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The New Hydro One Page:
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| Company type | Crown Corporation |
|---|---|
| Industry | Electricity delivery |
| Predecessor | Ontario Hydro |
| Founded | Toronto, Ontario (1999) |
| Headquarters | Toronto, Ontario, Canada |
Area served | Ontario |
Key people | President & CEO Chair of the Board |
| Products | delivery of electricity |
| Revenue |  CA$ 5.1 Billion (2010) |
| CA$ 591 Million (2010) | |
| Total assets | CA$ 17.3 Billion (2010) |
| Total equity | CA$ 6.0 Billion (2010) |
| Owner | Government of Ontario |
Number of employees | 5,717 regular employees (2010) 2,021 temporary, contract and part-time employees (2010) 7,066 pensioners (2010) |
| Parent | Hydro One Inc. |
| Subsidiaries | Hydro One Networks Inc. Hydro One Remote Communities Inc. Hydro One Brampton Networks Inc. Hydro One Telecom Inc. |
| Website | Hydro One |
Hydro One Incorporated [edit]is a generation and distribution company licensed to generate and distribute electricity in the Canadian province of Ontario.[1] It is a Corporation established under the Business Corporations Act (Ontario) with a single shareholder, the Government of Ontario.[1]
In October, 1998 the provincial government passed the "Energy Competition Act" which restructured Ontario Hydro with the aim of privatizing all electrical generating and transmission/delivery.
[edit]The company was found in 1999 after the Hydro-Electric Power Commission of Ontario or officially known by Hydro One (in 1974) split into five separate entities, the company operates the largest electricity transmission and distribution systems in Ontario and directly serves more than 1.2 million customers.
Service Territory
[edit][edit]Hydro One is a holding company with four subsidiaries, the largest being Hydro One Networks. They operate 97% of the high voltage transmission grid throughout Ontario and they also serve customers in rural areas across the province in their capacity as Ontario's largest distribution utility.
[edit]Distribution system delivers electricity at lower voltages to homes, farms and businesses through network of hydro poles and power lines. The network is the largest in the province, with over 123,000 km of wires serving 1.3 million customers, mostly in rural areas.[2]
System Information
[edit]Hydro One's Transmission Line voltages are 500,000 volts, 230,000 volts and 115,000 volts. Hydro One has interconnections with Manitoba Hydro, Hydro-Québec, Minnesota Power, Detroit Edison/ITC, Niagara Mohawk Power and the New York Power Authority.
[new] Hydro One delivers electricity homes and businesses across the province of Ontario. The system owns and operates Ontario's 29,000 kilometers high-voltage transmission network made to deliver electricity to large industrial customers. It also operates a 122,000-kilometer low-voltage distribution system that serves to about 1.3 million end-use customers.[3]
Generators
New *Hydro One works with the Transmission and Distribution network by connecting Hydro One’s generating facilities to them. They deliver the electricity they generate at hydroelectric, coal, natural gas, wind, solar and nuclear facilities to businesses and people across Ontario. The generator has different responsibilities than Hydro One.[4]
The transmission generators connected to Hydro One’s high voltage system are connected at more than 50 kV (50,000 volts). The transmission-connected generators are registered with the Independent Electricity System Operator (IESO). Transmission lines, strung between metal towers or concrete poles, are not as plentiful as their distribution lines, which are most commonly strung between wooden poles.[5]
The distribution system is connected to Hydro One’s generating facilities. They deliver the electricity they generate at hydroelectric, wind and other facilities to businesses and people across Ontario. These distribution felicities work at voltages of 50 kV or less. [6]
Hydro One supplies electricity to over 90 large industrial transmission-connected customers, close to 100 transmission-connected generators, as well as over 70 Local Distribution Companies (LDCs) across Ontario. [7] *New
Ontario's electricity grid is made up of a 29 000km high-voltage transmission network that delivers electricity to large industrial customers and municipal utilities and 123 000km low-voltage distribution system that serves about 1.3 million end use customers mainly in rural service areas along with smaller municipal communities in the province. To date more than75 percent in the applications to connect small generators are in Hydro One's rural service territory along the companys distribution system. While Hydro One has connected thousands of small projects to the grid they are approaching their technical limits of the wires and equipment in some rural locations. In these areas there are two issues that limit the number of projects that Hydro One can safely connect without putting the grid in jeopardy. The first issue is the physical limits of the power lines and the second is a phenomenon called islanding. In larger areas that are densly populated, Hydro One's wires are thicker and designed to deliver lager amounts of electricity. In rural areas, Hydro One's distribution wires are smaller, thinner and deliver a smaller amount of electricity because they were designed to serve a much smaller amount of customers than in large urban centers. These thinner lines deliver electricity safely and reliably to rural customers and are able to support the connection of small generation projects spread across the line, but these lines become over loaded when we try to feed more electricity back to the grid then the line was built to deliver. In some areas where the program is extremely popular, many generators want to connect to the same thin line but the line is not able to support the transfer of so much electricity.
The second issue is about islanding. Hydro One's distribution system knows how to protect itself under certain conditions. For instance, during a storm is a tree falls on a line the system shuts itself down similar to a circuit breaker. This protects the company's customers and employees from accidentally coming into contact with a live electrical line, it also protects appliances like televions from uncontrolled surges and drops in voltage. In addition, when there is a fault the line needs to be dead. Also when solar panels are attached to such lines they must also be shut down when theres a fault on the line. If they are not shut down, electricity keeps flowing from the solar panels to all points between the panels. This can create an unsafe condition called islanding, which can potentiall put customers, employees, and the equipment drawing power from that line at risk. Right now Hydro One prevents islanding by limiting the amount of generation that the company connects in one area, this ensures that the electrical load is greater than generation at all times. Ontario has moved to smart meters, which could support even more solutions to these problems, by using the company's existing network and working with customers, Hydro One is exploring new ways to deliver the cleaner electricity which Ontarians are helping to generate.[8]
History
[edit]Hydro One was originally part of the Hydro-Electric Power Commission of Ontario, or Ontario Hydro, which was established in 1906 by the provincial Power Commission Act to build transmission lines to supply municipal utilities with electricity generated by private companies already operating at Niagara Falls. The first chairman was Adam Beck, minister without portfolio in the provincial government of Sir James P. Whitney. Beck had been a prominent advocate of a publicly owned electricity grid.
In the 1920s the commission began generating and distributing its own power when it was given the mandate to electrify rural areas. Besides building its own generating stations, it bought the transmission lines and generators of the largest private electricity company.
In 1974 the Power Corporation Act reorganized the system as a crown corporation called Ontario Hydro, the name it was most usually known by.
In 1998, the PC government of Mike Harris passed the Energy Competition Act which authorized the establishment of a market in electricity. In April 1999, Ontario Hydro was re-organized into five successor companies: Ontario Power Generation, the Ontario Hydro Services Company (later renamed Hydro One), the Independent Electricity Market Operator (later renamed the Independent Electricity System Operator), the Electrical Safety Authority, and Ontario Electricity Financial Corporation. The two commercial companies, Ontario Power Generation and Hydro One, were intended to eventually operate as private businesses rather than as crown corporations.
By 2001, Hydro One had acquired 88 municipal utilities. In December 2001 the provincial government announced the intention to sell Hydro One under an initial public offering, however by April 2002 various groups in opposition to the plan were able to successfully challenge the government in the Ontario Superior Court, forcing a halt to the IPO[2].
In 2002 an electricity market began operating. However, critics questioned, among other things, whether the market was truly competitive or could ever become competitive, given that an electricity grid is not a private good. Public dismay at an increase in prices led the government of Harris's successor, Ernie Eves, to freeze electricity prices for residential and small business consumers. This freeze was maintained after the Liberal party of Dalton McGuinty replaced the PC government in 2003. The freeze was removed and prices were raised in April, 2004, and have been increased again subsequently.
[new]Based on the company's historical timeline, Hydro One was created in 1906 and was originally named Hydro-Electric Power Commission (HEPC). The company's initial responsibility was to build transmission lines, in order to supply municipal utilities with power. The power that was being transferred by Hydro One was already being generated at Niagara Falls by previously established private companies.Also during 1906, the copmany assigned Adam Beck as chairman. A year later, Beck and his collegue William Peyton Hubboard fought for the public owership of the company. Later in 1908, HEPC purchased power from Niagra Falls and sought to transmit this power over its own lines, which at the time, had not yet been established. The company continued its steady growth for the next few years. and by 1914 HEPC built its first owned power generating station located on the Severn River.[new][9]
Years later in the early 1920's, HEPC expanded further and became an electricity distributor itself. And no longer did the company only transmit to municipal utilities, but to rural areas as well. Moreover, in 1922 the companies first unit of the Chippawa hydroelectric development on the Niagara River initiated service. And upon the units completion in 1925, it became the largest generating station in the world.
Restructuring
[edit]Ontario Hydro was restructured on April 1, 1999 into five separate entities: Ontario Power Generation, the Ontario Hydro Services Company, the Independent Electricity System Operator (originally named the Independent Electricity Market Operator), the Electrical Safety Authority, and Ontario Electricity Financial Corporation.
On May 1, 2000 the Ontario Hydro Services Company was renamed Hydro One Incorporated and reorganized as a holding company with four subsidiaries:
- Hydro One Networks Inc.
- Hydro One Brampton Networks Inc.
- Hydro One Remotes Communities Inc.
- Hydro One Telecom, Inc.
Between 1998 to 2000, Hydro One acquired 88 municipal electrical utilities. Numerous local/municipal distribution companies were also consolidated during this time.
In May 2002 the provincial government went ahead with the launch of an open electricity market, even though generating and distribution remained under control of the government.
Effective December 8 2006, President and CEO Tom Parkinson's resignation was accepted[3]. His resignation was prompted by a controversy surrounding use of company property and improper processing of personal expenses uncovered by the Ontario Auditor General.[4]
Hydro One also owns the distribution Utility for the city of Brampton Ontario. This is another Subsidiary known as Hydro One Brampton. This subsidiary operates separately from the main Hydro One corporation and operates only in the city of Brampton.
[NEW SECTION] Subsidiary Responsibilities
[edit]- Hydro One Networks Inc.
The largest of the four auxiliaries is Hydro One Networks, which is responsible in planning, construction, maintenance of the transmission and distribution network. Hydro One networks generally keeps Ontario's electricity transmission and distribution assets in check and operational.
Electricity is generated from stations and is distributed through a network of high-voltage transformer stations, transmission towers and wires; to local distribution companies and industrial customers.
- Hydro One Brampton Networks Inc.
Hydro One Brampton Networks Inc. functions almost the same way as Hydro One Networks Inc.
It accounts for the distribution of electricity to 138,000 homes and businesses in the City of Brampton.[5]
- Hydro One Remotes Communities Inc.
Remote Territories
Hydro One Remote Communities Inc. distributes electricity to 21 isolated communities in the northernmost part of Ontario, which are not connected to the province's power grid. Out of the 21 communities, only 13 can be accessed by aircraft, winter roads, or by barge in the case of one community. Diesel generation currently act as the prime source of electricity with each community, but can also be produced by two run-of-the-river mini-hydro electric generating facilities owned and operated by the company
- Hydro One Telecom Inc.
Hydro One Telecom Inc. is a CRTC-registered, non-dominant, facilities-based carrier and is the subsidiary responsible for marketing and leveraging the parent company's (Hydro One Inc.) fibre (fibre-optic) assets. Monitoring the electricity transmission network also uses the same fibre-optic materials and Network Operations Centre.
Hydro One Telecom delivers broadband telecommunications solutions for Carriers, ISP's, commercial customers and the Public Sector in Ontario with connections to Montreal, Buffalo, and Detroit. [6]
First Nations and Métis Relations
[edit]Hydro One continues their efforts to develop and maintain respectful and positive relationships with First Nations and Métis communities across Ontario.[10] Hydro One, as well as its antecedent companies, maintain relationships with First Nation and Métis communities in Ontario. The First Nations and Métis Relations team has staff committed to each region of Ontario. Hydro One continues to grow their relationship with the First Nations and Métis communities.[11]
There are 24 First Nations communities in which Hydro One Network has facilities and serves to more than 100 First Nations communities. Hydro One Remote Communities Inc. controls and maintains the generation and distribution assets, which supply electricity to 21 communities throughout the northern part of the province that are not connected to the province’s electricity grid, 15 of these communities are First Nations.[12]
[New] On September 30, 2008 Gary Lipinski, President of the Métis Nation of Ontario, and Laura Formusa, President and Chief Executive of Hydro One Networks Inc. joined with Métis leadership from Ontario to sign an Engagement Protocol on Hydro One's Bruce-Milton Transmission Line. The Engagement Protocol is the first of its kind between the Métis Nation and an energy industry partner in Ontario. This allows The Métis Nation of Ontario to notify and participate Métis citizens living throughout the region about the Project. The protocol also allows The Métis Nation of Ontario to participate in the Bruce-Milton Line's in calculating assessments to the environment. “Through this Protocol, the MNO will work with its Community Councils in the potentially affected region to ensure all Métis citizens are informed about and engaged in relation to the Bruce-Milton Line," said the President of the Métis Nation of Ontario. [13]
See also
[edit]
References
[edit]- ^ Government of Ontario Document "Public Accounts 1999-2000 Financial Statement"
- ^ "Subsidiaries". Retrieved 27 March 2012.
- ^ "Métis Nation of Ontario and Hydro One sign engagement protocol on Bruce-Milton Line". Retrieved 28 March 2012.
- ^ "CONNECT YOUR GENERATOR". Retrieved 28 March 2012.
- ^ "Transmission-connected Generators".
- ^ "Distribution-connected Generators". Retrieved 28 March 2012.
- ^ "INDUSTRIAL, TRANSMISSION GENERATORS & LOCAL DISTRIBUTION COMPANIES". Retrieved 28 March 2012.
- ^ "CAPACITY". Retrieved 28 March 2012.
- ^ "Timeline". Retrieved 27 March 2012.
- ^ "FIRST NATIONS AND MÉTIS RELATIONS". Retrieved 28 March 2012.
- ^ "Background". Retrieved 28 March 2012.
- ^ "Community Relations". Retrieved 28 March 2012.
- ^ "Métis Nation of Ontario and Hydro One sign engagement protocol on Bruce-Milton Line". Retrieved 29 March 2012.
External links
[edit]- Hydro One
- Historical timeline produced by Hydro One
- [7] Distribution Rate Application
- [8] Transmission Rate Application
- Ontario Energy Board
- Ontario Power Generation
- Ontario Electricity Financial Corporation
- "Map of electric transmission facilities in Ontario" (PDF). (3.2 MB)
Category:Ontario electricity policy Category:Ontario Hydro Category:Companies established in 1999 Category:Companies based in Toronto Category:Power companies of Canada