CanadaÂ’s largest province commits to green energy development

The Green Power Standard will require the grid to add 1% of current capacity from renewables in each of eight years, starting in 2006. All forms of renewable energy would be eligible, although officials expect wind, hydro and biomass to be the major sources to be used.

“During its eight-year lifespan, the program will add about 3,000 MW of renewable energy to the Ontario electricity system,” says Commissioner of Alternative Energy Steve Gilchrist. “With this bold step, the Eves government has demonstrated its commitment to increasing electricity supply while protecting our environment.”

A renewables portfolio standard legislates minimum amounts of green power that must be supplied to the grid. Green standards have been announced or established in several U.S. states, including Texas, California, Massachusetts and New York.

"This announcement is a watershed for the clean renewable power industry in Ontario,” adds Glen Estill of the Canadian Wind Energy Association. The Ontario standard will be “the biggest single commitment to renewable power by any jurisdiction in North America” which he predicts will create “substantial economic development and jobs” for wind and other renewable power generators.

The provincial government has already committed to purchasing 20% of its electricity for government buildings from renewables, and its recent budget promised a 100% corporate income tax deduction for new assets used to self-generate electricity from renewables and provincial sales tax rebates on new residential installations of solar, wind, micro-hydro and earth energy heating/cooling systems.

Support for a Green Power Standard was a key recommendation of a Select Committee on Alternative Fuel Sources. When the program expires in 2014, one-third of OntarioÂ’s electricity will come from renewables, since 25% of current installed capacity is considered renewable energy in the form of hydropower.