A short description of some of the factors used to determine pricing are listed below. You are strongly encouraged to review the Price Schedule, FIT Rules, Standard Definitions and Contract, located on the Program Resources page of this website, for full descriptions of the factors used to determine pricing for the program and for your specific project. You can also review our FAQ document to see answers to some commonly asked questions.
Once you have entered into a FIT Contract, and if you bring your generation facility into service by the required milestone date, you will receive a fixed price for the electricity you produce over a 20-year contract period (except for waterpower projects, for which the contract period is 40 years).
The prices paid for electricity produced vary according to the renewable energy source used, size of the project and price reduction if selected by the applicant. Factors used to determine pricing include:
FIT Price Schedule
The price schedule sets out the prices developers will be paid for the renewable energy produced and delivered into the distribution system by their FIT projects. The Base Price applicable to a project is determined by the renewable fuel and contract capacity of the project. These represent the baseline from which the price is reduced if a price reduction is selected.
Included in the price schedule are the details surrounding price adders which are available to eligible projects to reflect the higher development and operation and maintenance cost associated with them. The adder is an incremental increase in the price paid per kWh of generation.
Incenting Peak Production
Technologies that are not intermittent (i.e., dispatchable) are encouraged to shift production to peak periods when the electricity is most needed. Projects that use renewable biomass, biogas, landfill gas or waterpower as their renewable fuel will receive a time-differentiated price under the FIT Contract. This is to encourage these projects to schedule their production during peak hours to the extent practicable.
Contract Price Reduction
Applicants have the opportunity select a Price Reduction Tier which will reduce the Base Price by the percentage indicated in the selected tier. Applicants that have selected a Price Reduction in the Application Form will be eligible to receive Price Reduction Priority Points corresponding to the Price Reduction Tier. Please note, Applicants must provide an Application Security payment should they choose a Price Reduction.