Industrial Conservation Initiative

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Industrial Conservation Initiative Update - June 29, 2020

The Ministry of Energy, Northern Development and Mines announced an Industrial Conservation Initiative peak hiatus to allow industrial and commercial businesses to focus on recovering from the impacts of COVID-19. The Ministry news release is available here.

Effective immediately, Class A customers will not need to anticipate and reduce their electricity demand during peak hours for the current base period (May 1, 2020 - April 30, 2021).  Class A customers will maintain their peak demand factor from the 2019-2020 base period to determine their Global Adjustment charges in July 2021 to June 2022 adjustment period. For additional information, please refer to http://www.ieso.ca/sector-participants/settlements/global-adjustment-class-a-eligibility.

What is the Industrial Conservation Initiative?

The Industrial Conservation Initiative (ICI) is a demand-response program aimed at shifting large electricity users’ consumption to off-peak hours, when the Ontario system is at its highest demand. This allows customers to manage their Global Adjustment by reducing demand during on-peak hours.

Customers who participate in the ICI, referred to as Class A, pay Global Adjustment based on their percentage contribution to the top-five peak Ontario demand hours over a 12-month period.

Who is Eligible?

Customers who are eligible to participate in the ICI include:

  • Customers in the manufacturing sector, as well as greenhouse, nursery and floriculture production facilities with an average monthly peak demand of greater than 500 kW and less/equal to 1 MW are eligible to opt-in to the ICI if their establishment NAICS codes start with the digits “31,” “32,” “33,” or “114.”
  • All customers with an average peak demand of more than 1 MW, up to and including 5 MW are eligible to opt-in to the ICI.
  • Consumers with an average peak demand greater than 5 MW are automatically included in the program and have the option to opt-out of the ICI.
  • Existing Class A customers who participated in one or more of the programs specified in Reg. 429/04 and dropped below the peak demand threshold during a base period for an adjustment period that began on or after July 1, 2016, may be eligible to opt back into the initiative.

Customers with an average peak demand greater than 5 MW are automatically included in the program and have the option to opt-out of the ICI. Separate load facilities cannot be aggregated in order for a customer to qualify as Class A (even if they are under the same ownership). The Ministry of Energy requires Class A-enrolled customers to provide the address and GPS Coordinates of their head office and enrolled load facilities, as well as consent for the information to be shared with the Ministry and made public.

Timing

Each cycle of the ICI starts with a base period from May 1 – April 30. At the end of this period customers are assessed for eligibility.

ICI Eligiblity Chart

Do I Qualify for the ICI?

If you are eligible to opt-in to the ICI, Waterloo North Hydro will contact you directly with information on how to register.

If you have any questions regarding eligibility for the ICI, or you believe you are eligible and have not been contacted by us, please contact us at ici@wnhydro.com or call 519-888-5596 . 

Questions? Contact us Today

If you have any questions regarding the ICI and your eligibility, please us at ici@wnhydro.com.  You can also call us at 519-888-5596 Monday to Friday between 8:30 am and 4:30 pm. We are happy to assist you in any way we can.

Resources

All requirements related to the ICI can be found in Ontario Regulation 429/04.

Further information on Class A eligibility, including backgrounder information, Frequently Asked Questions, and a peak tracker tool is available on the Independent Electricity System Operator’s (IESO) website.

More information on the Global Adjustment is available on the IESO website.

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