Powering Up: New Hydro Connection Fees for Ontario Builders

Powering Up: Hydro Connection Cost for a New Build in Ontario (2026 Builder Guide)
Keyword focus: Hydro connection cost for new build — plus ESA inspections, trenching vs poles, and the “why is this quote so different?” Ontario reality.
- ⚡ New service basics
- 🧾 ESA permits/inspections
- 🚜 Trenching + underground
- 🪵 Poles + overhead
Connecting a brand-new home to hydro in Ontario sounds simple: “Run the wire, flip the switch, make coffee.” In real life, it’s a small project inside your big project — with its own timelines, approvals, and costs that swing wildly depending on distance, whether you’re overhead or underground, and whether the utility needs to extend or upgrade anything.
This article breaks the process down like a builder would: what happens first, what you control, what the utility controls, where ESA fits in, and how to build a budget that doesn’t get ambushed by a surprise pole, transformer, or “your service is 85 metres away” moment.
Big cost driver
Distance. Extra metres of cable/poles add up fast.
Big timeline driver
Utility scheduling + required approvals (not your drywall crew).
Big planning tip
Decide 100A vs 200A early — it affects equipment and trench details.
Before we talk dollars: who does what in an Ontario hydro connection?
Three players show up in every new-build hydro connection:
- You (or your builder): site planning, trenching/restoration (often), meter base location, service entrance routing, and coordinating the schedule so the utility can actually access the site.
- Your utility: connection design, ownership demarcation point, their side of the wiring and metering, and any required system changes or expansion.
- ESA (Electrical Safety Authority): the notification/permit and required inspections to confirm work meets the Ontario Electrical Safety Code requirements.
Builder truth: most “hydro surprises” are not electrical mysteries. They’re planning mysteries — distance, access, and late decisions about overhead vs underground.
Step-by-step: the clean Ontario sequence (so hydro doesn’t become the bottleneck)
Here’s the sequence that keeps projects moving:
- 1) Pick service size: Most new homes land at 200A, but not all. Decide early. This page helps: 100 or 200 amp service.
- 2) Confirm load assumptions: Heat pumps, EV chargers, hot tubs, electric ranges, and future suites change the story. Use our calculator to sanity-check: Electrical load + wire size calculator.
- 3) Utility request + design: You (or your electrician/builder) requests the connection. The utility designs the service and tells you what’s required on your side (trench specs, conduit size, meter base location, etc.).
- 4) ESA notification/permit: Electrical work requires a notification (permit) to ESA before work starts. ESA notes a minimum fee for a residential notification. ESA: “How much does an electrical notification cost?”
- 5) Site work + service entrance: Trenching/conduit (if underground), meter base, panel, service mast (if overhead), grounding, bonding, and inspections as required.
- 6) Utility hookup + meter: Utility completes their side and energizes once ESA/utility requirements are satisfied.
Permit coordination matters too. If you’re juggling a full permit package for a new build, keep the paperwork sequence straight: How to obtain a building permit in Ontario.
“Basic connection” vs “expansion”: the line that changes the bill
Utilities generally treat some new connections as “basic” when your building lies along their existing distribution and the connection fits within standard allowances. If you need the utility to extend lines, add poles, upgrade equipment, or build out infrastructure, costs can jump — and they’re often project-specific.
For example, Hydro One’s Conditions of Service describe that a Basic Connection includes standard transformation/metering and, for new residential connections, includes up to 30 metres of overhead secondary conductor for up to 200-amp service (or an equivalent credit toward underground conductor). It also states customers pay incremental costs for things like secondary conductor over 30 metres, poles/anchors/hardware on the customer’s property, and the difference between overhead and underground secondary wire. (See Hydro One Conditions of Service PDF, Section 2.1.1.)
Hydro One Conditions of Service (PDF)
Translation: if you’re close to the road/line, costs can be modest. If you’re set way back, or you want underground, or you’re off the existing system, costs can climb quickly.
Overhead vs underground: what actually changes (cost, look, and headaches)
Overhead service is typically cheaper on the utility side and faster to maintain. You’ll often see a service mast, overhead drop, and fewer trenching requirements. Overhead can also make sense when the lot is rocky, wet, or driveway restoration would be expensive.
Underground service looks clean and avoids overhead clearance issues, but you pay for trenching, duct/conduit, sand/bedding (often), and restoration. On some properties it’s a no-brainer; on others it’s a budget buster.
Builder analogy: overhead is like taking the stairs — not glamorous, but reliable. Underground is like a hidden staircase behind a bookshelf — beautiful, but you pay for the secret door and the carpentry.
Cost components: where the money actually goes
When homeowners ask “What does hydro connection cost in Ontario?” they’re usually mixing several buckets. Here are the buckets that matter:
| Cost bucket | Who typically pays | What makes it go up |
|---|---|---|
| ESA notification + inspections | Owner/electrician (built into electrical quote) | More complex scope, multiple inspections; ESA notes a minimum residential notification fee. |
| Service entrance equipment (meter base, panel, mast, grounding) | Owner | 200A vs 100A, long runs, upgrades for future loads, premium gear. |
| Trenching + conduit/duct + restoration (underground) | Owner/builder | Long distances, rock, wet soils, driveway/landscaping repairs, deep frost/grade constraints. |
| Utility side connection (their wire, their meter, their crew) | Utility; sometimes owner contribution | Distance beyond included allowances; overhead-to-underground upgrades; poles/anchors; system changes. |
| System expansion / upgrades | Often owner contribution (project-specific) | When a new line, transformer capacity, or distribution upgrade is required to serve your build. |
Important note: trenching and site restoration are usually where you can blow the budget without noticing. Cable is expensive, and driveways don’t magically repair themselves (no matter how nicely you ask).
Ontario “ballpark” ranges (with honest caveats)
Because utilities and sites vary, there’s no single official “Ontario hydro connection price.” What you can do is build a planning range and then tighten it with quotes. Here’s a builder-style way to budget:
- ESA notification/inspection: ESA states a minimum residential notification fee of $88 (fee varies by work). Treat this as a floor, not a quote. (It’s typically embedded in your electrician’s price.)
- Typical trenching + conduit (market pricing): On simple sites, trenching and conduit can land in the low thousands. On long rural set-backs, rock, wet ground, or major restoration, it can climb into the tens of thousands. This is market pricing (not a government rate) — get a quote for your actual distance and soil conditions.
- Utility contributions: Some connections fit inside basic allowances; others trigger project-specific contributions (especially when service is far from existing distribution or upgrades are needed). Confirm with your utility’s “offer to connect” or design letter.
If anyone gives you a firm price without asking “how far from the road, overhead or underground, and who’s trenching?”—they’re guessing. And guessing is expensive.
Trenching and poles: what to ask so your quotes are comparable
When you collect quotes (electrician, excavator, utility), make sure everyone is pricing the same scope. Ask these questions:
- Distance: What is the measured distance from the supply point to the meter base? (Not “about there.” Measured.)
- Overhead vs underground: Who is providing what? Is there an allowance/credit for underground? Are there extra charges for poles/anchors on the property?
- Trench spec: Who supplies conduit/duct, sand/bedding, warning tape, and who does final backfill/compaction?
- Restoration: Who repairs driveway/landscaping, and to what standard?
- Timing: What lead time does the utility need to schedule connection and energization?
- Temporary power: Do you need a temporary service for construction? If yes, plan it early so trades aren’t trying to run a jobsite on extension cords and optimism.
100A vs 200A: the decision that ripples through everything
Ontario homes are trending more electric: heat pumps, induction ranges, EV chargers, and secondary suites. That pushes many builds toward 200A service — but not automatically. A smaller, high-performance home with efficient equipment may be fine at 100A, while a larger home with future electrification needs may not be.
Use these two pages together:
- 100 or 200 amp service (decision framework)
- Electrical load + wire size calculator (quick reality check)
And if you’re doing a new build and trying to keep operating costs predictable, don’t ignore the “whole-house math” side of the project. That’s where energy design, insulation strategy, and mechanical sizing meet real life. If you’re comparing build paths, these are useful references: Sustainable home design and cost planning tools.
Common Ontario mistakes (that make hydro more expensive than it needs to be)
- Setting the house too far back “for privacy” without pricing utilities first. Privacy is great; 200 metres of cable is not.
- Deciding underground late after the driveway is installed. Yes, it can be done. No, you won’t love the bill.
- Meter base location chosen for looks instead of service routing and accessibility.
- Forgetting temporary power planning until trades are already booked.
- Not coordinating trenching with other services (water, gas, comms). One trench plan can save serious money.
A homeowner we worked with wanted the house tucked deep into the lot with a sweeping driveway. Beautiful plan — until we priced the service distance and underground request. By adjusting the building position slightly and coordinating the trench path with other services, we kept the “wow factor” and avoided paying luxury prices for invisible infrastructure.
Next steps (how to get a real number for your lot)
Want to turn “I heard it costs…” into an actual plan? Do these three things:
- Measure the distance from the likely supply point to your meter base location.
- Decide overhead vs underground (and whether you need temporary power).
- Run your load assumptions so service size is chosen early.
Still hunting for plan ideas? Where to get house plans.
Ontario FAQ: Hydro connection cost for a new build
Do I need ESA inspection for a new-build hydro connection in Ontario?
Yes. Electrical work in Ontario requires a Notification of Work (often called a permit/notification) with the Electrical Safety Authority (ESA) and inspections as applicable. ESA explains that notification fees vary by the work being done and notes a minimum fee for a residential notification. In practice, your electrician typically includes this in their quote, but you should confirm it’s included and that inspections are scheduled so nothing gets covered up before it’s approved.
What’s the minimum ESA fee for residential work?
ESA states the minimum fee for a residential Notification is $88, and the total varies depending on the work being done. That figure is a minimum — it is not a full project price. For a new build, the electrical scope is larger than a small service call, so your electrician’s quote will reflect the full service entrance work, panel, grounding, and the inspections that go along with that scope.
Why can hydro connection costs vary so much between lots?
Distance and infrastructure are the big swing factors. If your house is close to existing distribution, the connection may fit within standard allowances. If your house is far back, you may need more conductor length, poles, anchors, or a utility project to extend/upgrade the system. Underground service adds trenching, conduit/duct, and restoration. Soil conditions (rock, groundwater) and access (tight lots, finished driveways) can turn a simple trench into a major operation.
Is overhead service cheaper than underground in Ontario?
Often, yes — but not always. Overhead avoids trenching and many restoration costs, which can make it cheaper and simpler. Underground can look cleaner and reduce overhead clearance concerns, but it usually requires trenching, conduit/duct, and careful restoration. Some utilities also charge incremental costs for the difference between overhead and underground secondary wire. The best approach is to compare total installed costs on your specific lot (including restoration), not just the “wire” portion.
Does Hydro One include any distance allowance for new residential connections?
Hydro One’s Conditions of Service describe that, for new residential rate-class connections, a basic connection includes the supply and installation of up to 30 metres of overhead secondary conductor for up to 200-amp service (or an equivalent credit toward underground conductor). It also states customers pay incremental costs such as secondary conductor over 30 metres and poles/anchors/hardware required on the customer’s property. Always confirm details with your utility for your project, but this is a good example of why distance matters so much.
What’s the difference between a “basic connection” and a utility “expansion”?
A basic connection typically means your new service can be connected to existing distribution within standard conditions and allowances. An expansion generally means the utility must extend or upgrade the distribution system to serve your build (new line sections, equipment capacity upgrades, additional poles/transformer work). Expansions can trigger project-specific cost contributions and deposits depending on the utility’s economic evaluation and applicable rules. The practical takeaway: ask early whether your connection is expected to require an expansion, and get that answer in writing.
How do I know if I need 100A or 200A service for a new build?
Start with your electrical loads: heating strategy (heat pump vs gas), electric range, dryer, EV charging, hot tub, secondary suite, and future plans. Many modern Ontario homes trend to 200A, but smaller efficient homes can sometimes work with 100A if loads are managed. The safest approach is to run a load calculation and choose based on your actual equipment plan, not guesswork. Use our internal guidance on 100A vs 200A and validate with the load calculator, then confirm with your electrician.
Should I coordinate my hydro trench with water, gas, or internet?
Yes — coordination is one of the easiest ways to save money on a new build. Your site may need trenches for multiple services: electrical, water service (municipal), gas, communications, and sometimes driveway drainage. A coordinated trench plan can reduce excavation duplication, minimize restoration costs, and avoid conflicts. The key is to follow each utility’s separation requirements and installation specs (depths, conduit types, warning tape), and to coordinate timing so inspections happen before backfill.
Do I need temporary power for construction?
Most builds do — at least for the messy middle: tools, trades, temporary heat, and commissioning equipment. Temporary services can be overhead or underground depending on the site. Planning this early matters because utility scheduling can be a longer lead time than you expect, and trades will burn days if power isn’t ready. Ask your electrician and utility what the quickest compliant temporary setup is for your lot, and whether any additional charges apply for temporary install and removal.
Can I reduce hydro connection costs without compromising the build?
Often, yes — by making planning decisions early. The biggest savings levers are reducing service distance (building placement), choosing overhead vs underground based on total installed cost (including restoration), coordinating trenches with other services, and selecting an appropriate service size based on real loads. Another big lever is avoiding “late switches,” like deciding underground after the driveway is built. The cheapest hydro connection is the one you plan correctly the first time.
What should I have in hand before I request a utility quote?
Bring a site plan or survey (even a simple version), the proposed meter base location, the planned service size (100A/200A), and a rough schedule for when you need temporary and permanent power. Also have a measured distance from the likely supply point to the meter location. Utilities and electricians can only price accurately when they know the route, the distance, and whether the service is overhead or underground. If you give them “somewhere around there,” you’ll get “somewhere around that” pricing — and that’s how budgets get surprised.
Does going “all-electric” change how I should plan my hydro service?
Yes. Heat pumps, electric water heating, induction cooking, EV charging, and future electrification can increase demand and affect service sizing. The smartest approach is to plan the whole house as a system: envelope, mechanical, and electrical all aligned. A tighter, better-insulated home can reduce heating loads, which can help keep electrical demand reasonable — but you still need to plan for peak demand and future upgrades. Do your load calculation early, and don’t forget to include the “future you” loads (like an EV charger) even if you don’t own one yet.
Is this article a substitute for my utility’s rules or an electrician’s design?
No. This is a planning guide to help you ask the right questions and build a realistic budget. Final requirements come from your utility’s connection design and the Ontario Electrical Safety Code enforced via ESA inspections. Always follow your utility’s specifications for service routing, metering location, and trench requirements, and have a licensed electrical contractor design and install the service entrance. If you keep those roles clear, your project goes faster and costs are easier to predict.
