GENERAL

Restructuring of the electricity and other energy services industries toward competitive markets is taking place globally. In Ontario, the passage of the Electricity Act, 1998 (the "Act") fundamentally restructured the Province's electricity industry. However, certain property rights enjoyed by the former Ontario Hydro were maintained in the new legislation, including unregistered easement rights. The following summarizes the status of unregistered easements pursuant to the Act:

• Land in Ontario is subject to any unregistered rights taken prior to April 1, 1999, in favour of the former Ontario Hydro.
• Land continues to be subject to these unregistered easements until either the right expires (if there is a defined term) or until such unregistered easement is released by the holder of the right (Hydro One Networks Inc. or any subsequent assignees).
• Hydro One Networks Inc. has an obligation to provide certain information with respect to these unregistered easements rights on request of any interested parties.