Payment in Lieu of Property Tax Ontario Power Generation Inc. (OPG), Hydro One Inc. (Hydro One), every subsidiary of OPG and Hydro One, and every municipal electricity utility (MEU) are required, every year, to make payments in lieu of additional municipal and school taxes (also referred to as property tax PILs) to the Ontario Electricity Financial Corporation (OEFC) for lands on which are situated generating station buildings or structures or transformer station buildings or structures.
If a generating station building or structure owned by one of the above entities on January 1, 2000 is subsequently disposed of, the payment in lieu continues to apply to any subsequent owner. Hydro-electric generating station properties are no longer subject to the property tax PIL, effective January 1, 2001.
The Ministry of Finance administers the property tax PIL program on behalf of the OEFC. |