Annual Acquisition Report sets out next steps to secure Ontario's future resource needs
July 19, 2021
After years of strong supply, Ontario is now entering a period of growing electricity system needs and actions are needed to ensure the continued reliability of the grid.
To address these upcoming supply needs, the IESO has released its first Annual Acquisition Report (AAR). The AAR represents the implementation of the IESO’s Resource Adequacy Framework, outlining the steps needed to cost-effectively address supply needs identified in the 2020 Annual Planning Outlook.
The planned actions described in the report continues the move toward more competitive approaches to meeting those needs and drive down costs for ratepayers. This multipronged approach will provide flexibility to adapt to changing conditions and help facilitate participation from new technologies in the years ahead.
Some of the highlights of the report include:
- Setting capacity targets for the December 2021 Capacity Auction of 1000 MW for the 2022 summer obligation period and 500 MW for the 2022-23 winter obligation period. The target capacity for the 2026 summer obligation period could reach as much as 1800 MW.
- Initiating a medium-term RFP in late 2021 for up to 750 MW with a three-year commitment period beginning in 2026.
- Signalling the IESO’s intent to launch a long-term RFP for at least 1000 MW in late 2022.
The report also looks at some specific reliability concerns where existing generation facilities will need to be secured as there are no other practical options to address immediate needs.
Read the entire report to learn more about how the IESO plans to ensure the reliability and affordability of Ontario’s electricity system.
An overview of the report will be presented to stakeholders on July 22 at the Resource Adequacy engagement session. Pre-registration is recommended. Please contact engagement@ieso.ca with any questions.