Welcome to Ontario’s unique and dynamic Global Adjustment Mechanism (GAM).
A line item appears on your electricity bill each month called 'Global Adjustment' (GA). GA is structured either as a rate ($/kWh) for electricity used, or a pre-calculated amount ($). These are defined by GAM as Class B and A respectively.
Commercial and industrial customers with a peak demand of 1 MW or 500 kW or greater, respectively, are eligible to opt-in to the Class A rate structure. Every building has its own unique profile, so a detailed assessment is required to estimate which class is the best “fit”. A decision is required by June 15th and is then locked in for 12 months. If no decision is made, each property will automatically be enrolled in their default Class, which is dependent on their peak demand.
Bottom line: Paying GA is not an option – how you pay becomes the question.
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