Introduction
On May 14, 2015, Aird & Berlis LLP hosted a webinar on the
impact of the upcoming introduction by the Independent Electricity
System Operator (the "IESO") of electricity resource and
Demand Response ("DR") capacity markets in Ontario on
local distribution companies ("LDCs"). Ron Clark, Partner
at Aird & Berlis LLP, moderated the discussion, while
presentations were given by Jason Chee- Aloy, Managing Director of
Power Advisory LLC, and Tom Chapman, Manager of Market Design and
Development at the IESO.
Executive Summary
The discussion mainly focused on the structure of the capacity
markets, which will be implemented by the IESO initially through a
Demand Response Auction and, later, a General Capacity Auction for
electricity resources. The speakers also referred to the potential
business opportunities that these capacity markets provide for
Ontario's LDCs. LDCs may wish to participate in the capacity
markets by bidding in contracted-for DR resources,
