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Additional Price Incentives

The FIT price schedule includes provisions for projects that have different levels of equity ownership by Aboriginal proponents. This means that, depending on the level of equity ownership, Aboriginal projects will receive a price "adder" in addition to the FIT contract price.

The following table shows the maximum level of the Aboriginal price adder that a project could receive in addition to the contract price.

 

Aboriginal price adder*
 Renewable Fuel

Wind

Solar PV

(ground-mounted)

Water

Biogas

Biomass

Landfill Gas

Maximum Aboriginal price adder (¢/kWh)

1.5

1.5

0.9

0.6

0.6

0.6

*Rooftop solar PV projects are not eligible for an Aboriginal price adder.

Aboriginal projects will receive a price adder in proportion to the percentage of equity ownership by the Aboriginal group.

For example:

50 to 100 percent control

 eligible for the full price adder

40 to 49 percent control

 eligible for 80 to 98 percent of the price adder

25 to 39 percent control

 eligible for 50 to 78 percent of the price adder

10 to 24 percent control

 eligible for 20 to 48 percent of the price adder

(10 percent is the minimum level required)

The following examples are provided for illustrative purposes:

  1. A 10 MW on-shore wind project with an Aboriginal participation level greater than or equal to 50 percent would be eligible to receive the FIT contract price of 13.5 cents/kWh, plus an additional 1.5 cents/kWh. This means that the total price would be 15 cents/kWh for this project.
  2. A 10 MW on-shore wind project with an Aboriginal participation level of 30 percent would be eligible to receive the FIT contract price of 13.5 cents/kWh, plus an additional .9 cents/kWh (60 percent of 1.5 cents/kWh). This means that the total price would be 14.4 cents/kWh for this project.
  3. A 10 MW on-shore wind project with an Aboriginal participation level of 15 percent and a community participation level of 15 percent would be eligible to receive the FIT contract price of 13.5 cents/kWh, plus an additional 0.75 cents/kWh. This means that the total price would be 14.25 cents/kWh for this project.

    The calculation is as follows:

    Aboriginal portion: 30 percent x 1.5 cents = .45 cents/kWh
    Community portion: 30 percent x 1.0 cents = .30 cents/kWh
    Total adder: 0.75 cents/kWh