HomeMy WebLinkAboutCAO-16-032 - FIT 5 Rooftop Solar Applications Under the IESO
REPORT TO:
Finance and Corporate Services Committee
DATE OF MEETING:
November 7, 2016
SUBMITTED BY:
Brian Bennett, Manager, Economic Development
519-741-2200 ext 7230
PREPARED BY:
Thom Ryan, Sr. Business Development Officer, Economic
Development 519-741-2200 ext 7826
WARD(S) INVOLVED:
All
DATE OF REPORT:
October 28, 2016
REPORT NO.:
CAO-16-032
SUBJECT: Rooftop Solar Applications under the Independent Electricity
System Operator Feed In Tariff (FIT) Program – FIT 5
Program
RECOMMENDATION:
WHEREAS capitalized terms not defined herein have the meanings ascribed to them in
the FIT Rules, Version 5.0.
AND WHEREAS the Province’s FIT Program encourages the construction and operation
of rooftop solar generation projects (the “Projects”);
AND WHEREAS one or more Projects may be constructed and operated in the City of
Kitchener;
AND WHEREAS, pursuant to the FIT Rules, Version 5.0, Applications whose Projects
receive the formal support of Local Municipalities will be awarded Priority Points, which
may result in the Applicant being offered a FIT Contract prior to other Persons applying
for FIT Contracts;
NOW THEREFORE BE IT RESOLVED THAT:
Council of the City of Kitchener supports the construction and operation of the Projects
anywhere in the City of Kitchener.
This resolution's sole purpose is to enable the participants in the FIT Program to receive
Priority Points under the FIT Program and may not be used for the purpose of any other
form of municipal approval in relation to the Application or Projects, or for any other
purpose.
This resolution shall expire twelve (12) months after its adoption by Council.
REPORT:
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From the inception of the FIT Program series, the City has received more than 45 applications
regarding solar rooftop generation projects seeking to obtain Council support in order to receive
Priority Points under the province’s FIT Program. The FIT 5 Program Rules have recently been
released, with the application period for FIT projects expected to open October 31, 2016. This
is a renewal of previous FIT blanket support resolutions passed by Council.
BACKGROUND:
The Feed-In Tariff (FIT) Program was developed for the Province of Ontario to encourage and
promote greater use of renewable energy sources for electricity generating projects in Ontario.
The fundamental objective of the FIT Program, in conjunction with the Green Energy and Green
Economy Act, 2009 (Ontario) and Ontario’s Long Term Energy Plan, 2010, is
“to facilitate the increased development of renewable generating facilities of varying sizes,
technologies and configurations via a standardized, open and fair process.”
The FIT Program is open to projects with a rated electricity generating capacity greater than 10
kilowatts (kW) and generally up to 500 kW, primarily for commercial-grade projects (projects of
10 kW or less may qualify under a separate “microFIT Program” for small renewable energy
projects, primarily for homeowners).
By encouraging the development of renewable energy in Ontario, the FIT Program:
Helped Ontario phase out coal-fired electricity generation by 2014 - the largest climate
change initiative in Canada
Boosts economic activity and the development of renewable energy technologies
Creates new green industries and jobs
FIT encourages renewable power generation through a guaranteed price structure for
renewable electricity production. The prices are designed to cover project costs and provide a
reasonable rate of return on the investment over the term of the contract. It includes
standardized program rules, prices and contracts for those interested in developing a qualifying
renewable energy project.
The FIT Program incorporates a point-system whereby municipal support (via a blanket support
resolution of Council) may add the weight of two priority points to qualifying solar rooftop
projects in a municipality. This point-rating system has no bearing on the responsibility of the
municipality for each individual FIT contract.
Successful eligible participation in the FIT Program requires applicants to make necessary
investments, bear ongoing costs and risks, and enter into a FIT Contract with the IESO. Projects
are prioritized using the point-system, ranked and awarded FIT Contracts by the IESO.
ROOFTOP SOLAR INSTALLATIONS IN KITCHENER
Renewable green energy projects are exempt from Ontario's Planning Act legislation. The City
of Kitchener's Official Plan and Zoning By-laws do not apply to renewable energy undertakings,
*** This information is available in accessible formats upon request. ***
Please call 519-741-2345 or TTY 1-866-969-9994 for assistance.
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although Building Permits are required when proposed facilities are to be attached to existing
buildings.
The application period for FIT 5 projects is expected to open on October 31, 2016, and to close
on November 18, 2016.
ALIGNMENT WITH CITY OF KITCHENER STRATEGIC PLAN
Strategic priorities from the City of Kitchener Strategic Plan 2015-2018 include:
Sustainable Environment and Infrastructure
We will have well planned, managed, and cost effective infrastructure systems that support
long-term community needs for services, harnessing the benefits of nature through green
infrastructure programs to create a healthy urban environment.
4.6 Improve the City of Kitchener’s ability to leverage funding opportunities for the development
and renewal of infrastructure through federal or provincial programs and other partnerships.
FINANCIAL IMPLICATIONS:
Not applicable.
COMMUNITY ENGAGEMENT:
Communication is not required as the FIT program is administered by the IESO.
INFORM – This report has been posted to the City’s website with the agenda in
advance of the council / committee meeting.
ACKNOWLEDGED BY:
Jeff Willmer, Chief Administrative Officer
*** This information is available in accessible formats upon request. ***
Please call 519-741-2345 or TTY 1-866-969-9994 for assistance.
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