Bill 40: Protect Ontario by Securing Affordable Energy for Generations Act, 2025

The most directly affected businesses are data centre operators and other large electricity-consuming facilities (such as manufacturing plants or crypto-mining operations) in Ontario that need to connect to the power grid — they now face new government approval requirements tied to economic development and job creation criteria before they can get connected. Electricity transmitters and distributors (utilities like Hydro One and local distribution companies) must enforce these new connection rules and could face disconnection obligations if conditions are breached. Gas distributors, gas transmitters, and storage companies operating in Ontario are affected by new procurement restrictions that limit purchasing goods or services from certain foreign countries, adding supply chain compliance costs that may be passed through to ratepayers via deferral accounts. Municipalities across Ontario that grant utility franchises for gas or electricity distribution will find the process faster since they no longer need to hold public votes, which affects local utility providers seeking to expand or renew their operations. Business size matters significantly: the connection restrictions are targeted at large-scale facilities exceeding a prescribed electricity demand threshold, so small businesses drawing modest power are unaffected, while large industrial or tech operations planning major Ontario facilities face a meaningful new regulatory gate.