Mandate and Governing Legislation

The Ontario Electricity Financial Corporation (OEFC) is one of five corporations established by the Electricity Act, 1998. Under the Electricity Act, the former Ontario Hydro was restructured into Ontario Power Generation Inc. (OPG), Hydro One Inc. (Hydro One), the Independent Electricity System Operator (IESO), the Electrical Safety Authority (ESA) and the OEFC.

In accordance with the Act, the OEFC has the following mandate:

• managing its debt, financial risks and liabilities, including the debt of the former Ontario Hydro
  
• managing the former Ontario Hydro’s non-utility generator (NUG) contracts in the current market environment
  
• receiving all payments and administering other assets, liabilities, rights and obligations of the Corporation that were not transferred to another of the Hydro successor corporations, and disposing of any of these items as it deems appropriate or as directed by the Minister of Finance
  
• providing financial assistance to the successor corporations of Ontario Hydro
  
• entering into financial and other agreements relating to the supply of electricity in Ontario
• performing any additional objects specified by the Lieutenant Governor in Council.

The OEFC retains the services of the Ontario Financing Authority (OFA) and the Ministry of Revenue to carry out its daily operations on a cost-recovery basis. The OFA is the agency of the Province of Ontario responsible for provincial borrowing and debt management.