Proposed Expansion of the Industrial Conservation Initiative

The Ministry of Energy announced a proposal on Thursday April 24, 2014 to expand the eligibility criteria of the Industrial Conservation Initiative (previously known as the Global Adjustment Allocation).

Under the current initiative, customers with an average hourly peak demand of 5 MW or higher (“Class A”) in a month are charged global adjustment based on their consumption during the top five peak demand hours each year unless they choose to opt out. The proposed change involves expanding Class A eligibility to allow customers with an average hourly peak demand of between 3 MW and 5 MW in a month to opt into the initiative.

This initiative has been effective in helping to reduce Ontario’s highest demand peaks by approximately 800 MW. It is anticipated that by expanding participation in the Industrial Conservation Initiative, the contribution of demand-side resources will continue to increase.

The IESO will work with distributors and their eligible customers interested in participating in the expanded initiative. A number of public presentations will be available across the province and via webinar to equip eligible customers to actively participate in the program and more effectively manage their peak demands. More details will follow in the coming weeks.

To contact Rodan to help assess if your company qualifies and should Opt in: click here

More information on the existing initiative as it applies to Class A customers can be found here

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