Hydro One’s role in connecting generation reaches new heights
Hydro One, with one of the most extensive electrical grids in North America, has been quietly managing one of the largest challenges faced by any grid owner: How to adapt its legacy system, particularly the “radial” part of it, to serve a highly diverse generation market, and deal systematically with an avalanche of connection requests in all size categories.
Since the launch of Ontario’s FIT program, and even before, Hydro One has been working intensively on setting up new systems to serve generation applicants, while ensuring that the grid is safe and efficient overall and that unreasonable burdens are not imposed on other users of the system.
While many standards and processes have been established and revised over the last four years, recent changes, from the launch of the FIT 2.0 program to the removal of the Economic Connection Test process, have led Hydro One to further refine key rules and procedures in recent months. To many people, the latest iteration of Hydro One’s connection processes has reached an important point with the finalization of the FIT 2.0 rules, representing the culmination of many years of effort and attaining what is likely the most finely-tuned and stable set of rules yet. “I think we have achieved a significant level of resolution,” says APPrO Executive Director Jake Brooks. “Generators who haven’t yet become familiar with the connection processes would be wise to do so now.”
Despite the progress, Hydro One connection services have not always met the needs or expectations of generators. Issues have been reported in the media on several occasions where generators or would-be generators have complained of serious problems, even stranding assets. In fact, it’s almost impossible to know with certainty how many of these problems are due to issues on the system side versus issues on the generator side, or weaknesses in the rules. Fortunately, as the players gain experience with an established and relatively stable set of rules and procedures, it will become more straightforward to assess where responsibility lies in cases of dispute. What is certain is that Hydro One along with other grid owners has moved definitively from a system in which distributed generation connections were rare exceptions to one where they are the norm. Hydro One’s performance is now judged to a significant degree by how well it does at responding to generation connection applications.
Without a doubt, this is a moving picture. Crucial issues continue to evolve, from the OEB rules that govern the system to the volume and timing of the next round of generation contracts from the OPA. Of course the potential range of solutions is very different at the transmission level, which is governed by the Transmission System Code (TSC), compared to the distribution level, which is governed by the Distribution System Code (DSC).
Notably, the TSC and DSC use different approaches for determining connection timelines and cost responsibility. The distinct methods used by other distribution and transmission companies to apply these approaches in their specific situations will add even more texture.
In this issue of IPPSO FACTO, we present an overview of the current connection processes used by Hydro One in Ontario, outline the substantial progress in connecting generators to date, and examine some of the challenges that still lie ahead.
In an effort to enrich the flow of communication, Hydro One recently launched a new electronic newsletter called “Next Generation.” In its first edition, the newsletter said Hydro One “takes pride in providing its Generation customers with information that is relevant to the operation and management of their facilities.” It is automatically distributed to everyone listed as a project contact in Schedule F of a Distribution Connection Agreement (DCA).
For ongoing information and other generation updates, generators are invited to visit Hydro One’s website at www.HydroOne.com/Generators.
See also our related story “A host of issues to address in getting the system ready for DG” interview with Jan Carr, IPPSO FACTO, January 2009 (https://magazine.appro.org).
Links to all five stories in this special feature:
Managing countless connections: A closer look at Hydro One’s evolving connection processes
Hydro One’s progress to date in connecting generation
An updated overview of how connection processes work today
Policy questions that may determine the future
Online tool helps generators and other customers