◀ Rates for Large-Power Business Customers
Economic Development Rate for large-power customers
If you’re planning to build and commission a new facility or expand an existing facility operating in a promising growth sector, you could be entitled to a rate reduction under the Economic Development Rate. The new load connected to the Hydro-Québec system must be at least 1,000 kW and, in the case of an expansion project, must correspond to at least 20% of your present load under the contract in question.
Each project will be evaluated according to the applicable criteria as well as the project’s value added and its economic benefits for Québec. To do so, Hydro-Québec will enlist the help of government bodies that have knowledge and expertise regarding the sectors that contribute to economic growth.
The Economic Development Rate, which will end in 2027, provides for an initial reduction of 20% applied to rate M, LG or L. This reduction will be diminished by 5 percentage points a year over the final three years, in order to ensure a gradual transition to the rates normally applicable.
To take advantage of the Economic Development Rate, you must meet the following conditions:
- You must undertake to build and commission a new facility with a power demand of at least 1,000 kW or to add at least 1,000 kW of demand to an existing facility.
- In the case of an existing facility, the expected maximum power demand of the new equipment must not be less than 20% of the highest billing demand during the 12 consumption periods preceding its commissioning.
- The facility’s electricity costs must account for at least 10% of operating expenses. In the case of a data hosting facility, it must also present a significant value added for the Québec economy.
- The facility must have significant potential for the net addition of new loads within Québec. Consequently, the new load must not be the result of production transfers between the entities or facilities of the same company or of different companies within Québec, and it must not be linked to equipment that was in operation during the year preceding the effective date of this rate.
To sign up for the Economic Development Rate, you must send Hydro-Québec a written request containing the following information:
- A summary description of your planned facility or your expansion project, including the products to be manufactured (if any), the processes and technologies to be implemented, and the anticipated investments and operating costs;
- Scheduled commissioning date;
- Estimates of the power demand and average energy consumption under the contract in question;
- An attestation that the Economic Development Rate was one of the determining factors in your decision to build or expand a facility in Québec.
For more information
Ask your Hydro-Québec commercial delegate whether you might be eligible for the Economic Development Rate, or contact us at 1 800 463-9900 or at firstname.lastname@example.org.
You can also consult the Electricity Rates for information about all our rates and rate options.