Distributed Energy Resources (DER) Roadmap

There are nearly 5,000 MW of DERs already deployed in Ontario, with potential for substantial growth, driven by:

  • Decreasing cost and increasing capability of DERs;
  • Electrification/decarbonisation goals and federal funding;
  • Business environmental, social, and governance (ESG) criteria; and
  • Municipalities’ community energy planning and customers’ preferences

While DERs can provide benefits to the customer and distribution and bulk systems, they are currently enabled in wholesale markets in a limited way (aggregations of Hourly Demand Response resources or as individual resources over 1 MW in size). Preparing to more fully integrate these resources is important to the reliability and cost-effectiveness of Ontario’s electricity system.

The DER Roadmap engagement will establish IESO objectives, initiatives and timing for DER integration. The Roadmap will be developed with stakeholder input and with regards for other key IESO initiatives (e.g. Resource Adequacy and Enabling Resources Program). The Roadmap will clearly articulate the IESO’s actions for integrating DERs and can also be used as a tool to help ensure coordination across the sector. The IESO intends to complete the DER Roadmap prior to the end of 2021 and will report periodically to stakeholders on progress made thereafter.

The IESO encourages all interested parties to participate in this engagement. The IESO anticipates that this initiative will be of particular interest to current and prospective market participants, resource developers, municipalities and Local Distribution Companies (LDCs). To be added to the email list for communications related to this engagement or to submit comments and enquiries, please email engagement@ieso.ca.

Related Information

Draft Engagement Plan

IESO and OEB join forces to support innovative projects to help meet provinces growing energy needs

OEB: Framework for Energy Innovation: Distributed Resources and Utility Incentives

Non-Wires Alternatives: Regional Planning Process Review (RPPR) – review of the regional planning process, including identifying barriers to NWAs and development of recommendations to alleviate barriers

Wholesale Market Integration: Aggregated hourly demand response (DR) has been enabled in IESO’s Capacity Auction; recent IESO whitepapers have explored opportunities and options for expanded DER participation in wholesale markets

Transmission-Distribution (T-D) Interoperability: IESO York Region NWA demonstration is exploring a framework for T-D interoperability through a local capacity auction to acquire resources to provide non-wires value while coordinating with the wholesale market; recent IESO whitepaper explored T-D frameworks

Related Engagements

Capacity Auction

Demand Response Working Group (DRWG)

Distributed Energy Resources Survey

Enabling Resources Program

Expanding Participation in Operating Reserve and Energy (EPOR-E)

Hybrid Integration Project

IESO York Region Non Wires Alternatives Demonstration Project

Innovation and Sector Evolution White Paper Series

Resource Adequacy

Schedule of Activities

Anticipated timing for this engagement is presented below.

Date Engagement Activity Expected Actions

Q1/2, 2022

Targeted completion date for DER Potential Study

 

Q4, 2021

Targeted completion date for DER Roadmap

 

September/October, 2021

Stakeholder webinar:

  • Introduce next steps on regional planning process updates related to non-wires alternatives 
 

September/October, 2021

Stakeholder webinar:

  • The initial meeting of the DER Market Vision Project
 

September/October, 2021

Stakeholder webinar:

  • Introduce DER Roadmap objectives and longer-term timelines
 

September 22, 2021

Engagement webinar

Stakeholder DER Presentations

The IESO will welcome stakeholders to present their perspectives on the DERs that are most likely to emerge in Ontario and how they should be incorporated into wholesale markets to inform the Market Vision Project. 

Recorded Presentation
 
This webinar was presented during the IESO's September stakeholder engagement sessions, see full agenda for more information.

 

September 16, 2021

Deadline for stakeholder feedback on topics presented at the August 25th webinar: Application Guideline Document and DERs.

 

August 25, 2021

Stakeholder webinar:

In this session, IESO and the OEB will provide further details on the Joint Targeted Call of the OEB’s Innovation Sandbox and the IESO’s Grid Innovation Fund, answer any questions stakeholders may have, and solicit feedback on specific elements of the Joint Targeted Call. The IESO will also provide an introduction to the DER Potential Study, in advance of a fulsome presentation and discussion to take place during the September engagement days.

Recorded Presentation

This webinar was presented during the IESO's August stakeholder engagement sessions, see full agenda for more information.

 

July 20, 2021

Stakeholder webinar - IESO’s York Region Non-Wires Alternative Demonstration Project:

Public webinar where the IESO and Alectra will provide an overview of the second operational year of the IESO’s York Region Non-Wires Alternative Demonstration Project for prospective participants as well as the broader stakeholder community.

Access the IESO’s York Region Non-Wires Alternative Demonstration Project engagement page for further details, meeting materials, and registration.

July 14, 2021

Deadline for stakeholder feedback on topics presented at the June 22nd webinar:  DER Roadmap, OEB/IESO Joint Engagement on DER Integration and Joint Targeted Call on Enabling Resources.

September 1, 2021: IESO Response to Stakeholder Feedback

 

June 22, 2021

 

Stakeholder webinar:

  • The initial meeting of the DER Roadmap engagement will introduce the initiative, identify IESO focus areas and near-term timelines, and highlight a number of key DER initiatives that are underway or will be launched in 2021. The meeting will also to introduce and seek feedback on opportunities for increased collaboration with the OEB and DER demonstration
  • Presentation
  • Feedback form

Recorded Presentation

This webinar was presented during the IESO's June stakeholder engagement sessions, see full agenda for more information.