Ontario will add 3,300 megawatts of new electricity production to the provincial grid in the next 18 months – enough to power more than 500,000 average-size homes.
The latest outlook report from the Independent Electricity System Operator said 2,400 MW of new generation will connect to the transmission grid, including wind, solar, hydro and biomass generation.
At the same time, another 900 MW in renewable energy will be connected to local distribution systems, said the operator, a Crown corporation that runs the province's electricity market.
The 18-month outlook covers the period until February 2016 and forecasts adequate supply levels and reliable transmission service in that period.
Among the new capacity, the IESO noted the Atikokan Generating Station in northern Ontario has been converted and is now the largest biomass plant in North America.
Another former coal-fired plant, Thunder Bay GS, is also being converted to biomass and will be in service during this outlook period. Together, the two stations will add 350 MW of new supply to the system.
In other parts of the forecast, the IESO noted that energy use was slightly lower this summer, partially because cooler weather cut demand for air conditioners.
The summer peak was roughly 3,600 MW lower than the previous year's, the IESO said, and Ontario may see a narrower gap between winter and summer peaks than in the past.
The systems operator also said it is developing its first so-called "demand response auction "in 2015, using a market-based approach it hopes will provide more flexibility to the system and better match supply and demand.
Demand response essentially involves shifting demand from power users from high-peak periods to lower-peak periods, reducing the need for new generation.
An IESO working group has begun to look at how to develop the rules and processes required for such an auction and the operator plans to work with stakeholders to design and implement new demand-response pilot programs.
"The operating landscape continues to change, which is why we are moving forward with a number of market-based enhancements such as an auction for demand response to support reliability in a cost-effective way," said Bruce Campbell, president and CEO of the IESO.
The Crown agency issues a quarterly report on the reliability of Ontario's power system. The latest 18-month Outlook is available at: <a href="http://www.ieso.ca/Documents/marketReports/18MonthOutlook_2014sep.pdf" target="_blank">www.ieso.ca/Documents/marketReports/18MonthOutlook_2014sep.pdf</a>.

Ontario to add 3,300 MW of new power in next 18 months

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