New Capacity Auction Targets and Final Expedited Storage Results Announced
June 29, 2023
Ontario’s electricity system continues to evolve as the IESO moves steadily towards meeting future needs. The IESO announced targets for the 2023 Capacity Auction, a flexible balancing mechanism to help satisfy seasonal peaks. The auction will have increased targets for both summer and winter compared to those of the 2022 auction - 1,400 MW for summer 2024 and 850 MW for the winter of 2024/25 - and is expected to continue to attract a diverse set of resources, including demand response.
In addition, the conclusion of the competitive expedited procurement has added another eight facilities and 142 MW to the province’s planned storage fleet. Combined with the first tranche of storage announced in May, these new projects will provide an almost 500 per cent increase in Ontario’s current grid-connected storage for 2026. Energy storage will be a key enabler in meeting Ontario’s future needs, and the Long-Term RFP, launching this fall, will build on these results.
The IESO also previously announced it was securing up to 291 MW from upgrades at existing natural gas generating facilities. Two of those agreements that were being negotiated have now concluded.
For more information, read the full Resource Adequacy Update.