While Ontario is being applauded for its environmental and conservation programs, many of its residents are cringing at the cost of such initiatives.

A prime example is "smart" meters, which the McGuinty government plans to install in every Ontario residence and business by 2010. They will record total electricity consumption hour by hour and send that information to your utility through a wireless or other form of technology.

Current meters can only measure the total amount of electricity used over an entire billing period because they have to be read manually. So the regulated price is the same, regardless of what time of day electricity is being used.

With smart meters comes Time of Use (TOU) pricing. Under the TOU system, off-peak prices are roughly two-thirds less than on-peak prices - reflecting the lower cost to provide electricity during periods of low demand.

There are three different time-of-use prices which, at the moment, are 4.0¢/kwh for off-peak, 8.8¢/kwh for on-peak, 7.2¢/kwh for midpeak. These prices are reviewed and changed, as deemed necessary, every 60 days.

Peak hours are 7 a.m. to 11 a.m. and 5 p.m. to 8 p.m. Mid-peak hours are 11 a.m. to 3 p.m. and 8 p.m. to 10 p.m. Off-peak hours are 10 p.m. to 7 a.m., as well as weekends and holidays.

The downside for the consumer is that a utility can now discern how much energy is being consumed during peak hours and charge more accordingly. The 'upside' is that consumers who have more precise information on how, and when, energy is being used can start formulating plans on how to both conserve energy and save money.

Yet, according to Ken Griffith, Ontario regional commercial business manager for the Energy Savings Group, saving money by using more power during the off-peak times calls for changes at both business and home that are unreasonable.

"For homes, the repercussion is being on the highest rates from 5 p.m. to 10 p.m.," points out Mr. Griffith. "What happens in every household within those hours? Are we to tell our kids: 'No TV or computer until 10, dinner will be at 11'?

"For business, the highest rates will be from 7 a.m. to 10 p.m. from Monday to Friday. This means an increase of 35 per cent in their hydro costs should they use most of their electricity during the week in those hours. How much more revenue would a small, or medium-sized business have to generate to recoup that loss on their books?"

Unless the business elects to do something drastic like switching its hours of operation from 9-to-5 to midnight-to-8 a.m., it appears to have little option but to grin and bear it.

Fortunately, there are options such as the Energy Savings Group. This particular company purchases natural gas and electricity in advance to cover its customers' base usage. They will supply this energy at a protected rate over a fouror five-year period.

Should energy prices drop substantially during this period, however, the customer is saddled with the same rate.

Yet, with the global drive to more expensive alternative energy, and with fossil fuel prices expected to rise again, the odds of such a scenario get slimmer.

"The people we serve have the peace of mind in knowing what their costs will be, which allows them to budget out over the next five years," says Mr. Griffith. "Just imagine how much your life would improve on something so small as the price of gas at the pumps if I could set a rate today at say 85 cents."

While Energy Savings cannot guarantee a set price at the gas pumps, such a plan could help stabilize a future business plan.

Meanwhile, on the home front, there are a few tips on conservation worth considering.

For one, computers, TVs and cell phone chargers aren't fully off unless you pull the plug. Since each can use between four and ten watts of electricity, try to plug them into a power bar that you can turn off.

Install a programmable thermostat and set it to reduce the heat when you're not home and when you're sleeping.

Keep your curtains closed to keep the summer heat out and the winter heat in. But you can open them on sunny winter days to take advantage of solar heat.

For more hints, visit www.smartmetersontario.ca.