Financial Incentives For Photovoltaics - National Incentives - Canada - Ontario


In 2006 the Ontario Power Authority introduced the Renewable Energy Standard Offer Program. This program was replaced with the 2009 Feed-In Tariff program for renewable energy (FIT). The FIT program is further divided into the MicroFIT program for projects less than 10 kW, designed to encourage individuals and households to generate renewable energy.

The program was launched in September 2009 and the tariffs were fixed then. The solar projects ≤10 kW received $0.802, however, as of 13 August 2010 ground mounted systems will receive a lower tariff than rooftop mounted systems.

Feed-In tariff rates for the Ontario Power Authority (OPA) FIT and MicroFIT Programs, for renewable generation capacity of 10 MW or less, connected at 50 kV:

  • Solar Photovoltaic:

Rooftop ≤10 kW $0.802/kWh CDN Ground Mounted ≤10 kW $0.642/kWh CDN Rooftop > 10 ≤ 250 kW $0.713/kWh CDN Rooftop > 250 ≤ 500 kW $0.635/kWh CDN Rooftop > 500 kW $0.539/kWh CDN Ground Mounted2 > 10 kW $0.443/kWh CDN

  • Wind, Hydro, Biomass: from $0.111 up to $0.195/kWh CDN

Tariffs vary based on fuel type and size of installation . The contract duration with the OPA is 20 years, with a constant remuneration for solar, though biomass, biogas, hydro, and wind receive a 20% of Consumer Price Index price adder. Additionally, biomass, biogas, hydro receive a 35% peak demand adder during peak demand periods of the day and -10% off peak. Finally, all but solar may also qualify for a community and aboriginal price adder. All power produced is sold to the OPA. Generator then purchases back what is needed at prevailing rate (e.g., $0.055/kWh CDN). The intent of the Feed-In Tariff program is to provide an 11% return on investment.

Read more about this topic:  Financial Incentives For Photovoltaics, National Incentives, Canada

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