Yes, there are a number of incentives to encourage participation in the FIT Program by Aboriginal groups. Within the FIT Program there are two incentives:

1. reduced security payments - projects for which an Aboriginal group has a 50 percent interest are eligible for reduced application security ($5 per kW, regardless of the renewable fuel type)
2. price adders - if an Aboriginal group has 10 percent or more of an economic interest in a project, a proportionate share of an applicable price adder applies.

In addition to the FIT Program, there are two new programs to support  First Nation and Métis communities involved in green energy development:

1. Aboriginal Loan Guarantee Program
2. Aboriginal Energy Partnerships Program

For the purposes of the FIT Program, an Aboriginal community is defined to include:

• 1. a First Nation that is a "Band" as defined in the Indian Act (Canada);
• 2. the Métis Nation of Ontario or any of its active Chartered Community Councils;
• 3. a Person, other than a natural person, that is determined by the Government of Ontario for the purposes of FIT Program to represent the collective interests of a community that is composed of Métis or other aboriginal individuals; or
• 4. a corporation that is wholly-owned by one or more Aboriginal Communities as described in (1), (2) or (3).

No, to qualify for the adder you would have to apply to the FIT Program.

First Nation and Métis projects receive incentives to participate because these projects have additional barriers and higher project costs than other projects driven by commercial developers. An additional price incentive is available to Aboriginal projects to help ensure they are financially viable. Additional incentives and support mechanisms are intended to help level the playing field for groups that would otherwise be excluded from developing renewable energy projects

FIT Program incentives to encourage the participation of Aboriginal groups are structured to encourage partnerships with local Aboriginal communities and to encourage Aboriginal community partners to maximize their equity share.

Yes. The adder is available on a sliding scale based on the equity interest of a First Nation, Métis or Aboriginal group. The contract is structured to allow for increases in the economic interest of an Aboriginal community over time.

The Aboriginal Loan Guarantee Program is a $250 million government program that will facilitate Aboriginal ownership in energy projects. The program will provide loan guarantees to Aboriginal communities for up to 75 percent of an Aboriginal corporation's equity in an eligible renewable generation and transmission project.

The government would provide loan guarantees to eligible Aboriginal communities. Loan guarantees would only be granted to commercially viable projects following an extensive due diligence process.

The government would guarantee up to 75 percent, to a maximum of $50 million per project. Projects would be required to have:

• agreements in place to pre-purchase energy in the case of a generation project or regulated rates in the case of a transmission project
• experienced proponents and project partners with track records in construction and operation
• commercial financing arrangements in place.

Aboriginal communities have expressed interest in participating in renewable infrastructure, but have identified access to capital as a barrier. The program is designed to overcome this barrier by guaranteeing loans to commercially viable projects.

It complements the government's new Green Energy and Green Economy Act, which has made the development of renewable energy and Aboriginal participation in electricity projects a priority.

The Aboriginal Energy Partnerships Program helps to maximize the participation of First Nations and Métis communities in renewable energy projects. This program will provide funds for community energy plans, feasibility studies, technical research and business cases and create an Aboriginal Renewable Energy Network.

Through the Aboriginal Energy Partnerships Program (AEPP), the province will provide support to Aboriginal communities considering renewable generation projects. It will assist in the following three areas:

1. support for community energy plans. A community energy plan will allow First Nations and Métis communities to determine local interests, needs and opportunities for renewable energy development, conservation, grid connection and reducing reliance on diesel in remote communities
2. Support through the Aboriginal Renewable Energy Fund for project pre-feasibility and feasibility studies, development of business cases, resource assessment, environmental and technical studies, as well as other development or "soft" costs for First Nation and Métis energy projects
3. Support to establish the Aboriginal Renewable Energy Network (AREN), an online based centre for sharing of knowledge and best practices related to First Nation and Métis green energy projects.

A community energy plan is a concept that was presented by Aboriginal leaders during outreach sessions in 2009. It is a tool that will identify local energy opportunities, while allowing the community to determine options and plans for local energy use and needs. A community energy plan could help to identify local opportunities for conservation measures and opportunities for renewable generation.

The Aboriginal Renewable Energy Network (AREN) is an online information sharing and gathering centre of resources, and services for Aboriginal community participation in renewable development. The AREN will provide Aboriginal communities with a network to share information, knowledge and advice relating to renewable energy project development.

The Aboriginal Renewable Energy Fund is designed to provide funding for First Nations and Metis communities to develop renewable energy generation facilities. The program assists qualifying Aboriginal communities in paying for a portion of the project costs associated with developing a renewable energy project. These costs include environmental studies, resource assessments, business plans and engineering designs. Aboriginal communities can receive up to $500,000 per project.

For more information, visit www.aboriginalenergy.ca/aref.

The Aboriginal Renewable Energy Fund is designed to provide funding for First Nations and Metis communities to develop renewable energy generation facilities. The program assists qualifying Aboriginal communities in paying for a portion of the project costs associated with developing a renewable energy project. These costs include environmental studies, resource assessments, business plans and engineering designs. Aboriginal communities can receive up to $500,000 per project.

For more information, visit www.aboriginalenergy.ca/aref.