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ARTICLE · 16 AUGUST 2022

Another Procurement Boon For Battery Storage In Ontario

McCarthy Tétrault
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Ontario's IESO recently announced that it is likely to carve out a special long-term procurement target specifically for battery storage resources.

CanadaEnergy and Natural Resources
Canadian Energy Perspectives
Canadian Energy Perspectives
Stephen Furlan
Stephen Furlan
Reena Goyal
Reena Goyal
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Ontario's IESO recently announced that it is likely to carve out a special long-term procurement target specifically for battery storage resources. This is another boon for storage resources, following their becoming eligible to compete for the IESO's "Medium-Term RFP" last year. Historically, the wholesale electricity market has not had regulations amenable to storage resources. The latest long-term ("LT1") RFPs appear to try to address this.

As previously reported by us, the IESO is rolling out its LT1 RFP to address system reliability needs beginning to arise in 2025-2027. The LT1 RFP aims to procure up to 2,500 MW of new and incremental capacity from both existing and new-build supply and storage resources that can enter service beginning May 1, 2027 for a 20 year term ending April 30, 2047.

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