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ARTICLE · 12 JANUARY 2026

Market Intelligence Thought Leadership Award Winner

Province Launches First IESO-led Competitive Process For Underwater High Voltage Transmission Line In Toronto

McCarthy Tétrault
McCarthy Tétrault
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McCarthy Tétrault

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On January 7, 2026, the Ontario government announced that it approved the recommendation of the Independent Electricity System Operator (IESO) to build a new underwater electricity transmission line...

CanadaEnergy and Natural Resources
Canadian Energy Perspectives
Canadian Energy Perspectives
Ljuba Djurdjevic
Ljuba Djurdjevic
Seán O'Neill
Seán O'Neill
Gordon Nettleton
Gordon Nettleton
Kerri Lui
Kerri Lui
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On January 7, 2026, the Ontario government announced that it approved the recommendation of the Independent Electricity System Operator (IESO) to build a new underwater electricity transmission line from near the Darlington Nuclear Generating Station to the downtown core and eastern portion of the City of Toronto ("Toronto Third Line").

Electricity demand in Toronto is expected to double by 2050 and the City is supplied by two transmission lines that will begin to reach their capacity in the 2030s.

The government's decision to proceed with a third transmission line comes after extensive IESO analysis of options to meet growing electricity demand in Toronto. The IESO's recommendation to proceed with the Toronto Third Line option is detailed in its 2025 Toronto Integrated Regional Resource Plan.

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