The Ontario Energy Board (OEB) has issued a notice of proposal to amend the distribution system code to ensure that costs are allocated in a manner that protects ratepayers, promotes the connection of renewable resources and encourages generators to select sites that are economically efficient.
The proposed amendments would, if enacted, reduce the costs renewable generators would have to pay to connect their generation to a distribution system by doing the following:
– making distributors responsible for the costs of ‘renewable enabling improvements,’ which are investments made by a distributor to enhance the technical ability of a distribution system to accommodate increased levels of renewable generation; and
– sharing the cost of any expansions of the distribution system between the distributor and generator so that only those generators requiring expansions that are costly relative to their size bear some of the costs.
The amendments also clarify that generators would continue to be responsible for the cost of dedicated connection facilities to the distributor's main distribution system.
This project is part of a series of initiatives that the OEB is undertaking to facilitate the timely connection of renewable generation in Ontario.
SOURCE: Ontario Energy Board