Revised northern industrial electricity rate program

ERO number
012-7448
Notice type
Regulation
Act
Mining Act, R.S.O. 1990
Posted by
Ministry of Energy, Northern Development and Mines
Transferred to
Ministry of Northern Development
Notice stage
Decision
Decision posted
Comment period
April 26, 2016 - May 26, 2016 (30 days) Closed
Last updated

This consultation was open from:
April 26, 2016
to May 26, 2016

Decision summary

We have considered the comments received on our proposal posting and have developed updates to the design of the NIERprogram.

Decision details

The purpose of our proposal was to solicit input on the proposed design of the future Northern Industrial Electricity Rate (NIER) Program that was proposed to provide ongoing support for northern industrial facilities starting on April 1, 2017.

The proposal was intended to support and retain large electricity users, as well as promote competitiveness and jobs in Northern Ontario.

The existing term of the (NIER) Program was launched in June 2017 and is scheduled to expire in March 2022.  Based on direction from government through revised program parameter approval at Cabinet and Treasury Board / Management Board of Cabinet, updates to the program included the following:

  • Extending the (NIER) program participation term from three to five years, ensuring businesses can count on greater rate stability for longer;
  • Accepting more new companies into the program sooner so that more businesses can benefit from more stable rates;
  • Connecting the rebate level to current electricity usage more accurately; and
  • Encouraging participants to report on activities they are undertaking to address climate change within their organizations.

Comments received

Through the registry

0

By email

5

By mail

0
View comments submitted through the registry

Effects of consultation

The comments received through the posting were generally supportive of the (NIER) Program, advocating continued support for large northern industries and highlighting the program’s significance for sustaining operations of program participants.

Input was also received on specific aspects of the (NIER) Program, including comments which:

  • Demonstrated strong support for the ongoing nature of the (NIER) Program;
  • Encouraged an alternative approach for allocating a participant’s facility caps from the current method;
  • Noted the difficulty for companies currently not in the program to gain access to the program;
  • Encouraged raising the maximum rebates a company may receive; and
  • Supported the positive environmental impact of the (NIER) Program to reduce energy usage and instill a culture of energy conservation among participants.

ENDM considered the written comments submitted and took the comments into consideration as the design of the revised program was developed.

Supporting materials

View materials in person

Some supporting materials may not be available online. If this is the case, you can request to view the materials in person.

Get in touch with the office listed below to find out if materials are available.

Connect with us

Contact

Jamie Brunette

Phone number
Office
Strategic Initiatives Branch
Address

159 Cedar Street
Suite 700
Sudbury, ON
P3E 6A5
Canada

Office phone number

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Original proposal

ERO number
012-7448
Notice type
Regulation
Act
Mining Act, R.S.O. 1990
Posted by
Ministry of Northern Development and Mines
Proposal posted

Comment period

April 26, 2016 - May 26, 2016 (30 days)

Proposal details

Description of policy

The Ministry of Northern Development and Mines (MNDM) is seeking input on potential program changes to the Northern Industrial Electricity Rate (NIER) program. The current program expired on March 31, 2016 and was extended for one year to end on March 31, 2017.

In the 2015 Budget, the government announced its commitment to ongoing support for northern industrial facilities beyond March 2016, with continued investment of up to $120 million annually. The government is undertaking a review of the program and is considering options for a long-term approach.

The goal of the ongoing program is to provide large northern industrial electricity users, with relief of cost pressures related to electricity prices, while promoting energy and electricity conservation, competitiveness and jobs in northern Ontario.

Current NIER program participants receive a rebate of two cents per kilowatt hour, with individual rebates capped at 2011-12 consumption levels, or $20 million per year per company – whichever is lower. Participants are required to develop and implement an energy management plan to manage their energy usage and reduce costs.

MNDM would like to consider options, including carrying forward the NIER program in its current format.

MNDM does not expect the NIER program to have any significant direct environmental impacts for Ontario.

Purpose of policy

The purpose of the proposal is to solicit input on the proposed design of the future NIER program that provides ongoing support for northern industrial facilities starting on April 1, 2017.

This proposal looks to support and retain large electricity users, as well as promote competitiveness and jobs in northern Ontario.

Other information

This notice was updated on October 19, 2016 to provide the following information: The Ministry of Northern Development and Mines (MNDM) solicited input on the design of the future NIER program by posting on the Environmental Registry from April 26, 2016 until May 26, 2016, for a total of 30 days. A final decision on the design of the ongoing program has not been made. MNDM is continuing to develop and review options for the revised program.

Public consultation

This proposal was posted for a 30 day public review and comment period starting April 26, 2016. Comments were to be received by May 26, 2016.

All comments received during the comment period are being considered as part of the decision-making process by the Ministry.

Please Note: All comments and submissions received have become part of the public record.

Supporting materials

View materials in person

Some supporting materials may not be available online. If this is the case, you can request to view the materials in person.

Get in touch with the office listed below to find out if materials are available.

Comment

Commenting is now closed.

This consultation was open from April 26, 2016
to May 26, 2016

Connect with us

Contact

Jamie Brunette

Phone number
Office
Strategic Initiatives Branch
Address

159 Cedar Street
Suite 700
Sudbury, ON
P3E 6A5
Canada

Office phone number