Ontario has applied a 25 per cent surcharge on all electricity exports to the United States.
The surcharge was introduced as a retaliatory measure to U.S. tariffs on Canada.
"Until these tariffs are off the table until the threat of tariffs is gone for good, Ontario will not relent," said Premier Doug Ford.
The surcharge will affect 1.5 million homes and businesses in Michigan, Minnesota, and New York. It's expected the surcharge will generate between $300,000 to $400,000 per day.
“For decades, Ontario has powered American homes, factories, offices, and jobs, and we will not stand by as our vital electricity exports are taken for granted,” said Stephen Lecce, Minister of Energy and Electrification. “In a time where prices are going up for families in America, Canada and the United States should be working together to strengthen our trade and investment relationships to ensure a prosperous future for both sides of the border.”
Ford said he will not hesitate to turn off power to those states if the United States chooses to escalate tariffs.
"I will not hesitate to increase this charge. If necessary, if the United States escalates I will not hesitate to shut the electricity off completely," said Ford.
Between 2021 and 2023, Ontario exported 14.6, 14.2, and 12.0 terawatt hours of electricity to the United States.