OPA collecting input for design of large renewable procurement

 

Toronto: The Ontario Power Authority is currently collecting advice from stakeholders and the public that it will use in designing the program for procurement of large renewable power projects in future. The FIT program has been sub-divided into three programs, for large, small and micro-embedded scale projects. The program for large renewable projects is under review, pending the outcome of the OPA’s current process to develop a new framework for competitive procurement of large renewable power projects.

          Final recommendations on the design of large renewable procurement program are expected later this year, likely in association with the release of the Long Term Energy Plan. However, interim recommendations were submitted to Minister Chiarelli on August 30, and shared with the public as part the consultation. The interim recommendations appear to represent a refinement of existing OPA systems for competitive procurement of renewables, albeit with a much enhanced focused on community consultation in the early stages of project development.

          Recommendations of the August 30 report included the following:

Leading to the launch of the procurement:

• Continue and expand the municipal, First Nation and Métis, and stakeholder engagement activities in the fall of 2013

• The Long Term Energy Plan (LTEP) should advise on quantity and timing of new resources to be procured

• Generation procurement should follow the provincial and/or regional electricity system need

• Conduct multiple successive rounds of procurements (e.g., whether by technology, size or area of need)

• Procurement need, goals and expectations need to be clearly set out and understood by all parties

• Municipal electricity generation preferences should be considered

• Conduct local outreach prior to procurement commencement

 

Components to be included in the procurement

• Continue procuring through the Request-for-Proposal (RFP) model

• Project bid price should remain a key RFP evaluation factor

• Proponent experience and financial capability should be considered

• Continue to encourage community, Aboriginal, municipal and public sector entity participation through procurement incentive mechanisms

• Site due diligence evidence should be required

• Interconnection information and cost estimates provided earlier in the process

• Provide greater municipal control over land use and siting

• Require community engagement sessions and council deputations during the RFP phase

• Minimum community acceptance criteria should be considered

• Further clarity on OPG participation is needed

• Conduct further research on technology bundling.

          Consultation will continue through fall 2013. Related information will be posted on the OPA web site. Feedback on the development of the large renewable procurement process and the interim recommendations report can be sent to This email address is being protected from spambots. You need JavaScript enabled to view it..