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ARTICLE · 01 FEBRUARY 2010

The Samsung Agreement And Access To The Grid

As you probably know, the province of Ontario has signed a $7B deal with Samsung.

CanadaEnergy and Natural Resources

What impact will the Samsung agreement have on other renewable energy projects?

As you probably know, the province of Ontario has signed a $7B deal with Samsung. Although the contract and its precise details are secret, Samsung has reportedly agreed to build 2500 MW of renewable energy generation and to try to arrange to have renewable energy equipment manufactured in Ontario.

The most troubling aspect of the deal (beside the price) is its impact on the availability of transmission for other renewable energy generators.Lack of transmission / distribution capacity is a major ("the major"?) obstacle to renewable energy generation in much of the province. This is why the 1022 feed in tariff applicants are waiting with bated breath for their TAT and DAT assessments- if there is room for them on the grid, the FIT tariff should guarantee them a lot of money. It may be harder to get room on the grid that it will be to obtain their renewable energy approval.

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