Input to the public…

Input to the public consultation on the proposed amendments to O.Reg. 429/04

JAZZ Solar Solutions Inc. is pleased to provide feedback on the proposed amendments under the Electricity Act, 1998 to Ontario Regulation 429/04 in support of its collaboration partner the Taykwa Tagamou Nation (TTN).

The proposed change would require amendments to O. Reg. 429/04, Adjustments Under Section 25.33 of the Act, made under the Electricity Act, 1998.

The province needs to procure new clean electricity resources to meet the province's growing energy needs. Earlier this year the province launched an electricity capacity resource procurement. These proposed amendments aim to support the growth of new clean generation in the province by allowing Industrial Conservation Initiative (ICI) participants to offset their facility's demand in the top five peak hours of a base period through power purchase agreements (PPAs) with renewable generation facilities that are not connected behind the facility's meter. The types of technologies that could be eligible under the proposal may include wind, solar, small hydroelectric (i.e., less than 10 megawatts), biofuel and battery storage.

The proposal would allow qualifying ICI participants to reduce their peak demand factors by offsetting their demand in the five highest demand hours of a base period with certain eligible renewable generation contracted under a PPA. The proposal would be similar to "virtual" net metering arrangements for qualifying ICI participants, whereby the contracted generation would be treated as if it is supplied to the ICI participant behind-the-meter for the purpose of determining GA charges and could, in addition to providing system benefits, enhance industrial competitiveness in the province and support new clean generation. The proposed effective date for the amendments is May 1, 2024.

Specific Input and Feedback

JAZZ Solar Solutions Inc. (JAZZ) works closely with indigenous communities in Ontario and has collaborated on many projects with the Taykwa Tagamou Nation (TTN). JAZZ is proposing that in the design of the procurement of renewable electricity to supply electricity to participants in the ICI program, that there be a carve out of the eligible and participating generation capacity that wishes to participate, and require that a minimum percentage of all capacity must be developed by or sited on Indigenous Communities.

Additionally, JAZZ would like the government to consider requiring Indigenous participation in the eligibility criteria for generators wishing to supply ICI customers, such that the Indigenous community will be able to meaningfully participate and benefit from continued development of new renewable energy facilities, or benefit from the repowering and redevelopment of existing renewable energy facilities.

The proposed carve out would be in the spirit of similar carve out provisions that have been provided in prior provincial energy programs. An example would be the capacity set aside provisions of the Feed-In-Tariff program. Including a First Nations carve out in the amended regulations would clearly demonstrate the provinces continued commitment to supporting First Nations communities.