The Ontario government recently announced the results of its two-year review of the Feed-in Tariff (FIT) Program. The program, overseen by the Ontario Power Authority, was ushered in by the Green Energy Act in 2009. It sets standardized program rules, prices and contracts for anyone interested in renewable electricity production.
Here are a few key recommendations from the report:
- Ontario should reduce FIT prices for solar by 20% and wind by 15%; following that the government should allow for an annual price adjustment to avoid a discrepancy between costs and FIT prices;
- There ought to be greater municipal involvement in the approval process; and
- Ten per cent of projects ought to be reserved for those involving significant participation from local or Aboriginal communities.
The government has accepted these recommendations, committing itself to act quickly in implementing them. The OPA is now working on new draft rules and contracts.
More information is available here.