Rate $/kwh Rural or Remote Electricity Rate Protection Charge (RRRP) $/kwh Ontario Electricity Support Program Charge (OESP) $/kwh 0.00 Standard Supply Service Administrative Charge (if applicable) $ 0.25 Issued January, 207

97 Horizon Utilities Corporation PROPOSED TARIFF OF RATES AND CHARGES Effective and Implementation Date January, 207 This schedule supersedes and replaces all previously approved schedules of Rates, Charges and Loss Factors EB LARGE USE SERVICE CLASSIFICATION This classification applies to an account whose average monthly maximum demand used for billing purposes is equal to or greater than, or is forecast to be equal to or greater than, 5,000 kw. Further servicing details are available in the distributor s Conditions of Service. APPLICATION The application of these rates and charges shall be in accordance with the Licence of the Distributor and any Code or Order of the Ontario Energy Board, and amendments thereto as approved by the Ontario Energy Board, which may be applicable to the administration of this schedule. No rates and charges for the distribution of electricity and charges to meet the costs of any work or service done or furnished for the purpose of the distribution of electricity shall be made except as permitted by this schedule, unless required by the Distributor s Licence or a Code or Order of the Ontario Energy Board, and amendments thereto as approved by the Ontario Energy Board, or as specified herein. Unless specifically noted, this schedule does not contain any charges for the electricity commodity, be it under the Regulated Price Plan, a contract with a retailer or the wholesale market price, as applicable. In addition, the charges in the MONTHLY RATES AND CHARGES Regulatory Component of this schedule do not apply to a customer that is an embedded wholesale market participant. It should be noted that this schedule does not list any charges, assessments, or credits that are required by law to be invoiced by a distributor and that are not subject to Ontario Energy Board approval, such as the Debt Retirement Charge, the Global Adjustment, and the HST. MONTHLY RATES AND CHARGES - Delivery Component Service Charge $ 24,033.8 Distribution Volumetric Rate $/kw.479 Low Voltage Service Rate $/kw Rate Rider for Disposition of Deferral/Variance Accounts (207) effective until December 3, 207 $/kw (0.0726) Rate Rider for Disposition of Deferral/Variance Accounts (207) effective until December 3, 207 $/kw (.323) Not Applicable for Wholesale Market Participants Rate Rider for Disposition of Capacity Based Recovery (207) effective until December 3, 207 $/kw Not Applicable for any Consumers who were Class A in 205 Rate Rider for Disposition of Global Adjustment $/kwh Applicable for Customers who were Non-RPP Class B Consumers from January, December 3, 205 Retail Transmission Rate Network Service Rate $/kw Retail Transmission Rate Line and Transformation Connection Service Rate $/kw MONTHLY RATES AND CHARGES - Regulatory Component Wholesale Market Service Rate $/kwh Rural or Remote Electricity Rate Protection Charge (RRRP) $/kwh Ontario Electricity Support Program Charge (OESP) $kwh 0.00 Standard Supply Service Administrative Charge (if applicable) $ 0.25 Issued January, 207

98 Horizon Utilities Corporation PROPOSED TARIFF OF RATES AND CHARGES Effective and Implementation Date January, 207 This schedule supersedes and replaces all previously approved schedules of Rates, Charges and Loss Factors EB LARGE USE WITH DEDICATED ASSETS SERVICE CLASSIFICATION This classification applies to an account whose average monthly maximum demand used for billing purposes is equal to or greater than, or is forecast to be equal to or greater than, 5,000 kw and using dedicated assets. Further servicing details are available in the distributor s Conditions of Service. APPLICATION The application of these rates and charges shall be in accordance with the Licence of the Distributor and any Code or Order of the Ontario Energy Board, and amendments thereto as approved by the Ontario Energy Board, which may be applicable to the administration of this schedule. No rates and charges for the distribution of electricity and charges to meet the costs of any work or service done or furnished for the purpose of the distribution of electricity shall be made except as permitted by this schedule, unless required by the Distributor s Licence or a Code or Order of the Ontario Energy Board, and amendments thereto as approved by the Ontario Energy Board, or as specified herein. Unless specifically noted, this schedule does not contain any charges for the electricity commodity, be it under the Regulated Price Plan, a contract with a retailer or the wholesale market price, as applicable. In addition, the charges in the MONTHLY RATES AND CHARGES Regulatory Component of this schedule do not apply to a customer that is an embedded wholesale market participant. It should be noted that this schedule does not list any charges, assessments, or credits that are required by law to be invoiced by a distributor and that are not subject to Ontario Energy Board approval, such as the Debt Retirement Charge, the Global Adjustment, and the HST. MONTHLY RATES AND CHARGES - Delivery Component Service Charge $ 5, Distribution Volumetric Rate $/kw Low Voltage Service Rate $/kw Rate Rider for Disposition of Deferral/Variance Accounts (207) effective until December 3, 207 $/kw (0.0865) Rate Rider for Disposition of Deferral/Variance Accounts (207) effective until December 3, 207 $/kw (.579) Not Applicable for Wholesale Market Participants Rate Rider for Disposition of Capacity Based Recovery (207) effective until December 3, 207 $/kw Not Applicable for any Consumers who were Class A in 205 Rate Rider for Disposition of Global Adjustment $/kwh Applicable for Customers who were Non-RPP Class B Consumers from January, December 3, 205 Retail Transmission Rate Network Service Rate $/kw Retail Transmission Rate Line and Transformation Connection Service Rate $/kw MONTHLY RATES AND CHARGES - Regulatory Component Wholesale Market Service Rate $/kwh Rural or Remote Electricity Rate Protection Charge (RRRP) $/kwh Ontario Electricity Support Program Charge (OESP) $/kwh 0.00 Standard Supply Service Administrative Charge (if applicable) $ 0.25 Issued January, 207

99 Horizon Utilities Corporation PROPOSED TARIFF OF RATES AND CHARGES Effective and Implementation Date January, 207 This schedule supersedes and replaces all previously approved schedules of Rates, Charges and Loss Factors EB UNMETERED SCATTERED LOAD SERVICE CLASSIFICATION This classification applies to an account taking electricity at 750 volts or less whose average monthly maximum demand is less than, or is forecast to be less than, 50 kw and the consumption is unmetered. Such connections include cable TV power packs, bus shelters, telephone booths, traffic lights, railway crossings, etc. The level of the consumption will be agreed to by the distributor and the customer, based on detailed manufacturer information/ documentation with regard to electrical consumption of the unmetered load or periodic monitoring of actual consumption. Further servicing details are available in the distributor s Conditions of Service. APPLICATION The application of these rates and charges shall be in accordance with the Licence of the Distributor and any Code or Order of the Ontario Energy Board, and amendments thereto as approved by the Ontario Energy Board, which may be applicable to the administration of this schedule. No rates and charges for the distribution of electricity and charges to meet the costs of any work or service done or furnished for the purpose of the distribution of electricity shall be made except as permitted by this schedule, unless required by the Distributor s Licence or a Code or Order of the Ontario Energy Board, and amendments thereto as approved by the Ontario Energy Board, or as specified herein. Unless specifically noted, this schedule does not contain any charges for the electricity commodity, be it under the Regulated Price Plan, a contract with a retailer or the wholesale market price, as applicable. In addition, the charges in the MONTHLY RATES AND CHARGES Regulatory Component of this schedule do not apply to a customer that is an embedded wholesale market participant. It should be noted that this schedule does not list any charges, assessments, or credits that are required by law to be invoiced by a distributor and that are not subject to Ontario Energy Board approval, such as the Debt Retirement Charge, the Global Adjustment, and the HST. MONTHLY RATES AND CHARGES - Delivery Component Service Charge (per device) $ 8.56 Distribution Volumetric Rate $/kwh Low Voltage Service Rate $/kwh Rate Rider for Disposition of Deferral/Variance Accounts (207) effective until December 3, 207 $/kwh (0.0023) Rate Rider for Disposition of Global Adjustment $/kwh Applicable only for Non-RPP Class B Consumers Retail Transmission Rate Network Service Rate $/kwh Retail Transmission Rate Line and Transformation Connection Service Rate $/kwh MONTHLY RATES AND CHARGES - Regulatory Component Wholesale Market Service Rate $/kwh Rural or Remote Electricity Rate Protection Charge (RRRP) $/kwh Ontario Electricity Support Program Charge (OESP) $/kwh 0.00 Standard Supply Service Administrative Charge (if applicable) $ 0.25 Issued January, 207

100 Horizon Utilities Corporation PROPOSED TARIFF OF RATES AND CHARGES Effective and Implementation Date January, 207 This schedule supersedes and replaces all previously approved schedules of Rates, Charges and Loss Factors EB SENTINEL LIGHTING SERVICE CLASSIFICATION This classification applies to safety/security lighting with a Residential, General Service or Large Use customer. This is typically exterior lighting, and often unmetered. Consumption is estimated based on the equipment rating and estimated hours of use. Further servicing details are available in the distributor s Conditions of Service. APPLICATION The application of these rates and charges shall be in accordance with the Licence of the Distributor and any Code or Order of the Ontario Energy Board, and amendments thereto as approved by the Ontario Energy Board, which may be applicable to the administration of this schedule. No rates and charges for the distribution of electricity and charges to meet the costs of any work or service done or furnished for the purpose of the distribution of electricity shall be made except as permitted by this schedule, unless required by the Distributor s Licence or a Code or Order of the Ontario Energy Board, and amendments thereto as approved by the Ontario Energy Board, or as specified herein. Unless specifically noted, this schedule does not contain any charges for the electricity commodity, be it under the Regulated Price Plan, a contract with a retailer or the wholesale market price, as applicable. In addition, the charges in the MONTHLY RATES AND CHARGES Regulatory Component of this schedule do not apply to a customer that is an embedded wholesale market participant. It should be noted that this schedule does not list any charges, assessments, or credits that are required by law to be invoiced by a distributor and that are not subject to Ontario Energy Board approval, such as the Debt Retirement Charge, the Global Adjustment, and the HST. MONTHLY RATES AND CHARGES - Delivery Component Service Charge (per connection) $ 5.53 Distribution Volumetric Rate $/kw Low Voltage Service Rate $/kw Rate Rider for Disposition of Deferral/Variance Accounts (207) effective until December 3, 207 $/kw (0.850) Rate Rider for Disposition of Global Adjustment $/kwh Applicable only for Non-RPP Class B Consumers Retail Transmission Rate Network Service Rate $/kw Retail Transmission Rate Line and Transformation Connection Service Rate $/kw.7069 MONTHLY RATES AND CHARGES - Regulatory Component Wholesale Market Service Rate $/kwh Rural or Remote Electricity Rate Protection Charge (RRRP) $/kwh Ontario Electricity Support Program Charge (OESP) $/kwh 0.0 Standard Supply Service Administrative Charge (if applicable) $ 0.25 Issued January, 207

101 Horizon Utilities Corporation PROPOSED TARIFF OF RATES AND CHARGES Effective and Implementation Date January, 207 This schedule supersedes and replaces all previously approved schedules of Rates, Charges and Loss Factors EB STREET LIGHTING SERVICE CLASSIFICATION This classification applies to an account for roadway lighting with a Municipality, Regional Municipality, Ministry of Transportation and private roadway lighting, controlled by photo cells. The consumption for these customers will be based on the calculated connected load times the required lighting times established in the approved OEB street lighting load shape template. Further servicing details are available in the distributor s Conditions of Service. APPLICATION The application of these rates and charges shall be in accordance with the Licence of the Distributor and any Code or Order of the Ontario Energy Board, and amendments thereto as approved by the Ontario Energy Board, which may be applicable to the administration of this schedule. No rates and charges for the distribution of electricity and charges to meet the costs of any work or service done or furnished for the purpose of the distribution of electricity shall be made except as permitted by this schedule, unless required by the Distributor s Licence or a Code or Order of the Ontario Energy Board, and amendments thereto as approved by the Ontario Energy Board, or as specified herein. Unless specifically noted, this schedule does not contain any charges for the electricity commodity, be it under the Regulated Price Plan, a contract with a retailer or the wholesale market price, as applicable. In addition, the charges in the MONTHLY RATES AND CHARGES Regulatory Component of this schedule do not apply to a customer that is an embedded wholesale market participant. It should be noted that this schedule does not list any charges, assessments, or credits that are required by law to be invoiced by a distributor and that are not subject to Ontario Energy Board approval, such as the Debt Retirement Charge, the Global Adjustment, and the HST. MONTHLY RATES AND CHARGES - Delivery Component Service Charge (per device) $ 2.7 Distribution Volumetric Rate $/kw Low Voltage Service Rate $/kw Rate Rider for Disposition of Deferral/Variance Accounts (207) effective until December 3, 207 $/kw (0.8275) Rate Rider for Disposition of Global Adjustment $/kwh Applicable only for Non-RPP Class B Consumers Retail Transmission Rate Network Service Rate $/kw Retail Transmission Rate Line and Transformation Connection Service Rate $/kw.6642 MONTHLY RATES AND CHARGES - Regulatory Component Wholesale Market Service Rate $/kwh Rural or Remote Electricity Rate Protection Charge (RRRP) $/kwh Ontario Electricity Support Program Charge (OESP) $/kwh 0.00 Standard Supply Service Administrative Charge (if applicable) $ 0.25 Issued January, 207

102 Horizon Utilities Corporation PROPOSED TARIFF OF RATES AND CHARGES Effective and Implementation Date January, 207 This schedule supersedes and replaces all previously approved schedules of Rates, Charges and Loss Factors EB STANDBY POWER SERVICE CLASSIFICATION This classification refers to an account that has Load Displacement Generation and requires the distributor to provide back-up service. Further servicing details are available in the distributor s Conditions of Service. APPLICATION The application of these rates and charges shall be in accordance with the Licence of the Distributor and any Code or Order of the Ontario Energy Board, and amendments thereto as approved by the Ontario Energy Board, which may be applicable to the administration of this schedule. No rates and charges for the distribution of electricity and charges to meet the costs of any work or service done or furnished for the purpose of the distribution of electricity shall be made except as permitted by this schedule, unless required by the Distributor s Licence or a Code or Order of the Ontario Energy Board, and amendments thereto as approved by the Ontario Energy Board, or as specified herein. Unless specifically noted, this schedule does not contain any charges for the electricity commodity, be it under the Regulated Price Plan, a contract with a retailer or the wholesale market price, as applicable. It should be noted that this schedule does not list any charges, assessments, or credits that are required by law to be invoiced by a distributor and that are not subject to Ontario Energy Board approval, such as the Debt Retirement Charge, the Global Adjustment, and the HST. MONTHLY RATES AND CHARGES - DELIVERY COMPONENT - APPROVED ON AN INTERIM BASIS GS > 50 kw Standby Charge for a month where standby power is not provided. The charge is applied to the amount of reserved load transfer capacity contracted or the amount of monthly peak load displaced by a generating facility $/kw Large Use Standby Charge for a month where standby power is not provided. The charge is applied to the amount of reserved load transfer capacity contracted or the amount of monthly peak load displaced by a generating facility $/kw.479 Large Use With Dedicated Assets Standby Charge for a month where standby power is not provided. The charge is applied to the amount of reserved load transfer capacity contracted or the amount of monthly peak load displaced by a generating facility $/kw Issued January, 207

103 Horizon Utilities Corporation PROPOSED TARIFF OF RATES AND CHARGES Effective and Implementation Date January, 207 This schedule supersedes and replaces all previously approved schedules of Rates, Charges and Loss Factors EB microfit SERVICE CLASSIFICATION This classification applies to an electricity generation facility contracted under the Independent Electricity System Operator s microfit program and connected to the distributor s distribution system. Further servicing details are available in the distributor s Conditions of Service. APPLICATION The application of these rates and charges shall be in accordance with the Licence of the Distributor and any Code or Order of the Ontario Energy Board, and amendments thereto as approved by the Ontario Energy Board, which may be applicable to the administration of this schedule. No rates and charges for the distribution of electricity and charges to meet the costs of any work or service done or furnished for the purpose of the distribution of electricity shall be made except as permitted by this schedule, unless required by the Distributor s Licence or a Code or Order of the Ontario Energy Board, and amendments thereto as approved by the Ontario Energy Board, or as specified herein. Unless specifically noted, this schedule does not contain any charges for the electricity commodity, be it under the Regulated Price Plan, a contract with a retailer or the wholesale market price, as applicable. It should be noted that this schedule does not list any charges, assessments, or credits that are required by law to be invoiced by a distributor and that are not subject to Ontario Energy Board approval, such as the Debt Retirement Charge, the Global Adjustment, and the HST. MONTHLY RATES AND CHARGES - Delivery Component Service Charge ALLOWANCES $ 5.40 Transformer Allowance for Ownership per kw of billing demand/month $/kw (0.73) Primary Metering Allowance for transformer losses applied to measured demand and energy % (.00) Issued January, 207

104 Horizon Utilities Corporation PROPOSED TARIFF OF RATES AND CHARGES Effective and Implementation Date January, 207 This schedule supersedes and replaces all previously approved schedules of Rates, Charges and Loss Factors EB SPECIFIC SERVICE CHARGES APPLICATION The application of these rates and charges shall be in accordance with the Licence of the Distributor and any Code or Order of the Ontario Energy Board, and amendments thereto as approved by the Ontario Energy Board, which may be applicable to the administration of this schedule. No charges to meet the costs of any work or service done or furnished for the purpose of the distribution of electricity shall be made except as permitted by this schedule, unless required by the Distributor s License or a Code of Order of the Ontario Energy Board, and amendments thereto as approved by the Ontario Energy Board, or as specified herein. It should be noted that this schedule does not list any charges, assessments, or credits that are required by law to be invoiced by a distributor and that are not subject to Ontario Energy Board approval, such as the Debt Retirement Charge, the Global Adjustment, and the HST. Customer Administration Arrears certificate $ 5.00 Statement of Account $ 5.00 Pulling of Post Dated Cheques $ 5.00 Duplicate Invoices for previous billing $ 5.00 Request for other billing information $ 5.00 Easement Letter $ 5.00 Income Tax Letter $ 5.00 Notification charge $ 5.00 Account History $ 5.00 Returned cheque charge (plus bank charges) $ 5.00 Charge to certify cheque $ 5.00 Legal letter charge $ 5.00 Account set up charge/change of occupancy charge (plus credit agency costs if applicable) $ Special Meter Reads $ Meter dispute charge plus Measurement Canada fees (if meter found correct) $ Credit Card Convenience Charge $ 5.00 Paymentus Service Charge $ 5.95 Credit Check (plus credit agency costs) $ 5.00 Non-Payment of Account Late Payment per month %.5 Late Payment per annum % 9.56 Collection of account charge no disconnection $ Collection of account charge no disconnection after regular hours $ Disconnect/Reconnect at meter during regular hours $ Disconnect/Reconnect at meter after regular hours $ Disconnect/Reconnect at pole during regular hours $ Disconnect/Reconnect at pole after regular hours $ Install/Remove load control device during regular hours $ Install/Remove load control device after regular hours $ Issued January, 207

105 Other Service call customer owned equipment $ Service call after regular hours $ Temporary Service Install and Remove overhead - no transformer $ Temporary Service Install and remove underground no transformer $ Temporary Service Install and remove overhead with transformer $, Specific Charge for Access to the Power Poles per pole/year $ Administrative Billing Charge $ Issued January, 207

106 Horizon Utilities Corporation PROPOSED TARIFF OF RATES AND CHARGES Effective and Implementation Date January, 207 This schedule supersedes and replaces all previously approved schedules of Rates, Charges and Loss Factors EB RETAIL SERVICE CHARGES (if applicable) APPLICATION The application of these rates and charges shall be in accordance with the Licence of the Distributor and any Code or Order of the Ontario Energy Board, and amendments thereto as approved by the Ontario Energy Board, which may be applicable to the administration of this schedule. No charges to meet the costs of any work or service done or furnished for the purpose of the distribution of electricity shall be made except as permitted by this schedule, unless required by the Distributor s License or a Code of Order of the Ontario Energy Board, and amendments thereto as approved by the Ontario Energy Board, or as specified herein. Unless specifically noted that this schedule does contain any charges for the electricity commodity, be it under the Regulated Price Plan, a contract with a retailer or the wholesale market price, as applicable. It should be noted that this schedule does not list any charges, assessments, or credits that are required by law to be invoiced by a distributor and that are not subject to Ontario Energy Board approval, such as the Debt Retirement Charge, the Global Adjustment, and the HST. Retail Service Charges refer to services provided by a distributor to retailers or customers related to the supply of competitive electricity. One-time charge, per retailer, to establish the service agreement between the distributor and the retailer $ Monthly Fixed Charge, per retailer $ Monthly Variable Charge, per customer, per retailer $/cust Distributor-consolidated billing monthly charge, per customer, per retailer $/cust Retailer-consolidated billing monthly credit, per customer, per retailer $/cust. (0.30) Service Transaction Requests (STR) Request fee, per request, applied to the requesting party $ 0.25 Processing fee, per request, applied to the requesting party $ 0.50 Request for Customer information as outlined in Section and Chapter of the Retail Settlement Code directly to retailers and customers, if not delivered electronically through the Electronic Business Transaction (EBT) system, applied to the requesting party Up to twice a year $ no charge More than twice a year, per request (plus incremental delivery costs) $ 2.00 LOSS FACTORS If the distributor is not capable of prorating changed loss factors jointly with distribution rates, the revised loss factors will be implemented upon the first subsequent billing for each billing cycle. Total Loss Factor Secondary Metered Customer < 5,000 kw.0379 Total Loss Factor Secondary Metered Customer > 5,000 kw.060 Total Loss Factor Primary Metered Customer < 5,000 kw.0276 Total Loss Factor Primary Metered Customer > 5,000 kw.0060 Issued January, 207

107 APPENDIX C - HORIZON UTILITIES CUSTOMER BILL IMPACTS EB Horizon Utilities Corporation Annual Filing Update Filed: August, 206

108 206 Horizon Utilities Customer Bill Impacts Distribution Distribution Rate Class kwh kw Distribution $ (207 vs 206) Rate Class kwh kw Total Bill $ (207 vs 206) Residential (on TOU) 00 $2.37 Residential (on TOU) 00 $2.06 Residential (on TOU) 200 $.98 Residential (on TOU) 200 $.37 Residential (on TOU) 500 $0.8 Residential (on TOU) 500 ($0.70) Residential (on TOU) 750 ($0.7) Residential (on TOU) 750 ($2.43) Residential (on TOU),000 ($.4) Residential (on TOU),000 ($4.5) Residential (on TOU),500 ($3.09) Residential (on TOU),500 ($7.6) Residential (on TOU) 2,000 ($5.04) Residential (on TOU) 2,000 ($.06) GS < 50 kw (On TOU),000 $0.82 GS < 50 kw (On TOU),000 ($2.6) GS < 50 kw (On TOU) 2,000 $.02 GS < 50 kw (On TOU) 2,000 ($4.92) GS < 50 kw (On TOU) 5,000 $.62 GS < 50 kw (On TOU) 5,000 ($3.22) GS < 50 kw (On TOU) 0,000 $2.62 GS < 50 kw (On TOU) 0,000 ($27.05) GS < 50 kw (On TOU) 5,000 $3.62 GS < 50 kw (On TOU) 5,000 ($40.88) GS > 50 kw (On RPP) 44, $9.05 GS > 50 kw (On RPP) 44, ($0.74) GS > 50 kw (On RPP) 0, $4. GS > 50 kw (On RPP) 0, ($262.8) GS > 50 kw (On RPP) 54, $7.48 GS > 50 kw (On RPP) 54, ($370.8) GS > 50 kw (On RPP) 880,000 2,000 $73.08 GS > 50 kw (On RPP) 880,000 2,000 ($2,4.86) GS > 50 kw (On RPP),760,000 4,000 $40.48 GS > 50 kw (On RPP),760,000 4,000 ($4,289.35) Large Use () (On RPP) 2,555,000 5,000 $426.6 Large Use () (On RPP) 2,555,000 5,000 ($8,026.97) Large Use () (On RPP) 3,32,500 6,500 $455.7 Large Use () (On RPP) 3,32,500 6,500 ($0,533.95) Large Use () (On RPP) 3,832,500 7,500 $475. Large Use () (On RPP) 3,832,500 7,500 ($2,205.26) Large Use () (On RPP) 5,0,000 0,000 $523.6 Large Use () (On RPP) 5,0,000 0,000 ($6,383.55) Large Use () (On RPP) 6,387,500 2,500 $572. Large Use () (On RPP) 6,387,500 2,500 ($20,56.85) Large Use (2) (On RPP) 7,665,000 5,000 $2,383.7 Large Use (2) (On RPP) 7,665,000 5,000 ($22,539.84) Large Use (2) (On RPP) 0,220,000 20,000 $2,756.7 Large Use (2) (On RPP) 0,220,000 20,000 ($30,474.5) USL (On RPP) 250 $0.7 USL (On RPP) 250 ($.2) USL (On RPP) 500 $0.22 USL (On RPP) 500 ($2.37) Sentinel (72 Connections) 97, $06.32 Sentinel (72 Connections) 97, ($250.97) Street Lighting (36,000 Devices),782,038 4,973 ($5,393.40) Street Lighting (36,000 Devices),782,038 4,973 ($4,468.2) Total Bill Rate Class kwh kw Distribution % (207 vs 206) Rate Class kwh kw Total Bill % (207 vs 206) Residential (on TOU) 00.84% Residential (on TOU) % Residential (on TOU) % Residential (on TOU) % Residential (on TOU) % Residential (on TOU) 500 (0.74)% Residential (on TOU) 750 (0.59)% Residential (on TOU) 750 (.83)% Residential (on TOU),000 (3.69)% Residential (on TOU),000 (2.45)% Residential (on TOU),500 (8.36)% Residential (on TOU),500 (3.2)% Residential (on TOU) 2,000 (.72)% Residential (on TOU) 2,000 (3.47)% GS < 50 kw (On TOU),000.58% GS < 50 kw (On TOU),000 (.09)% GS < 50 kw (On TOU) 2,000.63% GS < 50 kw (On TOU) 2,000 (.40)% GS < 50 kw (On TOU) 5,000.72% GS < 50 kw (On TOU) 5,000 (.63)% GS < 50 kw (On TOU) 0,000.78% GS < 50 kw (On TOU) 0,000 (.72)% GS < 50 kw (On TOU) 5,000.8% GS < 50 kw (On TOU) 5,000 (.75)% GS > 50 kw (On RPP) 44, % GS > 50 kw (On RPP) 44, (.4)% GS > 50 kw (On RPP) 0, % GS > 50 kw (On RPP) 0, (.50)% GS > 50 kw (On RPP) 54, % GS > 50 kw (On RPP) 54, (.52)% GS > 50 kw (On RPP) 880,000 2,000.34% GS > 50 kw (On RPP) 880,000 2,000 (.56)% GS > 50 kw (On RPP),760,000 4,000.33% GS > 50 kw (On RPP),760,000 4,000 (.56)% Large Use () (On RPP) 2,555,000 5,000.39% Large Use () (On RPP) 2,555,000 5,000 (.99)% Large Use () (On RPP) 3,32,500 6,500.39% Large Use () (On RPP) 3,32,500 6,500 (2.04)% Large Use () (On RPP) 3,832,500 7,500.39% Large Use () (On RPP) 3,832,500 7,500 (2.06)% Large Use () (On RPP) 5,0,000 0,000.39% Large Use () (On RPP) 5,0,000 0,000 (2.09)% Large Use () (On RPP) 6,387,500 2,500.39% Large Use () (On RPP) 6,387,500 2,500 (2.)% Large Use (2) (On RPP) 7,665,000 5, % Large Use (2) (On RPP) 7,665,000 5,000 (2.00)% Large Use (2) (On RPP) 0,220,000 20, % Large Use (2) (On RPP) 0,220,000 20,000 (2.03)% USL (On RPP) % USL (On RPP) 250 (2.44)% USL (On RPP) % USL (On RPP) 500 (2.84)% Sentinel (72 Connections) 97, % Sentinel (72 Connections) 97, (.5)% Street Lighting (36,000 Devices),782,038 4,973 (4.80)% Street Lighting (36,000 Devices),782,038 4,973 (3.75)% Total Bill

109 Customer Class: Residential TOU / non-tou: TOU Consumption 00 kwh May - October Approved Rates 207 Proposed Rates 207 vs 206 Charge Unit Volume Rate Charge Rate Charge $ Change % Change ($) ($) ($) ($) Monthly Service Charge Monthly $ 8.80 $ 8.80 $ 2.56 $ 2.56 $ % Stranded Meter Rate Adder Monthly $ 0.79 $ 0.79 $ 0.78 $ $ % Smart Meter Incremental Revenue Monthly Recovery of Green Energy Act Monthly Distribution Volumetric Rate per kwh 00 $ 0.02 $.2 $ $ $ % Smart Meter Disposition Rider Monthly LRAM & SSM Rate Rider per kwh 00 Rate Rider for Tax Change per kwh 00 Sub-Total A (excluding pass through) $ $ 23.6 $ % Deferral/Variance Account per kwh $ $ $ 0.03 Disposition Rate Rider -$ $ % Deferral/Variance Account per kwh Disposition Rate Rider per kwh 00 Low Voltage Service Charge per kwh 00 $ $ 0.0 $ $ 0.0 -$ 0.00 Line Losses on Cost of Power 3.79 $ 0.8 $ 0.42 $ 0.8 $ 0.42 Smart Meter Entity Charge Monthly $ 0.79 $ 0.79 $ 0.79 $ 0.79 Sub-Total B - Distribution (includes Sub-Total A) $ $ 24.5 $ % RTSR - Network per kwh $ $ 0.8 $ $ $ % RTSR - Line and Transformation Connection per kwh $ $ 0.6 $ $ 0.6 $ % Sub-Total C - Delivery (including Sub-Total B) $ $ $ % Wholesale Market Service Charge per kwh $ $ $ 0.49 (WMSC) $ 0.49 Rural and Remote Rate Protection per kwh $ $ $ 0.3 (RRRP) $ 0.3 Standard Supply Service Charge Monthly $ $ 0.25 $ $ 0.25 Debt Retirement Charge (DRC) per kwh 00 TOU - Off Peak per kwh 64 $ $ 5.57 $ $ 5.57 TOU - Mid Peak per kwh 8 $ $ 2.38 $ $ 2.38 TOU - On Peak per kwh 8 $ $ 3.24 $ $ 3.24 Energy - RPP - Tier per kwh 00 $ $ 0.30 $ $ 0.30 Energy - RPP - Tier 2 per kwh 0 $ 0.20 $ 0.20 n/a Total Bill on TOU (before Taxes) $ $ $ % HST 3% $ % $ 4.89 $ % Total Bill (including HST) $ 40.5 $ $ % Ontario Clean Energy Benefit Total Bill on TOU (including OCEB) $ 40.5 $ $ % Total Bill on RPP (before Taxes) $ $ $ % HST 3% $ % $ 4.77 $ % Total Bill (including HST) $ 39.5 $ 4.47 $ % Ontario Clean Energy Benefit Total Bill on RPP (including OCEB) $ 39.5 $ 4.47 $ % Loss Factor (%) 3.79% 3.79% 9

110 Customer Class: Residential TOU / non-tou: TOU Consumption 200 kwh May - October Approved Rates 207 Proposed Rates 207 vs 206 Charge Unit Volume Rate Charge Rate Charge $ Change % Change ($) ($) ($) ($) Monthly Service Charge Monthly $ 8.80 $ 8.80 $ 2.56 $ 2.56 $ % Stranded Meter Rate Adder Monthly $ 0.79 $ 0.79 $ 0.78 $ $ % Smart Meter Incremental Revenue Monthly Recovery of Green Energy Act Monthly Distribution Volumetric Rate per kwh 200 $ 0.02 $ 2.42 $ $.64 -$ % Smart Meter Disposition Rider Monthly LRAM & SSM Rate Rider per kwh 200 Rate Rider for Tax Change per kwh 200 Sub-Total A (excluding pass through) $ 22.0 $ $ % Deferral/Variance Account per kwh $ $ $ 0.07 Disposition Rate Rider -$ $ % Deferral/Variance Account per kwh Disposition Rate Rider per kwh 200 Low Voltage Service Charge per kwh 200 $ $ 0.0 $ $ 0.0 -$ 0.00 Line Losses on Cost of Power 7.58 $ 0.8 $ 0.85 $ 0.8 $ 0.85 Smart Meter Entity Charge Monthly $ 0.79 $ 0.79 $ 0.79 $ 0.79 Sub-Total B - Distribution (includes Sub-Total A) $ $ 25.7 $ % RTSR - Network per kwh 208 $ $.6 $ $.54 -$ % RTSR - Line and Transformation Connection per kwh 208 $ $.22 $ $.22 $ % Sub-Total C - Delivery (including Sub-Total B) $ $ $ % Wholesale Market Service Charge per kwh $ $ $ 0.98 (WMSC) $ 0.98 Rural and Remote Rate Protection per kwh $ $ $ 0.27 (RRRP) $ 0.27 Standard Supply Service Charge Monthly $ $ 0.25 $ $ 0.25 Debt Retirement Charge (DRC) per kwh 200 TOU - Off Peak per kwh 28 $ $.4 $ $.4 TOU - Mid Peak per kwh 36 $ $ 4.75 $ $ 4.75 TOU - On Peak per kwh 36 $ $ 6.48 $ $ 6.48 Energy - RPP - Tier per kwh 200 $ $ $ $ Energy - RPP - Tier 2 per kwh 0 $ 0.20 $ 0.20 n/a Total Bill on TOU (before Taxes) $ $ 5.79 $ % HST 3% $ % $ 6.73 $ % Total Bill (including HST) $ $ $ % Ontario Clean Energy Benefit Total Bill on TOU (including OCEB) $ $ $ % Total Bill on RPP (before Taxes) $ $ $ % HST 3% $ % $ 6.50 $ % Total Bill (including HST) $ $ $ % Ontario Clean Energy Benefit Total Bill on RPP (including OCEB) $ $ $ % Loss Factor (%) 3.79% 3.79% 9

111 Customer Class: Residential TOU / non-tou: TOU Consumption 29 kwh May - October Approved Rates 207 Proposed Rates 207 vs 206 Charge Unit Volume Rate Charge Rate Charge $ Change % Change ($) ($) ($) ($) Monthly Service Charge Monthly $ 8.80 $ 8.80 $ 2.56 $ 2.56 $ % Stranded Meter Rate Adder Monthly $ 0.79 $ 0.79 $ 0.78 $ $ % Smart Meter Incremental Revenue Monthly Recovery of Green Energy Act Monthly Distribution Volumetric Rate per kwh 29 $ 0.02 $ 2.65 $ $.80 -$ % Smart Meter Disposition Rider Monthly LRAM & SSM Rate Rider per kwh 29 Rate Rider for Tax Change per kwh 29 Sub-Total A (excluding pass through) $ $ 24.4 $ % Deferral/Variance Account per kwh $ $ $ 0.07 Disposition Rate Rider -$ $ % Deferral/Variance Account per kwh Disposition Rate Rider per kwh 29 Low Voltage Service Charge per kwh 29 $ $ 0.0 $ $ 0.0 -$ 0.00 Line Losses on Cost of Power 8.30 $ 0.8 $ 0.93 $ 0.8 $ 0.93 Smart Meter Entity Charge Monthly $ 0.79 $ 0.79 $ 0.79 $ 0.79 Sub-Total B - Distribution (includes Sub-Total A) $ $ $ % RTSR - Network per kwh 227 $ $.77 $ $.68 -$ % RTSR - Line and Transformation Connection per kwh 227 $ $.34 $ $.34 $ % Sub-Total C - Delivery (including Sub-Total B) $ 27.5 $ $ % Wholesale Market Service Charge per kwh $ $ $.07 (WMSC) $.07 Rural and Remote Rate Protection per kwh $ $ $ 0.30 (RRRP) $ 0.30 Standard Supply Service Charge Monthly $ $ 0.25 $ $ 0.25 Debt Retirement Charge (DRC) per kwh 29 TOU - Off Peak per kwh 40 $ $ 2.9 $ $ 2.9 TOU - Mid Peak per kwh 39 $ $ 5.20 $ $ 5.20 TOU - On Peak per kwh 39 $ $ 7.0 $ $ 7.0 Energy - RPP - Tier per kwh 29 $ $ $ $ Energy - RPP - Tier 2 per kwh 0 $ 0.20 $ 0.20 n/a Total Bill on TOU (before Taxes) $ $ $ % HST 3% $ % $ 7.08 $ % Total Bill (including HST) $ 60.8 $ 6.58 $ % Ontario Clean Energy Benefit Total Bill on TOU (including OCEB) $ 60.8 $ 6.58 $ % Total Bill on RPP (before Taxes) $ 5.32 $ $ % HST 3% $ % $ 6.83 $ % Total Bill (including HST) $ $ $ % Ontario Clean Energy Benefit Total Bill on RPP (including OCEB) $ $ $ % Loss Factor (%) 3.79% 3.79% 9

112 Customer Class: Residential TOU / non-tou: TOU Consumption 500 kwh May - October Approved Rates 207 Proposed Rates 207 vs 206 Charge Unit Volume Rate Charge Rate Charge $ Change % Change ($) ($) ($) ($) Monthly Service Charge Monthly $ 8.80 $ 8.80 $ 2.56 $ 2.56 $ % Stranded Meter Rate Adder Monthly $ 0.79 $ 0.79 $ 0.78 $ $ % Smart Meter Incremental Revenue Monthly Recovery of Green Energy Act Monthly Distribution Volumetric Rate per kwh 500 $ 0.02 $ 6.05 $ $ 4.0 -$ % Smart Meter Disposition Rider Monthly LRAM & SSM Rate Rider per kwh 500 Rate Rider for Tax Change per kwh 500 Sub-Total A (excluding pass through) $ $ $ % Deferral/Variance Account per kwh 500 $ $ 0.7 -$ $.5 -$ % Deferral/Variance Account per kwh Disposition Rate Rider per kwh 500 Low Voltage Service Charge per kwh 500 $ $ 0.03 $ $ $ 0.00 Line Losses on Cost of Power 8.95 $ 0.8 $ 2.2 $ 0.8 $ 2.2 Smart Meter Entity Charge Monthly $ 0.79 $ 0.79 $ 0.79 $ 0.79 Sub-Total B - Distribution (includes Sub-Total A) $ $ $ % RTSR - Network per kwh 59 $ $ 4.03 $ $ $ % RTSR - Line and Transformation Connection per kwh 59 $ $ 3.06 $ $ 3.06 $ % Sub-Total C - Delivery (including Sub-Total B) $ $ $ % Wholesale Market Service Charge per kwh $ $ $ 2.44 (WMSC) $ 2.44 Rural and Remote Rate Protection per kwh $ $ $ 0.67 (RRRP) $ 0.67 Standard Supply Service Charge Monthly $ $ 0.25 $ $ 0.25 Debt Retirement Charge (DRC) per kwh 500 TOU - Off Peak per kwh 320 $ $ $ $ TOU - Mid Peak per kwh 90 $ $.88 $ $.88 TOU - On Peak per kwh 90 $ $ 6.20 $ $ 6.20 Energy - RPP - Tier per kwh 500 $ $ 5.50 $ $ 5.50 Energy - RPP - Tier 2 per kwh 0 $ 0.20 $ 0.20 n/a Total Bill on TOU (before Taxes) $ 95.2 $ $ % HST 3% $ % $ $ % Total Bill (including HST) $ $ $ % Ontario Clean Energy Benefit Total Bill on TOU (including OCEB) $ $ $ % Total Bill on RPP (before Taxes) $ $ $ % HST 3% $.79 3% $.70 -$ % Total Bill (including HST) $ $ $ % Ontario Clean Energy Benefit Total Bill on RPP (including OCEB) $ $ $ % Loss Factor (%) 3.79% 3.79% 9

113 Customer Class: Residential TOU / non-tou: TOU Consumption 750 kwh May - October Approved Rates 207 Proposed Rates 207 vs 206 Charge Unit Volume Rate Charge Rate Charge $ Change % Change ($) ($) ($) ($) Monthly Service Charge Monthly $ 8.80 $ 8.80 $ 2.56 $ 2.56 $ % Stranded Meter Rate Adder Monthly $ 0.79 $ 0.79 $ 0.78 $ $ % Smart Meter Incremental Revenue Monthly Recovery of Green Energy Act Monthly Distribution Volumetric Rate per kwh 750 $ 0.02 $ 9.08 $ $ 6.5 -$ % Smart Meter Disposition Rider Monthly LRAM & SSM Rate Rider per kwh 750 Rate Rider for Tax Change per kwh 750 Sub-Total A (excluding pass through) $ $ $ % Deferral/Variance Account per kwh $ $ $ 0.25 Disposition Rate Rider -$.73 -$ % Deferral/Variance Account per kwh Disposition Rate Rider per kwh 750 Low Voltage Service Charge per kwh 750 $ $ 0.05 $ $ $ 0.00 Line Losses on Cost of Power $ 0.8 $ 3.8 $ 0.8 $ 3.8 Smart Meter Entity Charge Monthly $ 0.79 $ 0.79 $ 0.79 $ 0.79 Sub-Total B - Distribution (includes Sub-Total A) $ $ $ % RTSR - Network per kwh 778 $ $ 6.05 $ $ $ % RTSR - Line and Transformation Connection per kwh 778 $ $ 4.58 $ $ 4.59 $ % Sub-Total C - Delivery (including Sub-Total B) $ $ 4.3 -$ % Wholesale Market Service Charge per kwh $ $ $ 3.66 (WMSC) $ 3.66 Rural and Remote Rate Protection per kwh $ $ $.0 (RRRP) $.0 Standard Supply Service Charge Monthly $ $ 0.25 $ $ 0.25 Debt Retirement Charge (DRC) per kwh 750 TOU - Off Peak per kwh 480 $ $ 4.76 $ $ 4.76 TOU - Mid Peak per kwh 35 $ $ 7.82 $ $ 7.82 TOU - On Peak per kwh 35 $ $ $ $ Energy - RPP - Tier per kwh 600 $ $ 6.80 $ $ 6.80 Energy - RPP - Tier 2 per kwh 50 $ 0.20 $ 8.5 $ 0.20 $ 8.5 Total Bill on TOU (before Taxes) $ $ $ % HST 3% $ 7.2 3% $ $ % Total Bill (including HST) $ $ $ % Ontario Clean Energy Benefit Total Bill on TOU (including OCEB) $ $ $ % Total Bill on RPP (before Taxes) $ $ $ % HST 3% $ % $ $ % Total Bill (including HST) $ 45.3 $ $ % Ontario Clean Energy Benefit Total Bill on RPP (including OCEB) $ 45.3 $ $ % Loss Factor (%) 3.79% 3.79% 9

114 Customer Class: Residential TOU / non-tou: TOU Consumption,000 kwh May - October Approved Rates 207 Proposed Rates 207 vs 206 Charge Unit Volume Rate Charge Rate Charge $ Change % Change ($) ($) ($) ($) Monthly Service Charge Monthly $ 8.80 $ 8.80 $ 2.56 $ 2.56 $ % Stranded Meter Rate Adder Monthly $ 0.79 $ 0.79 $ 0.78 $ $ % Smart Meter Incremental Revenue Monthly Recovery of Green Energy Act Monthly Distribution Volumetric Rate per kwh 000 $ 0.02 $ 2.0 $ $ $ % Smart Meter Disposition Rider Monthly LRAM & SSM Rate Rider per kwh 000 Rate Rider for Tax Change per kwh 000 Sub-Total A (excluding pass through) $ 3.69 $ $ % Deferral/Variance Account per kwh 000 $ $ $ $ $ % Deferral/Variance Account per kwh Disposition Rate Rider per kwh 000 Low Voltage Service Charge per kwh 000 $ $ 0.06 $ $ $ 0.00 Line Losses on Cost of Power $ 0.8 $ 4.24 $ 0.8 $ 4.24 Smart Meter Entity Charge Monthly $ 0.79 $ 0.79 $ 0.79 $ 0.79 Sub-Total B - Distribution (includes Sub-Total A) $ 37. $ $ % RTSR - Network per kwh 038 $ $ 8.07 $ $ $ % RTSR - Line and Transformation Connection per kwh 038 $ $ 6. $ $ 6.2 $ % Sub-Total C - Delivery (including Sub-Total B) $ 5.29 $ $ % Wholesale Market Service Charge per kwh $ $ $ 4.88 (WMSC) $ 4.88 Rural and Remote Rate Protection per kwh $ $ $.35 (RRRP) $.35 Standard Supply Service Charge Monthly $ $ 0.25 $ $ 0.25 Debt Retirement Charge (DRC) per kwh 000 TOU - Off Peak per kwh 640 $ $ $ $ TOU - Mid Peak per kwh 80 $ $ $ $ TOU - On Peak per kwh 80 $ $ $ $ Energy - RPP - Tier per kwh 600 $ $ 6.80 $ $ 6.80 Energy - RPP - Tier 2 per kwh 400 $ 0.20 $ $ 0.20 $ Total Bill on TOU (before Taxes) $ 69.6 $ $ % HST 3% $ % $ 2.5 -$ % Total Bill (including HST) $ 9.65 $ $ % Ontario Clean Energy Benefit Total Bill on TOU (including OCEB) $ 9.65 $ $ % Total Bill on RPP (before Taxes) $ $ $ % HST 3% $ % $ $ % Total Bill (including HST) $ $ 85. -$ % Ontario Clean Energy Benefit Total Bill on RPP (including OCEB) $ $ 85. -$ % Loss Factor (%) 3.79% 3.79% 9

115 Customer Class: Residential TOU / non-tou: TOU Consumption,500 kwh May - October Approved Rates 207 Proposed Rates 207 vs 206 Charge Unit Volume Rate Charge Rate Charge $ Change % Change ($) ($) ($) ($) Monthly Service Charge Monthly $ 8.80 $ 8.80 $ 2.56 $ 2.56 $ % Stranded Meter Rate Adder Monthly $ 0.79 $ 0.79 $ 0.78 $ $ % Smart Meter Incremental Revenue Monthly Recovery of Green Energy Act Monthly Distribution Volumetric Rate per kwh 500 $ 0.02 $ 8.5 $ $ $ % Smart Meter Disposition Rider Monthly LRAM & SSM Rate Rider per kwh 500 Rate Rider for Tax Change per kwh 500 Sub-Total A (excluding pass through) $ $ $ % Deferral/Variance Account per kwh 500 $ $ $ $ $ % Deferral/Variance Account per kwh Disposition Rate Rider per kwh 500 Low Voltage Service Charge per kwh 500 $ $ 0.09 $ $ $ 0.00 Line Losses on Cost of Power $ 0.8 $ 6.36 $ 0.8 $ 6.36 Smart Meter Entity Charge Monthly $ 0.79 $ 0.79 $ 0.79 $ 0.79 Sub-Total B - Distribution (includes Sub-Total A) $ $ $ % RTSR - Network per kwh 557 $ $ 2.0 $ $.52 -$ % RTSR - Line and Transformation Connection per kwh 557 $ $ 9.7 $ $ 9.9 $ % Sub-Total C - Delivery (including Sub-Total B) $ $ $ % Wholesale Market Service Charge per kwh $ $ $ 7.32 (WMSC) $ 7.32 Rural and Remote Rate Protection per kwh $ $ $ 2.02 (RRRP) $ 2.02 Standard Supply Service Charge Monthly $ $ 0.25 $ $ 0.25 Debt Retirement Charge (DRC) per kwh 500 TOU - Off Peak per kwh 960 $ $ $ $ TOU - Mid Peak per kwh 270 $ $ $ $ TOU - On Peak per kwh 270 $ $ $ $ Energy - RPP - Tier per kwh 600 $ $ 6.80 $ $ 6.80 Energy - RPP - Tier 2 per kwh 900 $ 0.20 $ $ 0.20 $ Total Bill on TOU (before Taxes) $ $ $ % HST 3% $ % $ $ % Total Bill (including HST) $ $ $ % Ontario Clean Energy Benefit Total Bill on TOU (including OCEB) $ $ $ % Total Bill on RPP (before Taxes) $ $ $ % HST 3% $ 32. 3% $ 3.3 -$ % Total Bill (including HST) $ $ $ % Ontario Clean Energy Benefit Total Bill on RPP (including OCEB) $ $ $ % Loss Factor (%) 3.79% 3.79% 9

116 Customer Class: Residential TOU / non-tou: TOU Consumption 2,000 kwh May - October Approved Rates 207 Proposed Rates 207 vs 206 Charge Unit Volume Rate Charge Rate Charge $ Change % Change ($) ($) ($) ($) Monthly Service Charge Monthly $ 8.80 $ 8.80 $ 2.56 $ 2.56 $ % Stranded Meter Rate Adder Monthly $ 0.79 $ 0.79 $ 0.78 $ $ % Smart Meter Incremental Revenue Monthly Recovery of Green Energy Act Monthly Distribution Volumetric Rate per kwh 2000 $ 0.02 $ $ $ $ % Smart Meter Disposition Rider Monthly LRAM & SSM Rate Rider per kwh 2000 Rate Rider for Tax Change per kwh 2000 Sub-Total A (excluding pass through) $ $ $ % Deferral/Variance Account per kwh 2000 $ $ $ $ $ % Deferral/Variance Account per kwh Disposition Rate Rider per kwh 2000 Low Voltage Service Charge per kwh 2000 $ $ 0.2 $ $ 0.2 -$ 0.00 Line Losses on Cost of Power $ 0.8 $ 8.48 $ 0.8 $ 8.48 Smart Meter Entity Charge Monthly $ 0.79 $ 0.79 $ 0.79 $ 0.79 Sub-Total B - Distribution (includes Sub-Total A) $ $ $ % RTSR - Network per kwh 2076 $ $ 6.3 $ $ $ % RTSR - Line and Transformation Connection per kwh 2076 $ $ 2.22 $ $ 2.25 $ % Sub-Total C - Delivery (including Sub-Total B) $ $ 7.4 -$ % Wholesale Market Service Charge per kwh $ $ $ 9.76 (WMSC) $ 9.76 Rural and Remote Rate Protection per kwh $ $ $ 2.70 (RRRP) $ 2.70 Standard Supply Service Charge Monthly $ $ 0.25 $ $ 0.25 Debt Retirement Charge (DRC) per kwh 2000 TOU - Off Peak per kwh 280 $ $.36 $ $.36 TOU - Mid Peak per kwh 360 $ $ $ $ TOU - On Peak per kwh 360 $ $ $ $ Energy - RPP - Tier per kwh 600 $ $ 6.80 $ $ 6.80 Energy - RPP - Tier 2 per kwh 400 $ 0.20 $ $ 0.20 $ Total Bill on TOU (before Taxes) $ $ $ % HST 3% $ % $ $ % Total Bill (including HST) $ $ $ % Ontario Clean Energy Benefit Total Bill on TOU (including OCEB) $ $ $ % Total Bill on RPP (before Taxes) $ $ $ % HST 3% $ % $ $ % Total Bill (including HST) $ $ $ % Ontario Clean Energy Benefit Total Bill on RPP (including OCEB) $ $ $ % Loss Factor (%) 3.79% 3.79% 9

117 Customer Class: General Service Less Than 50 kw TOU / non-tou: TOU Consumption,000 kwh May - October Approved Rates 207 Proposed Rates 207 vs 206 Charge Unit Volume Rate Charge Rate Charge $ Change % Change ($) ($) ($) ($) Monthly Service Charge Monthly $ 4.2 $ 4.2 $ 4.83 $ 4.83 $ % Stranded Meter Rate Adder Monthly $ 2.42 $ 2.42 $ 2.4 $ 2.4 -$ % Smart Meter Incremental Revenue Monthly Recovery of Green Energy Act Monthly Distribution Volumetric Rate per kwh 000 $ $ 0.60 $ $ 0.80 $ % Smart Meter Disposition Rider Monthly LRAM & SSM Rate Rider per kwh 000 Rate Rider for Tax Change per kwh 000 Sub-Total A (excluding pass through) $ $ $ % Deferral/Variance Account per kwh 000 $ $ $ $ $ % Deferral/Variance Account per kwh Disposition Rate Rider per kwh 000 Low Voltage Service Charge per kwh 000 $ $ 0.06 $ $ 0.06 Line Losses on Cost of Power $ 0.8 $ 4.24 $ 0.8 $ 4.24 Smart Meter Entity Charge Monthly $ 0.79 $ 0.79 $ 0.79 $ 0.79 Sub-Total B - Distribution (includes Sub-Total A) $ $ $ % RTSR - Network per kwh 038 $ $ 7.06 $ $ $ % RTSR - Line and Transformation Connection per kwh 038 $ $ 5.52 $ $ $ % Sub-Total C - Delivery (including Sub-Total B) $ $ $ % Wholesale Market Service Charge per kwh $ $ $ 4.88 (WMSC) $ 4.88 Rural and Remote Rate Protection per kwh $ $ $.35 (RRRP) $.35 Standard Supply Service Charge Monthly $ $ 0.25 $ $ 0.25 Debt Retirement Charge (DRC) per kwh 000 $ $ 7.00 $ $ 7.00 TOU - Off Peak per kwh 640 $ $ $ $ TOU - Mid Peak per kwh 80 $ $ $ $ TOU - On Peak per kwh 80 $ $ $ $ Energy - RPP - Tier per kwh 750 $ $ $ $ Energy - RPP - Tier 2 per kwh 250 $ 0.20 $ $ 0.20 $ Total Bill on TOU (before Taxes) $ $ $ % HST 3% $ % $ $ % Total Bill (including HST) $ $ $ % Ontario Clean Energy Benefit Total Bill on TOU (including OCEB) $ $ $ % Total Bill on RPP (before Taxes) $ 93.2 $ $ % HST 3% $ % $ $ % Total Bill (including HST) $ $ $ % Ontario Clean Energy Benefit Total Bill on RPP (including OCEB) $ $ $ % Loss Factor (%) 3.79% 3.79% 9

118 Customer Class: General Service Less Than 50 kw TOU / non-tou: TOU Consumption 2,000 kwh May - October Approved Rates 207 Proposed Rates 207 vs 206 Charge Unit Volume Rate Charge Rate Charge $ Change % Change ($) ($) ($) ($) Monthly Service Charge Monthly $ 4.2 $ 4.2 $ 4.83 $ 4.83 $ % Stranded Meter Rate Adder Monthly $ 2.42 $ 2.42 $ 2.4 $ 2.4 -$ % Smart Meter Incremental Revenue Monthly Recovery of Green Energy Act Monthly Distribution Volumetric Rate per kwh 2000 $ $ 2.20 $ $ 2.60 $ % Smart Meter Disposition Rider Monthly LRAM & SSM Rate Rider per kwh 2000 Rate Rider for Tax Change per kwh 2000 Sub-Total A (excluding pass through) $ $ $.0.56% Deferral/Variance Account per kwh 2000 $ $ $ $ $ % Deferral/Variance Account per kwh Disposition Rate Rider per kwh 2000 Low Voltage Service Charge per kwh 2000 $ $ 0.2 $ $ 0.2 Line Losses on Cost of Power $ 0.8 $ 8.48 $ 0.8 $ 8.48 Smart Meter Entity Charge Monthly $ 0.79 $ 0.79 $ 0.79 $ 0.79 Sub-Total B - Distribution (includes Sub-Total A) $ $ $ % RTSR - Network per kwh 2076 $ $ 4.2 $ $ $ % RTSR - Line and Transformation Connection per kwh 2076 $ $.05 $ $.00 -$ % Sub-Total C - Delivery (including Sub-Total B) $ $ $ % Wholesale Market Service Charge per kwh $ $ $ 9.76 (WMSC) $ 9.76 Rural and Remote Rate Protection per kwh $ $ $ 2.70 (RRRP) $ 2.70 Standard Supply Service Charge Monthly $ $ 0.25 $ $ 0.25 Debt Retirement Charge (DRC) per kwh 2000 $ $ 4.00 $ $ 4.00 TOU - Off Peak per kwh 280 $ $.36 $ $.36 TOU - Mid Peak per kwh 360 $ $ $ $ TOU - On Peak per kwh 360 $ $ $ $ Energy - RPP - Tier per kwh 750 $ $ $ $ Energy - RPP - Tier 2 per kwh 250 $ 0.20 $ 5.25 $ 0.20 $ 5.25 Total Bill on TOU (before Taxes) $ $ $ % HST 3% $ % $ $ % Total Bill (including HST) $ $ $ % Ontario Clean Energy Benefit Total Bill on TOU (including OCEB) $ $ $ % Total Bill on RPP (before Taxes) $ $ $ % HST 3% $ % $ $ % Total Bill (including HST) $ $ $ % Ontario Clean Energy Benefit Total Bill on RPP (including OCEB) $ $ $ % Loss Factor (%) 3.79% 3.79% 9

119 Customer Class: General Service Less Than 50 kw TOU / non-tou: TOU Consumption 5,000 kwh May - October Approved Rates 207 Proposed Rates 207 vs 206 Charge Unit Volume Rate Charge Rate Charge $ Change % Change ($) ($) ($) ($) Monthly Service Charge Monthly $ 4.2 $ 4.2 $ 4.83 $ 4.83 $ % Stranded Meter Rate Adder Monthly $ 2.42 $ 2.42 $ 2.4 $ 2.4 -$ % Smart Meter Incremental Revenue Monthly Recovery of Green Energy Act Monthly Distribution Volumetric Rate per kwh 5000 $ $ $ $ $.00.89% Smart Meter Disposition Rider Monthly LRAM & SSM Rate Rider per kwh 5000 Rate Rider for Tax Change per kwh 5000 Sub-Total A (excluding pass through) $ $ $.6.67% Deferral/Variance Account per kwh 5000 $ $.65 -$ $.50 -$ % Deferral/Variance Account per kwh Disposition Rate Rider per kwh 5000 Low Voltage Service Charge per kwh 5000 $ $ 0.30 $ $ 0.30 Line Losses on Cost of Power $ 0.8 $ 2.9 $ 0.8 $ 2.9 Smart Meter Entity Charge Monthly $ 0.79 $ 0.79 $ 0.79 $ 0.79 Sub-Total B - Distribution (includes Sub-Total A) $ $ $ % RTSR - Network per kwh 590 $ $ $ $ $ % RTSR - Line and Transformation Connection per kwh 590 $ $ $ $ $ % Sub-Total C - Delivery (including Sub-Total B) $ $ $ % Wholesale Market Service Charge per kwh $ $ $ (WMSC) $ Rural and Remote Rate Protection per kwh $ $ $ 6.75 (RRRP) $ 6.75 Standard Supply Service Charge Monthly $ $ 0.25 $ $ 0.25 Debt Retirement Charge (DRC) per kwh 5000 $ $ $ $ TOU - Off Peak per kwh 3200 $ $ $ $ TOU - Mid Peak per kwh 900 $ $ 8.80 $ $ 8.80 TOU - On Peak per kwh 900 $ $ $ $ Energy - RPP - Tier per kwh 750 $ $ $ $ Energy - RPP - Tier 2 per kwh 4250 $ 0.20 $ $ 0.20 $ Total Bill on TOU (before Taxes) $ $ $ % HST 3% $ % $ $ % Total Bill (including HST) $ $ $ % Ontario Clean Energy Benefit Total Bill on TOU (including OCEB) $ $ $ % Total Bill on RPP (before Taxes) $ $ $ % HST 3% $ % $ $ % Total Bill (including HST) $ $ $ % Ontario Clean Energy Benefit Total Bill on RPP (including OCEB) $ $ $ % Loss Factor (%) 3.79% 3.79% 9

120 Customer Class: General Service Less Than 50 kw TOU / non-tou: TOU Consumption 0,000 kwh May - October Approved Rates 207 Proposed Rates 207 vs 206 Charge Unit Volume Rate Charge Rate Charge $ Change % Change ($) ($) ($) ($) Monthly Service Charge Monthly $ 4.2 $ 4.2 $ 4.83 $ 4.83 $ % Stranded Meter Rate Adder Monthly $ 2.42 $ 2.42 $ 2.4 $ 2.4 -$ % Smart Meter Incremental Revenue Monthly Recovery of Green Energy Act Monthly Distribution Volumetric Rate per kwh 0000 $ $ $ $ $ % Smart Meter Disposition Rider Monthly LRAM & SSM Rate Rider per kwh 0000 Rate Rider for Tax Change per kwh 0000 Sub-Total A (excluding pass through) $ $ $ % Deferral/Variance Account per kwh 0000 $ $ $ $ $ % Deferral/Variance Account per kwh Disposition Rate Rider per kwh 0000 Low Voltage Service Charge per kwh 0000 $ $ 0.60 $ $ 0.60 Line Losses on Cost of Power $ 0.8 $ $ 0.8 $ Smart Meter Entity Charge Monthly $ 0.79 $ 0.79 $ 0.79 $ 0.79 Sub-Total B - Distribution (includes Sub-Total A) $ 96.7 $ $ % RTSR - Network per kwh 0379 $ $ $ $ $ % RTSR - Line and Transformation Connection per kwh 0379 $ $ $ $ $ % Sub-Total C - Delivery (including Sub-Total B) $ $ $ % Wholesale Market Service Charge per kwh $ $ $ (WMSC) $ Rural and Remote Rate Protection per kwh $ $ $ 3.49 (RRRP) $ 3.49 Standard Supply Service Charge Monthly $ $ 0.25 $ $ 0.25 Debt Retirement Charge (DRC) per kwh 0000 $ $ $ $ TOU - Off Peak per kwh 6400 $ $ $ $ TOU - Mid Peak per kwh 800 $ $ $ $ TOU - On Peak per kwh 800 $ $ $ $ Energy - RPP - Tier per kwh 750 $ $ $ $ Energy - RPP - Tier 2 per kwh 9250 $ 0.20 $,9.25 $ 0.20 $,9.25 Total Bill on TOU (before Taxes) $, $, $ % HST 3% $ % $ $ % Total Bill (including HST) $,778.0 $, $ % Ontario Clean Energy Benefit Total Bill on TOU (including OCEB) $,778.0 $, $ % Total Bill on RPP (before Taxes) $,65.56 $, $ % HST 3% $ % $ 2.9 -$ % Total Bill (including HST) $, $, $ % Ontario Clean Energy Benefit Total Bill on RPP (including OCEB) $, $, $ % Loss Factor (%) 3.79% 3.79% 9

121 Customer Class: General Service Less Than 50 kw TOU / non-tou: TOU Consumption 5,000 kwh May - October Approved Rates 207 Proposed Rates 207 vs 206 Charge Unit Volume Rate Charge Rate Charge $ Change % Change ($) ($) ($) ($) Monthly Service Charge Monthly $ 4.2 $ 4.2 $ 4.83 $ 4.83 $ % Stranded Meter Rate Adder Monthly $ 2.42 $ 2.42 $ 2.4 $ 2.4 -$ % Smart Meter Incremental Revenue Monthly Recovery of Green Energy Act Monthly Distribution Volumetric Rate per kwh 5000 $ $ $ $ $ % Smart Meter Disposition Rider Monthly LRAM & SSM Rate Rider per kwh 5000 Rate Rider for Tax Change per kwh 5000 Sub-Total A (excluding pass through) $ $ $ % Deferral/Variance Account per kwh 5000 $ $ $ $ $ % Deferral/Variance Account per kwh Disposition Rate Rider per kwh 5000 Low Voltage Service Charge per kwh 5000 $ $ 0.90 $ $ 0.90 Line Losses on Cost of Power $ 0.8 $ $ 0.8 $ Smart Meter Entity Charge Monthly $ 0.79 $ 0.79 $ 0.79 $ 0.79 Sub-Total B - Distribution (includes Sub-Total A) $ $ $ % RTSR - Network per kwh 5569 $ $ $ $ $ % RTSR - Line and Transformation Connection per kwh 5569 $ $ $ $ $ % Sub-Total C - Delivery (including Sub-Total B) $ $ $ % Wholesale Market Service Charge per kwh $ $ $ 73.7 (WMSC) $ 73.7 Rural and Remote Rate Protection per kwh $ $ $ (RRRP) $ Standard Supply Service Charge Monthly $ $ 0.25 $ $ 0.25 Debt Retirement Charge (DRC) per kwh 5000 $ $ $ $ TOU - Off Peak per kwh 9600 $ $ $ $ TOU - Mid Peak per kwh 2700 $ $ $ $ TOU - On Peak per kwh 2700 $ $ $ $ Energy - RPP - Tier per kwh 750 $ $ $ $ Energy - RPP - Tier 2 per kwh 4250 $ 0.20 $, $ 0.20 $, Total Bill on TOU (before Taxes) $ 2, $ 2, $ % HST 3% $ % $ $ % Total Bill (including HST) $ 2,64.78 $ 2, $ % Ontario Clean Energy Benefit Total Bill on TOU (including OCEB) $ 2,64.78 $ 2, $ % Total Bill on RPP (before Taxes) $ 2,46.75 $ 2, $ % HST 3% $ % $ $ % Total Bill (including HST) $ 2,78.78 $ 2, $ % Ontario Clean Energy Benefit Total Bill on RPP (including OCEB) $ 2,78.78 $ 2, $ % Loss Factor (%) 3.79% 3.79% 9

122 Customer Class: General Service 50 to 4,999 kw TOU / non-tou: non-tou Consumption 00 kw 44,000 kwh May - October Approved Rates 207 Proposed Rates 207 vs 206 Charge Unit Volume Rate Charge Rate Charge $ Change % Change ($) ($) ($) ($) Monthly Service Charge Monthly $ $ $ $ $ % Stranded Meter Rate Adder Monthly $ 3.50 $ 3.50 $ 3.45 $ $ % Smart Meter Incremental Revenue Monthly Recovery of Green Energy Act Monthly Distribution Volumetric Rate per kw 00 $ $ $ $ $ % Smart Meter Disposition Rider per kw 00 LRAM & SSM Rate Rider per kw 00 Rate Rider for Tax Change per kw 00 Sub-Total A (excluding pass through) $ $ $ % Deferral/Variance Account per kw 00 $ $ $ $ $ % Deferral/Variance Account per kw 00 -$ $ $ $ $ % Disposition 575 Rate Rider per kw 00 Low Voltage Service Charge per kw 00 $ $ 2.7 $ $ 2.7 Line Losses on Cost of Power, $ 0.20 $ $ 0.20 $ Smart Meter Entity Charge Monthly Sub-Total B - Distribution (includes Sub-Total A) $ $ $ % RTSR - Network per kw 00 $ $ $ $ $ % RTSR - Line and Transformation Connection per kw 00 $ 2.25 $ 22.5 $ 2.23 $ $ % Sub-Total C - Delivery (including Sub-Total B) $, $, $ % Wholesale Market Service Charge per kwh $ $ ,668 $ (WMSC) $ Rural and Remote Rate per kwh $ $ ,668 $ Protection (RRRP) $ Standard Supply Service Charge Monthly $ $ 0.25 $ $ 0.25 Debt Retirement Charge (DRC) per kwh 44,000 $ $ $ $ TOU - Off Peak per kwh 2860 $ $ 2, $ $ 2, TOU - Mid Peak per kwh 7920 $ $, $ $, TOU - On Peak per kwh 7920 $ $, $ $, Energy - RPP - Tier per kwh 750 $ $ $ $ Energy - RPP - Tier 2 per kwh $ 0.20 $ 5, $ 0.20 $ 5, Total Bill on TOU (before Taxes) $ 6,836.9 $ 6, $ % HST 3% $ % $ $ % Total Bill (including HST) $ 7,725.7 $ 7, $ % Ontario Clean Energy Benefit Total Bill on TOU (including OCEB) $ 7,725.7 $ 7, $ % Total Bill on RPP (before Taxes) $ 7, $ 7, $ % HST 3% $ % $ $ % Total Bill (including HST) $ 8,65.89 $ 8, $ % Ontario Clean Energy Benefit Total Bill on RPP (including OCEB) $ 8,65.89 $ 8, $ % Loss Factor (%) 3.79% 3.79% 9

123 Customer Class: General Service 50 to 4,999 kw TOU / non-tou: non-tou Consumption 250 kw 0,000 kwh May - October Approved Rates 207 Proposed Rates 207 vs 206 Charge Unit Volume Rate Charge Rate Charge $ Change % Change ($) ($) ($) ($) Monthly Service Charge Monthly $ $ $ $ $ % Stranded Meter Rate Adder Monthly $ 3.50 $ 3.50 $ 3.45 $ $ % Smart Meter Incremental Revenue Monthly Recovery of Green Energy Act Monthly Distribution Volumetric Rate per kw 250 $ $ $ $ $ % Smart Meter Disposition Rider per kw 250 LRAM & SSM Rate Rider per kw 250 Rate Rider for Tax Change per kw 250 Sub-Total A (excluding pass through) $,05.8 $, $ % Deferral/Variance Account per kw 250 $ $ $ $ $ % Deferral/Variance Account per kw 250 -$ $ $ $ $ % Disposition 575 Rate Rider per kw 250 Low Voltage Service Charge per kw 250 $ $ 5.42 $ $ 5.42 Line Losses on Cost of Power 4,69.00 $ 0.20 $ $ 0.20 $ Smart Meter Entity Charge Monthly Sub-Total B - Distribution (includes Sub-Total A) $, $, $ % RTSR - Network per kw 250 $ $ $ $ $ % RTSR - Line and Transformation Connection per kw 250 $ 2.25 $ $ 2.23 $ $ % Sub-Total C - Delivery (including Sub-Total B) $ 2,763.5 $ 2, $ % Wholesale Market Service Charge per kwh $ $ ,69 $ (WMSC) $ Rural and Remote Rate per kwh $ $ ,69 $ Protection (RRRP) $ Standard Supply Service Charge Monthly $ $ 0.25 $ $ 0.25 Debt Retirement Charge (DRC) per kwh 0,000 $ $ $ $ TOU - Off Peak per kwh $ $ 6,24.80 $ $ 6,24.80 TOU - Mid Peak per kwh 9800 $ $ 2,63.60 $ $ 2,63.60 TOU - On Peak per kwh 9800 $ $ 3, $ $ 3, Energy - RPP - Tier per kwh 750 $ $ $ $ Energy - RPP - Tier 2 per kwh $ 0.20 $ 3,29.25 $ 0.20 $ 3,29.25 Total Bill on TOU (before Taxes) $ 6,52.8 $ 6, $ % HST 3% $ 2, % $ 2,3.59 -$ % Total Bill (including HST) $ 8, $ 8, $ % Ontario Clean Energy Benefit Total Bill on TOU (including OCEB) $ 8, $ 8, $ % Total Bill on RPP (before Taxes) $ 7,55.28 $ 7, $ % HST 3% $ 2, % $ 2, $ % Total Bill (including HST) $ 9, $ 9, $ % Ontario Clean Energy Benefit Total Bill on RPP (including OCEB) $ 9, $ 9, $ % Loss Factor (%) 3.79% 3.79% 9

124 Customer Class: General Service 50 to 4,999 kw TOU / non-tou: non-tou Consumption 350 kw 54,000 kwh May - October Approved Rates 207 Proposed Rates 207 vs 206 Charge Unit Volume Rate Charge Rate Charge $ Change % Change ($) ($) ($) ($) Monthly Service Charge Monthly $ $ $ $ $ % Stranded Meter Rate Adder Monthly $ 3.50 $ 3.50 $ 3.45 $ $ % Smart Meter Incremental Revenue Monthly Recovery of Green Energy Act Monthly Distribution Volumetric Rate per kw 350 $ $ $ $ $.80.33% Smart Meter Disposition Rider per kw 350 LRAM & SSM Rate Rider per kw 350 Rate Rider for Tax Change per kw 350 Sub-Total A (excluding pass through) $, $, $ % Deferral/Variance Account per kw 350 $ $ $ $ $ % Deferral/Variance Account per kw 350 -$ $ $ $ $ % Disposition 575 Rate Rider per kw 350 Low Voltage Service Charge per kw 350 $ $ 7.59 $ $ 7.59 Line Losses on Cost of Power 5, $ 0.20 $ $ 0.20 $ Smart Meter Entity Charge Monthly Sub-Total B - Distribution (includes Sub-Total A) $ 2, $, $ % RTSR - Network per kw 350 $ $ $ $ $ % RTSR - Line and Transformation Connection per kw 350 $ 2.25 $ $ 2.23 $ $ % Sub-Total C - Delivery (including Sub-Total B) $ 3,76.73 $ 3, $ % Wholesale Market Service Charge per kwh $ $ ,837 $ (WMSC) $ Rural and Remote Rate per kwh $ $ ,837 $ Protection (RRRP) $ Standard Supply Service Charge Monthly $ $ 0.25 $ $ 0.25 Debt Retirement Charge (DRC) per kwh 54,000 $ $, $ $, TOU - Off Peak per kwh $ $ 8, $ $ 8, TOU - Mid Peak per kwh $ $ 3, $ $ 3, TOU - On Peak per kwh $ $ 4, $ $ 4, Energy - RPP - Tier per kwh 750 $ $ $ $ Energy - RPP - Tier 2 per kwh $ 0.20 $ 8, $ 0.20 $ 8, Total Bill on TOU (before Taxes) $ 22, $ 22, $ % HST 3% $ 2, % $ 2, $ % Total Bill (including HST) $ 25,964.4 $ 25,546. -$ % Ontario Clean Energy Benefit Total Bill on TOU (including OCEB) $ 25,964.4 $ 25,546. -$ % Total Bill on RPP (before Taxes) $ 24, $ 24, $ % HST 3% $ 3, % $ 3, $ % Total Bill (including HST) $ 27,543.8 $ 27, $ % Ontario Clean Energy Benefit Total Bill on RPP (including OCEB) $ 27,543.8 $ 27, $ % Loss Factor (%) 3.79% 3.79% 9

125 Customer Class: General Service 50 to 4,999 kw TOU / non-tou: non-tou Consumption 2,000 kw 880,000 kwh May - October Approved Rates 207 Proposed Rates 207 vs 206 Charge Unit Volume Rate Charge Rate Charge $ Change % Change ($) ($) ($) ($) Monthly Service Charge Monthly $ $ $ $ $ % Stranded Meter Rate Adder Monthly $ 3.50 $ 3.50 $ 3.45 $ $ % Smart Meter Incremental Revenue Monthly Recovery of Green Energy Act Monthly Distribution Volumetric Rate per kw 2000 $ $ 5, $ $ 5,50.00 $ % Smart Meter Disposition Rider per kw 2000 LRAM & SSM Rate Rider per kw 2000 Rate Rider for Tax Change per kw 2000 Sub-Total A (excluding pass through) $ 5, $ 5,536. $ % Deferral/Variance Account per kw 2000 $ $ $ $ $ % Deferral/Variance Account per kw $ $ $ $, $ % Disposition 575 Rate Rider per kw 2000 Low Voltage Service Charge per kw 2000 $ $ $ $ Line Losses on Cost of Power 33, $ 0.20 $ 4, $ 0.20 $ 4, Smart Meter Entity Charge Monthly Sub-Total B - Distribution (includes Sub-Total A) $ 9, $ 7, $, % RTSR - Network per kw 2000 $ $ 5,42.9 $ $ 5, $ % RTSR - Line and Transformation Connection per kw 2000 $ 2.25 $ 4, $ 2.23 $ 4, $ % Sub-Total C - Delivery (including Sub-Total B) $ 9, $ 7, $ 2, % Wholesale Market Service Charge per kwh $ $ ,352 $ 4, (WMSC) $ 4, Rural and Remote Rate per kwh $ $ ,352 $,87.36 Protection (RRRP) $,87.36 Standard Supply Service Charge Monthly $ $ 0.25 $ $ 0.25 Debt Retirement Charge (DRC) per kwh 880,000 $ $ 6,60.00 $ $ 6,60.00 TOU - Off Peak per kwh $ $ 48, $ $ 48, TOU - Mid Peak per kwh $ $ 20, $ $ 20, TOU - On Peak per kwh $ $ 28,52.00 $ $ 28,52.00 Energy - RPP - Tier per kwh 750 $ $ $ $ Energy - RPP - Tier 2 per kwh $ 0.20 $ 06, $ 0.20 $ 06, Total Bill on TOU (before Taxes) $ 29, $ 27, $ 2, % HST 3% $ 6, % $ 6, $ % Total Bill (including HST) $ 46, $ 43, $ 2, % Ontario Clean Energy Benefit Total Bill on TOU (including OCEB) $ 46, $ 43, $ 2, % Total Bill on RPP (before Taxes) $ 37,55.60 $ 35, $ 2, % HST 3% $ 7,88.7 3% $ 7, $ % Total Bill (including HST) $ 55,433.3 $ 53,03.0 -$ 2, % Ontario Clean Energy Benefit Total Bill on RPP (including OCEB) $ 55,433.3 $ 53,03.0 -$ 2, % Loss Factor (%) 3.79% 3.79% 9

126 Customer Class: General Service 50 to 4,999 kw TOU / non-tou: non-tou Consumption 4,000 kw,760,000 kwh May - October Approved Rates 207 Proposed Rates 207 vs 206 Charge Unit Volume Rate Charge Rate Charge $ Change % Change ($) ($) ($) ($) Monthly Service Charge Monthly $ $ $ $ $ % Stranded Meter Rate Adder Monthly $ 3.50 $ 3.50 $ 3.45 $ $ % Smart Meter Incremental Revenue Monthly Recovery of Green Energy Act Monthly Distribution Volumetric Rate per kw 4000 $ $ 0,65.20 $ $ 0, $ % Smart Meter Disposition Rider per kw 4000 LRAM & SSM Rate Rider per kw 4000 Rate Rider for Tax Change per kw 4000 Sub-Total A (excluding pass through) $ 0, $ 0,686. $ % Deferral/Variance Account per kw 4000 $ $, $ $ $, % Deferral/Variance Account per kw $ $, $ $ 3, $, % Disposition 575 Rate Rider per kw 4000 Low Voltage Service Charge per kw 4000 $ $ $ $ Line Losses on Cost of Power 66, $ 0.20 $ 8,07.8 $ 0.20 $ 8,07.8 Smart Meter Entity Charge Monthly Sub-Total B - Distribution (includes Sub-Total A) $ 9,97.32 $ 5, $ 3, % RTSR - Network per kw 4000 $ $ 0, $ $ 0, $ % RTSR - Line and Transformation Connection per kw 4000 $ 2.25 $ 8, $ 2.23 $ 8, $ % Sub-Total C - Delivery (including Sub-Total B) $ 38, $ 34, $ 4, % Wholesale Market Service Charge per kwh $ $ ,826,704 $ 8,585.5 (WMSC) $ 8,585.5 Rural and Remote Rate per kwh $ $ 0.003,826,704 $ 2, Protection (RRRP) $ 2, Standard Supply Service Charge Monthly $ $ 0.25 $ $ 0.25 Debt Retirement Charge (DRC) per kwh,760,000 $ $ 2, $ $ 2, TOU - Off Peak per kwh $ $ 97, $ $ 97, TOU - Mid Peak per kwh $ $ 4,87.60 $ $ 4,87.60 TOU - On Peak per kwh $ $ 57, $ $ 57, Energy - RPP - Tier per kwh 750 $ $ $ $ Energy - RPP - Tier 2 per kwh $ 0.20 $ 22, $ 0.20 $ 22, Total Bill on TOU (before Taxes) $ 258, $ 254, $ 4, % HST 3% $ 33, % $ 33, $ % Total Bill (including HST) $ 292, $ 287, $ 4, % Ontario Clean Energy Benefit Total Bill on TOU (including OCEB) $ 292, $ 287, $ 4, % Total Bill on RPP (before Taxes) $ 274, $ 270, $ 4, % HST 3% $ 35, % $ 35, $ % Total Bill (including HST) $ 30,45.65 $ 305, $ 4, % Ontario Clean Energy Benefit Total Bill on RPP (including OCEB) $ 30,45.65 $ 305, $ 4, % Loss Factor (%) 3.79% 3.79% 9

127 Customer Class: Large Use TOU / non-tou: non-tou Consumption 5,000 kw 2,555,000 kwh May - October Approved Rates 207 Proposed Rates 207 vs 206 Charge Unit Volume Rate Charge Rate Charge $ Change % Change ($) ($) ($) ($) Monthly Service Charge Monthly $ 23, $ 23, $ 24,033.8 $ 24,033.8 $ % Smart Meter Rate Adder Monthly Smart Meter Incremental Revenue Monthly Recovery of Green Energy Act Monthly Distribution Volumetric Rate per kw 5000 $.3985 $ 6, $.479 $ 7, $ % Smart Meter Disposition Rider per kw 5000 LRAM & SSM Rate Rider per kw 5000 Rate Rider for Tax Change per kw 5000 Sub-Total A (excluding pass through) $ 30, $ 3,23.3 $ % Deferral/Variance Account per kw 5000 $ $ 2, $ $ $ 3, % Global Adjustment Sub-Account per kw per kw 5000 Deferral/Variance Account per kw -$ $ $ 2, Disposition Rate Rider -$ 6, $ 4, % Low Voltage Service Charge per kw 5000 $ $ $ $ Line Losses on Cost of Power 5, $ 0.20 $, $ 0.20 $, Smart Meter Entity Charge Monthly Sub-Total B - Distribution (includes Sub-Total A) $ 33, $ 26, $ 7, % RTSR - Network per kw 5000 $ $ 5, $ $ 4, $ % RTSR - Line and Transformation Connection per kw 5000 $ $ 2,89.3 $ $ 2, $.3-0.0% Sub-Total C - Delivery (including Sub-Total B) $ 6,030.3 $ 53, $ 8, % Wholesale Market Service Charge per kwh $ $ ,570,330 $ 2, (WMSC) $ 2, Rural and Remote Rate Protection per kwh $ $ ,570,330 $ 3,34.43 (RRRP) $ 3,34.43 Standard Supply Service Charge Monthly $ $ 0.25 $ $ 0.25 Debt Retirement Charge (DRC) per kwh 2,555,000 $ $ 7, $ $ 7, TOU - Off Peak per kwh $ $ 42, $ $ 42, TOU - Mid Peak per kwh $ $ 60, $ $ 60, TOU - On Peak per kwh $ $ 82, $ $ 82, Energy - RPP - Tier per kwh 750 $ $ $ $ Energy - RPP - Tier 2 per kwh $ 0.20 $ 309, $ 0.20 $ 309, Total Bill on TOU (before Taxes) $ 380, $ 372, $ 8, % HST 3% $ 49,4.54 3% $ 48, $, % Total Bill (including HST) $ 429, $ 420, $ 9, % Ontario Clean Energy Benefit Total Bill on TOU (including OCEB) $ 429, $ 420, $ 9, % Total Bill on RPP (before Taxes) $ 403, $ 395, $ 8, % HST 3% $ 52, % $ 5, $, % Total Bill (including HST) $ 455,93.32 $ 446, $ 9, % Ontario Clean Energy Benefit Total Bill on RPP (including OCEB) $ 455,93.32 $ 446, $ 9, % Loss Factor (%) 0.600% 0.600% 9

128 Customer Class: Large Use TOU / non-tou: non-tou Consumption 6,500 kw 3,32,500 kwh May - October Approved Rates 207 Proposed Rates 207 vs 206 Charge Unit Volume Rate Charge Rate Charge $ Change % Change ($) ($) ($) ($) Monthly Service Charge Monthly $ 23, $ 23, $ 24,033.8 $ 24,033.8 $ % Smart Meter Rate Adder Monthly Smart Meter Incremental Revenue Monthly Recovery of Green Energy Act Monthly Distribution Volumetric Rate per kw 6500 $.3985 $ 9, $.479 $ 9,26.35 $ % Smart Meter Disposition Rider per kw 6500 LRAM & SSM Rate Rider per kw 6500 Rate Rider for Tax Change per kw 6500 Sub-Total A (excluding pass through) $ 32, $ 33,250.6 $ % Deferral/Variance Account per kw 6500 $ $ 3, $ $ $ 4, % Global Adjustment Sub-Account per kw per kw 6500 Deferral/Variance Account per kw -$ $ $ 2,92.70 Disposition Rate Rider -$ 8, $ 5, % Low Voltage Service Charge per kw 6500 $ $ 6.98 $ $ 6.98 Line Losses on Cost of Power 9, $ 0.20 $ 2,4.4 $ 0.20 $ 2,4.4 Smart Meter Entity Charge Monthly Sub-Total B - Distribution (includes Sub-Total A) $ 36, $ 26, $ 9, % RTSR - Network per kw 6500 $ $ 20, $ $ 9, $ % RTSR - Line and Transformation Connection per kw 6500 $ $ 5,846.0 $ $ 5, $ % Sub-Total C - Delivery (including Sub-Total B) $ 72,228.5 $ 6, $ 0, % Wholesale Market Service Charge per kwh $ $ ,34,429 $ 5, (WMSC) $ 5, Rural and Remote Rate Protection per kwh $ $ ,34,429 $ 4, (RRRP) $ 4, Standard Supply Service Charge Monthly $ $ 0.25 $ $ 0.25 Debt Retirement Charge (DRC) per kwh 3,32,500 $ $ 23, $ $ 23, TOU - Off Peak per kwh $ $ 84,94.2 $ $ 84,94.2 TOU - Mid Peak per kwh $ $ 78,98.84 $ $ 78,98.84 TOU - On Peak per kwh $ $ 07,66.60 $ $ 07,66.60 Energy - RPP - Tier per kwh 750 $ $ $ $ Energy - RPP - Tier 2 per kwh $ 0.20 $ 40,80.75 $ 0.20 $ 40,80.75 Total Bill on TOU (before Taxes) $ 487, $ 476, $ 0, % HST 3% $ 63, % $ 6,94. -$, % Total Bill (including HST) $ 550,34.55 $ 538,4.9 -$, % Ontario Clean Energy Benefit Total Bill on TOU (including OCEB) $ 550,34.55 $ 538,4.9 -$, % Total Bill on RPP (before Taxes) $ 57,45.47 $ 506, $ 0, % HST 3% $ 67, % $ 65, $, % Total Bill (including HST) $ 584, $ 572, $, % Ontario Clean Energy Benefit Total Bill on RPP (including OCEB) $ 584, $ 572, $, % Loss Factor (%) 0.600% 0.600% 9

129 Customer Class: Large Use TOU / non-tou: non-tou Consumption 7,500 kw 3,832,500 kwh May - October Approved Rates 207 Proposed Rates 207 vs 206 Charge Unit Volume Rate Charge Rate Charge $ Change % Change ($) ($) ($) ($) Monthly Service Charge Monthly $ 23, $ 23, $ 24,033.8 $ 24,033.8 $ % Smart Meter Rate Adder Monthly Smart Meter Incremental Revenue Monthly Recovery of Green Energy Act Monthly Distribution Volumetric Rate per kw 7500 $.3985 $ 0, $.479 $ 0, $ % Smart Meter Disposition Rider per kw 7500 LRAM & SSM Rate Rider per kw 7500 Rate Rider for Tax Change per kw 7500 Sub-Total A (excluding pass through) $ 34,92.95 $ 34, $ % Deferral/Variance Account per kw 7500 $ $ 4, $ $ $ 4, % Global Adjustment Sub-Account per kw per kw 7500 Deferral/Variance Account per kw -$ $ $ 3,37.20 Disposition Rate Rider -$ 9, $ 6, % Low Voltage Service Charge per kw 7500 $ $ $ $ Line Losses on Cost of Power 22, $ 0.20 $ 2, $ 0.20 $ 2, Smart Meter Entity Charge Monthly Sub-Total B - Distribution (includes Sub-Total A) $ 38,22.40 $ 27,69.6 -$, % RTSR - Network per kw 7500 $ $ 23,88.00 $ $ 22, $, % RTSR - Line and Transformation Connection per kw 7500 $ $ 8, $ $ 8, $ % Sub-Total C - Delivery (including Sub-Total B) $ 79, $ 67,488. -$ 2, % Wholesale Market Service Charge per kwh $ $ ,855,495 $ 8,20.83 (WMSC) $ 8,20.83 Rural and Remote Rate Protection per kwh $ $ ,855,495 $ 5,02.4 (RRRP) $ 5,02.4 Standard Supply Service Charge Monthly $ $ 0.25 $ $ 0.25 Debt Retirement Charge (DRC) per kwh 3,832,500 $ $ 26, $ $ 26, TOU - Off Peak per kwh $ $ 23, $ $ 23, TOU - Mid Peak per kwh $ $ 9, $ $ 9, TOU - On Peak per kwh $ $ 24,73.00 $ $ 24,73.00 Energy - RPP - Tier per kwh 750 $ $ $ $ Energy - RPP - Tier 2 per kwh $ 0.20 $ 463,64.75 $ 0.20 $ 463,64.75 Total Bill on TOU (before Taxes) $ 558, $ 546, $ 2, % HST 3% $ 72, % $ 70, $, % Total Bill (including HST) $ 630, $ 67, $ 3, % Ontario Clean Energy Benefit Total Bill on TOU (including OCEB) $ 630, $ 67, $ 3, % Total Bill on RPP (before Taxes) $ 593, $ 58, $ 2, % HST 3% $ 77, % $ 75, $, % Total Bill (including HST) $ 670,5.59 $ 656, $ 3, % Ontario Clean Energy Benefit Total Bill on RPP (including OCEB) $ 670,5.59 $ 656, $ 3, % Loss Factor (%) 0.600% 0.600% 9

130 Customer Class: Large Use TOU / non-tou: non-tou Consumption 0,000 kw 5,0,000 kwh May - October Approved Rates 207 Proposed Rates 207 vs 206 Charge Unit Volume Rate Charge Rate Charge $ Change % Change ($) ($) ($) ($) Monthly Service Charge Monthly $ 23, $ 23, $ 24,033.8 $ 24,033.8 $ % Smart Meter Rate Adder Monthly Smart Meter Incremental Revenue Monthly Recovery of Green Energy Act Monthly Distribution Volumetric Rate per kw 0000 $.3985 $ 3, $.479 $ 4,79.00 $ % Smart Meter Disposition Rider per kw 0000 LRAM & SSM Rate Rider per kw 0000 Rate Rider for Tax Change per kw 0000 Sub-Total A (excluding pass through) $ 37, $ 38,22.8 $ % Deferral/Variance Account per kw 0000 $ $ 5, $ $ $ 6, % Global Adjustment Sub-Account per kw per kw 0000 Deferral/Variance Account per kw -$ $ $ 4, Disposition Rate Rider -$ 3, $ 8, % Low Voltage Service Charge per kw 0000 $ $ $ $ Line Losses on Cost of Power 30, $ 0.20 $ 3, $ 0.20 $ 3, Smart Meter Entity Charge Monthly Sub-Total B - Distribution (includes Sub-Total A) $ 43, $ 28, $ 4, % RTSR - Network per kw 0000 $ $ 30,97.34 $ $ 29, $, % RTSR - Line and Transformation Connection per kw 0000 $ $ 24, $ $ 24, $ % Sub-Total C - Delivery (including Sub-Total B) $ 98, $ 8, $ 6, % Wholesale Market Service Charge per kwh $ $ ,40,660 $ 24,6.0 (WMSC) $ 24,6.0 Rural and Remote Rate Protection per kwh $ $ ,40,660 $ 6, (RRRP) $ 6, Standard Supply Service Charge Monthly $ $ 0.25 $ $ 0.25 Debt Retirement Charge (DRC) per kwh 5,0,000 $ $ 35, $ $ 35, TOU - Off Peak per kwh $ $ 284, $ $ 284, TOU - Mid Peak per kwh $ $ 2,43.60 $ $ 2,43.60 TOU - On Peak per kwh $ $ 65, $ $ 65, Energy - RPP - Tier per kwh 750 $ $ $ $ Energy - RPP - Tier 2 per kwh $ 0.20 $ 68,29.25 $ 0.20 $ 68,29.25 Total Bill on TOU (before Taxes) $ 736, $ 720, $ 6, % HST 3% $ 95, % $ 93,6.63 -$ 2, % Total Bill (including HST) $ 832,24.53 $ 83,70. -$ 8, % Ontario Clean Energy Benefit Total Bill on TOU (including OCEB) $ 832,24.53 $ 83,70. -$ 8, % Total Bill on RPP (before Taxes) $ 783,267.3 $ 766, $ 6, % HST 3% $ 0, % $ 99, $ 2, % Total Bill (including HST) $ 885,09.86 $ 866, $ 8, % Ontario Clean Energy Benefit Total Bill on RPP (including OCEB) $ 885,09.86 $ 866, $ 8, % Loss Factor (%) 0.600% 0.600% 9

131 Customer Class: Large Use TOU / non-tou: non-tou Consumption 2,500 kw 6,387,500 kwh May - October Approved Rates 207 Proposed Rates 207 vs 206 Charge Unit Volume Rate Charge Rate Charge $ Change % Change ($) ($) ($) ($) Monthly Service Charge Monthly $ 23, $ 23, $ 24,033.8 $ 24,033.8 $ % Smart Meter Rate Adder Monthly Smart Meter Incremental Revenue Monthly Recovery of Green Energy Act Monthly Distribution Volumetric Rate per kw 2500 $.3985 $ 7,48.25 $.479 $ 7, $ % Smart Meter Disposition Rider per kw 2500 LRAM & SSM Rate Rider per kw 2500 Rate Rider for Tax Change per kw 2500 Sub-Total A (excluding pass through) $ 4,85.45 $ 4, $ % Deferral/Variance Account per kw 2500 $ $ 7, $ $ $ 8, % Global Adjustment Sub-Account per kw per kw 2500 Deferral/Variance Account per kw -$ $ $ 5,68.66 Disposition Rate Rider -$ 6, $ 0, % Low Voltage Service Charge per kw 2500 $ $ 3.50 $ $ 3.50 Line Losses on Cost of Power 38, $ 0.20 $ 4, $ 0.20 $ 4, Smart Meter Entity Charge Monthly Sub-Total B - Distribution (includes Sub-Total A) $ 47, $ 29, $ 8, % RTSR - Network per kw 2500 $ $ 38, $ $ 36, $, % RTSR - Line and Transformation Connection per kw 2500 $ $ 30, $ $ 30, $ % Sub-Total C - Delivery (including Sub-Total B) $ 7,09.48 $ 96, $ 20, % Wholesale Market Service Charge per kwh $ $ ,425,825 $ 30,20.38 (WMSC) $ 30,20.38 Rural and Remote Rate Protection per kwh $ $ ,425,825 $ 8, (RRRP) $ 8, Standard Supply Service Charge Monthly $ $ 0.25 $ $ 0.25 Debt Retirement Charge (DRC) per kwh 6,387,500 $ $ 44,72.50 $ $ 44,72.50 TOU - Off Peak per kwh $ $ 355, $ $ 355, TOU - Mid Peak per kwh $ $ 5, $ $ 5, TOU - On Peak per kwh $ $ 206, $ $ 206, Energy - RPP - Tier per kwh 750 $ $ $ $ Energy - RPP - Tier 2 per kwh $ 0.20 $ 772, $ 0.20 $ 772, Total Bill on TOU (before Taxes) $ 94,665.8 $ 894, $ 20, % HST 3% $ 8, % $ 6, $ 2, % Total Bill (including HST) $,033,57.65 $,00, $ 23, % Ontario Clean Energy Benefit Total Bill on TOU (including OCEB) $,033,57.65 $,00, $ 23, % Total Bill on RPP (before Taxes) $ 973,6.8 $ 952, $ 20, % HST 3% $ 26, % $ 23, $ 2, % Total Bill (including HST) $,099,672.3 $,076, $ 23, % Ontario Clean Energy Benefit Total Bill on RPP (including OCEB) $,099,672.3 $,076, $ 23, % Loss Factor (%) 0.600% 0.600% 9

132 Customer Class: Large Use 2 TOU / non-tou: non-tou Consumption 5,000 kw 7,665,000 kwh May - October Approved Rates 207 Proposed Rates 207 vs 206 Charge Unit Volume Rate Charge Rate Charge $ Change % Change ($) ($) ($) ($) Monthly Service Charge Monthly $ 4, $ 4, $ 5, $ 5, $, % Smart Meter Rate Adder Monthly Smart Meter Incremental Revenue Monthly Recovery of Green Energy Act Monthly Distribution Volumetric Rate per kw 5000 $ $ 3,93.50 $ $ 5, $, % Smart Meter Disposition Rider per kw 5000 LRAM & SSM Rate Rider per kw 5000 Rate Rider for Tax Change per kw 5000 Sub-Total A (excluding pass through) $ 8, $ 0,78.87 $ 2, % Deferral/Variance Account per kw 5000 $ $ 9, $ $, $, % Global Adjustment Sub-Account per kw per kw 5000 Deferral/Variance Account per kw -$ $ $ 6, Disposition Rate Rider -$ 7, $, % Low Voltage Service Charge per kw 5000 $ $ $ $ Line Losses on Cost of Power 45, $ 0.20 $ 5, $ 0.20 $ 5, Smart Meter Entity Charge Monthly Sub-Total B - Distribution (includes Sub-Total A) $ 8, $ 2, $ 20, % RTSR - Network per kw 5000 $ $ 46,376.0 $ $ 44, $ 2, % RTSR - Line and Transformation Connection per kw 5000 $ $ 36, $ $ 36, $ % Sub-Total C - Delivery (including Sub-Total B) $ 0,68.30 $ 78, $ 22, % Wholesale Market Service Charge per kwh $ $ ,70,990 $ 36,24.65 (WMSC) $ 36,24.65 Rural and Remote Rate Protection per kwh $ $ ,70,990 $ 0, (RRRP) $ 0, Standard Supply Service Charge Monthly $ $ 0.25 $ $ 0.25 Debt Retirement Charge (DRC) per kwh 7,665,000 $ $ 53, $ $ 53, TOU - Off Peak per kwh $ $ 426, $ $ 426, TOU - Mid Peak per kwh $ $ 82,20.40 $ $ 82,20.40 TOU - On Peak per kwh $ $ 248, $ $ 248, Energy - RPP - Tier per kwh 750 $ $ $ $ Energy - RPP - Tier 2 per kwh $ 0.20 $ 927, $ 0.20 $ 927, Total Bill on TOU (before Taxes) $,058, $,035, $ 22, % HST 3% $ 37, % $ 34, $ 2, % Total Bill (including HST) $,95, $,70, $ 25, % Ontario Clean Energy Benefit Total Bill on TOU (including OCEB) $,95, $,70, $ 25, % Total Bill on RPP (before Taxes) $,28, $,06,00.5 -$ 22, % HST 3% $ 46, % $ 43, $ 2, % Total Bill (including HST) $,275,25.32 $,249, $ 25, % Ontario Clean Energy Benefit Total Bill on RPP (including OCEB) $,275,25.32 $,249, $ 25, % Loss Factor (%) 0.600% 0.600% 9

133 Customer Class: Large Use 2 TOU / non-tou: non-tou Consumption 20,000 kw 0,220,000 kwh May - October Approved Rates 207 Proposed Rates 207 vs 206 Charge Unit Volume Rate Charge Rate Charge $ Change % Change ($) ($) ($) ($) Monthly Service Charge Monthly $ 4, $ 4, $ 5, $ 5, $, % Smart Meter Rate Adder Monthly Smart Meter Incremental Revenue Monthly Recovery of Green Energy Act Monthly Distribution Volumetric Rate per kw $ $ 5,28.00 $ $ 6,70.00 $, % Smart Meter Disposition Rider per kw LRAM & SSM Rate Rider per kw Rate Rider for Tax Change per kw Sub-Total A (excluding pass through) $ 9, $ 2, $ 2, % Deferral/Variance Account per kw $ $ 3, $ $, $ 4, % Global Adjustment Sub-Account per kw per kw Deferral/Variance Account per kw -$ $ $ 8, Disposition Rate Rider -$ 23, $ 5, % Low Voltage Service Charge per kw $ $ $ $ Line Losses on Cost of Power 6, $ 0.20 $ 7,49.72 $ 0.20 $ 7,49.72 Smart Meter Entity Charge Monthly Sub-Total B - Distribution (includes Sub-Total A) $ 22, $ 4, $ 27, % RTSR - Network per kw $ $ 6, $ $ 58, $ 3, % RTSR - Line and Transformation Connection per kw $ $ 48, $ $ 48, $ % Sub-Total C - Delivery (including Sub-Total B) $ 33,47.00 $ 02, $ 30, % Wholesale Market Service Charge per kwh $ $ ,28,320 $ 48, (WMSC) $ 48, Rural and Remote Rate Protection per kwh $ $ ,28,320 $ 3, (RRRP) $ 3, Standard Supply Service Charge Monthly $ $ 0.25 $ $ 0.25 Debt Retirement Charge (DRC) per kwh 0,220,000 $ $ 7, $ $ 7, TOU - Off Peak per kwh $ $ 569, $ $ 569, TOU - Mid Peak per kwh $ $ 242, $ $ 242, TOU - On Peak per kwh $ $ 33,28.00 $ $ 33,28.00 Energy - RPP - Tier per kwh 750 $ $ $ $ Energy - RPP - Tier 2 per kwh $ 0.20 $,236, $ 0.20 $,236, Total Bill on TOU (before Taxes) $,409, $,379, $ 30, % HST 3% $ 83, % $ 79, $ 3, % Total Bill (including HST) $,592, $,558, $ 34, % Ontario Clean Energy Benefit Total Bill on TOU (including OCEB) $,592, $,558, $ 34, % Total Bill on RPP (before Taxes) $,503,25.67 $,472, $ 30, % HST 3% $ 95, % $ 9, $ 3, % Total Bill (including HST) $,698, $,664, $ 34, % Ontario Clean Energy Benefit Total Bill on RPP (including OCEB) $,698, $,664, $ 34, % Loss Factor (%) 0.600% 0.600% 9

134 Customer Class: Unmetered Scattered Load TOU / non-tou: TOU Consumption 250 kwh May - October Approved Rates 207 Proposed Rates 207 vs 206 Charge Unit Volume Rate Charge Rate Charge $ Change % Change ($) ($) ($) ($) Monthly Service Charge Monthly $ 8.44 $ 8.44 $ 8.56 $ 8.56 $ % Smart Meter Rate Adder Monthly Smart Meter Incremental Revenue Monthly Recovery of Green Energy Act Monthly Distribution Volumetric Rate per kwh 250 $ 0.03 $ 3.28 $ $ 3.33 $ % Smart Meter Disposition Rider per kwh 250 LRAM & SSM Rate Rider per kwh 250 Rate Rider for Tax Change per kwh 250 Sub-Total A (excluding pass through) $.72 $.89 $ % Deferral/Variance Account per kwh 250 $ $ $ $ $ % Global Adjustment Sub-Account per kwh 250 $ $ 0.92 $ $ $ % 575 per kwh 250 Deferral/Variance Account per kwh Disposition Rate Rider 250 Low Voltage Service Charge per kwh 250 $ $ 0.02 $ $ 0.02 Line Losses on Cost of Power 7.70 $ 0.8 $ 0.86 $ 0.8 $ 0.86 Smart Meter Entity Charge Monthly Sub-Total B - Distribution (includes Sub-Total A) $ 3.60 $ $ % RTSR - Network per kwh 258 $ $.78 $ $.70 -$ % RTSR - Line and Transformation Connection per kwh 258 $ $.40 $ $.39 -$ % Sub-Total C - Delivery (including Sub-Total B) $ 6.78 $ $ % Wholesale Market Service Charge per kwh $ $ $.2 (WMSC) $.2 Rural and Remote Rate Protection per kwh $ $ $ 0.34 (RRRP) $ 0.34 Standard Supply Service Charge Monthly $ $ 0.25 $ $ 0.25 Debt Retirement Charge (DRC) per kwh 250 $ $.75 $ $.75 TOU - Off Peak per kwh 60 $ $ 3.92 $ $ 3.92 TOU - Mid Peak per kwh 45 $ $ 5.94 $ $ 5.94 TOU - On Peak per kwh 45 $ $ 8.0 $ $ 8.0 Energy - RPP - Tier per kwh 250 $ $ $ $ Energy - RPP - Tier 2 per kwh 0 $ 0.20 $ 0.20 n/a Total Bill on TOU (before Taxes) $ $ $ % HST 3% $ % $ 6.3 -$ % Total Bill (including HST) $ $ $ % Ontario Clean Energy Benefit Total Bill on TOU (including OCEB) $ $ $ % Total Bill on RPP (before Taxes) $ $ $ % HST 3% $ % $ $ % Total Bill (including HST) $ $ $ % Ontario Clean Energy Benefit Total Bill on RPP (including OCEB) $ $ $ % Loss Factor (%) 3.08% 3.08% 9

135 Customer Class: Unmetered Scattered Load TOU / non-tou: TOU Consumption 500 kwh May - October Approved Rates 207 Proposed Rates 207 vs 206 Charge Unit Volume Rate Charge Rate Charge $ Change % Change ($) ($) ($) ($) Monthly Service Charge Monthly $ 8.44 $ 8.44 $ 8.56 $ 8.56 $ % Smart Meter Rate Adder Monthly Smart Meter Incremental Revenue Monthly Recovery of Green Energy Act Monthly Distribution Volumetric Rate per kwh 500 $ 0.03 $ 6.55 $ $ 6.65 $ % Smart Meter Disposition Rider per kwh 500 LRAM & SSM Rate Rider per kwh 500 Rate Rider for Tax Change per kwh 500 Sub-Total A (excluding pass through) $ 4.99 $ 5.2 $ % Deferral/Variance Account per kwh 500 $ $ 0.7 -$ $.5 -$ % Global Adjustment Sub-Account per kwh 500 $ $.84 $ $ $ % 575 per kwh 500 Deferral/Variance Account per kwh Disposition Rate Rider 500 Low Voltage Service Charge per kwh 500 $ $ 0.03 $ $ 0.03 Line Losses on Cost of Power 5.40 $ 0.8 $.72 $ 0.8 $.72 Smart Meter Entity Charge Monthly Sub-Total B - Distribution (includes Sub-Total A) $ 8.75 $ $ % RTSR - Network per kwh 55 $ $ 3.56 $ $ $ % RTSR - Line and Transformation Connection per kwh 55 $ $ 2.80 $ $ $ % Sub-Total C - Delivery (including Sub-Total B) $ 25.2 $ $ % Wholesale Market Service Charge per kwh $ $ $ 2.42 (WMSC) $ 2.42 Rural and Remote Rate Protection per kwh $ $ $ 0.67 (RRRP) $ 0.67 Standard Supply Service Charge Monthly $ $ 0.25 $ $ 0.25 Debt Retirement Charge (DRC) per kwh 500 $ $ 3.50 $ $ 3.50 TOU - Off Peak per kwh 320 $ $ $ $ TOU - Mid Peak per kwh 90 $ $.88 $ $.88 TOU - On Peak per kwh 90 $ $ 6.20 $ $ 6.20 Energy - RPP - Tier per kwh 500 $ $ 5.50 $ $ 5.50 Energy - RPP - Tier 2 per kwh 0 $ 0.20 $ 0.20 n/a Total Bill on TOU (before Taxes) $ $ $ % HST 3% $.42 3% $.2 -$ % Total Bill (including HST) $ $ $ % Ontario Clean Energy Benefit Total Bill on TOU (including OCEB) $ $ $ % Total Bill on RPP (before Taxes) $ $ $ % HST 3% $ % $ $ % Total Bill (including HST) $ 94.3 $ $ % Ontario Clean Energy Benefit Total Bill on RPP (including OCEB) $ 94.3 $ $ % Loss Factor (%) 3.08% 3.08% 9

136 Customer Class: Sentinel Lighting TOU / non-tou: non-tou Consumption Connections 0.30 kw kwh May - October Approved Rates 207 Proposed Rates 207 vs 206 Charge Unit Volume Rate Charge Rate Charge $ Change % Change ($) ($) ($) ($) Monthly Service Charge Monthly $ 5.45 $ 5.45 $ 5.53 $ 5.53 $ % Smart Meter Rate Adder Monthly Smart Meter Incremental Revenue Monthly Recovery of Green Energy Act Monthly Distribution Volumetric Rate per kw 0.3 $ $ 4.48 $ $ 4.55 $ % Smart Meter Disposition Rider per kw 0.3 LRAM & SSM Rate Rider per kw 0.3 Rate Rider for Tax Change per kw 0.3 Sub-Total A (excluding pass through) $ 9.93 $ 0.08 $ % Deferral/Variance Account per kw 0.3 $ 0.97 $ $ $ $ % Global Adjustment Sub-Account per kw 0.3 $.309 $ 0.39 $ $ 0.2 -$ % 575 per kw 0.3 Deferral/Variance Account per kw Disposition Rate Rider 0.3 Low Voltage Service Charge per kw 0.3 $ $ 0.0 $ $ 0.0 Line Losses on Cost of Power 4.4 $ 0.8 $ 0.46 $ 0.8 $ 0.46 Smart Meter Entity Charge Monthly Sub-Total B - Distribution (includes Sub-Total A) $ 0.83 $ 0.5 -$ % RTSR - Network per kw 0 $ $ 0.67 $ $ $ % RTSR - Line and Transformation Connection per kw 0 $.707 $ 0.5 $.7069 $ 0.5 -$ % Sub-Total C - Delivery (including Sub-Total B) $ 2.02 $.67 -$ % Wholesale Market Service Charge per kwh $ $ $ 0.65 (WMSC) $ 0.65 Rural and Remote Rate Protection per kwh $ $ $ 0.8 (RRRP) $ 0.8 Standard Supply Service Charge Monthly $ $ 0.25 $ $ 0.25 Debt Retirement Charge (DRC) per kwh 35 $ $ 0.94 $ $ 0.94 TOU - Off Peak per kwh 86 $ $ 7.49 $ $ 7.49 TOU - Mid Peak per kwh 24 $ $ 3.20 $ $ 3.20 TOU - On Peak per kwh 24 $ $ 4.36 $ $ 4.36 Energy - RPP - Tier per kwh 35 $ $ 3.86 $ $ 3.86 Energy - RPP - Tier 2 per kwh 0 $ 0.20 $ 0.20 n/a Total Bill on TOU (before Taxes) $ $ $ % HST 3% $ % $ $ % Total Bill (including HST) $ $ $ % Ontario Clean Energy Benefit Total Bill on TOU (including OCEB) $ $ $ % Total Bill on RPP (before Taxes) $ $ $ % HST 3% $ % $ $ % Total Bill (including HST) $ 3.53 $ 3.3 -$ % Ontario Clean Energy Benefit Total Bill on RPP (including OCEB) $ 3.53 $ 3.3 -$ % Loss Factor (%) 3.08% 3.08% 9

137 Customer Class: Sentinel Lighting TOU / non-tou: non-tou Consumption 72 Connections kw 97, kwh May - October Approved Rates 207 Proposed Rates 207 vs 206 Charge Unit Volume Rate Charge Rate Charge $ Change % Change ($) ($) ($) ($) Monthly Service Charge Monthly 72 $ 5.45 $ 3, $ 5.53 $ 3,987.3 $ % Smart Meter Rate Adder Monthly 72 Smart Meter Incremental Revenue Monthly 72 Recovery of Green Energy Act Monthly 72 Distribution Volumetric Rate per kw 26 $ $ 3, $ $ 3, $ % Smart Meter Disposition Rider per kw 26 LRAM & SSM Rate Rider per kw 26 Rate Rider for Tax Change per kw 26 Sub-Total A (excluding pass through) $ 7,58.48 $ 7, $ % Deferral/Variance Account per kw 26 $ 0.97 $ $ $ $ % Global Adjustment Sub-Account per kw 26 $.309 $ $ $ $ % 575 per kw 26 Deferral/Variance Account per kw Disposition Rate Rider 26 Low Voltage Service Charge per kw 26 $ $ 3.77 $ $ 3.77 Line Losses on Cost of Power 2, $ 0.8 $ $ 0.8 $ Smart Meter Entity Charge Monthly 72 Sub-Total B - Distribution (includes Sub-Total A) $ 7, $ 7, $ % RTSR - Network per kw 26 $ $ $ $ $ % RTSR - Line and Transformation Connection per kw 26 $.707 $ $.7069 $ $ % Sub-Total C - Delivery (including Sub-Total B) $ 8, $ 8, $ % Wholesale Market Service Charge per kwh $ $ ,995 $ (WMSC) $ Rural and Remote Rate Protection per kwh $ $ ,995 $ (RRRP) $ Standard Supply Service Charge Monthly 72 $ $ $ $ Debt Retirement Charge (DRC) per kwh 97,008 $ $ $ $ TOU - Off Peak per kwh $ $ 5,40.4 $ $ 5,40.4 TOU - Mid Peak per kwh 746 $ $ 2,304.9 $ $ 2,304.9 TOU - On Peak per kwh 746 $ $ 3,43.06 $ $ 3,43.06 Energy - RPP - Tier per kwh 750 $ $ $ $ Energy - RPP - Tier 2 per kwh $ 0.20 $, $ 0.20 $, Total Bill on TOU (before Taxes) $ 20, $ 20, $ % HST 3% $ 2, % $ 2, $ % Total Bill (including HST) $ 23,692.9 $ 23, $ % Ontario Clean Energy Benefit Total Bill on TOU (including OCEB) $ 23,692.9 $ 23, $ % Total Bill on RPP (before Taxes) $ 2,84.63 $ 2, $ % HST 3% $ 2, % $ 2, $ % Total Bill (including HST) $ 24,68.05 $ 24, $ % Ontario Clean Energy Benefit Total Bill on RPP (including OCEB) $ 24,68.05 $ 24, $ % Loss Factor (%) 3.08% 3.08% 9

138 Customer Class: Street Lighting TOU / non-tou: non-tou Consumption Devices 0.4 kw kwh May - October Approved Rates 207 Proposed Rates 207 vs 206 Charge Unit Volume Rate Charge Rate Charge $ Change % Change ($) ($) ($) ($) Monthly Service Charge Monthly $ 2.28 $ 2.28 $ 2.7 $ 2.7 -$ % Smart Meter Rate Adder Monthly Smart Meter Incremental Revenue Monthly Recovery of Green Energy Act Monthly Distribution Volumetric Rate per kw $ $ 0.84 $ $ $ % Smart Meter Disposition Rider per kw LRAM & SSM Rate Rider per kw Rate Rider for Tax Change per kw Sub-Total A (excluding pass through) $ 3.2 $ $ % Deferral/Variance Account per kw $ $ $ $ 0. -$ % Global Adjustment Sub-Account per kw $.3268 $ 0.8 $ $ $ % 575 per kw Deferral/Variance Account per kw Disposition Rate Rider Low Voltage Service Charge per kw $ $ 0.00 $ $ 0.00 Line Losses on Cost of Power.88 $ $ 0.9 $ $ 0.9 Smart Meter Entity Charge Monthly Sub-Total B - Distribution (includes Sub-Total A) $ 3.5 $ 3.3 -$ % RTSR - Network per kw 0 $ $ 0.29 $ $ $ % RTSR - Line and Transformation Connection per kw 0 $.6644 $ 0.23 $.6642 $ $ % Sub-Total C - Delivery (including Sub-Total B) $ 4.04 $ $ % Wholesale Market Service Charge per kwh $ $ $ 0.24 (WMSC) $ 0.24 Rural and Remote Rate Protection per kwh $ $ $ 0.07 (RRRP) $ 0.07 Standard Supply Service Charge Monthly $ $ 0.25 $ $ 0.25 Debt Retirement Charge (DRC) per kwh 50 $ $ 0.35 $ $ 0.35 TOU - Off Peak per kwh 32 $ $ 2.76 $ $ 2.76 TOU - Mid Peak per kwh 9 $ $.8 $ $.8 TOU - On Peak per kwh 9 $ $.60 $ $.60 Energy - RPP - Tier per kwh 50 $ $ 5.0 $ $ 5.0 Energy - RPP - Tier 2 per kwh 0 $ 0.20 $ 0.20 n/a Total Bill on TOU (before Taxes) $ 0.48 $ $ % HST 3% $.36 3% $.3 -$ % Total Bill (including HST) $.84 $.39 -$ % Ontario Clean Energy Benefit Total Bill on TOU (including OCEB) $.84 $.39 -$ % Total Bill on RPP (before Taxes) $ 0.04 $ $ % HST 3% $.3 3% $.25 -$ % Total Bill (including HST) $.35 $ $ % Ontario Clean Energy Benefit Total Bill on RPP (including OCEB) $.35 $ $ % Loss Factor (%) 3.79% 3.79% 9

139 Customer Class: Street Lighting TOU / non-tou: non-tou Consumption 36,000 Devices 4, kw,782, kwh May - October Approved Rates 207 Proposed Rates 207 vs 206 Charge Unit Volume Rate Charge Rate Charge $ Change % Change ($) ($) ($) ($) Monthly Service Charge Monthly 36,000 $ 2.28 $ 82, $ 2.7 $ 78, $ 3, % Smart Meter Rate Adder Monthly 36,000 Smart Meter Incremental Revenue Monthly 36,000 Recovery of Green Energy Act Monthly Distribution Volumetric Rate per kw $ $ 30, $ $ 28, $, % Smart Meter Disposition Rider per kw LRAM & SSM Rate Rider per kw Rate Rider for Tax Change per kw Sub-Total A (excluding pass through) $ 2, $ 06, $ 5, % Deferral/Variance Account per kw $ $ $ $ 4,5.68 -$ 4, % Global Adjustment Sub-Account per kw $.3268 $ 6, $ $ 2, $ 3, % 575 per kw Deferral/Variance Account per kw Disposition Rate Rider Low Voltage Service Charge per kw $ $ $ $ Line Losses on Cost of Power 67, $ 0.20 $ 8,72.25 $ 0.20 $ 8,72.25 Smart Meter Entity Charge Monthly 36,000 Sub-Total B - Distribution (includes Sub-Total A) $ 27,749.3 $ 3, $ 3, % RTSR - Network per kw 4974 $ $ 0, $ $ 0, $ % RTSR - Line and Transformation Connection per kw 4974 $.6644 $ 8, $.6642 $ 8, $. -0.0% Sub-Total C - Delivery (including Sub-Total B) $ 46, $ 32, $ 4, % Wholesale Market Service Charge per kwh $ $ ,849,577 $ 8,693.0 (WMSC) $ 8,693.0 Rural and Remote Rate Protection per kwh $ $ 0.003,849,577 $ 2, (RRRP) $ 2, Standard Supply Service Charge Monthly $ $ 0.25 $ $ 0.25 Debt Retirement Charge (DRC) per kwh,782,038 $ $ 2, $ $ 2, TOU - Off Peak per kwh $ $ 99, $ $ 99, TOU - Mid Peak per kwh $ $ 42,34.22 $ $ 42,34.22 TOU - On Peak per kwh $ $ 57, $ $ 57, Energy - RPP - Tier per kwh 750 $ $ $ $ Energy - RPP - Tier 2 per kwh $ 0.20 $ 25, $ 0.20 $ 25, Total Bill on TOU (before Taxes) $ 369, $ 355, $ 4, % HST 3% $ 48, % $ 46, $, % Total Bill (including HST) $ 47,534.4 $ 40, $ 6, % Ontario Clean Energy Benefit Total Bill on TOU (including OCEB) $ 47,534.4 $ 40, $ 6, % Total Bill on RPP (before Taxes) $ 385, $ 37, $ 4, % HST 3% $ 50, % $ 48, $, % Total Bill (including HST) $ 435, $ 49, $ 6, % Ontario Clean Energy Benefit Total Bill on RPP (including OCEB) $ 435, $ 49, $ 6, % Loss Factor (%) 3.79% 3.79% 9

140 APPENDIX D REVENUE REQUIREMENT WORK FORM EB Horizon Utilities Corporation Annual Filing Update Filed: August, 206

141 Ontario Energy Board Version 7.02 Utility Name Horizon Utilities Corporation Service Territory Assigned EB Number Name and Title Phone Number Hamilton & St. Catharines EB Indy Butany-DeSouza Address The RRWF has been enhanced commencing with 207 rate applications to provide estimated base distribution rates. The enhanced RRWF is not intended to replace a utility s formal rate generator model which should continue to be the source of the proposed rates as well as the final ones at the conclusion of the proceeding. The load forecasting addition made to this model is intended to be demonstrative only and does not replace the information filed in the utility s application. In an effort to minimize the incremental work required from utilities, the cost allocation and rate design additions to this model do in fact replace former appendices that were required to be filed as part of the cost of service (Chapter 2) filing requirements.

142 Ontario Energy Board. Info 8. Rev_Def_Suff 2. Table of Contents 9. Rev_Reqt 3. Data_Input_Sheet 0. Load Forecast 4. Rate_Base. Cost Allocation 5. Utility Income 2. Residential Rate Design 6. Taxes_PILs 3. Rate Design and Revenue Reconciliation 7. Cost_of_Capital 4. Tracking Sheet Notes: () (2) (3) (4) (5) Pale green cells represent inputs Pale green boxes at the bottom of each page are for additional notes Pale yellow cells represent drop-down lists Please note that this model uses MACROS. Before starting, please ensure that macros have been enabled. Completed versions of the Revenue Requirement Work Form are required to be filed in working Microsoft Excel format.

143 Ontario Energy Board Data Input () Initial Application (2) Technical (6) Adjustments Adjustments Conference Per Board Decision Rate Base Gross Fixed Assets (average) $560,80,075 $ 560,80,075 $560,80,075 Accumulated Depreciation (average) ($27,827,57) (5) ($27,827,57) ($27,827,57) Allowance for Working Capital: Controllable Expenses $6,728,494 $ 6,728,494 $6,728,494 Cost of Power $668,720,92 $ 668,720,92 $668,720,92 Working Capital Rate (%) 2.00% (9) 2.00% (9) 2.00% (9) 2 Utility Income Operating Revenues: Distribution Revenue at Current Rates $4,30,303 $0 $4,30,303 $0 $4,30,303 Distribution Revenue at Proposed Rates $5,849,435 $0 $5,849,435 $0 $5,849,435 Other Revenue: Specific Service Charges $750,302 $0 $750,302 $0 $750,302 Late Payment Charges $875,000 $0 $875,000 $0 $875,000 Other Distribution Revenue Other Income and Deductions $4,30,636 $0 $4,30,636 $0 $4,30,636 Total Revenue Offsets $5,755,938 (7) $0 $5,755,938 $0 $5,755,938 Operating Expenses: OM+A Expenses $6,49,23 $ 6,49,23 $6,49,23 Depreciation/Amortization $25,272,52 $ 25,272,52 $25,272,52 Property Capital taxes $309,263 $ 309,263 $309,263 Other expenses 3 Taxes/PILs Taxable Income: Adjustments required to arrive at taxable ($4,675,679) (3) ($4,675,679) ($4,675,679) income Utility Income Taxes and Rates: Income taxes (not grossed up) $3,676,588 $3,676,588 $3,676,588 Income Capital Taxes taxes (grossed up) $5,002,6 $5,002,6 $5,002,6 Federal tax (%) 5.00% 5.00% 5.00% Provincial tax (%).50%.50%.50% Income Tax Credits ($56,000) ($56,000) ($56,000) 4 Capitalization/Cost of Capital Capital Structure: Long-term debt Capitalization Ratio (%) 56.0% 56.0% 56.0% Short-term debt Capitalization Ratio (%) 4.0% (8) 4.0% (8) 4.0% (8) Common Equity Capitalization Ratio (%) 40.0% 40.0% 40.0% Prefered Shares Capitalization Ratio (%) 0.0% 0.0% 0.0% 00.0% 00.0% 00.0% Cost of Capital Long-term debt Cost Rate (%) 3.47% 3.47% 3.47% Short-term debt Cost Rate (%).65%.65%.65% Common Equity Cost Rate (%) 9.9% 9.9% 9.9% Prefered Shares Cost Rate (%) Notes: General () (2) (3) (4) (5) (6) (7) (8) (9) Data inputs are required on Sheets 3. Data from Sheet 3 will automatically complete calculations on sheets 4 through 9 (Rate Base through Revenue Requirement). Sheets 4 through 9 do not require any inputs except for notes that the Applicant may wish to enter to support the results. Pale green cells are available on sheets 4 through 9 to enter both footnotes beside key cells and the related text for the notes at the bottom of each sheet. All inputs are in dollars ($) except where inputs are individually identified as percentages (%) Data in column E is for Application as originally filed. For updated revenue requirement as a result of interrogatory responses, technical or settlement conferences, etc., use column M and Adjustments in column I Net of addbacks and deductions to arrive at taxable income. Average of Gross Fixed Assets at beginning and end of the Test Year Average of Accumulated Depreciation at the beginning and end of the Test Year. Enter as a negative amount. Select option from drop-down list by clicking on cell M0. This column allows for the application update reflecting the end of discovery or Argument-in-Chief. Also, the outcome of any Settlement Process can be reflected. Input total revenue offsets for deriving the base revenue requirement from the service revenue requirement 4.0% unless an Applicant has proposed or been approved for another amount. The default Working Capital Allowance factor is 7.5% (of Cost of Power plus controllable expenses), per the letter issued by the Board on June 3, 205. Alternatively, a WCA factor based on lead-lag study, with supporting rationale could be provided. 2

144 Ontario Energy Board Rate Base and Working Capital Rate Base Line No. Particulars Initial Application Adjustments Technical Conference Adjustments Per Board Decision Gross Fixed Assets (average) 2 Accumulated Depreciation (average) 3 Net Fixed Assets (average) (2) (2) (2) $560,80,075 $560,80,075 $560,80,075 ($27,827,57) ($27,827,57) ($27,827,57) $432,973,97 $432,973,97 $432,973,97 4 Allowance for Working Capital () $87,653,842 $87,653,842 $87,653,842 5 Total Rate Base $520,627,759 $520,627,759 $520,627,759 () Allowance for Working Capital - Derivation 6 Controllable Expenses $6,728,494 $6,728,494 $6,728,494 7 Cost of Power $668,720,92 $668,720,92 $668,720,92 8 Working Capital Base $730,448,685 $730,448,685 $730,448,685 9 Working Capital Rate % () 2.00% 2.00% 2.00% 0 Working Capital Allowance $87,653,842 $87,653,842 $87,653,842 Notes () (2) Some Applicants may have a unique rate as a result of a lead-lag study. The default rate for 207 cost of service applications is 7.5%, per the letter issued by the Board on June 3, 205. Average of opening and closing balances for the year. 3

145 Ontario Energy Board Utility Income Line No. Particulars Initial Application Adjustments Technical Conference Adjustments Per Board Decision Operating Revenues: Distribution Revenue (at Proposed Rates) 2 Other Revenue () $5,849,435 $5,849,435 $5,849,435 $5,755,938 $5,755,938 $5,755,938 3 Total Operating Revenues $2,605,372 $2,605,372 $2,605,372 Operating Expenses: 4 OM+A Expenses $6,49,23 $6,49,23 $6,49,23 5 Depreciation/Amortization $25,272,52 $25,272,52 $25,272,52 6 Property taxes $309,263 $309,263 $309,263 7 Capital taxes 8 Other expense 9 Subtotal (lines 4 to 8) $87,000,646 $87,000,646 $87,000,646 0 Deemed Interest Expense $0,464,289 $0,464,289 $0,464,289 Total Expenses (lines 9 to 0) $97,464,935 $97,464,935 $97,464,935 2 Utility income before income taxes $24,40,437 $24,40,437 $24,40,437 3 Income taxes (grossed-up) $5,002,6 $5,002,6 $5,002,6 4 Utility net income $9,38,276 $9,38,276 $9,38,276 Notes Other Revenues / Revenue Offsets () Specific Service Charges $750,302 $750,302 $750,302 Late Payment Charges $875,000 $875,000 $875,000 Other Distribution Revenue Other Income and Deductions $4,30,636 $4,30,636 $4,30,636 Total Revenue Offsets $5,755,938 $5,755,938 $5,755,938 4

146 Ontario Energy Board Taxes/PILs Line No. Particulars Application Technical Conference Per Board Decision Determination of Taxable Income Utility net income before taxes $9,38,276 $9,38,276 $9,38,276 2 Adjustments required to arrive at taxable utility ($4,675,679) ($4,675,679) ($4,675,679) income 3 Taxable income $4,462,597 $4,462,597 $4,462,597 Calculation of Utility income Taxes 4 Income Capital taxes $3,676,588 $3,676,588 $3,676, Total taxes $3,676,588 $3,676,588 $3,676,588 7 Gross-up of Income Taxes $,325,573 $,325,573 $,325,573 8 Grossed-up Income Taxes $5,002,6 $5,002,6 $5,002,6 9 PILs / tax Allowance (Grossed-up Income taxes + Capital taxes) $5,002,6 $5,002,6 $5,002,6 0 Other tax Credits ($56,000) ($56,000) ($56,000) Tax Rates Federal tax (%) 5.00% 5.00% 5.00% 2 Provincial tax (%).50%.50%.50% 3 Total tax rate (%) 26.50% 26.50% 26.50% Notes Capital Taxes not applicable after July, 200 (i.e. for 20 and later test years) 5

147 Ontario Energy Board Capitalization/Cost of Capital Line No. Particulars Capitalization Ratio Cost Rate Return Initial Application (%) ($) (%) ($) Debt Long-term Debt 56.00% $29,55, % $0,20,675 2 Short-term Debt 4.00% $20,825,0.65% $343,64 3 Total Debt 6 $32,376, % $0,464,289 Equity 4 Common Equity 4 $208,25,04 9.9% $9,38,276 5 Preferred Shares 6 Total Equity 4 $208,25,04 9.9% $9,38,276 7 Total 0 $520,627, % $29,602,566 Technical Conference (%) ($) (%) ($) Debt Long-term Debt 56.00% $29,55, % $0,20,675 2 Short-term Debt 4.00% $20,825,0.65% $343,64 3 Total Debt 6 $32,376, % $0,464,289 Equity 4 Common Equity 4 $208,25,04 9.9% $9,38,276 5 Preferred Shares 6 Total Equity 4 $208,25,04 9.9% $9,38,276 7 Total 0 $520,627, % $29,602,566 Per Board Decision (%) ($) (%) ($) Debt 8 Long-term Debt 56.00% $29,55, % $0,20,675 9 Short-term Debt 4.00% $20,825,0.65% $343,64 0 Total Debt 6 $32,376, % $0,464,289 Equity Common Equity 4 $208,25,04 9.9% $9,38,276 2 Preferred Shares 3 Total Equity 4 $208,25,04 9.9% $9,38,276 4 Total 0 $520,627, % $29,602,566 Notes 6

148 Ontario Energy Board Revenue Deficiency/Sufficiency Initial Application Technical Conference Per Board Decision Line No. Particulars At Current Approved Rates At Proposed Rates At Current Approved Rates At Proposed Rates At Current Approved Rates At Proposed Rates Revenue Deficiency from Below $,79,3 $,79,3 $,79,3 2 Distribution Revenue $4,30,303 $4,30,303 $4,30,303 $4,30,303 $4,30,303 $4,30,303 3 Other Operating Revenue $5,755,938 $5,755,938 $5,755,938 $5,755,938 $5,755,938 $5,755,938 Offsets - net 4 Total Revenue $9,886,24 $2,605,372 $9,886,24 $2,605,372 $9,886,24 $2,605,372 5 Operating Expenses $87,000,646 $87,000,646 $87,000,646 $87,000,646 $87,000,646 $87,000,646 6 Deemed Interest Expense $0,464,289 $0,464,289 $0,464,289 $0,464,289 $0,464,289 $0,464,289 8 Total Cost and Expenses $97,464,935 $97,464,935 $97,464,935 $97,464,935 $97,464,935 $97,464,935 9 Utility Income Before Income Taxes $22,42,306 $24,40,437 $22,42,306 $24,40,437 $22,42,306 $24,40,437 0 Tax Adjustments to Accounting ($4,675,679) ($4,675,679) ($4,675,679) ($4,675,679) ($4,675,679) ($4,675,679) Income per 203 PILs model Taxable Income $7,745,627 $9,464,758 $7,745,627 $9,464,758 $7,745,627 $9,464,758 2 Income Tax Rate 26.50% 26.50% 26.50% 26.50% 26.50% 26.50% 3 Income Tax on Taxable $4,702,59 $5,58,6 $4,702,59 $5,58,6 $4,702,59 $5,58,6 Income 4 Income Tax Credits ($56,000) ($56,000) ($56,000) ($56,000) ($56,000) ($56,000) 5 Utility Net Income $7,874,75 $9,38,276 $7,874,75 $9,38,276 $7,874,75 $9,38,276 6 Utility Rate Base $520,627,759 $520,627,759 $520,627,759 $520,627,759 $520,627,759 $520,627,759 7 Deemed Equity Portion of Rate Base 8 Income/(Equity Portion of Rate Base) 9 Target Return - Equity on Rate Base 20 Deficiency/Sufficiency in Return on Equity $208,25,04 $208,25,04 $208,25,04 $208,25,04 $208,25,04 $208,25, % 9.9% 8.58% 9.9% 8.58% 9.9% 9.9% 9.9% 9.9% 9.9% 9.9% 9.9% -0.6% -0.6% -0.6% 2 Indicated Rate of Return 5.44% 5.69% 5.44% 5.69% 5.44% 5.69% 22 Requested Rate of Return on 5.69% 5.69% 5.69% 5.69% 5.69% 5.69% Rate Base 23 Deficiency/Sufficiency in Rate of Return -0.24% -0.24% -0.24% 24 Target Return on Equity $9,38,276 $9,38,276 $9,38,276 $9,38,276 $9,38,276 $9,38, Revenue Deficiency/(Sufficiency) $,263,56 $,263,56 $,263,56 26 Gross Revenue Deficiency/(Sufficiency) $,79,3 () $,79,3 () $,79,3 () Notes: () Revenue Deficiency/Sufficiency divided by ( - Tax Rate) 7

149 Ontario Energy Board Revenue Requirement Line No. Particulars Application Technical Conference Per Board Decision OM&A Expenses $6,49,23 $6,49,23 2 Amortization/Depreciation $25,272,52 $25,272,52 3 Property Capital Taxes $309,263 $309, Income Taxes (Grossed up) $5,002,6 $5,002,6 6 Other Expenses 7 Return Deemed Interest Expense $0,464,289 $0,464,289 Return on Deemed Equity $9,38,276 $9,38,276 8 Service Revenue Requirement (before Revenues) $2,605,372 $2,605,372 9 Revenue Offsets $5,755,938 $5,755,938 0 Base Revenue Requirement $5,849,435 $5,849,435 (excluding Tranformer Owership Allowance credit adjustment) Distribution revenue $5,849,435 $5,849,435 2 Other revenue $5,755,938 $5,755,938 $6,49,23 $25,272,52 $309,263 $5,002,6 $0,464,289 $9,38,276 $2,605,372 $5,755,938 $5,849,435 $5,849,435 $5,755,938 3 Total revenue $2,605,372 $2,605,372 $2,605,372 4 Difference (Total Revenue Less Distribution Revenue Requirement before Revenues) () () () Summary Table of Revenue Requirement and Revenue Deficiency/Sufficiency Application Technical Conference Δ% (2) Per Board Decision Δ% (2) Service Revenue Requirement $2,605,372 $2,605,372 $0 $2,605,372 ($) Grossed-Up Revenue Deficiency/(Sufficiency) $,79,3 $,79,3 $0 $,79,3 ($) Base Revenue Requirement (to be recovered from Distribution Rates) $5,849,435 $5,849,435 $0 $5,849,435 ($) Revenue Deficiency/(Sufficiency) Associated with Base Revenue Requirement $,79,3 $,79,3 $0 $,79,3 ($) Notes () (2) Line - Line 8 Percentage Change Relative to Initial Application 8

150 APPENDIX E INCOME TAX/PILS WORK FORM EB Horizon Utilities Corporation Annual Filing Update Filed: August, 206

151 Ontario Energy Board Utility Name Horizon Utilities Corporation Assigned EB Number EB Name and Title Indy Butany-DeSouza, VP Regulatory Services Phone Number Address Date -Aug-6 Version.02 Instructions Purpose The purpose of this workbook is to calculate the estimated Payment in Lieu of Taxes (PILs) for the Test Year. The calculation of PILs for the Test Year is on tab T0 and is based on the inputs on the other tabs. Tab S Summary is a summary of the amounts to be transferred to the Data Input Sheet of the Revenue Requirement Workform. Methodology To calculate the PILs for the Test Year: ) input the balances from the income tax return of the Historical Year in tabs H to H3. 2) input the balances for the subsequent two (2) years (the Bridge Year and the Test Year). Inputs should include: - non-deductible expenses (Schedule - B and T) - capital additions (Schedule 8 - B8 and T8) - cumulative eligible expenditures (Schedule 0 - B0 and T0) - non-deductible reserves (Schedule 3 - B3 and T3) 3) make any other adjustments and inputs required so that the PILs amount calculated for the Test Year on tab T0 is reasonable. Last COS Re-based Year 205 Note: Drop-down lists are shaded blue; Input cells are shaded green. This Workbook Model is protected by copyright and is being made available to you solely for the purpose of filing your rate application. You may use and copy this model for that purpose, and provide a copy of this model to any person that is advising or assisting you in that regard. Except as indicated above, any copying, reproduction, publication, sale, adaptation, translation, modification, reverse engineering or other use or dissemination of this model without the express written consent of the Ontario Energy Board is prohibited. If you provide a copy of this model to a person that is advising or assisting you in preparing the application or reviewing your draft rate order, you must ensure that the person understands and agrees to the restrictions noted above. While this model has been provided in Excel format and is required to be filed with the applications, the onus remains on the applicant to ensure the accuracy of the data and the results. Other Notes Tabs H to H3 relate to the Historical Year. Tabs B to B3 relate to the Bridge Year. Tabs T to T3 relate to the Test Year. The amounts on tabs H to H3 should agree to the tax return filed with the Canada Revenue Agency. Any CRA audit adjustments or corrections should also be reflected. It is assumed the net income before tax for the Test Year is equal to the Return on Equity. Return on Equity is calculated on tab A. On tab "A. Data Input Sheet", input the "Rate Base" amount and "Return on Rate Base" amounts. For the 207 Application, the "Test Year" is 207, the "Historical Year" is 205, and the "Bridge Year" is 206. Updated: June 4, 206

152 Ontario Energy Board. Info S. Summary A. Data Input Sheet B. Tax Rates & Exemptions Historical Year Bridge Year Test Year H0 - PILs, Tax Provision Historical Year H - Adj. Taxable Income Historical Year H4 - Schedule 4 Loss Carry Forward Historical Year H8 - Schedule 8 Historical H0 - Schedule 0 CEC Historical Year H3 - Schedule 3 Tax Reserves Historical B0 - PILs,Tax Provision Bridge Year B - Adj. Taxable Income Bridge Year B4 - Schedule 4 Loss Carry Forward Bridge Year B8 - Schedule 8 CCA Bridge Year B0 - Schedule 0 CEC Bridge Year B3 - Schedule 3 Tax Reserves Bridge Year T0 PILs, Tax Provision Test Year T Taxable Income Test Year T4 Schedule 4 Loss Carry Forward Test Year T8 Schedule 8 CCA Test Year T3 Schedule 3 Reserve Test Year

153 Ontario Energy Board No inputs required on this worksheet. Inputs on Service Revenue Requirement Worksheet The Service Revenue Requirement is in the 'Revenue Requirement Workform' - Tab 3. Item Working Paper Reference Adjustments required to arrive at taxable income as below -4,675,679 Test Year - Payments in Lieu of Taxes (PILs) T0 3,676,588 Test Year - Grossed-up PILs T0 5,002,6 Effective Federal Tax Rate T0 5.0% Effective Ontario Tax Rate T0.5% Calculation of Adjustments required to arrive at Taxable Income Regulatory Income (before income taxes) T 9,38,276 Taxable Income T 4,462,597 Difference calculated -4,675,679 as above

154 Ontario Energy Board Test Year Bridge Year Rate Base S $ 520,627,759 Return on Ratebase Deemed ShortTerm Debt % 4.00% T 20,825,0 Deemed Long Term Debt % 56.00% U 29,55,545 Deemed Equity % 4 V 208,25,04 $ W = S * T $ X = S * U $ Y = S * V Short Term Interest Rate.65% Z $ 343,64 AC = W * Z Long Term Interest 3.47% AA $ 0,20,675 AD = X * AA Return on Equity (Regulatory Income) 9.9% AB $ 9,38,276 AE = Y * AB T Return on Rate Base $ 29,602,566 AF = AC + AD + AE Questions that must be answered Historical Year Bridge Year Test Year. Does the applicant have any Investment Tax Credits (ITC)? 2. Does the applicant have any SRED Expenditures? 3. Does the applicant have any Capital Gains or Losses for tax purposes? 4. Does the applicant have any Capital Leases? 5. Does the applicant have any Loss Carry-Forwards (non-capital or net capital)? 6. Since 999, has the applicant acquired another regulated applicant's assets? 7. Did the applicant pay dividends? If Yes, please describe what was the tax treatment in the manager's summary. 8. Did the applicant elect to capitalize interest incurred on CWIP for tax purposes? No No No No No No No No No No No No No No No No No No No No No No No No

155 Ontario Energy Board Tax Rates Federal & Provincial Effective Effective Effective Effective Effective Effective As of May 6, 206 January, 202 January, 203 January, 204 January, 205 January, 206 January, 207 Federal income tax General corporate rate 38.00% 38.00% 38.00% 38.00% 38.00% 38.00% Federal tax abatement Adjusted federal rate 28.00% 28.00% 28.00% 28.00% 28.00% 28.00% Rate reduction -3.00% -3.00% -3.00% -3.00% -3.00% -3.00% Federal Income Tax 5.00% 5.00% 5.00% 5.00% 5.00% 5.00% Ontario income tax.50%.50%.50%.50%.50%.50% Combined federal and Ontario 26.50% 26.50% 26.50% 26.50% 26.50% 26.50% Federal & Ontario Small Business Federal small business threshold 500, , , , , ,000 Ontario Small Business Threshold 500, , , , , ,000 Federal small business rate.00%.00%.00%.00% 0.50% 0.50% Ontario small business rate 4.50% 4.50% 4.50% 4.50% 4.50% 4.50% Notes. The Ontario Energy Board's proxy for taxable capital is rate base. 2. Regarding the small business deduction, if applicable, a. If taxable capital exceeds $5 million, the small business rate will not be applicable. b. If taxable capital is below $0 million, the small business rate would be applicable. c. If taxable capital is between $0 million and $5 million, the appropriate small business rate will be calculated.

156 Ontario Energy Board PILs Tax Provision - Historical Year Note: Input the actual information from the tax returns for the historical year. Wires Only Regulatory Taxable Income H $ 9,768,29 A Combined Tax Rate and PILs Ontario Tax Rate (Maximum.5%).4% B Federal tax rate (Maximum 5%) 5.00% C Combined tax rate (Maximum 26.5%) 26.4% D = B+C Total Income Taxes $ 2,553,554 E = A * D Investment Tax Credits $ 36,000 F Miscellaneous Tax Credits G Total Tax Credits $ 36,000 H = F + G Corporate PILs/Income Tax Provision for Historical Year $ 2,47,554 I = E - H

157 Ontario Energy Board Adjusted Taxable Income - Historical Year T2S line # Total for Legal Non-Distribution Historic Entity Eliminations Wires Only Income before PILs/Taxes A 7,522,493 7,522,493 Additions: Interest and penalties on taxes 03 0 Amortization of tangible assets 04 23,6,220 23,6,220 Amortization of intangible assets 06 0 Recapture of capital cost allowance from Schedule Gain on sale of eligible capital property from Schedule Income or loss for tax purposes- joint ventures or partnerships 09 0 Loss in equity of subsidiaries and affiliates 0 0 Loss on disposal of assets,902,074,902,074 Charitable donations 2 0 Taxable Capital Gains 3 0 Political Donations 4 0 Deferred and prepaid expenses 6 0 Scientific research expenditures deducted on financial statements 8 0 Capitalized interest 9 0 Non-deductible club dues and fees 20 0 Non-deductible meals and entertainment expense 2 45,000 45,000 Non-deductible automobile expenses 22 0 Non-deductible life insurance premiums 23 0 Non-deductible company pension plans 24 0 Tax reserves deducted in prior year 25,950,000,950,000 Reserves from financial statements- balance at end of year 26 25,277,053 25,277,053 Soft costs on construction and renovation of buildings 27 0 Book loss on joint ventures or partnerships Capital items expensed Debt issue expense Development expenses claimed in current year 22 0 Financing fees deducted in books 26 0 Gain on settlement of debt Non-deductible advertising Non-deductible interest Non-deductible legal and accounting fees Recapture of SR&ED expenditures 23 0 Share issue expense Write down of capital property Amounts received in respect of qualifying environment trust per paragraphs 2()(z.) and 2()(z.2) Other Additions Interest Expensed on Capital Leases Realized Income from Deferred Credit Accounts 29 0 Pensions Non-deductible penalties ,000 36, ARO Accretion expense 0 Capital Contributions Received (ITA 2()(x)) 0 Lease Inducements Received (ITA 2()(x)) 0 Deferred Revenue (ITA 2()(a)) 0 Prior Year Investment Tax Credits received 0 0

158 Ontario Energy Board Adjusted Taxable Income - Historical Year T2S line # Total for Legal Entity Non-Distribution Eliminations Historic Wires Only Total Additions 52,426, ,426,347 Deductions: Gain on disposal of assets per financial statements 40 35,000 35,000 Dividends not taxable under section Capital cost allowance from Schedule ,228,04 34,228,04 Terminal loss from Schedule Cumulative eligible capital deduction from Schedule , ,007 Allowable business investment loss Deferred and prepaid expenses Scientific research expenses claimed in year 4 0 Tax reserves claimed in current year 43,950,000,950,000 Reserves from financial statements - balance at beginning of year 44 24,842,053 24,842,053 Contributions to deferred income plans 46 0 Book income of joint venture or partnership Equity in income from subsidiary or affiliates Other deductions: (Please explain in detail the nature of the item) Interest capitalized for accounting deducted for tax Capital Lease Payments 39 0 Non-taxable imputed interest income on deferral and variance accounts , , , ,834 ARO Payments - Deductible for Tax when Paid 0 ITA 3(7.4) Election - Capital Contributions Received 0 ITA 3(7.4) Election - Apply Lease Inducement to cost of Leaseholds 0 Deferred Revenue - ITA 20()(m) reserve 0 Principal portion of lease payments 0 Lease Inducement Book Amortization credit to income 0 Financing fees for tax ITA 20()(e) and (e.) 0-2,658,97-2,658, Total Deductions 60,80, ,80,70 Net Income for Tax Purposes 9,768,29 0 9,768,29 Charitable donations from Schedule Taxable dividends deductible under section 2 or 3, from Schedule 3 (item 82) Non-capital losses of preceding taxation years from Schedule Net-capital losses of preceding taxation years from Schedule 4 (Please include explanation and calculation in Manager's summary) Limited partnership losses of preceding taxation years from Schedule TAXABLE INCOME 9,768,29 0 9,768,29

159 Ontario Energy Board Schedule 7- Loss Carry Forward - Historical Corporation Loss Continuity and Application Non-Capital Loss Carry Forward Deduction Actual Historical Total Non- Distribution Portion Utility Balance 0 B4 Net Capital Loss Carry Forward Deduction Actual Historical Total Non- Distribution Portion Utility Balance 0 B4

160 Ontario Energy Board Schedule 8 - Historical Year Class Class Description UCC End of Year Historical per tax returns Less: Non- Distribution Portion UCC Regulated Historical Year Distribution System - post ,25,368 73,25,368 Enhanced Non-residential Buildings Reg. 00()(a.) election 0 2 Distribution System - pre ,507,49 30,507,49 8 General Office/Stores Equip 5,637,77 5,637,77 0 Computer Hardware/ Vehicles 2,739,32 2,739,32 0. Certain Automobiles 0 2 Computer Software,95,202,95,202 3 Lease # 0,546 0, Lease # Lease # Lease # Franchise 0 7 New Electrical Generating Equipment Acq'd after Feb 27/00 Other Than Bldgs 53,438 53, Fibre Optic Cable Certain Energy-Efficient Electrical Generating Equipment 79,693 79, Certain Clean Energy Generation Equipment 0 45 Computers & Systems Software acq'd post Mar 22/04 2,006 2, Data Network Infrastructure Equipment (acq'd post Mar 22/04) 0 47 Distribution System - post February ,496,047 27,496, Data Network Infrastructure Equipment - post Mar 2007,82,333,82, Computer Hardware and system software CWIP 3,620,86 3,620, SUB-TOTAL - UCC 436,397, ,397,42

161 Ontario Energy Board Schedule 0 CEC - Historical Year Cumulative Eligible Capital 7,828,665 Additions Cost of Eligible Capital Property Acquired during Test Year Other Adjustments 0 Subtotal 0 x 3/4 = 0 Non-taxable portion of a non-arm's length transferor's gain realized on the transfer of an ECP to the Corporation after Friday, December 20, x /2 = Amount transferred on amalgamation or wind-up of subsidiary 0 0 Subtotal 7,828,665 Deductions Proceeds of sale (less outlays and expenses not otherwise deductible) from the disposition of all ECP during Test Year Other Adjustments 0 Subtotal 0 x 3/4 = 0 Cumulative Eligible Capital Balance 7,828,665 Current Year Deduction 7,828,665 x 7% = 548,007 Cumulative Eligible Capital - Closing Balance 7,280,658

162 Ontario Energy Board Schedule 3 Tax Reserves - Historical Continuity of Reserves Description Historical Balance as per tax returns Non-Distribution Eliminations Utility Only Capital Gains Reserves ss.40() 0 Tax Reserves Not Deducted for accounting purposes Reserve for doubtful accounts ss. 20()(l),750,000,750,000 Reserve for goods and services not delivered ss. 20()(m) 0 Reserve for unpaid amounts ss. 20()(n) 200, ,000 Debt & Share Issue Expenses ss. 20()(e) 0 Other tax reserves Total,950,000 0,950,000 Financial Statement Reserves (not deductible for Tax Purposes) General Reserve for Inventory Obsolescence (non-specific) 450, ,000 General reserve for bad debts 0 Accrued Employee Future Benefits: 22,774,206 22,774,206 - Medical and Life Insurance 0 -Short & Long-term Disability 0 -Accmulated Sick Leave 58,309 58,309 - Termination Cost 0 - Other Post-Employment Benefits 0 Provision for Environmental Costs 0 Restructuring Costs 0 Accrued Contingent Litigation Costs 0 Accrued Self-Insurance Costs 0 Other Contingent Liabilities 0 Bonuses Accrued and Not Paid Within 80 Days of Year-End ss. 78(4) 0 Unpaid Amounts to Related Person and Not Paid Within 3 Taxation Years ss. 78() 0 Other,994,538,994,538 0 Total 25,277, ,277,

163 Ontario Energy Board PILS Tax Provision - Bridge Year Wires Only Reference Regulatory Taxable Income B $ 2,28,706 A Tax Rate Small Business Rate (If Applicable) Taxes Payable Effective Tax Rate Ontario (Max.5%).5% 4.5% ########.2% B Federal (Max 5%) 5.0% 0.5% ######## 4.8% C Combined effective tax rate (Max 26.5%) 26.03% D = B + C Total Income Taxes $ 3,56,607 E = A * D Investment Tax Credits F Miscellaneous Tax Credits G Total Tax Credits H = F + G Corporate PILs/Income Tax Provision for Bridge Year $ 3,56,607 I = E - H Note:. This is for the derivation of Bridge year PILs income tax expense and should not be used for Test year revenue requirement calculations.

164 Ontario Energy Board Adjusted Taxable Income - Bridge Year T2S line # Working Paper Reference Total for Regulated Utility Income before PILs/Taxes A 8,223,662 Additions: Interest and penalties on taxes 03 Amortization of tangible assets 04 24,02,596 Amortization of intangible assets 06 Recapture of capital cost allowance from Schedule 8 07 Gain on sale of eligible capital property from Schedule 0 08 Income or loss for tax purposes- joint ventures or partnerships 09 Loss in equity of subsidiaries and affiliates 0 Loss on disposal of assets 2,739,30 Charitable donations 2 Taxable Capital Gains 3 Political Donations 4 Deferred and prepaid expenses 6 Scientific research expenditures deducted on financial statements 8 Capitalized interest 9 Non-deductible club dues and fees 20 Non-deductible meals and entertainment expense 2 45,000 Non-deductible automobile expenses 22 Non-deductible life insurance premiums 23 Non-deductible company pension plans 24 Tax reserves deducted in prior year 25 B3,950,000 Reserves from financial statements- balance at end of year 26 B3 25,778,753 Soft costs on construction and renovation of buildings 27 Book loss on joint ventures or partnerships 205 Capital items expensed 206 Debt issue expense 208 Development expenses claimed in current year 22 Financing fees deducted in books 26 Gain on settlement of debt 220 Non-deductible advertising 226 Non-deductible interest 227 Non-deductible legal and accounting fees 228 Recapture of SR&ED expenditures 23 Share issue expense 235 Write down of capital property 236 Amounts received in respect of qualifying environment trust per paragraphs 2()(z.) and 2()(z.2) 237

165 Ontario Energy Board Adjusted Taxable Income - Bridge Year Other Additions Interest Expensed on Capital Leases 290 Realized Income from Deferred Credit Accounts 29 Pensions 292 Non-deductible penalties 293 Other Additions (Apprenticeship Tax Credits) ,000 ARO Accretion expense Capital Contributions Received (ITA 2()(x)) Lease Inducements Received (ITA 2()(x)) Deferred Revenue (ITA 2()(a)) Prior Year Investment Tax Credits received 295 Total Additions 54,670,659 Deductions: Gain on disposal of assets per financial statements ,006 Dividends not taxable under section Capital cost allowance from Schedule B8 32,575,90 Terminal loss from Schedule Cumulative eligible capital deduction from Schedule B0 509,646 Allowable business investment loss 406 Deferred and prepaid expenses 409 Scientific research expenses claimed in year 4 Tax reserves claimed in current year 43 B3,950,000 Reserves from financial statements - balance at beginning of year 44 B3 25,277,053 Contributions to deferred income plans 46 Book income of joint venture or partnership 305 Equity in income from subsidiary or affiliates 306 Other deductions: (Please explain in detail the nature of the item)

166 Ontario Energy Board Adjusted Taxable Income - Bridge Year Interest capitalized for accounting deducted for tax 390 Capital Lease Payments 39 Non-taxable imputed interest income on deferral and variance accounts ARO Payments - Deductible for Tax when Paid ITA 3(7.4) Election - Capital Contributions Received ITA 3(7.4) Election - Apply Lease Inducement to cost of Leaseholds Deferred Revenue - ITA 20()(m) reserve Principal portion of lease payments Lease Inducement Book Amortization credit to income Financing fees for tax ITA 20()(e) and (e.) 394 Total Deductions calculated 60,765,65 Net Income for Tax Purposes calculated 2,28,706 Charitable donations from Schedule 2 3 Taxable dividends deductible under section 2 or 3, from Schedule 3 (item 82) 320 Non-capital losses of preceding taxation years from Schedule 4 33 B4 0 Net-capital losses of preceding taxation years from Schedule 4 (Please include explanation 332 and calculation in Manager's summary) Limited partnership losses of preceding taxation years from Schedule TAXABLE INCOME calculated 2,28,706

167 Ontario Energy Board Corporation Loss Continuity and Application Schedule 4 Loss Carry Forward - Bridge Year Non-Capital Loss Carry Forward Deduction Total Actual Historical H4 0 Application of Loss Carry Forward to reduce taxable income in Bridge Year Other Adjustments Add (+) Deduct (-) B 0 Balance available for use in Test Year calculated 0 Amount to be used in Bridge Year B 0 Balance available for use post Bridge Year calculated 0 T4 Net Capital Loss Carry Forward Deduction Total Actual Historical H4 0 Application of Loss Carry Forward to reduce taxable income in Bridge Year Other Adjustments Add (+) Deduct (-) Balance available for use in Test Year calculated 0 Amount to be used in Bridge Year Balance available for use post Bridge Year calculated 0 T4

168 Ontario Energy Board Schedule 8 CCA - Bridge Year Class Class Description Working Paper Reference UCC Regulated Historical Year Additions Disposals (Negative) UCC Before /2 Yr Adjustment /2 Year Rule {/2 Additions Less Disposals} Reduced UCC Rate % Bridge Year CCA $ $ 74,22,868 4% 6,968,55 UCC End of Bridge Year Distribution System - post 987 H8 $ 73,25,368 $,995,000 $ 75,20, ,500 $ $ 68,24,854 Enhanced Non-residential Buildings Reg. 00()(a.) election H8 6% $ - 2 Distribution System - pre 988 H8 $ 30,507,49 $ 30,507,49 $ 30,507,49 6% $,830,429 $ 28,676,720 8 General Office/Stores Equip H8 $ 5,637,77 $ 926,200 $ 6,563,377 $ 463,00 $ 6,00,277 20% $,220,055 $ 5,343,32 0 Computer Hardware/ Vehicles H8 $ 2,739,32 $,685,000 $ 4,424,32 $ 842,500 $ 3,58,82 30% $,074,546 $ 3,349, Certain Automobiles H8 30% $ - 2 Computer Software H8 $,95,202 $ 455,500 $,650,702 $ 227,750 $,422,952 00% $,422,952 $ 227,750 3 Lease # H8 $ 0,546 $ 0,546 $ 0,546 0% $,055 $ 9, Lease #2 H8 $ Lease # 3 H8 $ Lease # 4 H8 $ - 4 Franchise H8 $ - 7 New Electrical Generating Equipment Acq'd after Feb 27/00 Other Than Bldgs H8 $ 53,438 $ 53,438 $ 53,438 8% $ 4,275 $ 49,63 42 Fibre Optic Cable H8 2% $ Certain Energy-Efficient Electrical Generating Equipment H8 $ 79,693 $ 79,693 $ 79,693 30% $ 23,908 $ 55, Certain Clean Energy Generation Equipment H8 50% $ - 45 Computers & Systems Software acq'd post Mar 22/04 H8 $ 2,006 $ 2,006 $ 2,006 45% $ 9,453 $, Data Network Infrastructure Equipment (acq'd post Mar 22/04) H8 30% $ - 47 Distribution System - post February 2005 H8 $ 27,496,047 $ 35,260,333 -$ 453,006 $ 252,303,374 $ 7,403,664 $ 234,899,7 8% $ 8,79,977 $ 233,5, Data Network Infrastructure Equipment - post Mar 2007 H8 $,82,333 $ 825,500 $ 2,646,833 $ 42,750 $ 2,234,083 55% $,228,746 $,48, Computer Hardware and system software H8 00% $ - 95 CWIP H8 $ 3,620,86 $ 3,620,86 $ 3,620,86 $ 3,620,86 52 Computer Hardware and system software $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - TOTAL $ 436,397,42 $ 4,47,533 -$ 453,006 $ 477,09,669 $ 20,347,264 $ 456,744,406 $ 32,575,90 B $ 444,55,759

169 Ontario Energy Board Schedule 0 CEC - Bridge Year Cumulative Eligible Capital Reference H0 7,280,658 Additions Cost of Eligible Capital Property Acquired during Test Year Other Adjustments 0 Subtotal 0 x 3/4 = 0 Non-taxable portion of a non-arm's length transferor's gain realized on the transfer of an ECP to the Corporation after Friday, December 20, x /2 = Amount transferred on amalgamation or wind-up of subsidiary 0 0 Subtotal 7,280,658 Deductions Proceeds of sale (less outlays and expenses not otherwise deductible) from the disposition of all ECP during Test Year Other Adjustments 0 Subtotal x 3/4 = 0 Cumulative Eligible Capital Balance 7,280,658 Current Year Deduction 7,280,658 x 7% = 509,646 Cumulative Eligible Capital - Closing Balance 6,77,02

170 Ontario Energy Board Schedule 3 Tax Reserves - Bridge Year Continuity of Reserves Description Reference Historical Utility Only Eliminate Amounts Not Relevant for Bridge Year Adjusted Utility Balance Bridge Year Adjustments Additions Disposals Balance for Bridge Year Change During the Year Disallowed Expenses Capital Gains Reserves ss.40() H T3 0 Tax Reserves Not Deducted for accounting purposes Reserve for doubtful accounts ss. 20()(l) H3,750,000,750,000,750,000 T3 0 Reserve for goods and services not delivered ss. 20()(m) H T3 0 Reserve for unpaid amounts ss. 20()(n) H3 200, , ,000 T3 0 Debt & Share Issue Expenses ss. 20()(e) H T3 0 Other tax reserves H T Total,950,000 0,950,000 B 0 0,950,000 B Financial Statement Reserves (not deductible for Tax Purposes) General Reserve for Inventory Obsolescence (non-specific) H3 450, , ,000 T3 0 General reserve for bad debts H T3 0 Accrued Employee Future Benefits: H3 22,774,206 22,774,206 50,700 23,275,906 T3 50,700 - Medical and Life Insurance H T3 0 -Short & Long-term Disability H T3 0 -Accmulated Sick Leave H3 58,309 58,309 58,309 T3 0 - Termination Cost H T3 0 - Other Post-Employment Benefits H T3 0 Provision for Environmental Costs H T3 0 Restructuring Costs H T3 0 Accrued Contingent Litigation Costs H T3 0 Accrued Self-Insurance Costs H T3 0 Other Contingent Liabilities H T3 0 Bonuses Accrued and Not Paid Within 80 Days of Year-End ss. 78(4) H T3 0 Unpaid Amounts to Related Person and Not Paid Within 3 Taxation Years ss. 78() H T3 0 Other H3,994,538,994,538,994,538 T Total 25,277, ,277,053 B 50, ,778,753 B 50,

171 Ontario Energy Board PILs Tax Provision - Test Year Wires Only Regulatory Taxable Income T $ 4,462,597 A Tax Rate Small Business Rate Taxes Payable Effective Tax Rate (If Applicable) Ontario (Max.5%).5%.5% $,663,99.5% B Federal (Max 5%) 5.0% 5.0% $ 2,69, % C Combined effective tax rate (Max 26.5%) 26.50% D = B + C Total Income Taxes $ 3,832,588 E = A * D Investment Tax Credits $ 56,000 F Miscellaneous Tax Credits G Total Tax Credits $ 56,000 H = F + G Corporate PILs/Income Tax Provision for Test Year $ 3,676,588 I = E - H S. Su Corporate PILs/Income Tax Provision Gross Up 73.50% J = -D $,325,573 K = I/J-I Income Tax (grossed-up) $ 5,002,6 L = K + I S. Su Note:. This is for the derivation of revenue requirement and should not be used for sufficiency/deficiency calculations.

172 Ontario Energy Board Taxable Income - Test Year Working Paper Reference Test Year Taxable Income Net Income Before Taxes A. 9,38,276 T2 S line # Additions: Interest and penalties on taxes 03 Amortization of tangible assets 2-4 ADJUSTED ACCOUNTING DATA P ,069,733 Amortization of intangible assets 2-4 ADJUSTED ACCOUNTING DATA P Recapture of capital cost allowance from Schedule 8 07 Gain on sale of eligible capital property from Schedule 0 08 Income or loss for tax purposes- joint ventures or partnerships 09 Loss in equity of subsidiaries and affiliates 0 Loss on disposal of assets 2,673,35 Charitable donations 2 Taxable Capital Gains 3 Political Donations 4 Deferred and prepaid expenses 6 Scientific research expenditures deducted on financial statements 8 Capitalized interest 9 Non-deductible club dues and fees 20 Non-deductible meals and entertainment expense 2 45,000 Non-deductible automobile expenses 22 Non-deductible life insurance premiums 23 Non-deductible company pension plans 24 Tax reserves beginning of year 25 T3,950,000 Reserves from financial statements- balance at end of year 26 T3 26,329,753 Soft costs on construction and renovation of buildings 27 Book loss on joint ventures or partnerships 205 Capital items expensed 206 Debt issue expense 208 Development expenses claimed in current year 22 Financing fees deducted in books 26 Gain on settlement of debt 220 Non-deductible advertising 226 Non-deductible interest 227 Non-deductible legal and accounting fees 228 Recapture of SR&ED expenditures 23 Share issue expense 235 Write down of capital property 236

173 Amounts received in respect of qualifying environment trust per paragraphs 2()(z.) and 237 2()(z.2) Other Additions: (please explain in detail the nature of the item) Interest Expensed on Capital Leases 290 Realized Income from Deferred Credit Accounts 29 Pensions 292 Non-deductible penalties 293 Other Additions (Apprenticeship Tax Credits) , ARO Accretion expense Capital Contributions Received (ITA 2()(x)) Lease Inducements Received (ITA 2()(x)) Deferred Revenue (ITA 2()(a)) Prior Year Investment Tax Credits received 297 Total Additions 55,207,80 Deductions: Gain on disposal of assets per financial statements ,896 Dividends not taxable under section Capital cost allowance from Schedule T8 32,664,223 Terminal loss from Schedule Cumulative eligible capital deduction from Schedule 0 CEC 405 T0 473,97 Allowable business investment loss 406 Deferred and prepaid expenses 409 Scientific research expenses claimed in year 4 Tax reserves end of year 43 T3,950,000 Reserves from financial statements - balance at beginning of year 44 T3 25,778,753 Contributions to deferred income plans 46 Book income of joint venture or partnership 305 Equity in income from subsidiary or affiliates 306 Other deductions: (Please explain in detail the nature of the item) Interest capitalized for accounting deducted for tax 390 Capital Lease Payments 39

174 Non-taxable imputed interest income on deferral and variance accounts ,06, ,834 ARO Payments - Deductible for Tax when Paid ITA 3(7.4) Election - Capital Contributions Received ITA 3(7.4) Election - Apply Lease Inducement to cost of Leaseholds Deferred Revenue - ITA 20()(m) reserve Principal portion of lease payments Lease Inducement Book Amortization credit to income Financing fees for tax ITA 20()(e) and (e.) Other Deductions -2,658, Total Deductions calculated 59,883,480 NET INCOME FOR TAX PURPOSES calculated 4,462,597 Charitable donations 3 Taxable dividends received under section 2 or Non-capital losses of preceding taxation years from Schedule 7-33 T4 0 Net-capital losses of preceding taxation years (Please show calculation) 332 Limited partnership losses of preceding taxation years from Schedule REGULATORY TAXABLE INCOME calculated 4,462,597 T0

175 Ontario Energy Board Schedule 7- Loss Carry Forward - Test Year Corporation Loss Continuity and Application Non-Capital Loss Carry Forward Deduction Actual/Estimated Bridge Year Working Paper Reference Total Non- Distribution Portion Utility Balance B T 0 0 Other Adjustments Add (+) Deduct (-) Balance available for use in Future Years calculated Amount to be used in Test Year T 0 0 Balance available for use post Test Year calculated Net Capital Loss Carry Forward Deduction Actual/Estimated Bridge Year Total Non- Distribution Portion Utility Balance B Other Adjustments Add (+) Deduct (-) Balance available for use in Future Years calculated Amount to be used in Test Year 0 Balance available for use post Test Year calculated 0 0 0

176 Ontario Energy Board Schedule 8 CCA - Test Year Class Class Description /2 Year Rule {/2 Working Paper UCC Test Year Disposals UCC Before /2 Yr UCC End of Test Additions Additions Less Reduced UCC Rate % Test Year CCA Reference Opening Balance (Negative) Adjustment Year Disposals} Distribution System - post 987 B8 $ 68,24,854 2,495,000 $ 70,736,854 $,247,500 $ 69,489,354 4% $ 6,779,574 $ 63,957,280 Enhanced Non-residential Buildings Reg. 00()(a.) election B8 6% $ - 2 Distribution System - pre 988 B8 $ 28,676,720 $ 28,676,720 $ 28,676,720 6% $,720,603 $ 26,956,7 8 General Office/Stores Equip B8 $ 5,343,32 665,200 $ 6,008,52 $ 332,600 $ 5,675,92 20% $,35,84 $ 4,873,337 0 Computer Hardware/ Vehicles B8 $ 3,349, ,000 $ 4,29,774 $ 390,000 $ 3,739,774 30% $,2,932 $ 3,007, Certain Automobiles B8 30% $ - 2 Computer Software B8 $ 227, ,500 $ 667,250 $ 29,750 $ 447,500 00% $ 447,500 $ 29,750 3 Lease # B8 $ 9,492 $ 9,492 $ 9,492 0% $ 949 $ 8, Lease #2 B8 $ Lease # 3 B8 $ Lease # 4 B8 $ - 4 Franchise B8 $ - 7 New Electrical Generating Equipment Acq'd after Feb 27/00 Other Than Bl B8 $ 49,63 $ 49,63 $ 49,63 8% $ 3,933 $ 45, Fibre Optic Cable B8 2% $ Certain Energy-Efficient Electrical Generating Equipment B8 $ 55,785 $ 55,785 $ 55,785 30% $ 6,736 $ 39, Certain Clean Energy Generation Equipment B8 50% $ - 45 Computers & Systems Software acq'd post Mar 22/04 B8 $,553 $,553 $,553 45% $ 5,99 $ 6, Data Network Infrastructure Equipment (acq'd post Mar 22/04) B8 30% $ - 47 Distribution System - post February 2005 B8 $ 233,5,397 39,799,24-454,896 $ 272,855,76 $ 9,672,59 $ 253,83,557 8% $ 20,254,685 $ 252,60,03 50 Data Network Infrastructure Equipment - post Mar 2007 B8 $,48,087,447,200 $ 2,865,287 $ 723,600 $ 2,4,687 55% $,77,928 $,687, Computer Hardware and system software B8 00% $ - 95 CWIP B8 $ 3,620,86 $ 3,620,86 $ 3,620,86 0% $ 3,620,86 0% $ - 0% $ - 0% $ - 0% $ - 0% $ - 0% $ - 0% $ - 0% $ - 0% $ - 0% $ - TOTAL $ 444,55,759 $ 45,626,4 -$ 454,896 $ 489,686,977 $ 22,585,609 $ 467,0,368 $ 32,664,223 T $ 457,022,754

177 Ontario Energy Board Schedule 0 CEC - Test Year Cumulative Eligible Capital B0 6,77,02 Additions Cost of Eligible Capital Property Acquired during Test Year Other Adjustments 0 Subtotal 0 x 3/4 = 0 Non-taxable portion of a non-arm's length transferor's gain realized on the transfer of an ECP to the Corporation after Friday, December 20, x /2 = Amount transferred on amalgamation or wind-up of subsidiary 0 0 Subtotal 6,77,02 Deductions Proceeds of sale (less outlays and expenses not otherwise deductible) from the disposition of all ECP during Test Year 0 Other Adjustments 0 Subtotal 0 x 3/4 = 0 Cumulative Eligible Capital Balance 6,77,02 Current Year Deduction (Carry Forward to Tab "Test Year Taxable Income") 6,77,02 x 7% = 473,97 Cumulative Eligible Capital - Closing Balance 6,297,04

178 Ontario Energy Board Schedule 3 Tax Reserves - Test Year Continuity of Reserves Description Working Paper Reference Bridge Year Eliminate Amounts Not Relevant for Bridge Year Adjusted Utility Balance Test Year Adjustments Additions Disposals Balance for Test Year Change During the Year Disallowed Expenses Capital Gains Reserves ss.40() B Tax Reserves Not Deducted for accounting purposes Reserve for doubtful accounts ss. 20()(l) B3,750,000,750, ,750,000 0 Reserve for goods and services not delivered ss. 20()(m) B Reserve for unpaid amounts ss. 20()(n) B3 200, , ,000 0 Debt & Share Issue Expenses ss. 20()(e) B Other tax reserves B Total,950,000 0,950,000 T 0 0,950,000 T Financial Statement Reserves (not deductible for Tax Purposes) General Reserve for Inventory Obsolescence (non-specific) B3 450, , ,000 0 General reserve for bad debts B Accrued Employee Future Benefits: B3 23,275,906 23,275,906 55,000 23,826,906 55,000 - Medical and Life Insurance B Short & Long-term Disability B Accmulated Sick Leave B3 58,309 58,309 58, Termination Cost B Other Post-Employment Benefits B Provision for Environmental Costs B Restructuring Costs B Accrued Contingent Litigation Costs B Accrued Self-Insurance Costs B Other Contingent Liabilities B Bonuses Accrued and Not Paid Within 80 Days of Year-End ss. 78(4) B Unpaid Amounts to Related Person and Not Paid Within 3 Taxation Years ss. 78() B Other B3,994,538,994,538,994, Total 25,778, ,778,753 T 55, ,329,753 T 55,

179 EB Horizon Utilities Corporation Annual Filing Update Filed: August, 206 APPENDIX F DEFERRAL AND VARIANCE ACCOUNT (CONTINUITY SCHEDULE) WORK FORM

180 Ontario Energy Board Version 2.8 Utility Name Service Territory Assigned EB Number Name of Contact and Title Phone Number Address Horizon Utilities Corporation Hamilton and St. Catharines EB Indy J. Butany-Desouza, Vice President- Regulatory General Notes Notes Pale green cells represent input cells. Pale blue cells represent drop-down lists. The applicant should select the appropriate item from the drop-down list. White cells contain fixed values, automatically generated values or formulae. This Workbook Model is protected by copyright and is being made available to you solely for the purpose of preparing your rate application. You may use and copy this model for that purpose, and provide a copy of this model to any person that is advising or assisting you in that regard. Except as indicated above, any copying, reproduction, publication, sale, adaptation, translation, modification, reverse engineering or other use or dissemination of this model without the express written consent of the Ontario Energy Board is prohibited. If you provide a copy of this model to a person that is advising or assisting you in preparing or reviewing your draft rate order, you must ensure that the person understands and agrees to the restrictions noted above.

181 Ontario Energy Board 200 Account Descriptions Account Number Opening Principal Amounts as of Jan- -0 Transactions Debit / (Credit) during 200 OEB-Approved Principal Disposition during Adjustments 2 during Closing Principal Balance as of Dec-3-0 Opening OEB-Approved Interest Interest Jan- to Disposition Amounts as of Dec-3-0 during 200 Jan--0 Interest Adjustments during 200 Closing Interest Amounts as of Dec-3-0 Group Accounts LV Variance Account 550 $63,80 $63,80 $,6 $,6 Smart Metering Entity Charge Variance Account 55 RSVA - Wholesale Market Service Charge $7,48,035 -$7,48,035 -$46,837 -$46,837 Variance WMS Sub-account CBR Class A Variance WMS Sub-account CBR Class B RSVA - Retail Transmission Network Charge 584 $2,67,940 $2,67,940 $24,392 $24,392 RSVA - Retail Transmission Connection Charge 586 $67,403 $67,403 $2,855 $2,855 RSVA - Power (excluding Global Adjustment) 588 -$5,63,735 -$5,63,735 -$5,930 -$5,930 RSVA - Global Adjustment 589 $3,077,268 $3,077,268 $46,608 $46,608 Disposition and Recovery/Refund of Regulatory Balances (2009) $2,678,975 -$2,678,975 -$2,374,893 -$2,374,893 Disposition and Recovery/Refund of Regulatory Balances (200) $0 $0 Disposition and Recovery/Refund of Regulatory Balances (20) $0 $0 Disposition and Recovery/Refund of Regulatory Balances (202) $0 $0 Disposition and Recovery/Refund of Regulatory Balances (203) $0 $0 Disposition and Recovery/Refund of Regulatory Balances (204) $0 $0 Disposition and Recovery/Refund of Regulatory Balances (205) $0 $0 Not to be disposed of unless rate rider has expired and balance has been audited Group Sub-Total (including Account Global Adjustment) $0 -$9,35,324 $0 $0 -$9,35,324 $0 -$2,362,644 $0 $0 -$2,362,644 Group Sub-Total (excluding Account Global Adjustment) $0 -$22,392,592 $0 $0 -$22,392,592 $0 -$2,409,25 $0 $0 -$2,409,25 RSVA - Global Adjustment 589 $0 $3,077,268 $0 $0 $3,077,268 $0 $46,608 $0 $0 $46,608 Group 2 Accounts Other Regulatory Assets - Sub-Account - Deferred IFRS Transition Costs 508 $0 $0 Other Regulatory Assets - Sub-Account - Incremental Capital Charges 508 $0 $0 Other Regulatory Assets - Sub-Account - Financial Assistance Payment and Recovery Variance - Ontario Clean Energy Benefit Act Other Regulatory Assets - Sub-Account - Other $0 $0 Retail Cost Variance Account - Retail 58 $0 $0 Misc. Deferred Debits 525 $0 $0 Retail Cost Variance Account - STR 548 $0 $0 Board-Approved CDM Variance Account 567 $0 $0 Extra-Ordinary Event Costs 572 $0 $0 Deferred Rate Impact Amounts 574 $0 $0 RSVA - One-time 582 $0 $0 Other Deferred Credits 2425 $0 $0 Group 2 Sub-Total $0 $0 $0 $0 $0 $0 $0 $0 $0 PILs and Tax Variance for 2006 and Subsequent Years (excludes sub-account and contra account below) PILs and Tax Variance for 2006 and Subsequent Years - Sub-Account HST/OVAT Input Tax Credits (ITCs) $0 $0 $0 $0 Total of Group and Group 2 Accounts (including 592) $0 -$9,35,324 $0 $0 -$9,35,324 $0 -$2,362,644 $0 $0 -$2,362,644

182 200 Account Descriptions Account Number Opening Principal Amounts as of Jan- -0 Transactions Debit / (Credit) during 200 OEB-Approved Principal Disposition during Adjustments 2 during Closing Principal Balance as of Dec-3-0 Opening OEB-Approved Interest Interest Jan- to Disposition Amounts as of Dec-3-0 during 200 Jan--0 Interest Adjustments during 200 Closing Interest Amounts as of Dec-3-0 LRAM Variance Account $0 $0 Total including Account 568 -$9,35,324 $0 $0 -$9,35,324 $0 -$2,362,644 $0 $0 -$2,362,644 Renewable Generation Connection Capital Deferral Account 9 53 $0 $0 Renewable Generation Connection OM&A Deferral Account $0 $0 Renewable Generation Connection Funding Adder Deferral Account 533 $0 $0 Smart Grid Capital Deferral Account 534 $0 $0 Smart Grid OM&A Deferral Account 535 $0 $0 Smart Grid Funding Adder Deferral Account 536 $0 $0 Smart Meter Capital and Recovery Offset Variance - Sub-Account - Capital $0 $0 Smart Meter Capital and Recovery Offset Variance - Sub-Account - Recoveries $0 $0 Smart Meter Capital and Recovery Offset Variance - Sub-Account - Stranded Meter Costs $0 $0 Smart Meter OM&A Variance $0 $0 Meter Cost Deferral Account (MIST Meters) 557 IFRS-CGAAP Transition PP&E Amounts Balance + Return Component Accounting Changes Under CGAAP Balance + Return Component 6 576

183 Ontario Energy Board 20 Account Descriptions Account Number Opening Principal Amounts as of Jan- - Transactions Debit / (Credit) during 20 OEB-Approved Principal Disposition during Adjustments 2 during Closing Principal Balance as of Dec-3- Opening OEB-Approved Interest Interest Jan- to Disposition Amounts as of Dec-3-0 during 20 Jan-- Interest Adjustments 2 during 20 Closing Interest Amounts as of Dec-3- Group Accounts LV Variance Account 550 Smart Metering Entity Charge Variance Account 55 RSVA - Wholesale Market Service Charge Variance WMS Sub-account CBR Class A Variance WMS Sub-account CBR Class B RSVA - Retail Transmission Network Charge 584 RSVA - Retail Transmission Connection Charge 586 RSVA - Power (excluding Global Adjustment) 588 RSVA - Global Adjustment 589 Disposition and Recovery/Refund of Regulatory Balances (2009) Disposition and Recovery/Refund of Regulatory Balances (200) Disposition and Recovery/Refund of Regulatory Balances (20) Disposition and Recovery/Refund of Regulatory Balances (202) Disposition and Recovery/Refund of Regulatory Balances (203) Disposition and Recovery/Refund of Regulatory Balances (204) Disposition and Recovery/Refund of Regulatory Balances (205) Not to be disposed of unless rate rider has expired and balance has been audited Group Sub-Total (including Account Global Adjustment) Group Sub-Total (excluding Account Global Adjustment) RSVA - Global Adjustment 589 $63,80 $5,768 $63,80 $5,768 $,6 $2,970 $2,506 -$53 $,57 -$7,48,035 -$5,58,758 -$7,48,035 -$5,58,758 -$46,837 -$38,885 -$25,932 $,546 -$58,244 $2,67,940 $63,983 $2,67,94 $63,983 $24,392 $5,266 $48,837 -$703 $26,8 $67,403 -$390,343 $67,402 $220,000 -$70,343 $2,855 $4,540 $6,946 $25 $700 -$5,63,735 -$,03,402 -$5,63,736 -$0 -$,03,402 -$5,930 -$8,690 -$76,955 $,090 -$9,575 $3,077,268 $,058,063 $3,077,270 $2 $,058,063 $46,608 $37,62 $0,549 -$4,073 $69,598 -$2,678,975 $9,765,080 -$2,93,896 -$2,374,893 -$7,89 -$2,492,082 $0 -$939,599 -$2,867,04 $,927,442 $0 $,687 $33,243 -$2,556 $0 $8,695,98 -$8,695,98 $0 $54,327 -$54,327 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 -$9,35,324 $3,690,792 -$807,470 $220,00 -$4,597,06 -$2,362,644 -$29,689 $63,52 -$,94 -$2,647,795 -$22,392,592 $2,632,729 -$3,884,740 $29,999 -$5,655,24 -$2,409,25 -$257,30 $52,972 $2,32 -$2,77,393 $3,077,268 $,058,063 $3,077,270 $2 $,058,063 $46,608 $37,62 $0,549 -$4,073 $69,598 Group 2 Accounts Other Regulatory Assets - Sub-Account - Deferred IFRS Transition Costs 508 Other Regulatory Assets - Sub-Account - Incremental Capital Charges 508 Other Regulatory Assets - Sub-Account - Financial Assistance Payment and Recovery Variance - Ontario Clean Energy Benefit Act Other Regulatory Assets - Sub-Account - Other Retail Cost Variance Account - Retail 58 Misc. Deferred Debits 525 Retail Cost Variance Account - STR 548 Board-Approved CDM Variance Account 567 Extra-Ordinary Event Costs 572 Deferred Rate Impact Amounts 574 RSVA - One-time 582 Other Deferred Credits 2425 Group 2 Sub-Total $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 PILs and Tax Variance for 2006 and Subsequent Years (excludes sub-account and contra account below) PILs and Tax Variance for 2006 and Subsequent Years - Sub-Account HST/OVAT Input Tax Credits (ITCs) Total of Group and Group 2 Accounts (including 592) $0 $0 $0 $0 $0 $0 $0 $0 -$9,35,324 $3,690,792 -$807,470 $220,00 -$4,597,06 -$2,362,644 -$29,689 $63,52 -$,94 -$2,647,795

184 20 Account Descriptions Account Number Opening Principal Amounts as of Jan- - Transactions Debit / (Credit) during 20 OEB-Approved Principal Disposition during Adjustments 2 during Closing Principal Balance as of Dec-3- Opening OEB-Approved Interest Interest Jan- to Disposition Amounts as of Dec-3-0 during 20 Jan-- Interest Adjustments 2 during 20 Closing Interest Amounts as of Dec-3- Group Accounts LRAM Variance Account $0 $0 $0 $0 Total including Account 568 Renewable Generation Connection Capital Deferral Account 9 53 Renewable Generation Connection OM&A Deferral Account Renewable Generation Connection Funding Adder Deferral Account 533 Smart Grid Capital Deferral Account 534 Smart Grid OM&A Deferral Account 535 Smart Grid Funding Adder Deferral Account 536 Smart Meter Capital and Recovery Offset Variance - Sub-Account - Capital Smart Meter Capital and Recovery Offset Variance - Sub-Account - Recoveries Smart Meter Capital and Recovery Offset Variance - Sub-Account - Stranded Meter Costs Smart Meter OM&A Variance Meter Cost Deferral Account (MIST Meters) 557 -$9,35,324 $3,690,792 -$807,470 $220,00 -$4,597,06 -$2,362,644 -$29,689 $63,52 -$,94 -$2,647,795 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 IFRS-CGAAP Transition PP&E Amounts Balance + Return Component Accounting Changes Under CGAAP Balance + Return Component $0

185 Ontario Energy Board 202 Account Descriptions Account Number Opening Principal Amounts as of Jan- -2 Transactions Debit / (Credit) during 202 OEB-Approved Principal Disposition during Adjustments 2 during Closing Principal Balance as of Dec-3-2 Opening OEB-Approved Interest Interest Jan- to Disposition Amounts as of Dec-3-2 during 202 Jan--2 Interest Adjustments 2 during 202 Closing Interest Amounts as of Dec-3-2 Group Accounts LV Variance Account 550 Smart Metering Entity Charge Variance Account 55 RSVA - Wholesale Market Service Charge Variance WMS Sub-account CBR Class A Variance WMS Sub-account CBR Class B RSVA - Retail Transmission Network Charge 584 RSVA - Retail Transmission Connection Charge 586 RSVA - Power (excluding Global Adjustment) 588 RSVA - Global Adjustment 589 Disposition and Recovery/Refund of Regulatory Balances (2009) Disposition and Recovery/Refund of Regulatory Balances (200) Disposition and Recovery/Refund of Regulatory Balances (20) Disposition and Recovery/Refund of Regulatory Balances (202) Disposition and Recovery/Refund of Regulatory Balances (203) Disposition and Recovery/Refund of Regulatory Balances (204) Disposition and Recovery/Refund of Regulatory Balances (205) Not to be disposed of unless rate rider has expired and balance has been audited Group Sub-Total (including Account Global Adjustment) Group Sub-Total (excluding Account Global Adjustment) RSVA - Global Adjustment 589 $5,768 $6,683 $32,45 $,57 $,80 $3,372 -$5,58,758 -$6,544,300 -$2,063,058 -$58,244 -$25,746 -$83,990 $63,983 $77,338 $809,320 $26,8 $2,236 $38,354 -$70,343 -$76,745 -$247,088 $700 -$2,60 -$,90 -$,03,402 -$54,508 -$,572,90 -$9,575 -$3,472 -$23,046 $,058,063 -$3,235,246 -$2,77,83 $69,598 $495 $70,093 -$2,93,896 $2,840,650 -$73,246 -$2,492,082 -$9,603 -$2,50,684 $,927,442 -$2,230,637 -$303,95 -$2,556 $3,368 -$8,87 -$8,695,98 $9,300,673 $604,756 -$54,327 -$65,930 -$220,257 $0 $,545,36 $0 $,287,035 -$2,039,038 -$493,722 -$,284,828 $2,207 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 -$4,597,06 -$293,092 -$2,039,038 -$493,722 -$3,344,837 -$2,647,795 -$79,452 -$,284,828 $2,207 -$,540,23 -$5,655,24 $2,942,54 -$2,039,038 -$493,722 -$,67,654 -$2,77,393 -$79,947 -$,284,828 $2,207 -$,60,306 $,058,063 -$3,235,246 $0 $0 -$2,77,83 $69,598 $495 $0 $0 $70,093 Group 2 Accounts Other Regulatory Assets - Sub-Account - Deferred IFRS Transition Costs 508 Other Regulatory Assets - Sub-Account - Incremental Capital Charges 508 Other Regulatory Assets - Sub-Account - Financial Assistance Payment and Recovery Variance - Ontario Clean Energy Benefit Act Other Regulatory Assets - Sub-Account - Other Retail Cost Variance Account - Retail 58 Misc. Deferred Debits 525 Retail Cost Variance Account - STR 548 Board-Approved CDM Variance Account 567 Extra-Ordinary Event Costs 572 Deferred Rate Impact Amounts 574 RSVA - One-time 582 Other Deferred Credits 2425 Group 2 Sub-Total $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 PILs and Tax Variance for 2006 and Subsequent Years (excludes sub-account and contra account below) PILs and Tax Variance for 2006 and Subsequent Years - Sub-Account HST/OVAT Input Tax Credits (ITCs) Total of Group and Group 2 Accounts (including 592) $0 $0 $0 $0 $0 $0 $0 $0 -$4,597,06 -$293,092 -$2,039,038 -$493,722 -$3,344,837 -$2,647,795 -$79,452 -$,284,828 $2,207 -$,540,23

186 202 Account Descriptions Account Number Opening Principal Amounts as of Jan- -2 Transactions Debit / (Credit) during 202 OEB-Approved Principal Disposition during Adjustments 2 during Closing Principal Balance as of Dec-3-2 Opening OEB-Approved Interest Interest Jan- to Disposition Amounts as of Dec-3-2 during 202 Jan--2 Interest Adjustments 2 during 202 Closing Interest Amounts as of Dec-3-2 Group Accounts LRAM Variance Account $0 $0 $0 $0 Total including Account 568 Renewable Generation Connection Capital Deferral Account 9 53 Renewable Generation Connection OM&A Deferral Account Renewable Generation Connection Funding Adder Deferral Account 533 Smart Grid Capital Deferral Account 534 Smart Grid OM&A Deferral Account 535 Smart Grid Funding Adder Deferral Account 536 Smart Meter Capital and Recovery Offset Variance - Sub-Account - Capital Smart Meter Capital and Recovery Offset Variance - Sub-Account - Recoveries Smart Meter Capital and Recovery Offset Variance - Sub-Account - Stranded Meter Costs Smart Meter OM&A Variance Meter Cost Deferral Account (MIST Meters) 557 -$4,597,06 -$293,092 -$2,039,038 -$493,722 -$3,344,837 -$2,647,795 -$79,452 -$,284,828 $2,207 -$,540,23 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 IFRS-CGAAP Transition PP&E Amounts Balance + Return Component Accounting Changes Under CGAAP Balance + Return Component $0 $0 $0

187 Ontario Energy Board 203 Account Descriptions Account Number Opening Principal Amounts as of Jan- -3 Transactions Debit / (Credit) during 203 OEB-Approved Principal Disposition during Adjustments 2 during Closing Principal Balance as of Dec-3-3 Opening OEB-Approved Interest Interest Jan- to Disposition Amounts as of Dec-3-3 during 203 Jan--3 Interest Adjustments 2 during 203 Closing Interest Amounts as of Dec-3-3 Group Accounts LV Variance Account 550 Smart Metering Entity Charge Variance Account 55 RSVA - Wholesale Market Service Charge Variance WMS Sub-account CBR Class A Variance WMS Sub-account CBR Class B RSVA - Retail Transmission Network Charge 584 RSVA - Retail Transmission Connection Charge 586 RSVA - Power (excluding Global Adjustment) 588 RSVA - Global Adjustment 589 Disposition and Recovery/Refund of Regulatory Balances (2009) Disposition and Recovery/Refund of Regulatory Balances (200) Disposition and Recovery/Refund of Regulatory Balances (20) Disposition and Recovery/Refund of Regulatory Balances (202) Disposition and Recovery/Refund of Regulatory Balances (203) Disposition and Recovery/Refund of Regulatory Balances (204) Disposition and Recovery/Refund of Regulatory Balances (205) Not to be disposed of unless rate rider has expired and balance has been audited Group Sub-Total (including Account Global Adjustment) Group Sub-Total (excluding Account Global Adjustment) RSVA - Global Adjustment 589 $32,45 $288,057 $7,339 $303,69 $3,372 $2,248 $,702 $3,98 $0 -$7,9 -$7,9 $0 -$7 -$7 -$2,063,058 -$3,46,930 -$5,577,002 $6,968 -$9,886,08 -$83,990 -$34,977 -$8,26 -$237,84 $809,320 $3,378,69 $658,0 $3,529,388 $38,354 $24,798 $9,290 $53,862 -$247,088 $,34,694 -$69,643 $,237,249 -$,90 $5,832 -$2,504 $6,435 -$,572,90 $924,467 -$,050,976 -$4,668,527 -$4,265,994 -$23,046 $,468 -$5,62 -$60,232 -$56,649 -$2,77,83 -$,669,046 $,27,66 $4,668,527 -$305,363 $70,093 -$6,959 $5,553 $60,232 $97,83 -$73,246 -$73,246 -$2,50,684 -$,077 -$2,502,76 -$303,95 -$303,95 -$8,87 -$4,457 -$2,644 $604,756 $604,756 -$220,257 $8,890 -$2,367 $,545,36 -$2,940,696 -$,395,380 $,287,035 $,789 $,306 $,290,29 $0 $5,370,489 $4,894,59 $475,969 $0 -$30,80 $72,247 -$02,427 $0 $0 $0 $0 $0 $0 $0 $0 -$3,344,837 $3,23,293 $0 $6,968 -$0,096,576 -$,540,23 -$32,696 $0 $,306 -$,67,603 -$,67,654 $4,900,339 -$,27,66 -$4,65,559 -$9,79,23 -$,60,306 -$5,738 -$5,553 -$58,926 -$,769,47 -$2,77,83 -$,669,046 $,27,66 $4,668,527 -$305,363 $70,093 -$6,959 $5,553 $60,232 $97,83 Group 2 Accounts Other Regulatory Assets - Sub-Account - Deferred IFRS Transition Costs 508 Other Regulatory Assets - Sub-Account - Incremental Capital Charges 508 Other Regulatory Assets - Sub-Account - Financial Assistance Payment and Recovery Variance - Ontario Clean Energy Benefit Act Other Regulatory Assets - Sub-Account - Other Retail Cost Variance Account - Retail 58 Misc. Deferred Debits 525 Retail Cost Variance Account - STR 548 Board-Approved CDM Variance Account 567 Extra-Ordinary Event Costs 572 Deferred Rate Impact Amounts 574 RSVA - One-time 582 Other Deferred Credits 2425 Group 2 Sub-Total $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 PILs and Tax Variance for 2006 and Subsequent Years (excludes sub-account and contra account below) PILs and Tax Variance for 2006 and Subsequent Years - Sub-Account HST/OVAT Input Tax Credits (ITCs) Total of Group and Group 2 Accounts (including 592) $0 $0 $0 $0 $0 $0 $0 $0 -$3,344,837 $3,23,293 $0 $6,968 -$0,096,576 -$,540,23 -$32,696 $0 $,306 -$,67,603

188 203 Account Descriptions Account Number Opening Principal Amounts as of Jan- -3 Transactions Debit / (Credit) during 203 OEB-Approved Principal Disposition during Adjustments 2 during Closing Principal Balance as of Dec-3-3 Opening OEB-Approved Interest Interest Jan- to Disposition Amounts as of Dec-3-3 during 203 Jan--3 Interest Adjustments 2 during 203 Closing Interest Amounts as of Dec-3-3 Group Accounts LRAM Variance Account $0 $0 $0 $0 Total including Account 568 Renewable Generation Connection Capital Deferral Account 9 53 Renewable Generation Connection OM&A Deferral Account Renewable Generation Connection Funding Adder Deferral Account 533 Smart Grid Capital Deferral Account 534 Smart Grid OM&A Deferral Account 535 Smart Grid Funding Adder Deferral Account 536 Smart Meter Capital and Recovery Offset Variance - Sub-Account - Capital Smart Meter Capital and Recovery Offset Variance - Sub-Account - Recoveries Smart Meter Capital and Recovery Offset Variance - Sub-Account - Stranded Meter Costs Smart Meter OM&A Variance Meter Cost Deferral Account (MIST Meters) 557 -$3,344,837 $3,23,293 $0 $6,968 -$0,096,576 -$,540,23 -$32,696 $0 $,306 -$,67,603 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 IFRS-CGAAP Transition PP&E Amounts Balance + Return Component Accounting Changes Under CGAAP Balance + Return Component $0 $0 $0 $0

189 Ontario Energy Board 204 Account Descriptions Account Number Opening Principal Amounts as of Jan- -4 Transactions Debit / (Credit) during 204 OEB-Approved Principal Disposition during Adjustments 2 during Closing Principal Balance as of Dec-3-4 Opening OEB-Approved Interest Interest Jan- to Disposition Amounts as of Dec-3-4 during 204 Jan--4 Interest Adjustments 2 during 204 Closing Interest Amounts as of Dec-3-4 Group Accounts LV Variance Account 550 Smart Metering Entity Charge Variance Account 55 RSVA - Wholesale Market Service Charge Variance WMS Sub-account CBR Class A Variance WMS Sub-account CBR Class B RSVA - Retail Transmission Network Charge 584 RSVA - Retail Transmission Connection Charge 586 RSVA - Power (excluding Global Adjustment) 588 RSVA - Global Adjustment 589 Disposition and Recovery/Refund of Regulatory Balances (2009) Disposition and Recovery/Refund of Regulatory Balances (200) Disposition and Recovery/Refund of Regulatory Balances (20) Disposition and Recovery/Refund of Regulatory Balances (202) Disposition and Recovery/Refund of Regulatory Balances (203) Disposition and Recovery/Refund of Regulatory Balances (204) Disposition and Recovery/Refund of Regulatory Balances (205) Not to be disposed of unless rate rider has expired and balance has been audited Group Sub-Total (including Account Global Adjustment) Group Sub-Total (excluding Account Global Adjustment) RSVA - Global Adjustment 589 $303,69 $287,70 $5, $575,767 $3,98 $6,270 $,892 $8,295 -$7,9 -$8,78 $0 -$36,692 -$7 -$365 $0 -$436 -$9,886,08 -$750,596 -$6,486,056 -$428,586 -$4,579,45 -$237,84 -$28,009 -$98,209 -$67,64 $3,529,388 $3,49,680 $5,29 $6,869,850 $53,862 $73,256 $3,287 $95,832 $,237,249 $2,60,536 -$77,445 $3,96,230 $6,435 $35,834 -$536 $42,805 -$4,265,994 -$552,73 -$52,933 -$2,337,699 -$6,633,933 -$56,649 -$82,95 -$5,557 -$24,043 -$305,363 $,473,744 -$3,304,844 $5,344,769 $9,87,994 $97,83 $92,779 $5,959 $84,633 -$73,246 -$73,246 -$2,502,76 -$,077 -$2,503,838 -$303,95 -$303,95 -$2,644 -$4,457 -$7,0 $604,756 $604,756 -$2,367 $8,890 -$202,477 -$,395,380 -$,395,380 $,290,29 -$20,52 $,269,67 $475,969 $475,969 -$02,427 $6,997 -$95,43 $0 $0,296,24 $0,223,947 $72,77 $0 $74,45 $75,64 -$73 $0 $0 $0 $0 -$0,096,576 $6,829,243 $0 $2,578,484 $9,3,5 -$,67,603 $26,05 $0 $0 -$,40,498 -$9,79,23 $5,355,499 $3,304,844 -$2,766,285 -$506,843 -$,769,47 $68,326 -$5,959 $0 -$,595,3 -$305,363 $,473,744 -$3,304,844 $5,344,769 $9,87,994 $97,83 $92,779 $5,959 $0 $84,633 Group 2 Accounts Other Regulatory Assets - Sub-Account - Deferred IFRS Transition Costs 508 Other Regulatory Assets - Sub-Account - Incremental Capital Charges 508 Other Regulatory Assets - Sub-Account - Financial Assistance Payment and Recovery Variance - Ontario Clean Energy Benefit Act Other Regulatory Assets - Sub-Account - Other Retail Cost Variance Account - Retail 58 Misc. Deferred Debits 525 Retail Cost Variance Account - STR 548 Board-Approved CDM Variance Account 567 Extra-Ordinary Event Costs 572 Deferred Rate Impact Amounts 574 RSVA - One-time 582 Other Deferred Credits 2425 Group 2 Sub-Total $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 PILs and Tax Variance for 2006 and Subsequent Years (excludes sub-account and contra account below) PILs and Tax Variance for 2006 and Subsequent Years - Sub-Account HST/OVAT Input Tax Credits (ITCs) Total of Group and Group 2 Accounts (including 592) $0 $0 $0 $0 $0 $0 $0 $0 -$0,096,576 $6,829,243 $0 $2,578,484 $9,3,5 -$,67,603 $26,05 $0 $0 -$,40,498

190 204 Account Descriptions Account Number Opening Principal Amounts as of Jan- -4 Transactions Debit / (Credit) during 204 OEB-Approved Principal Disposition during Adjustments 2 during Closing Principal Balance as of Dec-3-4 Opening OEB-Approved Interest Interest Jan- to Disposition Amounts as of Dec-3-4 during 204 Jan--4 Interest Adjustments 2 during 204 Closing Interest Amounts as of Dec-3-4 Group Accounts LRAM Variance Account $0 $0 $0 $0 Total including Account 568 Renewable Generation Connection Capital Deferral Account 9 53 Renewable Generation Connection OM&A Deferral Account Renewable Generation Connection Funding Adder Deferral Account 533 Smart Grid Capital Deferral Account 534 Smart Grid OM&A Deferral Account 535 Smart Grid Funding Adder Deferral Account 536 Smart Meter Capital and Recovery Offset Variance - Sub-Account - Capital Smart Meter Capital and Recovery Offset Variance - Sub-Account - Recoveries Smart Meter Capital and Recovery Offset Variance - Sub-Account - Stranded Meter Costs Smart Meter OM&A Variance Meter Cost Deferral Account (MIST Meters) 557 -$0,096,576 $6,829,243 $0 $2,578,484 $9,3,5 -$,67,603 $26,05 $0 $0 -$,40,498 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 IFRS-CGAAP Transition PP&E Amounts Balance + Return Component Accounting Changes Under CGAAP Balance + Return Component $0 $0 $0 $0

191 Ontario Energy Board Account Descriptions Group Accounts Account Number LV Variance Account 550 Smart Metering Entity Charge Variance Account 55 RSVA - Wholesale Market Service Charge Variance WMS Sub-account CBR Class A Variance WMS Sub-account CBR Class B RSVA - Retail Transmission Network Charge 584 RSVA - Retail Transmission Connection Charge 586 RSVA - Power (excluding Global Adjustment) 588 RSVA - Global Adjustment 589 Disposition and Recovery/Refund of Regulatory Balances (2009) Disposition and Recovery/Refund of Regulatory Balances (200) Disposition and Recovery/Refund of Regulatory Balances (20) Disposition and Recovery/Refund of Regulatory Balances (202) Disposition and Recovery/Refund of Regulatory Balances (203) Disposition and Recovery/Refund of Regulatory Balances (204) Disposition and Recovery/Refund of Regulatory Balances (205) Not to be disposed of unless rate rider has expired and balance has been audited Group Sub-Total (including Account Global Adjustment) Group Sub-Total (excluding Account Global Adjustment) RSVA - Global Adjustment Principal Interest Opening Closing Opening Closing Principal Principal Closing Interest OEB-Approved OEB-Approved Interest Closing Interest Disposition Disposition Balances as of Dec 3-5 Principal Transactions Debit / Principal Interest Interest Jan- to Balances as of Dec 3-5 Disposition during Adjustments 2 during Disposition Adjustments 2 Amounts as of during during Adjusted for Amounts as of Jan- (Credit) during 205 Balance as of Amounts as of Dec-3-5 Adjusted for during 205 during 205 Dec-3-5 instructed by instructed by Dispositions during Dispositions during Dec-3-5 Jan OEB OEB $575,767 $47,028 $288,058 $758,738 $8,295 $5,409 $6,482 $7,222 $287,70 $5,244 $47,028 $,978 -$36,692 -$22,68 -$7,9 -$4,462 -$436 -$33 -$334 -$432 -$8,78 -$326 -$22,68 -$07 -$4,579,45 -$0,407,994 -$3,399,963 -$,587,76 -$67,64 -$49,705 -$84,956 $67,6 -$,79,82 $03,254 -$0,407,994 -$35,643 $0 $24,744 $24,744 $0 $375 $375 $24,744 $375 $0 $,08,630 $,08,630 $0 $3,563 $3,563 $,08,630 $3,563 $6,869,850 -$,237,207 $3,378,69 $2,254,473 $95,832 $40,2 $74,457 $6,487 $3,49,680 $63,03 -$,237,207 -$,526 $3,96,230 -$230,302 $,34,694 $2,37,234 $42,805 $32,229 $25,59 $49,875 $2,60,536 $48,670 -$230,302 $,206 -$6,633,933 -$859,776 -$3,744,06 -$3,749,649 -$24,043 -$29,325 -$03,603 -$49,766 -$2,889,873 -$54,903 -$859,776 $5,36 $9,87,994 $2,62,62 $2,999,48 $9,43,34 $84,633 $97,57 $87,366 $94,785 $6,88,53 $78,578 $2,62,62 $6,207 -$73,246 -$73,246 $0 -$2,503,838 -$2,503,838 $0 $0 $0 -$303,95 -$303,95 $0 -$7,0 -$7,0 $0 $0 $0 $604,756 $604,756 $0 -$202,477 -$202,477 $0 $0 $0 -$,395,380 -$,395,380 $0 $,269,67 $,269,67 $0 $0 $0 $475,969 $475,969 -$0 -$95,43 -$95,43 -$0 -$0 -$0 $72,77 $72,77 -$73 $86 $48 $72,77 $48 -$0 $0 $0 -$256,827 -$456,725 $99,898 $0 $,587,899 $,60,63 -$7,555 $99,898 -$7,555 $4,70 $9,3,5 -$8,697,765 -$329,354 $0 $942,740 -$,40,498 $,688,604 -$34,496 $4,70 $37,32 $9,83,780 $343,678 -$8,24,040 -$26,366 -$506,843 -$,30,386 -$3,328,835 $0 -$8,488,394 -$,595,3 $,59,087 -$2,862 $4,70 $22,527 $2,365,266 $65,00 -$0,853,66 -$42,573 $9,87,994 $2,62,62 $2,999,48 $0 $9,43,34 $84,633 $97,57 $87,366 $0 $94,785 $6,88,53 $78,578 $2,62,62 $6,207 Group 2 Accounts Other Regulatory Assets - Sub-Account - Deferred IFRS Transition Costs 508 Other Regulatory Assets - Sub-Account - Incremental Capital Charges 508 Other Regulatory Assets - Sub-Account - Financial Assistance Payment and Recovery Variance - Ontario Clean Energy Benefit Act Other Regulatory Assets - Sub-Account - Other Retail Cost Variance Account - Retail 58 Misc. Deferred Debits 525 Retail Cost Variance Account - STR 548 Board-Approved CDM Variance Account 567 Extra-Ordinary Event Costs 572 Deferred Rate Impact Amounts 574 RSVA - One-time 582 Other Deferred Credits 2425 Group 2 Sub-Total $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 PILs and Tax Variance for 2006 and Subsequent Years (excludes sub-account and contra account below) PILs and Tax Variance for 2006 and Subsequent Years - Sub-Account HST/OVAT Input Tax Credits (ITCs) Total of Group and Group 2 Accounts (including 592) $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $9,3,5 -$8,697,765 -$329,354 $0 $942,740 -$,40,498 $,688,604 -$34,496 $4,70 $37,32 $9,83,780 $343,678 -$8,24,040 -$26,366

192 Account Descriptions Group Accounts Account Number LRAM Variance Account Principal Interest Opening Closing Opening Closing Principal OEB-Approved Principal OEB-Approved Interest Closing Interest Disposition Disposition Closing Interest Balances as of Dec 3-5 Principal Transactions Debit / Balances as of Dec 3-5 Disposition during Adjustments 2 Principal Interest Interest Jan- to during Disposition Adjustments 2 Amounts as of during during Adjusted for Amounts as of Jan- (Credit) during 205 Balance as of Amounts as of Dec-3-5 Adjusted for 205 instructed by instructed by Dispositions during 205 during 205 during 205 Dec-3-5 Dispositions during Dec-3-5 Jan OEB OEB $0 $0 $0 $0 $0 $0 $0 Total including Account 568 Renewable Generation Connection Capital Deferral Account 9 53 Renewable Generation Connection OM&A Deferral Account Renewable Generation Connection Funding Adder Deferral Account 533 Smart Grid Capital Deferral Account 534 Smart Grid OM&A Deferral Account 535 Smart Grid Funding Adder Deferral Account 536 Smart Meter Capital and Recovery Offset Variance - Sub-Account - Capital Smart Meter Capital and Recovery Offset Variance - Sub-Account - Recoveries Smart Meter Capital and Recovery Offset Variance - Sub-Account - Stranded Meter Costs Smart Meter OM&A Variance Meter Cost Deferral Account (MIST Meters) 557 $9,3,5 -$8,697,765 -$329,354 $0 $942,740 -$,40,498 $,688,604 -$34,496 $4,70 $37,32 $9,83,780 $343,678 -$8,24,040 -$26,366 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 IFRS-CGAAP Transition PP&E Amounts Balance + Return Component Accounting Changes Under CGAAP Balance + Return Component $0 $0 $0 $0 $0 $0

193 Ontario Energy Board If you have a Class A customer, 580 Sub-account CBR Class B should be disposed through a rate rider calculated outside the model (if significant). If you have only Class B customers, the balance applicable to Class B will be allocated and disposed with Account 580 when the check box below is left unchecked See note 0 below. Please click if you have one or more Class A customers. Projected Interest on Dec-3-5 Balances 2..7 RRR Account Descriptions Account Number Projected Interest from Jan, Projected Interest from January 206 to December 3, 206 on, 207 to April 30, 207 on Dec Dec 3-5 balance adjusted for 3-5 balance adjusted for disposition during disposition during Total Interest Total Claim As of Dec 3-5 Variance RRR vs. 205 Balance (Principal + Interest) Group Accounts LV Variance Account 550 Smart Metering Entity Charge Variance Account 55 RSVA - Wholesale Market Service Charge Variance WMS Sub-account CBR Class A Variance WMS Sub-account CBR Class B RSVA - Retail Transmission Network Charge 584 RSVA - Retail Transmission Connection Charge 586 RSVA - Power (excluding Global Adjustment) 588 RSVA - Global Adjustment 589 Disposition and Recovery/Refund of Regulatory Balances (2009) Disposition and Recovery/Refund of Regulatory Balances (200) Disposition and Recovery/Refund of Regulatory Balances (20) Disposition and Recovery/Refund of Regulatory Balances (202) Disposition and Recovery/Refund of Regulatory Balances (203) Disposition and Recovery/Refund of Regulatory Balances (204) Disposition and Recovery/Refund of Regulatory Balances (205) Not to be disposed of unless rate rider has expired and balance has been audited Group Sub-Total (including Account Global Adjustment) Group Sub-Total (excluding Account Global Adjustment) RSVA - Global Adjustment 589 $5,8 $7,59 $478,87.34 $765,960 $0 -$249 -$356 -$23, $4,895 -$0 -$4,488 -$50,3 -$0,558, $,59,565 $0 $800 $,75 $0.00 $25,8 $0 Check to Dispose of Account Check to Dispose of Account $2,95 $5,758 $,24, $,2,93 $0 -$3,609 -$5,35 -$,252,342.5 $2,35,960 $0 -$2,533 -$,328 -$23, $2,42,09 -$0 -$9,458 -$4,32 -$864, $3,799,45 -$0 $28,739 $44,945 $2,657, $9,625,99 $0 $0 $0 $0.00 -$0 Check to Dispose of Account Check to Dispose of Account $0 $0 $0.00 -$0 $0 $0 $0.00 $0 Check to Dispose of Account Check to Dispose of Account $0 $0 $0.00 -$0 Check to Dispose of Account -$0 -$0 -$0.00 $0 Check to Dispose of Account -$0 $0 $0.00 $72,324 $0 Check to Dispose of Account $2,99 -$5,356 $84, $82,343 $0 -$9,223 $0 -$7,589 -$8,484, $,260,052 $0 -$9,962 $0 -$62,535 -$,42,4.54 -$8,365,867 $0 $28,739 $0 $44,945 $2,657, $9,625,99 $0 Group 2 Accounts Other Regulatory Assets - Sub-Account - Deferred IFRS Transition Costs 508 Other Regulatory Assets - Sub-Account - Incremental Capital Charges 508 Other Regulatory Assets - Sub-Account - Financial Assistance Payment and Recovery Variance - Ontario Clean Energy Benefit Act Other Regulatory Assets - Sub-Account - Other Retail Cost Variance Account - Retail 58 Misc. Deferred Debits 525 Retail Cost Variance Account - STR 548 Board-Approved CDM Variance Account 567 Extra-Ordinary Event Costs 572 Deferred Rate Impact Amounts 574 RSVA - One-time 582 Other Deferred Credits 2425 Group 2 Sub-Total $0 $0.00 $0 $0 $0.00 $0 $0 $0.00 $0 $0 $0.00 $0 Check to Dispose of Account $0 $0.00 $0 Check to Dispose of Account $0 $0.00 $0 $0 $0.00 $0 $0 $0.00 $0 $0 $0.00 $0 $0 $0.00 $0 $0 $0.00 $0 Check to Dispose of Account $0 $0.00 $0 $0 $0 $0 $0.00 $0 $0 PILs and Tax Variance for 2006 and Subsequent Years (excludes sub-account and contra account below) PILs and Tax Variance for 2006 and Subsequent Years - Sub-Account HST/OVAT Input Tax Credits (ITCs) Total of Group and Group 2 Accounts (including 592) $0 $0.00 $0 $0 $0.00 $0 -$9,223 $0 -$7,589 -$8,484, $,260,052 $0

194 Projected Interest on Dec-3-5 Balances 2..7 RRR Account Descriptions Account Number Projected Interest from Jan, Projected Interest from January 206 to December 3, 206 on, 207 to April 30, 207 on Dec Dec 3-5 balance adjusted for 3-5 balance adjusted for disposition during disposition during Total Interest Total Claim As of Dec 3-5 Variance RRR vs. 205 Balance (Principal + Interest) Group Accounts LRAM Variance Account $0 $0.00 $0 Total including Account 568 -$9,223 $0 -$7,589 -$8,484, $,260,052 $0 Renewable Generation Connection Capital Deferral Account 9 53 Renewable Generation Connection OM&A Deferral Account Renewable Generation Connection Funding Adder Deferral Account 533 Smart Grid Capital Deferral Account 534 Smart Grid OM&A Deferral Account 535 Smart Grid Funding Adder Deferral Account 536 Smart Meter Capital and Recovery Offset Variance - Sub-Account - Capital Smart Meter Capital and Recovery Offset Variance - Sub-Account - Recoveries Smart Meter Capital and Recovery Offset Variance - Sub-Account - Stranded Meter Costs Smart Meter OM&A Variance Meter Cost Deferral Account (MIST Meters) 557 $0 $0.00 $0 $0 $0.00 $0 $0 $0.00 $0 $0 $0.00 $0 $0 $0.00 $0 $0 $0.00 $0 $0 $0.00 $0 $0 $0.00 $0 $0 $0.00 $0 $0 $0.00 $0 $0 $0.00 $0 IFRS-CGAAP Transition PP&E Amounts Balance + Return Component Accounting Changes Under CGAAP Balance + Return Component Check to Dispose of Account Check to Dispose of Account $0.00 $0 $0.00 $0

195 Ontario Energy Board Canadian Niagara Power Inc. - Eastern Ontario Power Accounts that produced a variance on the continuity schedule are listed below. Please provide a detailed explanation for each variance below. Account Descriptions Account Number Variance RRR vs. 205 Balance (Principal + Interest) Explanation Smart Metering Entity Charge Variance Account 55 $ (0.00) RSVA - Retail Transmission Network Charge 584 $ 0.05 RSVA - Retail Transmission Connection Charge 586 $ (0.00) RSVA - Power (excluding Global Adjustment) 588 $ (0.0) RSVA - Global Adjustment 589 $ 0.0 Disposition and Recovery/Refund of Regulatory Balances (202)8 595 $ (0.00) Disposition and Recovery/Refund of Regulatory Balances (203)8 595 $ 0.00 Disposition and Recovery/Refund of Regulatory Balances (204)8 595 $ 0.00

196 TRUE Ontario Energy Board If a Class B customer switched into Class A during the 205 rate year, click this check box: Identify the total consumption for former Class B customers prior to becoming Class A customers (i.e. Jan. to June 30, 205) in column Q. In the green shaded cells, enter the data related to the proposed load forecast. Do not enter data for the MicroFit class. Rate Class (Enter Rate Classes in cells below as they appear on your current tariff of rates and charges) Units # of Customers Total Metered kwh A B C Total Metered kw Metered kwh for Non-RPP Customers Estimated Metered kw for Non-RPP Customers RESIDENTIAL kwh 22,272,602,300,04 06,82,805 -,602,300,04 - GENERAL SERVICE LESS THAN 50 KW kwh 8,66 595,06,735 06,249, ,06,735 - GENERAL SERVICE 50 TO 4,999 KW kw 2,04,820,572,940 4,982,540,627,460,864 4,454,03,262,40 20,022,809,30,800 4,962,58 9,00, ,058,89.47 LARGE USE () kw 6 246,409,680 53, ,409,680 53,544 34,839,263 20,430 2,570,47 393,4 86,405, LARGE USE (2) kw 6,5,99,259,952,976,5,99,259,952, ,8,837,44,39 380,872, , ,082, UNMETERED SCATTERED LOAD kwh,868,533,33-394,534 -,533,33 - SENTINEL LIGHTING kw ,55,234 4, ,55,234 STREET LIGHTING kw 4 35,68,78 98,824 34,94,40 98,85 35,68,78 98, Total 244,060 5,427,55,2 7,549,8 3,237,634,430 7,08,748 78,220,240,284,77 4,646,294,970 6,264, ,489,993 Distribution Revenue Metered kwh for Wholesale Market Participants (WMP) Metered kw for Wholesale Market Participants (WMP) Total Metered kwh less WMP consumption (if applicable) D=A-C Total Metered kw less WMP consumption (if applicable) Metered kwh for any Class A Customers in 205 (partial or full year) (if applicable)* E Metered kwh Consumption for New Class A customer(s) in the period prior to becoming Class A (i.e. Jan. - June 30, 205) *For new Class A customers (who became Class A in 205), add their consumption only related to July to December period. Residual Account balance to be allocated to rate classes in proportion to the recovery share as established when rate riders were implemented. 2 The proportion of customers for the Residential and GS<50 Classes will be used to allocate Account 55.

197 Ontario Energy Board Amounts from Sheet 2 Allocator RESIDENTIAL GENERAL SERVICE LESS THAN 50 KW GENERAL SERVICE 50 TO 4,999 KW LARGE USE () LARGE USE (2) UNMETERED SCATTERED LOAD LV Variance Account ,87 kwh 4,69 52,43 60,400 2,70 98,324,06 38 Smart Metering Entity Charge Variance Account 55 (23,038) # of Customers (2,246) (,792) RSVA - Wholesale Market Service Charge 580 (0,558,25) kwh (3,64,027) (,352,306) (4,,433) (480,767) (865,485) (26,208) (983) RSVA - Retail Transmission Network Charge 584 (,252,343) kwh (369,74) (37,35) (420,078) (56,856) (257,503) (2,66) (00) RSVA - Retail Transmission Connection Charge 586 (23,630) kwh (68,38) (25,397) (77,696) (0,56) (47,627) (492) (8) RSVA - Power (excluding Global Adjustment) 588 (864,097) kwh (297,989) (0,675) (336,488) (39,347) (70,833) (2,45) (80) RSVA - Global Adjustment 589 2,564,67 Non-RPP kwh 56,57 56,65 2,55,238 37,093 7, Disposition and Recovery/Refund of Regulatory Balances (2009) % Disposition and Recovery/Refund of Regulatory Balances (200) % Disposition and Recovery/Refund of Regulatory Balances (20) kwh Disposition and Recovery/Refund of Regulatory Balances (202) % Disposition and Recovery/Refund of Regulatory Balances (203) 595 (0) kwh (0) (0) (0) (0) (0) (0) (0) Disposition and Recovery/Refund of Regulatory Balances (204) % Disposition and Recovery/Refund of Regulatory Balances (205) ,542 kwh 54,480 20,234 6,902 8,378 37, Total of Group Accounts (excluding 589) (2,266,503) (4,202,707) (,554,89) (4,723,393) (557,399) (,05,80) (30,098) (,29) Other Regulatory Assets - Sub-Account - Deferred IFRS Transition Costs kwh Other Regulatory Assets - Sub-Account - Incremental Capital Charges kwh Other Regulatory Assets - Sub-Account - Financial Assistance Payment and Recovery Variance - Ontario Clean Energy Benefit Act kwh Other Regulatory Assets - Sub-Account - Other kwh Retail Cost Variance Account - Retail 58 0 kwh Misc. Deferred Debits kwh Retail Cost Variance Account - STR kwh Board-Approved CDM Variance Account kwh Extra-Ordinary Event Costs kwh Deferred Rate Impact Amounts kwh RSVA - One-time kwh Other Deferred Credits kwh Total of Group 2 Accounts PILs and Tax Variance for 2006 and Subsequent Years (excludes sub-account and contra account) kwh PILs and Tax Variance for 2006 and Subsequent Years - Sub-Account HST/OVAT Input Tax Credits (ITCs) kwh Total of Account LRAM Variance Account (Enter dollar amount for each class) (Account total amount allocated to classes) Variance 0 0 Renewable Generation Connection OM&A Deferral Account kwh SENTINEL LIGHTING Total of Group Accounts (550, 55, 584, 586 and 595) Total of Account 580 and 588 (not allocated to WMPs) Balance of Account 589 Allocated to Non-WMPs Group 2 Accounts (including 592, 532) (844,280) (263,69) (9,838) (275,473) (37,284) (68,862) (,745) (65) (,422,222) (3,939,05) (,462,98) (4,447,920) (520,4) (936,38) (28,353) (,063) 2,564,67 56,57 56,65 2,55,238 37,093 7, IFRS-CGAAP Transition PP&E Amounts Balance + Return Component kwh Accounting Changes Under CGAAP Balance + Return Component kwh Total Balance Allocated to each class for Accounts 575 and Account 589 reference calculation by customer and consumption Account 589 / Number of Customers $ /total kwh $0.0005

198 Ontario Energy Board Amounts from Sheet 2 Allocator LV Variance Account ,87 kwh Smart Metering Entity Charge Variance Account 55 (23,038) # of Customers RSVA - Wholesale Market Service Charge 580 (0,558,25) kwh RSVA - Retail Transmission Network Charge 584 (,252,343) kwh RSVA - Retail Transmission Connection Charge 586 (23,630) kwh RSVA - Power (excluding Global Adjustment) 588 (864,097) kwh RSVA - Global Adjustment 589 2,564,67 Non-RPP kwh Disposition and Recovery/Refund of Regulatory Balances (2009) % Disposition and Recovery/Refund of Regulatory Balances (200) % Disposition and Recovery/Refund of Regulatory Balances (20) kwh Disposition and Recovery/Refund of Regulatory Balances (202) % Disposition and Recovery/Refund of Regulatory Balances (203) 595 (0) kwh Disposition and Recovery/Refund of Regulatory Balances (204) % Disposition and Recovery/Refund of Regulatory Balances (205) ,542 kwh Total of Group Accounts (excluding 589) (2,266,503) Other Regulatory Assets - Sub-Account - Deferred IFRS Transition Costs kwh Other Regulatory Assets - Sub-Account - Incremental Capital Charges kwh Other Regulatory Assets - Sub-Account - Financial Assistance Payment and Recovery Variance - Ontario Clean Energy Benefit Act kwh Other Regulatory Assets - Sub-Account - Other kwh Retail Cost Variance Account - Retail 58 0 kwh Misc. Deferred Debits kwh Retail Cost Variance Account - STR kwh Board-Approved CDM Variance Account kwh Extra-Ordinary Event Costs kwh Deferred Rate Impact Amounts kwh RSVA - One-time kwh Other Deferred Credits kwh Total of Group 2 Accounts 0 PILs and Tax Variance for 2006 and Subsequent Years (excludes sub-account and contra account) kwh PILs and Tax Variance for 2006 and Subsequent Years - Sub-Account HST/OVAT Input Tax Credits (ITCs) kwh Total of Account LRAM Variance Account (Enter dollar amount for each class) (Account total amount allocated to classes) Variance 0 0 Renewable Generation Connection OM&A Deferral Account kwh STREET LIGHTING 3, (79,97) (8,5) (,50) (6,54) , (0) , (9,778) Total of Group Accounts (550, 55, 584, 586 and 595) Total of Account 580 and 588 (not allocated to WMPs) Balance of Account 589 Allocated to Non-WMPs Group 2 Accounts (including 592, 532) (844,280) (,422,222) 2,564,67 0 (5,32) (86,457) , IFRS-CGAAP Transition PP&E Amounts Balance + Return Component kwh Accounting Changes Under CGAAP Balance + Return Component kwh Total Balance Allocated to each class for Accounts 575 and Account 589 reference calculation by customer and consumption Account 589 / Number of Customers $ /total kwh $0.0005

199 Ontario Energy Board Amounts from Sheet 2 Allocator LV Variance Account ,87 kwh Smart Metering Entity Charge Variance Account 55 (23,038) # of Customers RSVA - Wholesale Market Service Charge 580 (0,558,25) kwh RSVA - Retail Transmission Network Charge 584 (,252,343) kwh RSVA - Retail Transmission Connection Charge 586 (23,630) kwh RSVA - Power (excluding Global Adjustment) 588 (864,097) kwh RSVA - Global Adjustment 589 2,564,67 Non-RPP kwh Disposition and Recovery/Refund of Regulatory Balances (2009) % Disposition and Recovery/Refund of Regulatory Balances (200) % Disposition and Recovery/Refund of Regulatory Balances (20) kwh Disposition and Recovery/Refund of Regulatory Balances (202) % Disposition and Recovery/Refund of Regulatory Balances (203) 595 (0) kwh Disposition and Recovery/Refund of Regulatory Balances (204) % Disposition and Recovery/Refund of Regulatory Balances (205) ,542 kwh Total of Group Accounts (excluding 589) (2,266,503) Other Regulatory Assets - Sub-Account - Deferred IFRS Transition Costs kwh Other Regulatory Assets - Sub-Account - Incremental Capital Charges kwh Other Regulatory Assets - Sub-Account - Financial Assistance Payment and Recovery Variance - Ontario Clean Energy Benefit Act kwh Other Regulatory Assets - Sub-Account - Other kwh Retail Cost Variance Account - Retail 58 0 kwh Misc. Deferred Debits kwh Retail Cost Variance Account - STR kwh Board-Approved CDM Variance Account kwh Extra-Ordinary Event Costs kwh Deferred Rate Impact Amounts kwh RSVA - One-time kwh Other Deferred Credits kwh Total of Group 2 Accounts 0 PILs and Tax Variance for 2006 and Subsequent Years (excludes sub-account and contra account) kwh PILs and Tax Variance for 2006 and Subsequent Years - Sub-Account HST/OVAT Input Tax Credits (ITCs) kwh Total of Account LRAM Variance Account (Enter dollar amount for each class) (Account total amount allocated to classes) Variance 0 0 Renewable Generation Connection OM&A Deferral Account kwh Total of Group Accounts (550, 55, 584, 586 and 595) Total of Account 580 and 588 (not allocated to WMPs) Balance of Account 589 Allocated to Non-WMPs Group 2 Accounts (including 592, 532) (844,280) (,422,222) 2,564, IFRS-CGAAP Transition PP&E Amounts Balance + Return Component kwh Accounting Changes Under CGAAP Balance + Return Component kwh Total Balance Allocated to each class for Accounts 575 and Account 589 reference calculation by customer and consumption Account 589 / Number of Customers $ /total kwh $0.0005

200 Ontario Energy Board This tab allocates the GA balance to former Class B customers who contributed to the current GA balance but are now Class A customers. The tables below calculate specific amounts for each customer who made the change. Consistent with both decisions for 206 rates and EDDVAR, distributors are generally expected to settle the amount through 2 equal adjustments to bills. A one-time settlement is acceptable if the affected customer has expressed a clear preference for this approach. (see Filing Requirements section ). Year of Group Account Balance Last Disposed 204 (e.g. If in the 205 EDR process, you received approval to dispose the GA variance account balance as of December 3, 203, please enter 203 in cell B6.) Allocation of total Non-RPP consumption (kwh) between Class B and New Class A (Former Class B) customers Total Total Class B Consumption for Years Since Last Disposition (Non- RPP consumption LESS WMP and Class A) A,802,924,96,802,924,96 New Class A Customer(s)' Former Class B Consumption B 63,058,89 63,058, Portion of Consumption of Former Class B Customers C=B/A 3.50% Allocation of Total GA Balance $ Total GA Balance D $ 2,657,566 New Class A Customer(s)' Former Class B Portion of GA Balance E=C*D $ 92, GA Balance to be disposed to Current Class B Customers F=D-E $ 2,564,67 Allocation of GA Balances to Former Class B Customers # of Former Class B customer(s) Customer Total Metered kwh Consumption for each new Class A customer for the period prior to becoming Class A Metered kwh Consumption for each new Class A customer for the period prior to becoming Class A in Metered kwh Consumption for each new Class A customer for the period prior to becoming Class A in 204 Metered kwh Consumption for each new Class A customer for the period prior to becoming Class A in 203 Metered kwh Consumption for each new Class A customer for the period prior to becoming Class A in 202 % of kwh Customer specific GA allocation for the period prior to becoming Class A Monthly Equal Payments Customer 7,46,94 7,46,94.33% $ 0,535 $ 878 Customer 2 9,03,404 9,03, % $ 3,33 $,09 Customer 3 8,27,768 8,27, % $ 2,3 $,009 Customer 4 2,866,72 2,866, % $ 8,965 $,580 Customer 5 0,450,80 0,450, % $ 5,405 $,284 Customer 6 5,345,22 5,345, % $ 22,69 $,885 Total 63,058,89 63,058, $ 92,950

201 Ontario Energy Board Please indicate the Rate Rider Recovery Period (in years) Rate Rider Calculation for Deferral / Variance Accounts Balances (excluding Global Adj.) 550, 55, 584, 586, 595 Rate Rider for Rate Class kw / kwh / # of Allocated Balance Units Deferral/Variance (Enter Rate Classes in cells below) Customers (excluding 589) Accounts RESIDENTIAL kwh,602,300,04 -$ 263, $/kwh GENERAL SERVICE LESS THAN 50 KW kwh 595,06,735 -$ 9, $/kwh GENERAL SERVICE 50 TO 4,999 KW kw 4,982,540 -$ 275, $/kw LARGE USE () kw 53,544 -$ 37, $/kw LARGE USE (2) kw,952,976 -$ 68, $/kw UNMETERED SCATTERED LOAD kwh,533,33 -$, $/kwh SENTINEL LIGHTING kw,234 -$ $/kw STREET LIGHTING kw 98,824 -$ 5, $/kw Total -$ 844,280 Rate Rider Calculation for Deferral / Variance Accounts Balances (excluding Global Adj.) - NON-WMP 580 and 588 Rate Rider for Rate Class kw / kwh / # of Allocated Balance Units Deferral/Variance (Enter Rate Classes in cells below) Customers (excluding 589) Accounts RESIDENTIAL kwh,602,300,04 -$ 3,939, $/kwh GENERAL SERVICE LESS THAN 50 KW kwh 595,06,735 -$,462, $/kwh GENERAL SERVICE 50 TO 4,999 KW kw 4,962,58 -$ 4,447, $/kw LARGE USE () kw 393,4 -$ 520, $/kw LARGE USE (2) kw 808,657 -$ 936, $/kw UNMETERED SCATTERED LOAD kwh,533,33 -$ 28, $/kwh SENTINEL LIGHTING kw,234 -$, $/kw STREET LIGHTING kw 98,824 -$ 86, $/kw Total -$,422,222

202 Rate Rider Calculation for RSVA - Power - Global Adjustment Balance of Account 589 Allocated to Non-WMPs Rate Class (Enter Rate Classes in cells below) Units kwh Balance of RSVA - Power - Global Adjustment Rate Rider for RSVA - Power - Global Adjustment RESIDENTIAL kwh 06,82,805 $ 56, $/kwh GENERAL SERVICE LESS THAN 50 KW kwh 06,249,720 $ 56, $/kwh GENERAL SERVICE 50 TO 4,999 KW kwh,462,39,066 $ 2,55, $/kwh LARGE USE () kwh 25,64,440 $ 37, $/kwh LARGE USE (2) kwh 4,789,874 $ 7, $/kwh UNMETERED SCATTERED LOAD kwh 394,534 $ $/kwh SENTINEL LIGHTING kwh 4,428 $ $/kwh STREET LIGHTING kwh 34,94,40 $ 5, $/kwh kwh - - $/kwh kwh - - $/kwh Total $ 2,564,67

203 APPENDIX G COST ALLOCATION MODEL EB Horizon Utilities Corporation Annual Filing Update Filed: August, 206

204 Ontario Energy Board Sheet I Utility Information Sheet Version 3.4 Name of LDC: Application EB Number: Horizon Utilities Corporation EB Date of Application: 5//206 Contact Information: Name: Title: Phone Number: Address: Indy Butany-DeSouza Vice President Regulatory Services indy.butany@horizonutilities.com

205 Ontario Energy Board EB Sheet I2 Class Selection - Instructions: Step : Please input identification of thsi Run in C5 and C7 Step 2: Please input your proposed rate classes. Step 3: After all classes have been entered, Click the "Update" button in cell E4 Please input the date on which this Run of the model was prepared or submitted Please provide summary identification of this Run Utility's Class Definition Current Residential YES 2 GS <50 YES 3 GS>50-Regular YES 4 GS> 50-TOU NO 5 GS >50-Intermediate Large Use MW YES 6 Large Use >5MW Large Use 2 YES 7 Street Light YES 8 Sentinel YES 9 Unmetered Scattered Load YES 0 Embedded Distributor NO Back-up/Standby Power YES 2 Rate Class NO 3 Rate class 2 NO 4 Rate class 3 NO 5 Rate class 4 NO 6 Rate class 5 NO 7 Rate class 6 NO 8 Rate class 7 NO 9 Rate class 8 NO 20 Rate class 9 NO

206 Ontario Energy Board EB Sheet I3 Trial Balance Data Comparisons with RRWF RRWF Reference: 9. cell F23 9. cell F9 9. cell F22 9. cell F25 Return on Deemed Equity Income Taxes (Grossed up) Deemed Interest Expense Service Revenue Requirement Revenue Requirement to be Used in this model ($) $9,38,276 $5,002,6 $0,464,289 $2,605,372 From this Sheet $2,605,372 $2,605, cell G9 Rate Base ($) $520,627,759 Rate Base to be Used in this model ($) $520,627,759 $520,627,759

207 Ontario Energy Board EB Sheet I4 Break Out Worksheet - Instructions: This is an input sheet for the Break Out of Distribution Assets, Contributed Capital, Amortization, and Amortization Expenses. **Please see Instructions tab for detailed instructions** Enter Net Fixed Assets from the Revenue Requirement Work Form, Rate Base sheet, cell G5 $432,973,97 RATE BASE AND DISTRIBUTION ASSETS Asset net of Accumulated Accumulated Accumulated Accumulated Break out Contributed Depreciation - Depreciation - Account Description BREAK OUT (%) BREAK OUT ($) After BO Depreciation - Depreciation and Functions Capital Capital 205 Fixed 220 Contributed Contribution Assets Only Capital Conservation and Demand 565 $ Management 805 Land $372,474 ($372,474) Land Station $0 - >50 kv Land Station <50 kv 0 $372, , , Land Rights $0 - $ Land Rights $0 - Station >50 kv Land Rights Station <50 kv 0 $ Buildings and Fixtures ($80,5) - $80, Buildings and Fixtures $0 - > 50 kv Amortization Expense - Property, Plant, and Equipment Buildings and Fixtures < 50 KV 0 $80,5 80,5 (454,482) $ 355,669 $5,75 80 Leasehold Improvements $0 ($0) Leasehold Improvements $0 - >50 kv Leasehold Improvements <50 kv $ Transformer Station Equipment - 85 $0 $0 - - Normally Primary above 50 kv Distribution Station Equipment $4,03,783 ($4,03,783) - - Normally Primary below 50 kv Distribution Station Equipment Normally Primary below 50 kv $0 - - (Bulk) $ - $ - Distribution Station Equipment Normally Primary below 50 kv 93.9% $3,076,29 3,076,29,575,58 Primary) $ (,50,060) $ 342,420 Distribution Station Equipment Normally Primary below 50 kv 6.8% $955, , ,872 (Wholesale Meters) $ (09,692) $ 25, Storage Battery Equipment $0 $0 - Storage Battery Equipment > $0 - - kv Storage Battery Equipment < $0 - - kv 830 Poles, Towers and Fixtures $89,923,250 ($89,923,250) - Poles, Towers and Fixtures $0 - - Subtransmission Bulk Delivery Poles, Towers and Fixtures % $46,850,03 46,850,03 Primary Poles, Towers and Fixtures % $43,073,237 43,073,237 Secondary 835 Overhead Conductors and Devices $63,252,66 ($63,252,66) - Overhead Conductors and Devices $0 - Subtransmission Bulk Delivery Overhead Conductors and Devices $38,754,602 38,754, % Primary Overhead Conductors and Devices % $24,497,564 24,497,564 Secondary 840 Underground Conduit $76,653,828 ($76,653,828) Underground Conduit - Bulk Delivery $0 - ($,70,40) $937,224 $ (6,383,28) ($,572,58) $86,670 $ (5,868,557) $0 ($,44,853) $775,277 $ (4,074,574) ($894,357) $490,068 $ (2,575,620) $0 39,693,709 36,493,832-34,040,45 2,57,654 - Amortization of Limited Term Electric Plant Amortization of Intangibles and Other Electric Plant $ 870,437 $4,777 $374,53 $ 800,268 $30,348 $343,99 $ 443,302 $7,279 $309,502 $ 280,220 $74,34 $95, Underground Conduit - Primary 98.00% $75,20,75 75,20,75 ($2,742,509) $,502,773 (2,006,694) $ 7,874,322 (296,048) $ $227,329 $599,929 $ $4,639 $2, Underground Conduit - Secondary 2.00% $,533,077,533,077 ($55,970) $30,669 (40,953) $,466,823 (6,042) Underground Conductors and 845 $8,678,747 ($8,678,747) - Devices Underground Conductors and $0 - - Devices - Bulk Delivery $0 Underground Conductors and Devices - Primary Underground Conductors and Devices - Secondary 68.44% $55,900,934 55,900, % $25,777,82 25,777,82 BALANCE SHEET ITEMS ($2,040,832) $,8,285 $ (2,073,395) ($94,097) $55,679 $ (5,567,45) 42,904,992 9,784,944 $,49,236 $69,67 $446,436 $ 755,39 $78,008 $205,867 ($3,33,499) $,77,08 (28,859,230) 850 Line Transformers $85,830,453 $0 85,830,453 $ 4,600,50 55,554,743 $ $259,739 $685, Services $27,793,055 $0 27,793,055 $ (3,04,487) 24,688,568 $ 652, Meters $43,203,279 $0 43,203,279 $ (6,60,993) 26,592,286 $ 2,847,489 EXPENSE ITEMS Amortization of Electric Plant Acquisition Adjustments Total $483,549,85 ($0) $483,549,85 ($4,506,035) $7,948,663 ($89,230,37) $0 387,76,497 $2,858,2 $,202,49 $3,73,22 $0 SUB TOTAL from I3 $483,549,

208 Ontario Energy Board EB Sheet I4 Break Out Worksheet - Instructions: This is an input sheet for the Break Out of Distribution Assets, Contributed Capital, Amortization, and Amortization Expenses. **Please see Instructions tab for detailed instructions** Enter Net Fixed Assets from the Revenue Requirement Work Form, Rate Base sheet, cell G5 $432,973,97 RATE BASE AND DISTRIBUTION ASSETS BALANCE SHEET ITEMS Asset net of Accumulated Accumulated Amortization Accumulated Accumulated Break out Contributed Depreciation - Depreciation - Expense - Account Description BREAK OUT (%) BREAK OUT ($) After BO Depreciation - Depreciation and Functions Capital Capital 205 Fixed Property, Plant, 220 Contributed Contribution Assets Only and Equipment Capital Accumulated Accumulated Amortization Accumulated General Break out Contributed Depreciation - Depreciation - Expense - Depreciation - Net Asset Plant Functions Capital Capital 205 Fixed Property, Plant, 220 Contribution Assets Only and Equipment $0 905 Land $,067,629,067,629,067,629 $ $ $3,337 $ 68, Land Rights $90,487 90,487 (2,689) $ $,89,448 $ 23,04, Buildings and Fixtures $30,726,449 30,726,449 (7,622,425) $ $0 90 Leasehold Improvements $0 - - $ $46,999 $,606, Office Furniture and Equipment $3,860,396 3,860,396 (2,254,004) $ $,605,74 $ 2,540, 920 Computer Equipment - Hardware $0,543,374 0,543,374 (8,003,263) $ $2,354,594 $ 2,552, Computer Software $6,683,829 6,683,829 (4,3,750) $ $,095,60 $ 2,869, Transportation Equipment $0,839,500 0,839,500 (7,970,54) $ $47,085 $ 86, Stores Equipment $47,864 47,864 (33,304) 940 Tools, Shop and Garage Equipment $4,929,295 $ 2,392,87 4,929,295 (2,536,478) $ $459, Measurement and Testing $,47,048 Equipment $ 593,976,47,048 (823,073) $ $35,069 $ $0 $ Power Operated Equipment $35,360 35,360 (35,354) $ $48,682 $ 660, Communication Equipment $2,004,555 2,004,555 (,344,309) $ 960 Miscellaneous Equipment $ Load Management Controls - $32,338 Customer Premises 32,338 2,728 $ (309,60) $ $5, Load Management Controls - Utility $0 Premises $ - - $,70, System Supervisory Equipment $,882,87,882,87 (72,090) $ $30,06 $ 990 Other Tangible Property $0 - - $ 450, Property Under Capital Leases $900, ,000 (450,000) $ $300,000 $ 200 Electric Plant Purchased or Sold $0 - - EXPENSE ITEMS Amortization of Limited Term Electric Plant Amortization of Limited Term Electric Plant Amortization of Intangibles and Other Electric Plant Amortization of Intangibles and Other Electric Plant Amortization of Electric Plant Acquisition Adjustments Amortization of Electric Plant Acquisition Adjustments Total $85,70,943 $0 $85,70,943 $0 $0 ($46,545,504) $0 $39,65,439 $7,89,420 $0 $0 $0 SUB TOTAL from I3 $85,70,943 I3 Directly Allocated $6,046,98 Grand Total $575,307,09 ($0) $569,260,28 ($4,506,035) $7,948,663 ($35,775,82) $0 $426,926,936 $20,749,632 $,202,49 $3,73,22 $0

209 Ontario Energy Board EB Sheet I4 Break Out Worksheet - Instructions: This is an input sheet for the Break Out of Distribution Assets, Contributed Capital, Amortization, and Amortization Expenses. **Please see Instructions tab for detailed instructions** Enter Net Fixed Assets from the Revenue Requirement Work Form, Rate Base sheet, cell G5 $432,973,97 RATE BASE AND DISTRIBUTION ASSETS BALANCE SHEET ITEMS EXPENSE ITEMS Account Description Break out Functions BREAK OUT (%) BREAK OUT ($) After BO Contributed Capital Accumulated Depreciation Capital Contribution Accumulated Depreciation Fixed Assets Only Accumulated Depreciation Asset net of Accumulated Depreciation and Contributed Capital Amortization Expense - Property, Plant, and Equipment Amortization of Limited Term Electric Plant Amortization of Intangibles and Other Electric Plant Amortization of Electric Plant Acquisition Adjustments To be Prorated 995 Contributed Capital ($4,506,035) $4,506,035 Balanced 205 Accumulated Depreciation ($27,827,57) $27,827,57 Balanced 220 Accumulated Depreciation $0 $0 Balanced Total ($42,333,92) Net Fixed Assets Net Assets $432,973,97 Match Amortization Expenses 5705 Amortization Expense - Property, $20,749,632 ($20,749,632) Balanced Plant, and Equipment Amortization of Limited 570 Term Electric $,202,49 ($,202,49) Balanced Plant Amortization 575 of Intangibles and Other $3,73,22 ($3,73,22) Balanced Electric Plant Amortization of 5720 Electric Plant $0 $0 Balanced Acquisition Adjustments Total Amortization Expense $25,25,272

210 Ontario Energy Board EB Sheet I5. Miscellaneous Data Worksheet - Structure KM (kms of Roads in Service Area that have distribution line) Deemed Equity Component of Rate Base (ref: RRWF 7. cell F24) 40% Working Capital Allowance to be included in Rate Base (%) 2% Portion of pole leasing revenue from Secondary - Remainder assumed to be Primary (%) 0%

211 Ontario Energy Board EB Sheet I5.2 Weighting Factors Worksheet Large Use 5- Unmetered Backup/Standby Residential GS <50 GS>50-Regular Large Use 2 Street Light Sentinel 4.9 MW Scattered Load Power Insert Weighting Factor for Services Account Insert Weighting Factor for Billing and Collecting

212 Ontario Energy Board EB Sheet I6. Revenue Worksheet - Total kwhs from Load Forecast 4,756,6,946 Total kws from Load Forecast 8,25,023 Deficiency/sufficiency ( RRWF 8. cell F5) -,79,3 Miscellaneous Revenue (RRWF 5. cell F48) 5,755,938 Billing Data ID Total Residential GS <50 GS>50-Regular Large Use MW Large Use 2 Street Light Sentinel Unmetered Scattered Load Backup/Standby Power Forecast kwh CEN 4,756,6,946,639,722, ,034,80,850,27, ,545, ,585,46 39,65, ,564 0,95,00 - Forecast kw CDEM 8,25, ,093, ,505 2,06,850 09,890,35-309,299 Forecast kw, included in CDEM, of customers receiving line transformer allowance 2,0,227 2,0,227 Optional - Forecast kwh, included in CEN, from customers that receive a line transformation allowance on a kwh basis. In most cases this will not be applicable and will be left blank. - KWh excluding KWh from Wholesale Market Participants CEN EWMP 4,756,6,946,639,722, ,034,80,850,27, ,545, ,585,46 39,65, ,564 0,95,00 - Existing Monthly Charge $8.80 $4.2 $ $23, $4, $2.28 $5.45 $8.44 $0.00 Existing Distribution kwh Rate $0.02 $0.006 $0.03 Existing Distribution kw Rate $2.543 $.3985 $ $ $ $3 Existing TOA Rate $0.73 Additional Charges Distribution Revenue from Rates $5,664,99 $70,394,953 $5,456,277 $23,57,377 $2,475,85 $803,269 $2,099,095 $42,432 $449,590 $786,02 Transformer Ownership Allowance $,533,896 $0 $0 $,533,896 $0 $0 $0 $0 $0 $0 Net Class Revenue CREV $4,30,303 $70,394,953 $5,456,277 $2,623,48 $2,475,85 $803,269 $2,099,095 $42,432 $449,590 $786,02

213 Ontario Energy Board EB Sheet I6.2 Customer Data Worksheet ID Total Residential GS <50 GS>50-Regular Large Use MW Large Use 2 Street Light Sentinel Unmetered Scattered Load Backup/Standby Power Billing Data Bad Debt 3 Year Historical Average BDHA $,486,970 $,330,953 $29,723 $26,294 $0 $0 $0 $0 $0 $0 Late Payment 3 Year Historical Average LPHA $894,324 $645,686 $2,63 $94,783 $35,67 $09 $80 $6,336 $0 Number of Bills CNB,557,705,37,420 33, , , , Number of Devices CDEV 52,328 Number of Connections (Unmetered) CCON 43,233 39, ,023 Total Number of Customers CCA 247,03 224,088 8,565 2, ,857 Bulk Customer Base CCB - Primary Customer Base CCP 250,68 224,088 8,565 2, ,759 Line Transformer Customer Base CCLT 250,45 224,088 8,565 2, ,759 Secondary Customer Base CCS 243,60 224,088 8, Weighted - Services CWCS 252, ,088 26,733, Weighted Meter -Capital CWMC 46,34,055 33,389,52 6,63,547 5,906,356 35, , ,000 Weighted Meter Reading CWMR 3,3,088,37,420 33,667,63,40 4,287 3, ,00 - Weighted Bills CWNB,658,842,37,420 4,687 5,960 6,942 0,23 8,488,42 - Bad Debt Data Historic Year: 202,536,562,375,342 34,050 27,7 Historic Year: 203,549,348,386,786 35,65 27,397 Historic Year: 204,375,000,230,73 9,955 24,34 Three-year average,486,970,330,953 29,723 26,

214 Ontario Energy Board EB Sheet I7. Meter Capital Worksheet - Residential GS <50 GS>50-Regular Large Use MW Large Use 2 Street Light Number of Meters Weighted Metering Costs Weighted Average Costs Number of Meters Weighted Metering Costs Weighted Average Costs Number of Meters Weighted Metering Costs Weighted Average Costs Number of Meters Weighted Metering Costs Weighted Average Costs Number of Meters Weighted Metering Costs Weighted Average Costs Number of Meters Weighted Metering Costs Allocation Percentage Weighted Factor 72.37% 3% 3% % % Cost Relative to Residential Average Cost Total Meter Types Cost per Meter (Installed) Residential - Smart Meters , GS < 50 Smart Meters , GS > 50 Smart Meters 2, Demand with IT and Interval Capability - Primary (LARGE USE) 5, Three-phase - No demand Smart Meters Demand without IT (usually three-phase) Demand with IT Demand with IT and Interval Capability - Secondary Demand with IT and Interval Capability - Primary Demand with IT and Interval Capability -Special (WMP) Smart Meters Smart Meters LDC Specific

215 Ontario Energy Board EB Sheet I7. Meter C Sentinel Unmetered Scattered Load Back-up/Standby Power TOTAL Weighted Average Costs Number of Meters Weighted Metering Costs Weighted Average Costs Number of Meters Weighted Metering Costs Weighted Average Costs Number of Meters Weighted Metering Costs Weighted Average Costs Number of Meters Weighted Metering Costs Weighted Average Costs Meter Types Allocation Percentage Weighted Factor Cost Relative to Residential Average Cost Total Cost per Meter (Installed) Residential - Smart Meters 49 GS < 50 Smart Meters 332 GS > 50 Smart Meters 2,66 Demand with IT and Interval Capability - Primary (LARGE USE) 5,000 Three-phase - No demand Smart Meters Demand without IT (usually three-phase) Demand with IT Demand with IT and Interval Capability - Secondary Demand with IT and Interval Capability - Primary Demand with IT and Interval Capability -Special (WMP) Smart Meters Smart Meters LDC Specific 3 0% 0% 0% 0% 00% , , ,

216 Ontario Energy Board EB Sheet I7.2 Meter Reading Worksheet - Weighting Factors based on Contractor Pricing Description Residential GS <50 GS>50-Regular Large Use MW Large Use 2 Street Light Units Weighted Factor Weighted Average Costs Units Weighted Factor Weighted Average Costs Units Weighted Factor Weighted Average Costs Units Weighted Factor Weighted Average Costs Units Weighted Factor Weighted Average Costs Units Weighted Factor Weighted Average Costs Allocation Percentage Weighted Factor Cost Relative to Residential Average Cost Total 43.80% 4.27% 5.52% 0.4% 0.% ,37,420,37, ,667 33, ,093,63, , , Factor Residential - Smart Meters.00,37,420,37, GS < 50 Smart Meters ,667 33, GS > 50 Smart Meters ,093,63, Demand with IT and Interval Capability - Primary (LARGE , ,572 0 USE) Residential - Rural - Outside Residential - Rural - Outside with other services Smart Meter Smart Meter with Demand GS - Walking GS - Walking - with other services GS - Vehicle with other services --- TOU Read GS - Vehicle with other services LDC Specific LDC Specific Interval LDC Specific LDC Specific

217 Ontario Energy Board EB Sheet I7.2 Meter Reading Weighting Factors based on Contractor Pricing 8 9 Description Sentinel Unmetered Scattered Load Back-up/Standby Power TOTAL Units Units Weighted Factor Weighted Average Costs Units Weighted Factor Weighted Average Costs Units Weighted Factor Weighted Average Costs Units Weighted Factor Weighted Average Costs Allocation Percentage Weighted Factor Cost Relative to Residential Average Cost Factor Total,37, % , ,532,397 3,3, Residential - Smart Meters.00,37,420 GS < 50 Smart Meters.00 GS > 50 Smart Meters Demand with IT and Interval Capability - Primary (LARGE USE) Residential - Rural - Outside Residential - Rural - Outside with other services Smart Meter Smart Meter with Demand GS - Walking GS - Walking - with other services GS - Vehicle with other services --- TOU Read GS - Vehicle with other services LDC Specific 3 LDC Specific 4 Interval LDC Specific 5 LDC Specific ,37,420,37, ,667 33, ,093,63, , ,

218 Ontario Energy Board EB Sheet I8 Demand Data Worksheet - This is an input sheet for demand allocators. CP TEST RESULTS NCP TEST RESULTS Co-incident Peak CP 4 CP 2 CP Non-co-incident Peak NCP 4 NCP 2 NCP 2 CP 4 NCP Indicator CP CP 4 CP 2 Indicator NCP NCP 4 NCP 2 Customer Classes Total Residential GS <50 GS>50-Regular Large Use MW Large Use 2 Street Light Sentinel Unmetered Scattered Load Backup/Standby Power CO-INCIDENT PEAK CP Transformation CP TCP 934, ,88 04, ,575 24,296 8, ,374 Bulk Delivery CP BCP 934, ,88 04, ,575 24,296 8, ,374 Total Sytem CP DCP 934, ,88 04, ,575 24,296 8, ,374 4 CP Transformation CP TCP4 3,63,42,388, ,37,45,67 8, ,083 9,0 56 4,533 5,539 Bulk Delivery CP BCP4 3,63,42,388, ,37,45,67 8, ,083 9,0 56 4,533 5,539 Total Sytem CP DCP4 3,63,42,388, ,37,45,67 8, ,083 9,0 56 4,533 5,539 2 CP Transformation CP TCP2 9,866,20 3,39,826,054,649 3,48, ,223,759,35 64, ,22 28,605 Bulk Delivery CP BCP2 9,866,20 3,39,826,054,649 3,48, ,223,759,35 64, ,22 28,605 Total Sytem CP DCP2 9,866,20 3,39,826,054,649 3,48, ,223,759,35 64, ,22 28,605 NON CO_INCIDENT PEAK NCP Classification NCP from Load Data Provider DNCP,50, ,663 38, ,63 50,686 95,73 9,78 46,870 34,367 Primary NCP PNCP,50, ,663 38, ,63 50,686 95,73 9,78 46,870 34,367 Line Transformer NCP LTNCP 737, ,663 38,573 90, ,78 46,870 - Secondary NCP SNCP 682, ,663 38,573 35, ,78 46,870-4 NCP Classification NCP from Load Data Provider DNCP4 4,346,949,480,965 57,804,234,0 93,960 77,756 38, ,802 03,00 Primary NCP PNCP4 4,346,949,480,965 57,804,234,0 93,960 77,756 38, ,802 03,00 Line Transformer NCP LTNCP4 2,769,050,480,965 57, , , ,802 - Secondary NCP SNCP4 2,562,407,480,965 57,804 58, , ,802-2 NCP Classification NCP from Load Data Provider DNCP2,477,57 3,762,048,353,702 3,427, ,090,970,24 0,407,58 8, ,299 Primary NCP PNCP2,477,57 3,762,048,353,702 3,427, ,090,970,24 0,407,58 8, ,299 Line Transformer NCP LTNCP2 7,259,068 3,762,048,353,702 2,03, ,407,58 8,496 - Secondary NCP SNCP2 6,685,83 3,762,048,353,702,439, ,407,58 8,496 -

219 Ontario Energy Board EB Sheet O Revenue to Cost Summary Worksheet - Instructions: Please see the first tab in this workbook for detailed instructions Class Revenue, Cost Analysis, and Return on Rate Base Rate Base Backup/Standby Large Use Unmetered Assets Total Residential GS <50 GS>50-Regular Large Use 2 Street Light Sentinel MW Scattered Load Power crev Distribution Revenue at Existing Rates $4,30,303 $70,394,953 $5,456,277 $2,623,48 $2,475,85 $803,269 $2,099,095 $42,432 $449,590 $786,02 mi Miscellaneous Revenue (mi) $5,755,938 $3,827,07 $678,672 $960,828 $40,599 $20,805 $45,60 $2,890 $28,862 $5,04 Miscellaneous Revenue Input equals Output Total Revenue at Existing Rates $9,886,24 $74,22,969 $6,34,949 $22,584,309 $2,65,784 $824,074 $2,44,256 $45,322 $478,452 $837,25 Factor required to recover deficiency ( + D).05 Distribution Revenue at Status Quo Rates $5,849,435 $7,455,304 $5,689,093 $2,949,93 $2,52,469 $85,368 $2,30,74 $43,07 $456,363 $797,86 Miscellaneous Revenue (mi) $5,755,938 $3,827,07 $678,672 $960,828 $40,599 $20,805 $45,60 $2,890 $28,862 $5,04 Total Revenue at Status Quo Rates $2,605,372 $75,282,320 $6,367,765 $22,90,02 $2,653,068 $836,73 $2,75,874 $45,96 $485,224 $848,965 Expenses di Distribution Costs (di) $25,806,607 $3,889,225 $3,85,633 $6,336,046 $690,986 $8,437 $452,40 $9,43 $84,77 $346,966 cu Customer Related Costs (cu) $6,767,576 $3,38,560 $,677,409 $,36,726 $75,76 $86,006 $94,936 $9,234 $69,396 $2,32 ad General and Administration (ad) $9,54,3 $2,239,6 $2,477,803 $3,480,629 $347,098 $20,039 $248,353 $8,245 $69,264 $63,268 dep Depreciation and Amortization (dep) $25,25,272 $4,955,365 $3,667,580 $5,88,3 $434,855 $49,605 $42,306 $9,397 $83,72 $224,33 INPUT PILs (INPUT) $4,925,352 $2,852,587 $707,989 $,08,342 $4,866 $3,56 $86,73 $,89 $6,874 $60,5 INT Interest $0,303,609 $5,967,479 $,48,080 $2,262,7 $240,295 $7,355 $80,270 $3,956 $35,299 $25,757 Total Expenses $02,082,727 $63,285,827 $3,827,494 $9,70,70 $,903,277 $547,959 $,474,439 $4,864 $359,325 $932,37 Direct Allocation $678,240 $0 $0 $0 $0 $678,240 $0 $0 $0 $0 NI Allocated Net Income (NI) $8,844,406 $0,94,002 $2,708,766 $4,37,26 $439,479 $3,453 $329,698 $7,234 $64,559 $229,998 Revenue Requirement (includes NI) $2,605,372 $74,99,829 $6,536,260 $23,847,386 $2,342,756 $,239,652 $,804,37 $49,099 $423,885 $,62,370 Revenue Requirement Input equals Output Rate Base Calculation Net Assets dp Distribution Plant - Gross $483,549,85 $282,67,490 $69,877,528 $04,533,364 $0,477,580 $449,66 $8,303,33 $84,434 $,644,899 $5,460,96 gp General Plant - Gross $85,70,943 $48,859,752 $2,40,67 $8,553,473 $,968,77 $,353,807 $,48,23 $32,520 $290,6 $,030,60 accum dep Accumulated Depreciation ($27,827,57) ($76,494,266) ($8,582,09) ($26,084,048) ($2,64,665) ($908,037) ($2,025,302) ($46,502) ($44,435) ($,07,793) co Capital Contribution ($4,506,035) ($8,079,04) ($2,50,03) ($3,393,290) ($338,897) $0 ($298,9) ($6,728) ($59,602) ($80,20) Total Net Plant $426,926,936 $246,903,87 $6,285,934 $93,609,499 $9,942,790 $895,432 $7,46,05 $63,724 $,46,022 $5,203,63 Directly Allocated Net Fixed Assets $6,046,98 $0 $0 $0 $0 $6,046,98 $0 $0 $0 $0 COP Cost of Power (COP) $668,720,92 $23,536,583 $83,04,92 $259,274,587 $32,725,2 $54,590,87 $5,87,00 $59,208 $,558,404 $0 OM&A Expenses $6,728,494 $39,50,396 $7,970,846 $,78,40 $,3,260 $387,483 $795,690 $26,62 $223,432 $522,366 Directly Allocated Expenses $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 Subtotal $730,448,685 $27,046,979 $9,075,757 $270,452,987 $33,838,47 $54,977,670 $6,666,790 $85,829 $,78,836 $522,366 Working Capital $87,653,842 $32,525,637 $0,929,09 $32,454,358 $4,060,67 $6,597,320 $800,05 $0,300 $23,820 $62,684 Total Rate Base $520,627,759 $279,429,508 $72,25,024 $26,063,858 $4,003,406 $3,539,733 $8,26,066 $74,024 $,674,843 $5,266,297 Equity Component of Rate Base $208,25,03 $,77,803 $28,886,00 $50,425,543 $5,60,363 $5,45,893 $3,304,426 $69,609 $669,937 $2,06,59 Net Income on Allocated Assets $8,844,406 $,996,493 $2,540,272 $3,99,85 $749,79 ($390,026) $70,435 $4,096 $25,899 ($83,406) Net Income on Direct Allocation Assets $293,87 $0 $0 $0 $0 $293,87 $0 $0 $0 $0 Net Income $9,38,276 $,996,493 $2,540,272 $3,99,85 $749,79 ($96,55) $70,435 $4,096 $25,899 ($83,406) RATIOS ANALYSIS Rate Base Input equals Output REVENUE TO EXPENSES STATUS QUO% % 98.98% 96.07% 3.25% 67.45% 20.60% 93.6% 4.47% 73.04% EXISTING REVENUE MINUS ALLOCATED COSTS ($,79,3) $22,4 ($40,30) ($,263,077) $273,029 ($45,578) $340,8 ($3,777) $54,568 ($325,244) Deficiency Input equals Output STATUS QUO REVENUE MINUS ALLOCATED COSTS ($0) $,082,492 ($68,494) ($937,365) $30,32 ($403,478) $37,737 ($3,38) $6,340 ($33,405) RETURN ON EQUITY COMPONENT OF RATE BASE 9.9% 0.73% 8.79% 6.35% 3.39% -.78% 2.23% 5.88% 8.79% -3.96%

220 Ontario Energy Board EB Sheet O2 Monthly Fixed Charge Min. & Max. Worksheet - Output sheet showing minimum and maximum level for Monthly Fixed Charge Summary Residential GS <50 GS>50-Regular Large Use MW Large Use 2 Street Light Sentinel Unmetered Scattered Load Customer Unit Cost per month - Avoided Cost $2.55 $5.38 $39.28 $ $676.5 $0.7 $0.2 -$ Customer Unit Cost per month - Directly Related $3.52 $7.40 $54.57 $ $ $0.26 $0.23 $ Backup/Standby Power Customer Unit Cost per month - Minimum System with PLCC Adjustment $4.96 $20.77 $96.56 $, $2, $2.52 $0.35 $ Existing Approved Fixed Charge $8.80 $4.2 $ $23, $4, $2.28 $5.45 $8.44 $0.00

221 APPENDIX H SUMMARY OF FIXED/VARIABLE SPLITS EB Horizon Utilities Corporation Annual Filing Update Filed: August, 206

222 EB Horizon Utilities Corporation Annual Filing Update Filed: August, 206 SUMMARY OF 207 FIXED AND VARIABLE SPLITS Customer Class 207 Fixed % Variable % Residential 8.2% 8.79% GS < 50kW 59.40% 40.60% GS > 50 to 4999kW 47.23% 52.77% Standby 0 LU () 68.95% 3.05% LU (2) 33.03% 66.97% Sentinel Lights 6 4 Street Lighting 68.2% 3.79% Unmetered and Scattered Load 68.09% 3.9%

223 APPENDIX I 207 RTSR WORK FORM EB Horizon Utilities Corporation Annual Filing Update Filed: August, 206

224 Ontario Energy Board v. Drop-down lists are shaded blue; Input cells are shaded green. Utility Name Horizon Utilities Corporation Service Territory Hamilton & St. Catharines Assigned EB Number Name and Title EB Indy J. Butany-DeSouza, Vice President - Regulatory Services Phone Number Address indy.butany@horizonutilities.com Date August /206 Last COS Re-based Year 205 This Workbook Model is protected by copyright and is being made available to you solely for the purpose of filing your COS application. You may use and copy this model for that purpose, and provide a copy of this model to any person that is advising or assisting you in that regard. Except as indicated above, any copying, reproduction, publication, sale, adaptation, translation, modification, reverse engineering or other use or dissemination of this model without the express written consent of the Ontario Energy Board is prohibited. If you provide a copy of this model to a person that is advising or assisting you in preparing the application or reviewing your draft rate order, you must ensure that the person understands and agrees to the restrictions noted above. While this model has been provided in Excel format and is required to be filed with the applications, the onus remains on the applicant to ensure the accuracy of the data and the results.

225 Ontario Energy Board v.. Info 6. Historical Wholesale 2. Table of Contents 7. Current Wholesale 3. Rate Classes 8. Forecast Wholesale 4. RRR Data 9. RTSR Rates to Forecast 5. UTRs and Sub-Transmission

226 Ontario Energy Board v.. Select the appropriate rate classes that appear on your most recent Board-Approved Tariff of Rates and Charges. 2. Enter the RTS Network and Connection Rate as it appears on the Tariff of Rates and Charges Rate Class Unit RTSR- Network RTSR- Connection Residential kwh General Service Less Than 50 kw kwh General Service 50 to 4,999 kw kw Large Use - Regular kw Large Use kw Unmetered Scattered Load kwh Stand-By kw Sentinel Lighting kw Street Lighting kw Choose Rate Class Choose Rate Class Choose Rate Class Choose Rate Class Choose Rate Class Choose Rate Class Choose Rate Class Choose Rate Class Choose Rate Class Choose Rate Class Choose Rate Class Choose Rate Class Choose Rate Class