Province Launches Largest Competitive Energy Procurement in Ontario History

Source: | · NEWS ONTARIO · | August 28, 2024

Procurement will ensure long-term affordability as electricity demand forecasts to rise 60 per cent by 2050

The Ontario government is launching the largest competitive energy procurement in the province’s history, focused on generating affordable electricity for families and businesses. This builds on the province’s plan to procure up to 5,000 megawatts (MW) of energy through a series of procurements to help foster economic prosperity and meet the growing demand for clean and reliable energy.

The government announced a plan of action for more affordable energy, supporting Ontario’s diverse supply mix including nuclear, hydroelectric, renewables, natural gas, and biomass. The Second Long-Term Procurement (LT2) will plan future energy initiatives in communities that provide consent while protecting prime agricultural areas, including:

  • Requiring energy project developers to receive municipal support resolutions to ensure local support and consent for new projects.

  • Prohibiting all projects in specialty crop areas and ground-mounted solar in prime agricultural areas to prevent solar farms.

  • Incentivizing projects located in northern Ontario and those which avoid prime agricultural areas, along with a plan to unlock Crown Lands for renewable energy.

  • Incentivizing economic opportunities for projects with or by Indigenous communities on whose traditional territory the projects are proposed. 

  • Requiring Agricultural Impact Assessments for projects that are permitted on all prime agricultural areas.

“With energy demand growing rapidly, our government is stepping up by advancing our largest energy procurement in our history. Our ‘all-of-the-above’ energy resource approach will expand access to affordable electricity to families and businesses across Ontario while opposing the regressive carbon tax,” said Stephen Lecce, Minister of Energy and Electrification. “Unlike the former government who imposed energy projects on unwilling communities, we are putting municipalities in the driver’s seat as we expand energy generation. We are delivering more affordable and reliable energy while protecting prime agricultural areas.”

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