Powering Forward: Expanding our Network for a More Sustainable Energy Future
The electricity sector is undergoing rapid change, with increasing regulatory requirements, aging infrastructure, growing cybersecurity threats, rising demand, and evolving customer expectations creating significant challenges for smaller utilities. Ontario’s Independent Electricity System Operator estimates that demand for electricity will increase by 75 per cent over the next 25 years. The demand is being driven by the electrification of manufacturing, AI data centres, electric vehicles and other electric devices in a growing population.
On December 8, 2025, Westario Power’s Board of Directors announced its intention to sell the company to ERTH Corporation and recommended that shareholders approve the proposed sale. At the same time, ERTH Corporation announced its intent to acquire shares of Westario Power, which would expand ERTH Power’s service territory to 30 communities across seven counties.
The proposed sale is part of a broader provincial trend to consolidate small utilities to ensure they can meet rising electricity demands, maintain stable rates and respond quickly to power outages amid unpredictable weather in a changing climate.
Learn More and Have Your Say
Community input is important to us. We invite community members to learn more, ask questions, and share their feedback using the frequently asked questions and online feedback form below.
Frequently Asked Questions
ERTH will purchase all shares of Westario Power and operate it as a standalone local distribution company (LDC) for a period of up to three years, at which time Westario will be merged with ERTH Power to create a merged LDC.
Should the agreement be approved, it will:
- Protect the jobs of employees
- Maintain customer electricity rates and only increase at the rate of inflation
- Maintain the high standard of service for response times and restoring service outages
- Maintain Westario’s existing administration and operations facility as the central operations facility for the Westario service territory
- Provide a 24-hour emergency remote control room that responds to power outages and electrical emergencies at any time
- Continue partnerships and collaborations with local community charities and partners
The agreement must be approved by all nine Westario shareholders. Should they approve, it will go to the Ontario Energy Board for review and approval. That approval is expected in 2026.
The Ontario Energy Board uses a “no harm” test to review sales or mergers. The test ensures that any deal will not harm the interests of consumers with respect to price, quality of service and the reliability of electricity service. The OEB evaluates applications based on whether the consolidation will maintain or improve these aspects for consumers.
Westario Power is confident this sale will benefit their customers, employees and the communities by making sure the utility can meet the demands of electrification, growth and climate change. Westario Power had the opportunity to take their time and carefully consider many options, and with the support of a steering committee and expert working groups, to hear from many interested buyers before determining that a sale to ERTH would be the right choice for their staff, customers and shareholders.
Ontario’s Independent Electricity System Operator estimates that demand for electricity will increase by 75 per cent over the next 25 years. The demand is being driven by the electrification of manufacturing, AI data centres, electric vehicles and other electric devices in a growing population. The decision by Westario Power’s Board to sell the company is part of a broader provincial trend to consolidate small utilities to ensure they can meet rising electricity demands, ensure stable rates and respond quickly to power outages amid unpredictable weather in a changing climate.
For ERTH Corporation, growth opportunities like this are rare and will allow ERTH Power to better meet the future energy needs of its communities by leveraging economies of scale, expanding resources, and increasing capacity to invest in grid modernization and advanced technologies.
Ontarians expect that their local distribution company will provide safe, reliable, cost-effective electricity. This requires modernizing the power grid, improving the grid’s overall resilience, and directly supporting Ontario’s plans for growth in housing.
The government supports voluntary consolidation in the electricity distribution sector which can support Ontario’s electrification needs and improve services for customers well into the future.
The consolidation of small utilities, like Westario Power, has been the focus of the government and has been documented as being in the best interests of the industry and electricity customers.
Eventually Westario Power’s name and branding will change, but for the foreseeable future bills will still come from Westario and customers will continue to contact Westario customer service.
ERTH Power customers will not see any changes to their service or rates related to the acquisition. Over time, customers will benefit from efficiencies gained through economies of scale, expanded resources, and increased capacity to invest in grid modernization and advanced technologies, which can enhance reliability and the overall customer experience. Employees will also benefit from new growth and development opportunities.
ERTH Corporation is a municipal holding company jointly owned by nine Ontario municipalities. Its regulated subsidiary, ERTH Power Corporation, currently distributes electricity to more than 25,000 customers across 15 communities in southwestern Ontario. Through its non-regulated businesses, ERTH has become a leading provider of technology solutions, utility construction, lighting, and energy services for utilities, municipalities, and commercial and industrial clients throughout North America.
Westario Power provides safe, reliable delivery of electricity to 24,500 customers and maintains the substations within 746km of distribution lines at a high rate of efficiency. It is, and will continue to be community-owned, supplying electricity to Port Elgin, Kincardine, Hanover, Southampton, Walkerton, Wingham, Palmerston, Harriston, Lucknow, Mildmay, Teeswater, Clifford, Ripley, Neustadt, and Elmwood.
The following chart outlines the guiding principles for a successful partnership.
The Westario transaction is a full acquisition of 100 percent of Westario Power’s shares, not a merger. As a result, ERTH’s corporate structure and shareholder equity will remain unchanged.
We’re committed to keeping you informed throughout this process with regular updates via our website and social media when there’s news to share. Community members may also submit feedback through our online form.
