Ontario Expands Global Adjustment “Class A” Customer Category

Industrial Conservation Initiative (ICI) Program
This program encourages the province’s largest energy users to reduce their electricity costs by lowering their electricity consumption during peak periods.
The ICI incents Ontario’s largest consumers to shift their consumption away from peak periods, thereby improving reliability and lowering total system costs.Ontario has expanded Class A to include consumers with average monthly peak demand greater than three megawatts in the manufacturing, mining, quarrying, oil/gas extraction, greenhouse, refrigerated warehousing and data processing sectors. The new Class A entrants would have the opportunity to opt-in to the ICI program at their discretion.
New Class A consumers would be expected to provide a substantial reduction in peak demand in response to being included in ICI, reducing the need for new generation.

What has Changed

  • Global Adjustment was low due to the High HOEP Prices in Q1 2014
  • 2014 GA forecast lowered By approx 25% but is expected to return to its previous growth rate in 2015 and be well over $300,000 per MW of demand.

How Rodan Can Help

  • Determine if this applies to you based on your average billed demand
  • Analyze if you should “Opt in” to the new Class A and project your immediate savings.
  • Help you develop a curtailment plan and model the savings impact
  • Monitor the market, Predict the peaks and provide Notices – Month Ahead, Day Ahead and Day of advice as to when the peaks will occur
  • Provide in Day – in person – support to help you make any curtailment decision
  • Repeat Analysis to quantify savings for 2015/2016.

The change will take effect on your billing in July of 2015. In order to maximize the savings opportunity, take action now. If your company is not large enough to have your own in house energy analyst, Rodan can provide a cost effective turnkey solution. Please contact William Grove at 905-625-9900 x236 or william.grove@rodanenergy.com

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