Annual Acquisition Report
2021 Annual Acquisition Report
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’s first Annual Acquisition Report outlines the steps planned to cost-effectively address supply needs identified in the 2020 Annual Planning Outlook.
The planned actions described in the report demonstrate a move to 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.
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.