The IESO is requesting a nine per cent reduction in its usage fee in its revenue requirement submission filed with the Ontario Energy Board on January 19. The 2016-2018 Business Plan, which reflects the annual savings of $5 million from merging the IESO with the Ontario Power Authority, formed part of the submission.
Further elements of the plan lead to projected savings of more than $10 million by 2018, allowing the IESO to request a lower fee. The IESO is seeking approval of a proposed 2016 revenue requirement of $181.1 million to be recovered through a usage fee of $1.13 per MWh, effective January 1, 2016. This fee represents a nine per cent reduction compared to the combined current IESO usage fee of $0.803/MWh and the current Ontario Power Authority usage fee of $0.439/MWh. However, this results from additional fees levied on exports. The issue of whether fees should be charged on exports was raised in an OPA fees hearing in 2010. APPrO objected and the OEB refused the OPA’s request in 2010. The current fees were made interim effective January 1, 2016.
The IESO’s three strategic themes – “providing public value, building corporate resilience, and respecting and valuing our stakeholders” – formed the context for its business planning. The plan outlines the IESO’s focus and deliverables over the business planning period in each of its business units. Engagement initiatives and the IESO’s Stakeholder Advisory Committee will continue to play an important role in providing input into the IESO’s decision-making.
See the IESO fee submission at http://www.ieso.ca/Documents/corp/IESO-APP-EVD-EB-2015-0275-2016-01-19.pdf.