1 / 16

Challenges and Opportunities in Ontario’s Electricity Sector Cross-Border Forum on Energy Issues

Challenges and Opportunities in Ontario’s Electricity Sector Cross-Border Forum on Energy Issues March 2, 2006 – Washington, D.C. Rick Jennings Assistant Deputy Minister (A), Office of Energy Supply Ontario Ministry of Energy, Toronto. Energy Jurisdiction in Canada. Provinces :

jasonpaige
Download Presentation

Challenges and Opportunities in Ontario’s Electricity Sector Cross-Border Forum on Energy Issues

An Image/Link below is provided (as is) to download presentation Download Policy: Content on the Website is provided to you AS IS for your information and personal use and may not be sold / licensed / shared on other websites without getting consent from its author. Content is provided to you AS IS for your information and personal use only. Download presentation by click this link. While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server. During download, if you can't get a presentation, the file might be deleted by the publisher.

E N D

Presentation Transcript

  1. Challenges and Opportunities in Ontario’s Electricity Sector Cross-Border Forum on Energy Issues March 2, 2006 – Washington, D.C. Rick Jennings Assistant Deputy Minister (A), Office of Energy Supply Ontario Ministry of Energy, Toronto

  2. Energy Jurisdiction in Canada • Provinces: • Main energy jurisdiction, including intra-provincial electricity market, generation, transmission and distribution. Federal Government: • Inter-provincial and international energy matters, inc. transboundary transmission and generation.

  3. Areas of Federal/Provincial Cooperation • Canada/U.S. Bilateral Electricity Reliability Oversight Group: - New ERO (2005 FERC NPR) - Joint NERC/Canada and NERC/Provinces reliability MOU’s • East-West Canadian Transmission Grid • Regulatory Reform: Advance New Supply

  4. Canada’s Electricity Supply Balance

  5. Ontario’s Electricity Supply Balance

  6. Source: Canadian Electricity Association • BC • Wholesale access with industrial open access applied for and expected later in 2005 • Independent Xmssn entity NL Energy policies under review PEI Distribution Network only • SASK • Wholesale open access • Functional separation • QUE • Wholesale open access • Functional separation • Wholesale competition for domestic load >165 Twh • AB • Mandatory Power Pool • Wholesale & retail open access since 2001 • Regulated retail rates until July 2006 • Functional separation with ISO • Voluntary divesture (one ITC) • Independent Market Surveillance Administrator • NS • Wholesale open access • Functional Separation • MAN • Wholesale open access • Functional separation • Coordinating member of MISO RTO • NB • Wholesale & large industrial open access • Bilateral market open and creation of independent NB System Operator in 2004 • ON • Industry unbundling in 1998 • Wholesale & retail open access since 2002 • Changes in resource planning, pricing & acquisition in 2005 including creation of Ontario Power Authority (OPA) Status of Canadian Market Restructuring: June 2005

  7. Electricity Restructuring: New Institutional Structure • Ministry of Energy • Overall policy/legislative framework • Sets targets for technology, conservation, renewables. LargeConsumers CompetitiveGenerators Independent Electricity System Operator (IESO) EnergyRetailers • Ontario Energy Board • Guarantees public input/fairness • Approves prices for price regulated generators; oversees contracts for new supply Fixed-PriceGenerators (e.g., OPG Nuclear and Baseload Hydro) SmallConsumers RegulatedPricePlan • Ontario Power Authority • Prepares integrated system • Contracts for new supply and DSM • Manages regulated price plan • Conservation Bureau

  8. Ontario Generation Mix (2005) www.ieso.ca/imoweb/pubs/media/10yearOutlook-highlights-2005jul.pdf Misc.: 0.2%

  9. Ontario Electricity Prices 2005 Simple Average HOEP $68.49/MWh Market Open to Jan. 31, 2006 Simple Average HOEP $56.46/MWh 2004 Simple Average HOEP $49.95/MWh 2006 YTD Simple Average HOEP $54.35/MWh Weekly Simple Average HOEP

  10. Coal Replacement Scenario http://www.ieso.ca/imoweb/pubs/media/10yearOutlook-highlights-2005jul.pdf

  11. New Energy Supply Initiatives Renewables RFPs 1,600 MW Clean Energy/DSM RFPs 1,955 MW OPA procurement 3,770 MW Niagara Tunnel ~200 MW Thunder Bay conversion 310 MW Nuclear refurbishment 2,055 MW Manitoba CTI 400 MW Total ~10,290 MW

  12. Potential Intertie Expansions Source: Hydro One Manitoba (+ up to 1500 MW) Quebec (+1250 MW) Minnesota New York Michigan (+ 500 MW) Niagara (+ 800 MW) PJM (+ up to 975 MW)

  13. Ontario’s Future Electricity Supply Mix Ontario Power Authority Electricity Supply Mix Advice Report to government, Dec./05:

  14. Ontario’s Future Electricity Supply Mix (cont’d) • Public consultations in Ontario communities, etc., Feb./06 on. • OPA to finalize demand and transmission forecast, supply mix/CDM options, and transmission requirements by May/06. • OPA to prepare Integrated Power System Plan and submit to Ontario Energy Board by Aug./06.

  15. Ontario’s Future Challenges • Growth and supply gap. • Urgent need for conservation, new supply and transmission, particularly in Greater Toronto Area. • Needs of Northern and remote communities. • Public opposition to new infrastructure projects.

  16. * Further Information/Questions: Rick Jennings A/Assistant Deputy Minister Office of Energy Supply Ontario Ministry of Energy, Toronto rick.jennings@energy.gov.on.ca Ontario Power Authority www.powerauthority.on.ca Independent Electricity System Operator www.ieso.ca

More Related