HESOP began in 2013 following direction from the Minister of Energy, and was developed in two separate streams:
The Municipal Stream applied to new-build waterpower projects larger than 500 kilowatts (kW) that were the subject of an application to the Feed-in Tariff Program submitted before June 5, 2010.
This stream had a procurement target of up to 10 megawatts (MW) for projects between 500 kilowatts and 5 MW in size, and a separate procurement target of up to 50 MW for projects that are 5 MW or larger. The application window for the Municipal Stream closed on December 6, 2013.
The Expansion Streamapplied to incremental hydroelectric capacity projects at non-utility generation (NUG) facilities under contract with the Ontario Electricity Financial Corporation, and to incremental hydroelectric capacity projects at facilities under contract with the IESO as part of the Hydroelectric Contract Initiative (HCI).
This stream had a procurement target of up to 40 MW and its application window closed on November 3, 2014.