Long-Term RFP

After more than a decade of strong supply, Ontario is entering a period of emerging electricity system needs, driven by increasing demand, the retirement of the Pickering nuclear plant, the refurbishment of other nuclear generating units, as well as expiring contracts for existing facilities.

To address these needs, the Long-Term Request for Proposals (LT1 RFP) is expected to competitively procure 2,518 MW of year-round effective capacity from dispatchable new build resources. These include new build storage facilities, registered or able to become registered in the IESO-administered markets, larger than 1 MW and which can deliver a continuous amount of electricity to a connection point on a distribution system or transmission system for at least four consecutive hours.

In 2022 the IESO issued the Long-Term Request for Qualifications (LT1 RFQ) to establish a list of applicants with the experience and capability to successfully develop, construct and operate facilities acquired through the Expedited Process and the LT1 RFP. The list of Qualified Applicants is available below.

The LT1 RFP will build on the recently concluded Expedited Long-Term RFP (E-LT1 RFP) and the Same Technology Upgrades Solicitation. Results for both are available below.

Procurement design and requirements have been and will continue to be shaped by input from stakeholders through the Resource Adequacy Engagement, as well as other IESO assessments and engagements. Engagement for the next long-term procurement, the LT2 RFP, is expected to begin in fall 2023.

LT1 RFP Procurement Documents

Draft LT1 RFP Procurement Documents

Other LT1 RFP Procurement Resources

E-LT1 and Same Tech Upgrades Updates

The Expedited Long-Term RFP (E-LT1 RFP) and Same Technology Upgrades Solicitation were launched in 2022 to competitively secure new capacity through targeted and streamlined processes intended to bring resources into service before 2027.

The E-LT1 RFP acquired more than 1,100 MWs of new capacity to help meet system needs in the near and long term. This included 880 MW of capacity from electricity storage facilities scheduled to be in service no later than 2026, and representing a fleet five times that of Ontario’s current battery storage capacity.

It also acquired roughly 285 MW of expansions at existing natural gas facilities, providing a cost-effective and timely solution to Ontario’s immediate reliability needs. Natural gas will be necessary as a transitional resource to help maintain reliability as Ontario grows its storage fleet. The important operability characteristics of gas must remain available to Ontario’s power system as no like-for-like replacement is yet available. These procurements therefore strike the right balance between ensuring system reliability and setting the stage for the ongoing energy transformation. See the E-LT1 RFP Results Table.

The IESO’s Same Technology Upgrades Solicitation secured agreements with seven natural gas facilities for enhancements to existing equipment, which in total will provide 286 MW incremental capacity to Ontario’s system by mid-decade. See the Results Table.

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, completing Ontario’s overall procurement of approximately 2,500 MW of storage that will be online/in-service toward the end of the decade.

More information is available in the IESO's June 2023 Resource Adequacy Update.

Disclaimer

The Long Term request for proposals ("LT1 RFP") and the statements and information contained therein, are based on the proposed design as of the date of posting and remain subject to amendment following the process set out in the LT1 RFP. Nothing in the LT1 RFP, or the posting thereof, obligates the IESO to continue or conduct the procurement process contemplated herein, or any other procurement process. Nothing in the posted LT1 RFP or contract constitutes, nor shall it be construed to constitute, an agreement, guarantee, representation, or warranty, express or implied, on behalf of the IESO. The IESO provides no such agreement, guarantee, representation, or warranty and disclaims any and all liability associated therewith. In the event there is any conflict or inconsistency between the LT1 RFP or contract, and the IESO market rules, any legislation or regulation, the terms in the market rules, legislation, or regulation as applicable, govern.

Long Term 1 RFP Procurement Activities

The dates provided below are aligned with the LT1 RFP and are subject to change.

Date              Procurement Activities

May 2023

Draft LT1 RFP and Contract posted

June 2023

LT1 RFP Deliverability Test

September 2023

Final LT1 RFP and Contract posted

September 2023

Conclude LT1 RFP Deliverability Test

December 2023

LT1 RFP Proposal Submission Deadline

Q1/Q2 2024

LT1 RFP Contract Offer Announcement

Expedited Process

Expedited Process Final Procurement Documents

CIB E-LT1 Guidance Documents

E-LT1 Question and Comment Period Responses

Other E-LT1 Procurement Resources

Expedited Process Archived Procurement Documents