September Deadline: Last Chance to Participate in Ontario’s Large Renewable Procurement Program

The Independent Electricity System Operator (IESO) has issued final materials for phase two of Ontario’s Large Renewable Procurement Program (LRP II). The deadline for submitting a qualification submission to the IESO is September 8, 2016. This is expected to be the last opportunity to participate in the LRP because the Minister of Energy has directed the IESO not to undertake a third round of the LRP. For further information about the LRP, please see our June 2016 Blakes Bulletin: Ontario’s Large Renewable Procurement Program Recharges for Phase II, RFQ Stage Expected in August.

In LRP II, the IESO is seeking submissions (Qualification Submissions) from parties interested in qualifying to participate in any future potential LRP II Request for Proposals (LRP II RFP) for up to 600 MW of on-shore wind, 250 MW of solar, 50 MW of waterpower and 30 MW of bioenergy. In addition, 50 MW will be procured, which may include a focus toward technological upgrades to and optimizations of existing renewable generation facilities.

To qualify to participate in any future LRP II RFP, a party must deliver a completed Qualification Submission to the IESO by the September 8, 2016 deadline, and the IESO must determine the party to be a qualified applicant in accordance with the criteria set out in the LRP II Request For Qualification (LRP II RFQ) materials, which are available on the IESO’s LRP website.

In the RFQ stage, the IESO will not qualify specific projects; rather, the IESO will determine whether an applicant has sufficient development experience and financial resources to develop the renewable projects proposed under any potential LRP II RFP.

In addition to seeking Qualification Submissions for new renewable projects, the IESO is also using the LRP II RFQ process to explore the feasibility of procuring additional generation from: technological upgrades to, and optimizations of, existing renewable generation facilities; expansions; and facility service extensions.

A technological upgrade of an existing renewable generation facility may involve the replacement or optimization of existing equipment to increase the existing facility’s generating capacity. An expansion is the addition of generating units to a current renewable generation facility that are not replacing any existing generation equipment and are separately metered from the existing facility. A facility service extension is applicable to a renewable facility that is not owned by a rate regulated utility and that had a contract with the IESO, Ontario Power Authority or Ontario Electricity Financial Corporation that expired at least 12 months prior to July 29, 2016.

The IESO will respond publicly to questions and comments received from RFQ applicants prior to two question submission deadlines:

  • August 5, 2016, for questions on the final materials
  • August 25, 2016, for any additional questions, including questions on any potential addenda issued by the IESO

For further information or for assistance in participating in LRP II, please contact one of the following members of the Blakes Power group (Toronto):

Bryson Stokes                        416-863-2179
Kenneth Pearce                      416-863-3286
Sharon Wong                          416-863-4178
Mark Johnson                         416-863-3318
Catherine Doyle                      416-863-4160
Vivian Kung                             416-863-4253

Blakes and Blakes Business Class communications are intended for informational purposes only and do not constitute legal advice or an opinion on any issue.

We would be pleased to provide additional details or advice about specific situations if desired.

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