Ontario closes solar generation loophole


High Voltage Maintenance Training Online

Our customized live online or in‑person group training can be delivered to your staff at your location.

  • Live Online
  • 12 hours Instructor-led
  • Group Training Available
Regular Price:
$599
Coupon Price:
$499
Reserve Your Seat Today

Ontario Ground-Mounted Solar Rate Cut updates the OPA feed-in tariff, lowering ground-mount payments to 58.8¢/kWh while rooftop systems keep 80.2¢/kWh, addressing excessive returns and aligning renewable energy pricing for ratepayers.

 

The Important Points

A policy proposal to cut OPA feed-in tariffs for ground-mounted solar to 58.8¢/kWh, keeping rooftop units at 80.2¢/kWh.

  • OPA proposes 58.8¢/kWh for ground-mounted projects
  • Rooftop solar keeps 80.2¢/kWh FIT pricing
  • Market power price about 4¢/kWh in Ontario
  • Ground installs earned 30-40% vs ~10% rooftop
  • 30-day comment window; approved deals grandfathered

 

Rooftop solar panels that produce electricity will really have to be mounted on rooftops if they’re to get top price for their power, says the Ontario government.

 

The province and the Ontario Power Authority OPA discovered that many small-scale “rooftop” panels were actually being installed on the ground.

There’s no physical reason why solar panels can’t sit on ground.

But because rooftop units are expensive to install, the owners were being paid a sky-high price under the feed-in tariff program for their power. Planners had expected small-scale projects to be roof-mounted.

“The result is really exorbitant rates of return on those projects that’s probably out of whack when it comes to getting good value for money for ratepayers,” energy minister Brad Duguid said in an interview.

As a result, the OPA is proposing a lower price amid rule changes for ground-level solar power.

The market price for power on Ontario’s wholesale market is currently about 4 cents a kilowatt hour. But power from rooftop solar panels was fetching 80.2 cents a kilowatt hour under provincial subsidy programs designed to encourage renewable power.

The 80.2-cent figure would allow owners of roof-top solar units to make about a 10 per cent return on their money. But when they installed the panels on the ground, which is much less expensive, Duguid said they were able to earn a return of 30 to 40 per cent.

The new proposal is to scale back the price paid fro power from ground-level panels to 58.8 cents a kilowatt hour. Power from rooftop panels will still fetch 80.2 cents. Any contracts already approved will get the higher price, no matter where they are installed.

Applicants or other interested parties have 30 days to comment on the proposal.

The OPA says it has received 16,000 applications for small-scale generation projects, with solar energy giants among the applicants, and a “large majority” of those are for ground-level solar projects.

 

Related News

Related News

TransAlta brings online 119 MW of wind power in US

TransAlta Renewables US wind farms achieved commercial operation, adding 119 MW of wind energy capacity…
View more

Minnesota bill mandating 100% carbon-free electricity by 2040

Minnesota 100% Carbon-Free Electricity advances renewable energy: wind, solar, hydropower, hydrogen, biogas from landfill gas…
View more

Beating Covid Is All About Electricity

Hospital Electricity Reliability underpins ICU operations, ventilators, medical devices, and diagnostics, reducing power outages risks…
View more

Enel Starts Operations of 450 MW Wind Farm in U.S

High Lonesome Wind Farm powers Texas with 500 MW of renewable energy, backed by a…
View more

Australia stuck in the middle of the US and China as tensions rise

Manus Island Naval Base strengthens US-Australia-PNG cooperation at Lombrum, near the South China Sea, bolstering…
View more

Putting Africa on the path to universal electricity access

West and Central Africa Electricity Access hinges on utility reform, renewable energy, off-grid solar, mini-grids,…
View more

Sign Up for Electricity Forum’s Newsletter

Stay informed with our FREE Newsletter — get the latest news, breakthrough technologies, and expert insights, delivered straight to your inbox.

Electricity Today T&D Magazine Subscribe for FREE

Stay informed with the latest T&D policies and technologies.
  • Timely insights from industry experts
  • Practical solutions T&D engineers
  • Free access to every issue

Live Online & In-person Group Training

Advantages To Instructor-Led Training – Instructor-Led Course, Customized Training, Multiple Locations, Economical, CEU Credits, Course Discounts.

Request For Quotation

Whether you would prefer Live Online or In-Person instruction, our electrical training courses can be tailored to meet your company's specific requirements and delivered to your employees in one location or at various locations.