May 2023. Government of Ontario. TAF submitted these comments to the IESO on their Pathways to Decarbonization (P2D) study.
TAF included the following recommendations:
- Ontario should immediately prioritize demand-side optimization through energy efficiency and demand-responsive DERs, with an expanded role for LDCs and municipalities, a cost-effective strategy that should form a central
pillar of its energy transition. - Ontario should leverage the low cost of renewables and related federal refundable tax credits to make strategic investments in wind and solar, the cheapest sources of new supply, supported by current and future procurements of utility-scale storage.
- Ontario should support the development of local and distributed solutions to limit the need for additional bulk
supply and the expansion of transmission and distribution grids, at a positive rate of return when accounting for overall system benefits and costs. - Ontario should not rely so heavily on hydrogen given the deep uncertainties around the future availability of hydrogen
supplies and transportation infrastructure, and the associated carbon intensity of those supplies. - Ontario should plan for a net-zero grid by 2035, with the use of gas plants limited to a backup role and total emissions low enough to be offset by a mechanism specified by federal regulations.
- Ontario should enable greater investment in CDM, DERs, and proven, cost-effective solutions like wind, solar, and storage to reduce costs for ratepayers.
- In expanding CDM programming, the IESO should give consideration to collaborating more closely with LDCs and municipalities.
- The IESO should prioritize the development of a net-zero transmission study and subsequent action plan to identify and prioritize transmission facilities that are critical to this future transmission network and explore potential streamlining for regulatory and permitting approvals.
Read TAF’s submission.