Introduction
On September 13, 2018, the Ontario Energy Association released
"Policy Case: Recommendations for an Ontario
Load-Serving Entity Model." The Discussion Paper was
written by Power Advisory LLC and Aird & Berlis LLP. In the
paper, the authors make the case for allowing local electricity
distribution companies (LDCs) to act as Load Serving Entities
(LSEs) and procure electricity generation and other resources,
instead of acting as mere pass-through entities for resources
procured by the Independent Electricity System Operator (IESO)
(Ontario's de facto LSE).
Consistent with the Changing Role of the LDC, Rise of
DERs
These additional LSE responsibilities would be consistent with
the changing role of the LDC generally in an environment where
customers, large and small, are becoming more empowered through
distributed energy resources. In such a market, LDCs are expected
to become distribution system operators, coordinating, connecting
and integrating such
