Morningstar DBRS Comments on Proposed Amendments to the Ontario Energy Board Act for Ontario Electricity Distributors

On October 21, 2024, the Government of Ontario announced that it would introduce legislation to amend the Ontario Energy Board Act to provide the Ontario Energy Board (OEB) with the authority to implement recommendations from its Housing Connections Report dated June 28, 2024. This follows Ontario's Minister of Energy request made in November 2023 that the OEB, among other items, review the distribution system expansion connection horizon and revenue horizon. This request was made to reduce costs for new housing developments to help meet the government of Ontario's goal to build at least 1.5 million new homes by 2031.

Key Highlights
-- The proposed legislation is intended to provide greater clarity on the connection horizon and revenue horizon.
-- We do not expect the legislation to have a material effect on Ontario electricity distributors.