The OPA is offering to amend the contracts of all FIT counterparties who have not yet reached commercial operation so that these suppliers may extend their milestone date for commercial operation (MCOD) by up to one year.

The FIT Program is the most comprehensive program of its kind in North America. The interest and uptake has exceeded expectations. The OPA has offered more than 1,500 FIT contracts representing almost 2,700 megawatts to produce and deliver power to the province’s electricity grid.

When this program was launched, Ontario also introduced a new environmental approvals process that provides a consistent set of rules and approvals across the province. The new approvals process has meant adjustments for several ministries, as well as a learning curve for developers. There has been feedback from renewable energy project developers that they need more time to prepare the material for a complete submission.

In response, the government is asking the OPA to offer extensions to developers to help them successfully bring their projects into operation. We have heard these concerns and are addressing them.

FIT contract holders now have additional flexibility, which will allow them adequate time to obtain all necessary approvals prior to constructing their project. This includes ensuring public, Aboriginal and municipal consultation requirements have been met where necessary.

Over the next several weeks during February and March, the OPA will contact FIT suppliers by email with an offer to execute an amending agreement that would extend the MCOD by up to one year in exchange for trade-offs by the supplier on certain Force Majeure rights. The email will also include further instructions on how to finalize the agreement and take advantage of the extension offer. The extension will not take effect until this agreement has been executed.

This extension will not affect the domestic content requirements for FIT projects – those requirements are tied to the original MCOD as specified in the FIT contract and remain unchanged by the extension. 

  FAQs on FIT Program COD Extension