Tillsonburg Council has approved joining ERTH Power Corporation by integrating Tillsonburg Hydro Incorporated into its broader utility network to address rising infrastructure, regulatory, and cybersecurity costs. The move aims to spread roughly $29 million in upgrade costs across a larger system, improving long-term stability and service, but still requires Ontario Energy Board approval.
Tillsonburg Council has approved a major utility partnership that will see Tillsonburg Hydro Incorporated join the ERTH Power Corporation network under its parent organization, ERTH Corporation.
The decision, endorsed at a council meeting on April 21st, follows a review of long-term infrastructure and financial pressures facing the local utility. Officials cited aging infrastructure, rising regulatory demands, cybersecurity requirements, and limited customer base as key challenges for maintaining independent operations.
The Town estimated that required system upgrades could cost about $29 million, a burden that could have significantly increased distribution costs for approximately 8,600 customers. By joining ERTH, officials say those costs and responsibilities will be shared across a larger utility network, helping stabilize rates and improve service capacity.
Under the agreement, Tillsonburg will become the second-largest shareholder in ERTH Corporation, while maintaining local ownership influence within the broader utility structure.
Town officials said the partnership is intended to improve long-term financial sustainability, expand technical expertise, and support infrastructure growth needed for future industrial development. ERTH leadership said the integration will enhance service reliability and provide greater operational scale.
The transaction still requires approval from the Ontario Energy Board, which will assess whether the arrangement meets its “no harm” test for customers.
