Toronto: On September 19, the IESO formally outlined its latest plans to commission research on the design of future export tariffs, and invited stakeholders to comment. The fees charged for export transmission service have been contentious for some time, remaining unresolved despite receiving attention at recent transmission rate hearings.
The OEB has asked the IESO to co-ordinate research into an appropriate export tariff, and report back next year. The IESO, in its presentation to stakeholders in September, explained that “To contain the costs of the research, the IESO is proposing to study five options,” and two proposed rate designs. They are as follows:
1) Flat rate
a) $0/MWh
b) Status quo ($2/MWh)
c) Equivalent average network charge
2) Two-tiered (on-peak/off-peak)
a) $0/MWh off-peak / equivalent average network charge on-peak
b) Open to other proposals
The IESO expects to present the preliminary study findings in February 2012, and to publish the Final Report and submit to the OEB in March 2012.