Area: 1,076,395 km2
Population: 13.5 million
Installed Photovoltaics: 289 MW (2011)
Ontario has a clear lead in Canada’s solar photovoltaic (PV) industry and is even one of the leaders within North America. Approximately 91% of Canada’s 289 MW of PV was installed in Ontario alone, in 2011. Ontario is a leader in Canada’s renewable energy race due to its various procurement programs. These programs have all lead to increases in solar energy investment. It also helps that southern Ontario has one of the greatest solar resources in Canada.
Green Energy and Green Economy Act
In May 2009, Ontario’s government passed the Green Energy and Green Economy Act (GEA). Its main goals are to:
– Promote growth in renewable energy production such as solar, wind, and biomass;
– Encourage energy conservation through savings and well-managed household energy expenditures;
– Create 50,000 jobs for people in Ontario within its first three years.
The GEA promotes energy conservation and attempts to build an economy based on clean energy. This act makes energy efficiency a key part of Ontario’s building codes and creates energy efficiency standards for household appliances. It also works with local electricity utilities to achieve energy conservation targets. Nevertheless, the GEA has been surrounded by some controversy as it demands a certain amount of labour and manufacturing to be done within Ontario in order to receive the tariffs. Ultimately, the GEA is part of Ontario’s effort to protect the environment and prevent climate change.
Ontario’s Feed-in Tariff Programs
One of the GEA’s most prominent features is its Feed-in Tariff (FIT) Program that acts to support its goals. In October 2009, the Renewable Energy Standard Offer Program (RESOP) was replaced by Ontario’s FIT program. RESOP was an incentive offered through the Ontario Power Authority (OPA) which enabled small-scale energy producers to sell their renewable power to the grid at a fixed price.
The FIT program offers a guaranteed funding structure through competitive pricing and long-term contracts for energy that come from renewable sources. Cansia, a national trade organization for Canadian solar companies, stated that FIT is the, “…single largest climate change initiative in North America.” Eligible electricity generators can sign a contract with OPA to sell energy produced by a renewable energy source and receive a fixed amount per kilowatt hour for 20 years. The FIT program is designated for larger solar projects while the microFIT program is intended for installations with a 10 kilowatt capacity or less (ie. homeowners, farmers, and small business owners). The tariff rates are reviewed annually and have decreased since its establishment. As of April 5, 2012, the FIT and microFIT rates are as follows in Table 1. A significant number of PV projects have been installed since FIT was introduced; Table 2 indicates the number of contracts and FIT applications in kilowatts. Approximately 75% of FIT projects are ground-mounted. This program also enabled one of the largest solar parks in the world to be built in Sarnia, Ontario at 97MW.
Table 1. Tariff rates for solar photovoltaic installations for FIT and microFIT program as of April 5, 2012.
|>10 kW ≤100 kW||
|>100 kW ≤500 kW||
|Solar Groundmount||≤10 kW||
|>10 kW ≤500 kW||
|>500 kW ≤5MW||
Table 2. FIT contracts and large FIT applications as of January 31, 2013 (kW for contracts and applications).
Total Contracts (kW)
Existing Applications (kW)
Like most other provinces in Canada, Ontario has a net metering program available for those generating their own power through a renewable source. This program enables consumers to be paid for any excess electricity that is produced. The consumer connects to a distribution company that will read the meter and receive a credit for the excess power being supplied to the grid. Only generator facilities with less than 500 kilowatts are included in this program
A shift in electricity supply in Ontario is expected in the near future. By 2030, 70% of electricity generation must occur in new or refurbished facilities. The demand for electricity will also increase, regardless of energy conservation measures. Ontario has developed the Long-Term Energy Plan (LTEP) to accommodate the change in Ontario’s energy supply and demand. LTEP calls for the majority of energy produced to switch to different sources such as solar and wind power. Solar PV is expected to contribute 1.5% of total generation by 2030. Ontario’s decision to phase out coal-generated energy by 2014 has also been revolutionary in promoting the move towards renewable energy. Ontario’s programs have attracted a significant amount of private investors towards the PV market. Its PV market is expected to generate $12.9 billion of total private investments by 2018.
Series in Photovoltaics in Canada
1. Photovoltaics in Canada – Introduction