Recently, members have noticed that the incoming Ontario government has taken steps to eliminate spending on renewable energy and efficiency programs. Based on the rhetoric we heard prior to the election, this is in line with what we had expected, and should not affect our CED Co-op portfolio of projects.
The cancellation of the GreenON program was recently announced. This program offered rebates and incentives for a variety of initiatives, including energy efficiency measures and home retrofits.
CED Co-op’s solar projects are not part of the GreenON program. All of our systems were built with 20-year generation contracts through the Feed-In Tariff program.
When it comes to FIT contracts, there is the potential for the IESO to hold back projects that have not started construction by deferring granting them Notice To Proceed (NTP). All of our projects have already been granted NTP.
The only project that is not fully operational is our system at Erb Transport. It has been granted NTP, but has not reached its Commercial Operation (COD). We expect to reach COD by the end of July.
The rest of our projects are fully functioning, generating reliable renewable energy as per the terms of their FIT contracts. There is nothing to lead us to believe that completed projects are at risk. As stated in a previous post, the government does not get out of contracts cheaply or easily, nor would the cancellation of FIT contracts significantly reduce the price of electricity in the province.
We continue to stay abreast of news from the provincial government, and engaged with industry organization like the Canadian Solar Industries Association (CanSIA). As always, we will keep our members informed of any significant developments in the renewable energy industry.
As advocates for solar power in Ontario, you can continue to share your support, help inform your community, and speak with your elected officials about the benefits of renewable energy.
If you have any questions, please contact us.