CCI-TORONTO & ACMO – SUCCESS WITH MINISTRY OF ENERGY
SMART & SMART SUB-METERING FOR CONDOMINIUMS

NOW VOLUNTARY

CCI-Toronto and the Association of Condominium Managers of Ontario (ACMO) are pleased to advise that after nearly 1/1/2 years of hard work by their Joint Committee, led by John Oakes and Bob Gardiner, the draft regulations were changed and the final regulations (O. Reg. 442/07 and 443/07) make the installation of smart meters and smart sub-meters in condominium corporations voluntary and not mandatory. The Regulations come into effect on December 31, 2007

A Board of Directors now has the discretion whether to proceed or not. If the Board decides to proceed then it could be done through a Local Distribution Company or by sub-metering the building through a third party sub-metering company.

The other important aspect of the Final Regulations is that if a Board decides to proceed with submetering
then it now can be done without the necessity of amending their Declaration or enacting By-laws. So if a Board has already decided to proceed with the metering you will not require a vote of owners.

There have been suggestions in the industry that the voluntary nature of installing smart meters may only be temporary. While a government can always change its regulations, the Committee has been advised by the government officials they have been dealing with that there are no plans to make smart metering compulsory.

While the final regulation achieved the first major goal of the Committee, they unfortunately did not deal with the many other issues needed to make it easier for those Boards who wish to install smart meters (e.g. does the lien priority apply for delinquent owners, interaction or applicability of Section 97 obligations, reserve fund and easement issues, etc.). These have been presented by the Committee to the government and further work is required to try to get them implemented. All corporations should obtain advice their lawyer before commencing any installation.

Still Proceed with Individual Metering?

The change in the regulations should not deter corporations from seriously investigating and possibly installing smart meters. Smart metering could make good financial and environmental sense for a corporation. The decision depends on the individual circumstances in each building. Corporations should, with the help of their professionals, check into such matters as whether or not they would still qualify for residential electricity rates on their bulk meters if they do not install smart meters; and other financial and costing issues. Remember that even if a corporation does not proceed with individual metering of units, energy savings opportunities may still be available in the common areas.

Licensing Sub-Metering Activities

The Regulations require commercial sub-metering entities that provide condominiums with smart meters, smart sub-meters, and any associated services to be licensed by the Ontario Energy Board effective December 31, 2007.

CCI-Toronto and ACMO would like to thank John Oakes, Bob Gardiner, Armand Conant, Maria Dimakas, Harold Cipin, Janice Pynn and all others who volunteered their time and efforts to work on this initiative on behalf of all condominium owners.

CCI-Toronto Working for You!

This release is strictly for general awareness purposes only is not to be interpreted or relied upon
as legal, or any other form of professional, advice. Any questions or concerns as to the Regulations, their interpretation, applicability or effect to any situation must be directed to your individual professional.