HomeRegional NewsInternationalNew feed-in tariff programme for hydropower in Canada

New feed-in tariff programme for hydropower in Canada

Denis Hayes,
Founder, Earth
Day International
5 October 2009 – A new “feed-in tariff” programme for renewable-energy producers, serving Ontario, includes price supports for hydropower.

The new programme, enacted recently as part of Ontario’s Green Energy Act, pays producers a fixed price above market rates for the electricity they produce. The Ontario Power Authority is administering the new programme.

Under the new feed-in tariff rules, hydropower producers will be paid 13.1 cents per kWh for up to 10 MW over a 40-year term. The rate is 12.2 cents for 10 to 50 MW over the same period.

Mike Layton, programme manager for Environmental Defence, an organisation that combats climate change, said the new programme is sure to encourage more hydropower development in northern Ontario.

“I think it will help communities in the north get off diesel,” Layton said.

Already, the new programme is being credited for plans to build two large new renewable-energy projects. Canadian Hydro Developers recently unveiled plans to acquire an offshore wind power project in the Great Lakes bordering Ontario, and the government of Ontario said it is negotiating another wind power project with Samsung C&T Corp.

“Ontario is breaking ground in North America and embarking on an important journey, one that we hope more governments will follow, including state and federal agencies in the United States,” said Denis Hayes, founder of Earth Day International.