Ontario offers a suite of conservation and demand management (CDM) programs under the Save on Energy banner and operated by the IESO. Save on Energy provides incentives and tools to help customers manage their electricity usage and costs.
Businesses can now apply for retrofit incentives through the Save on Energy program. There are two types of project applications available:
- Prescriptive track applications are ideal for quick system upgrades. Incentive levels are based on a predefined amount with applications that are easy to follow and have a fast turnaround.
- Custom track applications are designed to provide flexibility for more comprehensive projects, with opportunities for increased energy savings.
Although the Independent Electricity System Operator (IESO) was directed to discontinue the previous 2015-2020 CDM framework in early 2019, Ontario is committed to providing customers with stability and predictability in CDM programming for the post-2020 period.
The new proposed CDM program, announced on July 23rd, 2020, would launch on January 1, 2021 for a four-year term to December 31, 2024, with a mid-term review at the end of 2022.
Projects that are eligible under the Retrofit program are those that provide sustainable, measurable and verifiable reductions in peak electricity demand and electricity consumption.
Examples include:
- Lighting retrofits
- Lighting controls
- HVAC redesign
- Chiller replacement
- Variable-speed drives
The IESO released its last Annual Planning Outlook (APO) in January 2020. The APO forecasted capacity needs of approximately 2,000 megawatts (MW) starting in 2023 and growing slowly through 2040.
