Powering a Greener Toronto: How Toronto Hydro Earned Top Sustainability Honors

TORONTO, ON – June 23, 2026 – Toronto Hydro has solidified its position as a leader in corporate sustainability, securing the third-place ranking among Canadian electricity transmission and distribution utilities in Corporate Knights Magazine's prestigious annual evaluation. This recognition highlights the utility's deep-seated commitment to building a reliable, affordable, and sustainable energy future for Canada's largest urban center. The achievements are detailed in the company's 2025 Sustainability Report, which chronicles a year of significant investment and progress in modernizing the city's power grid.

"This recognition by Corporate Knights reflects the progress we're making to deliver a more resilient and customer-focused electricity system for Toronto," said Jana Mosley, President & CEO of Toronto Hydro. "As customer energy needs evolve and electricity demand grows, we're focused on modernizing our grid and customer services with safety and sustainability at the forefront of our efforts, ensuring every investment we make strengthens reliability, affordability and resiliency for the city we serve."

A Rigorous Benchmark for Sustainability

Securing a top spot in the Corporate Knights ranking is no small feat. The evaluation process is a rigorous, data-driven analysis of over 350 Canadian companies, with performance benchmarked against industry peers using publicly available information. For its 2026 rankings, Corporate Knights sharpened its focus, shifting its methodology to emphasize three equally weighted financial metrics: the percentage of capital expenditures and revenue derived from sustainable sources, and the growth momentum of that sustainable revenue. This change signals a broader industry shift, moving beyond aspirational goals to reward tangible financial commitments to the green transition.

Toronto Hydro's consistent high performance—placing first in its category in 2025 and second in 2024—demonstrates a sustained, strategic focus on embedding environmental, social, and governance (ESG) principles into its core operations. This places the utility in the company of other leading Canadian energy providers like Alectra Inc. and BC Hydro, all of which are making substantial investments in grid modernization and emissions reduction. The competitive landscape underscores a national trend where utilities are no longer just delivering power but are becoming central players in achieving ambitious climate goals. Interestingly, the top overall spots in the 2026 ranking were claimed by pure-play renewable energy generators, highlighting the structural advantage of companies born in the green economy and setting a high bar for traditional utilities undergoing complex transitions.

The Billion-Dollar Bet on a Modern Grid

At the heart of Toronto Hydro's strategy is a massive capital investment program designed to overhaul its aging infrastructure and prepare for a radically different energy future. The utility invested over $940 million in 2025 alone to modernize its systems, improve reliability, and support the city's relentless growth. This single-year expenditure is part of a much larger, ambitious $5.1 billion five-year investment plan approved for 2025-2029.

This investment directly addresses the dual challenges of operating in a dense urban environment with legacy infrastructure while preparing for an estimated 75-100% increase in electricity demand by 2050. The funds are being allocated to critical areas such as replacing end-of-life equipment, expanding capacity to connect new housing and commercial developments, and integrating smart grid technologies. These upgrades are essential not only for maintaining stable power today but also for building a resilient grid capable of withstanding the impacts of climate change and supporting a widespread shift to electrification. This forward-looking investment is fundamental to achieving the company's goal of reaching net-zero Scope 1 emissions by 2040, a target it is on track for after reducing these direct emissions by 17% compared to a 2019 baseline.

Tangible Impacts for Torontonians

While corporate rankings and billion-dollar figures can seem abstract, Toronto Hydro's sustainability initiatives are delivering concrete benefits that impact the daily lives of the more than 3 million people and businesses it serves. The push for electrification is one of the most visible examples. In 2025, the utility facilitated the connection of 264 electric vehicle (EV) charger connections across 44 locations and celebrated a major milestone by powering the 500th EV charger for the Toronto Parking Authority. By simplifying grid connections and offering pilot programs to fast-track installations, the company is actively lowering barriers to EV adoption for residents across the city.

Beyond transportation, the utility is helping residents make their homes greener and more efficient. Its programs supported the installation of 491 heat pumps, a key technology for decarbonizing residential heating. Recognizing that the energy transition must be equitable, Toronto Hydro also provided crucial support to more than 53,000 customers through various affordability and assistance programs, helping to mitigate the financial pressures of rising energy costs. This focus on the social dimension of sustainability is further reflected within the organization itself, which achieved 83% women representation in its executive management, demonstrating a strong commitment to diversity and inclusion at the highest levels of leadership.

Navigating the Challenges of an Urban Energy Transition

Toronto's path to a net-zero future is not without significant hurdles. Funding the necessary grid modernization requires substantial capital, which is primarily recovered through distribution rates paid by customers. While essential for long-term reliability and sustainability, the $5.1 billion investment plan has resulted in approved rate increases for residential customers, presenting a delicate balancing act between progress and affordability. The utility continues to engage with the public on its investment plans, seeking to build understanding and consensus around the need for these foundational upgrades.

Simultaneously, the operator must ensure the grid is fortified against both physical and digital threats, from extreme weather events exacerbated by climate change to the ever-present risk of cyberattacks on critical infrastructure. As Toronto continues to grow and electrify, the complexity of managing the grid will only increase. Integrating distributed energy resources like rooftop solar and enabling two-way power flows from EVs and home batteries requires an intelligent, flexible, and exceptionally resilient network. Toronto Hydro's strategy and investments are squarely aimed at building that grid, ensuring the city's power system is ready to empower customers and support a brighter, more electrified future.