Hydro-Québec proposing credit instead of cash back for Hilo customers

Hydro-Quebec said a Hilo smart thermostat can save customers on bills throughout Quebec's winters. (Source: Hydro-Quebec)

Hydro-Québec is proposing changes to its dynamic pricing offer that would affect Hilo customers, who would stop receiving cash back and get credit on their bills instead.

Currently, Hilo smart thermostat customers’ thermostat management during peak times is handled by the crown corporation, and clients are compensated for load reduction.

Hilo customers received an average of $205 over the very cold winter that just ended.

The other two Hydro-Québec dynamic pricing options are “winter credit”, where customers manage their own load reduction during peak times and are compensated with credit; and “flex rate,” where customers again manage their load reduction during peak times, and an incentive pricing structure is built in.

The “winter credit” customers received about $50, and the “flex rate” customers’ numbers for 2024-25 are not available yet.

Hydro-Québec is proposing transferring Hilo customers to the “winter credit” option to “standardize and simplify customer experience.”

A spokesperson said that the compensation is essentially the same, though it would be via credit instead of cash back.

In addition, Hydro-Québec proposes to change the “flex rate” timeframe from five to seven days a week.

• READ MORE: Here’s how to save money on your Hydro-Quebec bill this winter

Under the changes, the following will affect Hilo customers:

• Current customers will automatically switch to the Winter Credit, but they can also opt for Flex if they wish.
• New customers will automatically fall under the Flex Rate.
• The Flex Rate is calibrated neutrally and can be advantageous with equipment management (preheating, load reduction, resumption), which will always be offered through Hilo.
• End of the minimum 2 kWh load reduction.
• The cash reward at the end of the year becomes a credit on the bill.
• The peak period in the evening is slightly modified and will be from 4 p.m. to 8 p.m. instead of 5 p.m. to 9 p.m.

The Hydro-Québec spokesperson said that approximately 60,000 Hilo customers out of the 400,000 who use the dynamic pricing system.

The majority of dynamic pricing customers - around 260,000 - use the “winter credit” option.