MANAGEMENT’S DISCUSSION AND ANALYSIS  approximately a 1.3% decrease in 2015, 4.2% increase in 2016, 2.6% increase in 2017, 1.9% increase in 2018, and 2.9%  increase in 2019, for a typical residential customer consuming 800 kWh per month. When considering total bill impact, the resulting  change will be approximately a 1.1% decrease in 2015, 1.5% increase in 2016, 0.9% increase in 2017, 0.7% increase in 2018,  and 1.1% increase in 2019.  In September 2011, Hydro One Brampton Networks filed an IRM application with the OEB for 2012 distribution rates, with an effective  date of January 1, 2012. In January 2012, the OEB released a decision that resulted in a reduction in distribution rates of approximately  13.2% for 2012, or a 1.7% reduction on the average customer’s total bill, for a typical residential customer consuming 800 kWh per month. These rate reductions were primarily due to OEB-approved adjustments to depreciation rates.  In August 2012, Hydro One Brampton Networks filed an IRM application with the OEB for 2013 distribution rates, to be effective  January 1, 2013. In December 2012, the OEB released a decision that resulted in an increase in distribution rates of approximately  0.3% for 2013, or less than 0.1% on the average customer’s total bill, for a typical residential customer consuming 800 kWh per month.  In August 2013, Hydro One Brampton Networks filed an IRM application with the OEB for 2014 distribution rates, to be effective  January 1, 2014. On December 5, 2013, the OEB released a decision that resulted in a reduction in distribution rates of approximately 2.5% for 2014, or a 0.5% reduction on the average customer’s total bill, for a typical residential customer consuming 800 kWh per month.  In November 2011, Hydro One Remote Communities filed an IRM application with the OEB for 2012 distribution rates. In March  2012, the OEB approved an increase of approximately 1.08% to basic rates for the distribution and generation of electricity, with an  effective date of May 1, 2012, representing an increase of approximately $1 on the average residential customer’s total bill.  In September 2012, Hydro One Remote Communities filed a cost-of-service application with the OEB for 2013 distribution rates,  seeking approval for a 2013 revenue requirement of $53 million. In August 2013, the OEB issued a final decision approving a revenue requirement of $51 million and rate increase of approximately 3.45%, with an effective date of May 1, 2013.   In October 2013, Hydro One Remote Communities filed an IRM application with the OEB for 2014 distribution, seeking approval for a rate increase of approximately 0.48%, to be effective May 1, 2014.  In 2010, the Ministry of Energy released Ontario’s LTEP, which set out the province’s expected electricity needs until 2030 and supported the  continued procurement of new, cleaner generation. The 2010 LTEP addressed seven key areas: demand, supply, conservation, transmission,  Aboriginal communities, capital investments, and electricity prices.  On December 2, 2013, the Province released its updated LTEP,  Achieving Balance , which sets out the Province’s plan of action for the  energy sector, including strategies for mitigating increases in electricity rates; increased renewable energy procurement; nuclear refurbishment;  enhanced regional planning with respect to energy infrastructure; transmission enhancements; encouraging Aboriginal participation in energy  development, transmission and conservation projects; and the expansion of natural gas infrastructure. The plans are guided by the goal of  balancing five core principles: cost-effectiveness, reliability, clean energy, community engagement, and conservation and demand management  (CDM). Pursuant to the updated LTEP, the Province “will encourage Ontario Power Generation Inc. (OPG) and Hydro One to explore new  business lines and opportunities inside and outside Ontario. These opportunities will help leverage existing areas of expertise and grow  revenues for the benefit of Ontarians.” We will continue to work with the Province to develop business plans and efficiency targets that will  reduce costs and result in significant ratepayer savings. In November 2013, the Minister of Energy issued a directive to the OEB, which in turn issued a decision and order on January 9, 2014, to  amend the transmission licence of Hydro One Networks to develop and seek approval for the Northwest Bulk Transmission Line Project, an  expansion or reinforcement of the transmission system in the area west of Thunder Bay. The scope and timing of the Northwest Bulk Transmission  Line Project shall be in accordance with the recommendations of the OPA. 22 HYDRO ONE ANNUAL REPORT 2013 Recent Industry Developments  Long-Term Energy Plan • Hydro One Remote Communities • Hydro One Brampton Networks