The Ontario government is seeking input from the public as it updates its Long-Term Energy Plan. The Ministry of Energy notes that “this updated plan will help guide the province as it continues to build a reliable, clean and cost-effective electricity system for Ontario families now and for our children and grandchildren into the future.”
To facilitate the discussion, the ministry is asking Ontarians for their views on the supply mix, conservation, the role of transmission and other questions. APPrO made a presentation to the Ministry of Energy on October 13 providing its initial input on the LTEP. APPrO stressed that “The plan must rest on well-defined organizing and governance principles,” noting in particular that, “The objective in electricity sector decisions should be to maximize the net benefit to Ontario taking into account economic and environmental impacts in a transparent and consistently applied process.”
APPrO President Dave Butters put forward the following foundational principles for the LTEP:
• Clear and coherent
• Economically rational and cost effective
• Transparent and analytic
• Integrated and flexible
• Achievable and measurable
• Being clear about the role of commercial businesses in the system.
APPrO also said the LTEP must be “executable,” and observed that in order to achieve this quality it must:
• Have clear objectives, timelines and deliverables and be based on sound planning principles, including functionality, operability, integration, economic efficiency, achievability, measurability
• Be based on realistic & transparent analysis, including how it interfaces with the electricity market + a cost-benefit analysis (taking into account the various governance parameters) in order to justify the plan.
Summarizing generator concerns, Mr. Butters noted that the LTEP should:
• Require a balanced mix of resources
• Reflect an enduring set of transparent organizing and governing principles
• Optimize the integration of agencies and contracts within market structures to achieve best price outcomes within an economically rational and efficient framework, and
• Be built on sound and transparent analysis.
Finally, as noted by APPrO and many others, the roles of the agencies and the government need to be kept clear: Government should set policy and let the agencies get on with the job.
For more information on the LTEP, please see the Ministry of Energy website (currently www.mei.gov.on.ca/en/ ) and look for “Ontario’s Long-Term Energy Plan.”