Ontario Construction News staff writer
A new voluntary clean energy credit (CEC) registry has been launched to boost Ontario’s international competitiveness and attract jobs.
“The creation of a clean energy credit registry will give businesses the opportunity to meet their corporate environmental and sustainability goals when choosing to operate in Ontario and will also generate revenue which could be returned to Ontario ratepayers to help lower electricity costs,” said Todd Smith, energy minister.
Voluntary CECs are certificates that each represent a megawatt-hour (MWh) of clean electricity that has been generated from a non-emitting source, such as solar, wind, bioenergy, hydroelectric and nuclear power.
A provincial CEC registry will leverage Ontario’s electricity system, that was 94 per cent emissions-free in 2020 and allow businesses to voluntarily purchase and retire these CECs to meet their corporate sustainability goals and demonstrate that their electricity has been sourced from a non-emitting resource.
A CEC registry could return funds raised through the purchase of CECs to Ontario ratepayers and could support future clean energy generation in the province.
The Ontario government has directed the Independent Electricity System Operator (IESO) to research and report back on the design of a provincial CEC registry, that would give businesses more choice in how they achieve their corporate sustainability goals.
The IESO will deliver its report by July 4, 2022. The government will consider the report as well as stakeholder input, with the intention of having the registry available by January 2023.
“A voluntary clean energy credit market could be a key tool to help Ontario electricity customers realize their clean energy preferences,” said Lesley Gallinger, president and CEO of the IESO. “We will engage with industry stakeholders, businesses, and others as we assess options for a potential market.”
There is currently no official centralized registry that tracks and enables purchase of CECs for electricity generated and consumed in Ontario.
CECs, or similar voluntary registries, exist in other competing North American jurisdictions, such as Ohio, Pennsylvania, Illinois, Indiana, Wisconsin and the New England states. Purchasers will be able to source CECs from one or multiple solar, wind, bioenergy, nuclear, and hydroelectric generation facilities in Ontario to meet their individual or corporate goals.
“OPG has seen a strong increase in interest, and uptick in sales, for environmental attributes from our non-emitting hydroelectric and nuclear facilities. The government’s proposed centralized CEC registry is a significant step that will benefit ratepayers and support Ontario electricity consumers wishing to track and report on their emissions goals,” said Ken Hartwick, president and CEO, Ontario Power Generation (OPG).
