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How much does it cost to install a separate hydro meter for a basement apartment in Toronto?

Question

How much does it cost to install a separate hydro meter for a basement apartment in Toronto?

Answer from Basement IQ

Installing a separate hydro meter for a basement apartment in Toronto costs between $3,000 and $8,000, including the electrical work to split the home's circuits into two separate panels, the meter base installation, Toronto Hydro's connection and metering fees, and ESA inspection. The process involves coordination between your electrician, Toronto Hydro, and the ESA.

The electrical work is the largest cost component. Your ESA-Licensed Electrical Contractor needs to install a separate meter base on the exterior of the home (or a dual-meter stack if space allows), run a new service entrance cable from the meter to a dedicated electrical panel for the basement suite, and redistribute the home's circuits so that each unit's loads are on the correct panel. This electrical work typically costs $2,500 to $5,500 depending on the complexity of the existing wiring, the distance between the meter location and the basement panel, and whether the overall service capacity needs upgrading.

Many older Toronto homes have 100-amp service, which is insufficient to split between two dwelling units. Upgrading to 200-amp service (the minimum practical capacity for two-meter installations) adds $2,000 to $4,000 to the project. Toronto Hydro may also require a service upgrade as a condition of approving the second meter. The 200-amp service is then split — typically 100 amps to each unit, or 125/75 depending on the load calculations prepared by your electrician.

Toronto Hydro's fees for establishing a second meter account include the meter installation, connection charges, and account setup. These fees have historically ranged from $500 to $1,500, but Toronto Hydro's current fee schedule should be confirmed directly with them at the time of application, as they change periodically. Toronto Hydro requires a completed Connection Authorization form signed by your ESA-Licensed Electrical Contractor, proof that the electrical work has passed ESA inspection, and evidence of a valid building permit for the secondary suite.

The process typically follows this sequence: your electrician applies for the ESA permit and completes the electrical work (new meter base, panel, circuit redistribution), the ESA inspects and approves the installation, your electrician provides you with the ESA inspection certificate, you apply to Toronto Hydro with the ESA certificate and building permit documentation, and Toronto Hydro schedules the meter installation and connection. The timeline from starting the electrical work to having a functioning second meter is typically 4 to 8 weeks, with Toronto Hydro's scheduling being the longest wait.

There are alternatives to a separate meter that many Toronto landlords use for basement apartments. The most common is including hydro in the rent and keeping a single meter — this simplifies the setup but means the landlord absorbs the tenant's electricity costs. Another option is a sub-meter — a monitoring device installed by a licensed electrical sub-metering company that measures the basement unit's consumption separately without a second utility meter. The tenant pays the landlord for their measured usage. Sub-meter installation costs $500 to $1,500, significantly less than a full second meter, but requires clear lease terms about billing calculations and rates.

From a Residential Tenancies Act perspective in Ontario, if the apartment has a separate meter and the tenant has their own Toronto Hydro account, the landlord is not responsible for the tenant's electricity costs. If there is no separate meter, the landlord must either include electricity in the rent or use a legal sub-metering arrangement. Getting a separate meter is the cleanest arrangement for both parties and is worth the investment if you plan to rent the basement apartment long-term.

All electrical work for meter separation must be done by an ESA-Licensed Electrical Contractor, and the work must pass ESA inspection before Toronto Hydro will connect the second meter. This is not a DIY project under any circumstances.

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