July 17, 2015 - Annual Price Review
The IESO has commenced the annual price review to determine the FIT and microFIT pricing structure for 2016. The IESO is required to review the prices offered to generators on an annual basis to ensure they receive a reasonable return on investment under the FIT and microFIT Programs. As part of the current price review, the IESO will focus on ensuring ratepayer value, with consideration of global renewable generation cost trends and prior application volumes.
To help develop the 2016 price schedules, the IESO has posted a pricing questionnaire (PDF version | Word version) that may be completed and submitted by any interested party. The responses received will form an important part of the price review and will help the IESO develop the 2016 price schedules. The deadline for responses is Friday, August 14, 2015. Please email your completed questionnaire to FIT@ieso.ca. Please note that feedback not directly related to the price review will not be considered at this time.
June 26, 2015: New Timeline for FIT 4 and the Annual Price Review
In response to feedback received from stakeholders, the IESO is commencing the annual price review to determine the FIT and microFIT pricing structure for 2016. The IESO expects to post the 2016 price schedule before opening the application period for FIT 4. This will provide the price certainty for FIT 4 that stakeholders have requested.
As a result of advancing the price review, the FIT 4 application period is expected to run from September 30 to October 23, 2015. The FIT 4 procurement schedule has been updated to reflect these changes. Final FIT 4 documents are now available so applicants may begin to prepare their applications. More information on both of these developments is available below.
Annual Price Review
The IESO will be posting a pricing questionnaire shortly to gather input into the price review; input is welcomed from any interested party.
FIT subscribers will be notified by email when the pricing questionnaire is available. In addition, this questionnaire will be distributed to generator associations, ratepayer groups, First Nation and Métis community organizations, community groups and other key organizations. The IESO anticipates accepting pricing feedback until mid-August 2015; the deadline for comments will be communicated when the questionnaire is made available. An updated FIT Price Schedule will be posted in September 2015 and will be effective January 1, 2016.
The IESO is required to review the prices offered to generators under the FIT and microFIT programs on an annual basis to ensure both ratepayer value and a reasonable return on investment. As part of the current price review, the IESO will focus on ensuring ratepayer value, with consideration of global renewable generation cost trends and prior FIT application volumes.
Final FIT 4 Program Documents Now Available
Thank you to those who submitted feedback on the draft versions of the FIT Program documents. Final versions of the FIT 4 Program Rules, Contract, and Standard Definitions have now been posted on the FIT Program website. These documents reflect the feedback received on the draft program documents, as well as the original feedback received on the FIT 2015 Discussion Paper. In addition, the FIT website, Prescribed Forms and Guidance Documents are being updated to reflect the new FIT 4 information and to incorporate a more streamlined structure. This will be completed over the coming weeks.
The IESO recommends that you carefully review the final versions of the program documents to ensure you understand how the FIT Program has changed. Blackline versions to the draft versions posted on April 28, 2015, have also been provided. In addition, a summary of key changes between the draft and final versions has been posted. A table outlining the broader policy changes from FIT 3 to FIT 4 is also available.
The IESO is not accepting FIT Program applications at this time. The FIT 4 application period is expected to run from September 30 to October 23, 2015. This is outlined in the updated FIT 4 procurement schedule. Further information will be communicated closer to the expected commencement of the application period. The FIT 4 application period will have a procurement target of at least 241.438 MW, which includes the 150 MW initial 2015 FIT procurement target, the 50 MW rollover from the 2014 FIT procurement target and a 41.438 MW rollover from the remaining unallocated 2014 microFIT procurement target. In addition, any unallocated capacity from the 2015 microFIT procurement target will be added to the FIT 4 procurement target.
Furthermore, the amounts currently allocated to contract capacity set asides (CCSAs) are outlined in the table, below.
|Procurement Target for the FIT 4 Application Period*|
Contract Capacity Set Aside (CCSA) Target
(2/3 of total procurement target)
Municipal and Public
Sector Entity CCSA
(1/3 of total CCSA target)
(1/3 of total CCSA target)
Aboriginal Community CCSA
(1/3 of total CCSA target)
|53.653 MW||53.653 MW||53.653 MW|
|First Nation CCSA||
|35.769 MW||17.884 MW|
*Note that a modified version of this table and the final FIT 4 Procurement Target will be posted to the FIT website once the IESO incorporates any unallocated capacity from the 2015 microFIT procurement target.
Anyone interested in the FIT Program may review the posted documents and prepare for the opening of the application period but shall be solely responsible for all costs, expenses and liabilities incurred in this regard. The IESO assumes no responsibility or liability, whether or not the application period is opened or not opened and whether or not the FIT Program is suspended, revoked, amended or revised. Under no circumstances whatsoever shall the IESO be liable for any claims for compensation or damages, including any indirect, punitive or consequential damages associated with the preparation of an application in anticipation of the opening of the application period.
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