Conditions of Service – Rev 12/11
APPENDIX B
5.6.2
RESIDENTIAL SERVICE DEPOSIT POLICY
INTRODUCTION Guelph Hydro Electric Systems Inc. (GHESI) is a Local Distribution Company (LDC) regulated by the Ontario Energy Board (OEB) by the powers granted to the OEB by the Provincial Government through the enactment of Bill 35, 1998; The Energy Competition Act, The Electricity Act, and The Ontario Energy Board Act 1998. Deposit policies are an integral component of GHESI’s risk management processes. The deposit policies contained herein are established in accordance with the aforementioned legislation and are consistent with the applicable guidelines established by the OEB (Retail Settlement Code, Standard Supply Service Code, the Distribution System Code and the Electricity Distribution Rate Handbook). DEFINITIONS “Distributor Consolidated Billing” – Under this billing scenario, GHESI issues a bill to the Retailer’s customer for all applicable charges, including the cost of electricity. GHESI bears all customer non-payment risk. “NSF Payments” – NSF payments are defined as payments returned by financial institutions for reasons of non-sufficient funds, and include cheques and automatic withdrawals. “Retailer Consolidated Billing” – Under this billing scenario, the Retailer issues the bill to the customer for all applicable charges, including distribution charges. In this case, the Retailer is responsible for all non-payment risk. “Satisfactory Payment History” – A satisfactory payment history is achieved when there has been not more than one NSF or Pre-Authorized Payment returned NSF presented by the customer in the previous 12 months and not more than one disconnection/collection notice in the previous 12 months. As well, a customer must not have had any disconnection or collection trips in the previous 12 months. New customers may provide to GHESI a letter of reference from their former utility stating that they have maintained an account for 12 consecutive months within the past 24 months (alternatively, the customer may provide a credit report from a recognized credit rating
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Effective: 11/2004 Revised: 12/2011