The Medium-Term Request for Proposals (RFP) is an initiative by the Independent Electricity System Operator (IESO) aimed at securing energy resources with expiring contracts to ensure the continued reliability and cost-effectiveness of Ontario’s electricity system. By conducting these RFPs every two to three years, the IESO can adapt to changing system needs, maintain a stable energy supply, and encouraging competition and innovation in the market.
The first Medium-Term RFP (MT1) was held in 2021. Through this process, the IESO entered into MTC I Contracts with one wind facility and four natural gas facilities, each with a five-year term. Collectively, these facilities contribute more than 700 MW of capacity to Ontario’s energy grid, providing ongoing value from previous investments and supporting the province’s energy demands.
Building on the success of MT1, the second Medium-Term RFP (MT2) is focused on re-committing existing resources with contracts expiring between 2026 and 2029. These resources are strategically positioned to address the energy and capacity needs that will emerge later this decade and into the early 2030s. The MT2 RFP will include both capacity and energy streams, with proposals evaluated solely on price, ensuring a cost-effective approach to meeting Ontario’s future energy requirements.
