[41] Bill 135 Royal Assent (PDF)

Bill 135 2016

An Act to amend several statutes and revoke several regulations in relation to energy conservation and long-term energy planning

CONTENTS

 

1.

Contents of this Act

2.

Commencement

3.

Short title

Schedule 1

Amendments to the Green Energy Act, 2009

Schedule 2

Amendments to the Electricity Act, 1998 and the Ontario Energy Board Act, 1998

 

______________

Her Majesty, by and with the advice and consent of the Legislative Assembly of the Province of Ontario, enacts as follows:

Contents of this Act

   1.  This Act consists of this section, sections 2 and 3, and the Schedules to this Act.

Commencement

   2.  (1)  Subject to subsections (2) and (3), this Act comes into force on the day it receives Royal Assent.

Same, Schedules

   (2)  The Schedules to this Act come into force as provided in each Schedule. 

Different dates for same Schedule

   (3)  If a Schedule to this Act or any portion of a Schedule to this Act provides that it is to come into force on a day to be named by proclamation of the Lieutenant Governor, the proclamation may apply to the whole or any portion of the Schedule, and proclamations may be issued at different times as to any portion of the Schedule.

Short title

   3.  The short title of this Act is the Energy Statute Law Amendment Act, 2016.

Schedule 1
Amendments to the Green Energy Act, 2009

   1.  Sections 6 and 7 of the Green Energy Act, 2009 are repealed and the following substituted:

Public agency, energy conservation and demand management plan

   6.  (1)  The Lieutenant Governor in Council may, by regulation, require a public agency to prepare and submit to the Ministry an energy conservation and demand management plan.

Requirements

   (2)  The energy conservation and demand management plan must comply with any prescribed requirements and must include the following information:

    1.  A summary of annual energy consumption for each of the public agency's prescribed operations.

    2.  A description and a forecast of the expected results of current and proposed activities and measures to conserve the energy consumed by the public agency's prescribed operations and to otherwise reduce the amount of energy consumed by the public agency, including by employing such energy conservation and demand management methods as may be prescribed.

    3.  A summary of the progress and achievements in energy conservation and other reductions described in paragraph 2 since the previous plan.

    4.  Such additional information as may be prescribed.

Specified targets and standards, public agencies

   (3)  The Lieutenant Governor in Council may, by regulation, require a public agency to achieve prescribed targets and meet prescribed energy and environmental standards, including standards for energy conservation and demand management.

Implementation and publication

   (4)  The public agency shall,

  (a)  implement the energy conservation and demand management plan and comply with any prescribed requirements respecting the implementation of the plan; and

  (b)  publish the plan in accordance with any prescribed requirements.

Joint plans

   (5)  Two or more public agencies may prepare a joint energy conservation and demand management plan and may publish and implement it jointly.

Effect

   (6)  If the joint plan satisfies the requirements established under this section, the public agencies are not required to prepare, publish and implement separate energy conservation and demand management plans for the same period.

Prescribed person, reporting of energy consumption and water use

   7.  (1)  The Lieutenant Governor in Council may, by regulation,

  (a)  require a prescribed person, other than a public agency, to report to the Ministry, in the prescribed manner, energy consumption, water use, ratings or other performance metrics in respect of energy consumption and water use and such additional information as may be prescribed in respect of each of the person's prescribed properties;

  (b)  prescribe circumstances in which the Minister may request that a person mentioned in clause (a) undertake verification, in the prescribed manner, of any information required to be reported under a regulation made under clause (a) or under a notice published under subsection (4); and

   (c)  require a person mentioned in clause (a) to comply with a request by the Minister under clause (b).

Manner of reporting

   (2)  For the purposes of clause (1) (a), the regulations may require reporting through the use of a prescribed reporting system, including an electronic reporting system administered by a third party and a reporting system that generates ratings or other performance metrics in respect of energy consumption and water use.

Verification by prescribed person

   (3)  For the purposes of clause (1) (b), the regulations may specify that the verification must be conducted by a prescribed person.

Minister's notice, additional requirements

   (4)  The Minister may, by publishing notice in the registry under the Environmental Bill of Rights, 1993, require a prescribed person under clause (1) (a) to report to the Ministry, in the prescribed manner, energy consumption, water use, ratings or other performance metrics in respect of energy consumption and water use and any additional information in respect of each of the person's prescribed properties.

Same

   (5)  A notice published under subsection (4) may incorporate another document by reference and may provide that the reference to the document includes amendments made to the document from time to time after the notice is published.

Prescribed person, energy conservation and demand management plan

   7.1  (1)  The Lieutenant Governor in Council may, by regulation, require a prescribed person to prepare and submit to the Ministry an energy conservation and demand management plan.

Same

   (2)  A regulation under subsection (1) may require that the person,

  (a)  prepare the plan in prescribed circumstances and in accordance with prescribed requirements; and

  (b)  make the plan available to the public in accordance with prescribed requirements.

Minister may publish information

   7.2  (1)  Despite any other Act, the Minister may,

  (a)  make available to the public any of the information required to be reported or submitted to the Ministry under sections 7 and 7.1; and

  (b)  share any of the information required to be reported or submitted to the Ministry under sections 7 and 7.1 with another Ministry or agency of the Government of Ontario, or such other persons or entities as may be prescribed for the purposes of this section.

Information supplied in confidence

   (2)  If the Minister has not made information available to the public under clause (1) (a), the information is deemed, for the purposes of section 17 of the Freedom of Information and Protection of Privacy Act, to have been supplied in confidence to the Minister.

Distributors, requirement to provide information

Definition

   7.3  (1)  In this section,

"distributor" means,

  (a)  a distributor within the meaning of section 3 of the Ontario Energy Board Act, 1998,

  (b)  a gas distributor within the meaning of section 3 of the Ontario Energy Board Act, 1998, or

   (c)  an owner or operator of a water works within the meaning of subsection 1 (1) of the Ontario Water Resources Act.

Information to be provided

   (2)  A distributor that has been prescribed for the purposes of this section shall, upon receiving a request from a person who is required to report under section 7 or to prepare a plan under section 7.1 in respect of a property that meets prescribed criteria, make available to that person, in the prescribed manner, prescribed information with respect to the consumption or use of electricity, gas or water distributed by the distributor to the property.

Same

   (3)  The requirements in subsection (2) are subject to any prescribed conditions.

   2.  The heading to Part III of the Act is amended by adding "AND EFFICIENT USE OF WATER" at the end.

   3.  Subsection 16 (2) of the Act is amended by adding the following clauses:

(b.1) governing everything required under or provided for in or that may be prescribed under sections 6, 7 and 7.1, including,

           (i)  the periods that may be covered by plans and reports required under those sections and the intervals for which the plans and reports are required,

          (ii)  the submission of the plans, reports and other documents to the Ministry,

         (iii)  circumstances in which two or more buildings or structures may be treated as a single property for the purposes of clause 7 (1) (a),

         (iv)  generally governing how those sections are to be complied with;

(b.2) governing circumstances in which two or more buildings or structures may be treated as a single property for the purposes of section 7.3;

.     .     .     .     .

(d.1) prescribing water efficiency standards or requirements for appliances or products that consume energy and are prescribed under clause (c);

Commencement

   4.  This Schedule comes into force on the day the Energy Statute Law Amendment Act, 2016 receives Royal Assent.

Schedule 2
Amendments to the Electricity act, 1998 and the Ontario Energy Board act, 1998

Electricity Act, 1998

   1.  Section 1 of the Electricity Act, 1998 is amended by adding the following clause:

(a.1) to establish a mechanism for energy planning;

   2.  (1)  The definition of "procurement contract" in subsection 2 (1) of the Act is repealed and the following substituted:

"procurement contract" means a contract entered into by the IESO pursuant to section 25.32, including pursuant to a directive issued under subsection 25.32 (5) or a direction issued under subsection 25.32 (7) or (8); ("contrat d'acquisition")

   (2)  Subsection 2 (1.5) of the Act is repealed and the following substituted:

Procurement contracts, transition

   (1.5)  For the purposes of this Act, a procurement contract is deemed to include,

  (a)  a contract entered into or assumed, pursuant to section 25.32, before the day section 7 of Schedule 2 to the Energy Statute Law Amendment Act, 2016 comes into force; and

  (b)  a contract entered into, pursuant to section 25.35, before its repeal by section 8 of Schedule 2 to the Energy Statute Law Amendment Act, 2016.

   3.  Clause 6 (1) (h) of the Act is amended by adding "electricity storage, transmission systems or any part of such systems" after "electricity capacity".

   4.  (1)  Subparagraph 2 i of subsection 9 (4) of the Act is repealed and the following substituted:

            i.  electricity supply, capacity or storage,

   (2)  Paragraph 2 of subsection 9 (4) of the Act is amended by striking out "or" at the end of subparagraph iii, by adding "or" at the end of subparagraph iv and by adding the following subparagraph:

           v.  transmission systems or any part of such systems.

   (3)  The definition of "microFIT program" in subsection 9 (6) of the Act is amended by striking out "that is authorized by a direction issued to the IESO under section 25.35" and substituting "that is continued under subsection 25.32 (10)".

   5.  Subsection 25.4 (1) of the Act is amended by adding "and shall, if required by the Minister to do so, examine, report and advise on any question respecting electricity" at the end.

   6.  The heading to Part II.2 of the Act is repealed and the following substituted:

Part II.2
Planning, Procurement and Pricing

   7.  Sections 25.29, 25.30, 25.31 and 25.32 of the Act are repealed and the following substituted:

Long-term energy plans

   25.29  (1)  At least once during each period prescribed by the regulations, the Minister shall, subject to the approval of the Lieutenant Governor in Council, issue a long-term energy plan setting out and balancing the Government of Ontario's goals and objectives respecting energy for the period specified by the plan.

Same

   (2)  For the purposes of subsection (1), a long-term energy plan may include goals and objectives respecting,

  (a)  the cost-effectiveness of energy supply and capacity, transmission and distribution;

  (b)  the reliability of energy supply and capacity, transmission and distribution, including resiliency to the effects of climate change;

   (c)  the prioritization of measures related to the conservation of energy or the management of energy demand;

  (d)  the use of cleaner energy sources and innovative and emerging technologies;

  (e)  air emissions from the energy sector, taking into account any projections respecting the emission of greenhouse gases developed with the assistance of the IESO;

   (f)  consultation with aboriginal peoples and their participation in the energy sector, and the engagement of interested persons, groups and communities in the energy sector; and

  (g)  any other related matter the Minister determines should be addressed.

Technical reports by IESO

   (3)  The Minister shall, before issuing a long-term energy plan under subsection (1), require the IESO to submit a technical report on the adequacy and reliability of electricity resources with respect to anticipated electricity supply, capacity, storage, reliability and demand and on any other related matters the Minister may specify, and the Minister shall,

  (a)  consider the report in developing the long-term energy plan; and

  (b)  post the report on a publicly-accessible Government of Ontario website or publish it in another manner, before undertaking any consultations under subsection (4).

Consultation required

   (4)  The Minister shall, before issuing a long-term energy plan under subsection (1), consult with any consumers, distributors, generators, transmitters, aboriginal peoples or other persons or groups that the Minister considers appropriate given the matters being addressed by the long-term energy plan, and the Minister shall consider the results of such consultation in developing the long-term energy plan.

Notice

   (5)  The Minister shall publish notice of consultations under subsection (4), together with any relevant background materials or other information the Minister considers appropriate, in the environmental registry established under section 5 of the Environmental Bill of Rights, 1993.

Participation

   (6)  The Minister shall take steps to promote the participation of the persons or groups with whom the Minister intends to consult under subsection (4), including,

  (a)  scheduling one or more consultation meetings, where the Minister considers it appropriate to do so, that the persons or groups are entitled to attend in person; and

  (b)  providing for the participation of persons or groups in consultations through electronic or other means not requiring personal attendance.

Publication

   (7)  On issuing a long-term energy plan under subsection (1), the Minister shall post it on a publicly-accessible Government of Ontario website or publish it in another manner, and shall also post or publish any other information, such as key data and cost projections, used in the development of the long-term energy plan that the Minister determines should be made publicly available.

Implementation directives

To the IESO

   25.30  (1)  The Minister may, subject to the approval of the Lieutenant Governor in Council, issue a directive to the IESO setting out the Government of Ontario's requirements respecting the implementation of the long-term energy plan by the IESO and any other related requirements, and the date by which the IESO must submit an implementation plan to the Minister under subsection 25.31 (1).

To the Board

   (2)  The Minister may, subject to the approval of the Lieutenant Governor in Council, issue a directive to the Board setting out the Government of Ontario's requirements respecting the implementation of the long-term energy plan in respect of matters falling within the Board's jurisdiction, and the date by which the Board must submit an implementation plan to the Minister under subsection 25.31 (2).

Amendments

   (3)  The Minister may, subject to the approval of the Lieutenant Governor in Council, issue an amendment to a directive issued under subsection (1) or (2).

Same

   (4)  An amendment issued under subsection (3) may change or remove requirements or set out new requirements, and shall specify the date by which the IESO or the Board, as the case may be, must submit a corresponding amendment to its implementation plan to the Minister under subsection 25.31 (3).

Implementation plans

By the IESO

   25.31  (1)  On the issuance of a directive under subsection 25.30 (1), the IESO shall, within the time specified in the directive, submit to the Minister an implementation plan containing an outline of the steps the IESO intends to take to meet the requirements set out in the directive including, if the directive requires it, the development of processes for entering into procurement contracts, processes for selecting transmitters, or both.

By the Board

   (2)  On the issuance of a directive under subsection 25.30 (2), the Board shall, within the time specified in the directive, submit to the Minister an implementation plan containing an outline of the steps the Board intends to take to meet the requirements set out in the directive.

If amendment issued

   (3)  On the issuance of an amendment to a directive under subsection 25.30 (3), the IESO or the Board shall, within the time specified in the amendment, submit to the Minister a corresponding amendment to its implementation plan.

Amendment proposed by IESO or Board

   (4)  If the IESO or the Board wishes to make a change to its implementation plan in order to facilitate the meeting of the requirements set out in the applicable directive or amendment to a directive, the IESO or the Board, as the case may be, may submit to the Minister an amendment to its implementation plan.

Review by Minister

   (5)  The Minister shall review every implementation plan submitted under subsection (1) or (2) and shall,

  (a)  approve the implementation plan, with or without changes; or

  (b)  reject the implementation plan and refer it back to the IESO or the Board, as the case may be, for further consideration and resubmission to the Minister.

Same

   (6)  Subsection (5) applies with necessary modifications to,

  (a)  amendments to implementation plans submitted under subsection (3) or (4); and

  (b)  implementation plans or amendments to implementation plans resubmitted to the Minister under clause (5) (b).

Procurement contracts

Definition

   25.32  (1)  In this section,

"implementation plan" means an implementation plan submitted by the IESO and approved under clause 25.31 (5) (a), including any amendments to the implementation plan that are submitted by the IESO and approved under that clause.

Entering into contracts

   (2)  The IESO shall, if required to do so under an implementation plan or a directive issued under subsection (5), and may, if an implementation plan provides the authority to do so, enter into contracts for the procurement of,

  (a)  electricity supply, capacity or storage;

  (b)  changes in electricity demand;

   (c)  measures related to the conservation of electricity or the management of electricity demand; or

  (d)  transmission systems or any part of such systems, including the development of all or part of such systems.

Transmitters

   (3)  Despite clause (2) (d), the IESO is not required to enter into a contract under subsection (2) in order to select a transmitter, unless the applicable implementation plan or directive provides otherwise.

Resolution of procurement contract disputes

   (4)  The parties to a procurement contract shall ensure that the contract provides a mechanism to resolve any disputes between them with respect to the contract.

Directives requiring IESO to undertake RFPs, etc.

   (5)  The Minister may, subject to the approval of the Lieutenant Governor in Council, issue directives requiring the IESO to undertake any request for proposal, any other form of procurement solicitation or any other initiative or activity that relates to a matter listed in subsection (2).

Same

   (6)  A directive may be issued under subsection (5) regardless of any long-term energy plan issued under section 25.29, directive issued under section 25.30, or implementation plan approved under section 25.31 and, in the event of a conflict, a directive issued under subsection (5) prevails.

Directions re consultation

   (7)  The Minister may direct the IESO to implement procedures for consulting aboriginal peoples or other persons or groups that may be specified in the direction, on the planning, development or procurement of electricity supply, capacity, transmission systems or distribution systems, and the direction may specify the manner or method by which such consultations shall occur and the timing within which such consultations shall occur. 

Directions re programs or funding

   (8)  The Minister may direct the IESO to establish programs or funding to facilitate the participation and engagement in the electricity sector of aboriginal peoples or any other persons or groups that may be specified in the direction.

Transition, directions

   (9)  Any direction issued by the Minister under this section that was in force immediately before the day section 7 of Schedule 2 to the Energy Statute Law Amendment Act, 2016 came into force continues to apply, and any procurement, procedure, measure, program or other thing undertaken, implemented, established, developed or otherwise done in accordance with the direction that is in existence immediately before that day is unaffected.

Transition, feed-in tariff programs

   (10)  Despite the repeal of section 25.35 by section 8 of Schedule 2 to the Energy Statute Law Amendment Act, 2016, any direction issued by the Minister under section 25.35 that was in force immediately before the day section 8 of Schedule 2 to the Energy Statute Law Amendment Act, 2016 came into force continues to apply, and any program or other thing established or otherwise done in accordance with the direction that is in existence immediately before that day is unaffected.

Transition, ongoing power to amend, revoke

   (11)  A direction continued under subsection (9) or (10) may be amended or revoked by,

  (a)  the Minister, until the day that the first implementation plan submitted by the IESO is approved under clause 25.31 (5) (a); and

  (b)  the Lieutenant Governor in Council, on and after that day.

Non-application of Environmental Assessment Act

   25.32.1  To the extent that any plan, directive, direction or other document issued or otherwise provided under sections 25.29 to 25.32 is an undertaking as defined in the Environmental Assessment Act, that undertaking is exempt from that Act.

   8.  Section 25.35 of the Act is repealed. 

   9.  Subsection 41 (10) of the Act is repealed.

   10.  (1)  Clause 114 (1.3) (a) of the Act is repealed.

   (2)  Clause 114 (1.3) (b) of the Act repealed and the following substituted:

  (b)  governing long-term energy plans, including prescribing periods for the purposes of subsection 25.29 (1);

   (3)  Clause 114 (1.3) (d) of the Act is repealed.

Ontario Energy Board Act, 1998

   11.  Subsection 1 (2) of the Ontario Energy Board Act, 1998 is repealed.

   12.  The Act is amended by adding the following section:

Board objectives, implementation plans

   2.1  The Board, in exercising its powers and performing its duties under this or any other Act, shall be guided by the objective of facilitating the implementation of any directives issued under subsection 25.30 (2) of the Electricity Act, 1998 in accordance with the implementation plans submitted by the Board and approved under clause 25.31 (5) (a) of that Act, including any amendments submitted by the Board and approved under that clause.

   13.  Subsection 28.6 (2) of the Act is amended by striking out "transmission system or distribution system" at the end and substituting "transmission systems, distribution systems or other associated systems".

   14.  The Act is amended by adding the following section:

Directives, transmission systems

   28.6.1  (1)  The Minister may issue, and the Board shall implement directives, approved by the Lieutenant Governor in Council, requiring the Board to take such steps as are specified in the directive relating to the construction, expansion or re-enforcement of transmission systems.

Same

   (2)  Subsections 28.6 (2) and (3) apply with necessary modifications in respect of directives issued under subsection (1).

   15.  Clause 70 (2) (l) of the Act is repealed.

   16.  The Act is amended by adding the following sections:

No leave if covered by licence

   97.1  (1)  In an application under section 92, leave shall not be granted to a person if a licence issued under Part V that is held by another person includes an obligation to develop, construct, expand or reinforce the line, or make the interconnection, that is the subject of the application.

Transition

   (2)  For greater certainty, an application made, but not determined, before the day section 16 of Schedule 2 to the Energy Statute Law Amendment Act, 2016 comes into force, is subject to subsection (1).

Leave in the procurement, selection context

   97.2  (1)  In an application under section 92, leave to construct, expand or reinforce an electricity transmission line or to make an interconnection shall not be granted to a person if,

  (a)  the IESO has commenced, been directed to commence, or announced a future procurement process for the development, construction, expansion or reinforcement of that line or for the making of that interconnection, and the procurement process has not yet been completed or otherwise terminated;

  (b)  the IESO has commenced, been directed to commence, or announced a future process to select a transmitter for the development, construction, expansion or reinforcement of that line or for the making of that interconnection, and the process has not yet been completed or otherwise terminated;

   (c)  the IESO has completed a procurement process for the development, construction, expansion or reinforcement of that line or for the making of that interconnection, and the person is someone other than the person with whom the IESO has entered into a procurement contract respecting the development, construction, expansion, reinforcement or interconnection; or

  (d)  the IESO has completed a process to select a transmitter for the development, construction, expansion or reinforcement of that line or for the making of that interconnection, and the person is someone other than the selected transmitter.

No hearing required

   (2)  If the applicant in an application under section 92 is a person with whom the IESO has entered into a procurement contact respecting the development, construction, expansion, reinforcement of the line or the making of the interconnection, the Board may make an order under section 96 without holding a hearing.

Procurement contract

   (3)  For the purposes of subsections (1) and (2),

"procurement contract" has the same meaning as in the Electricity Act, 1998.

Transition

   (4)  For greater certainty, an application made, but not determined, before the day section 16 of Schedule 2 to the Energy Statute Law Amendment Act, 2016 comes into force, is subject to subsections (1) and (2).

Revocations

Revocations under the Electricity Act, 1998

   17.  The following regulations made under the Electricity Act, 1998 are revoked:

    1.  Ontario Regulation 424/04 (Integrated Power System Plan).

    2.  Ontario Regulation 426/04 (IESO Procurement Process).

Revocation under the Environmental Assessment Act

   18.  Ontario Regulation 276/06 (Designation and Exemption of Integrated Power System Plan) made under the Environmental Assessment Act is revoked.

Commencement

Commencement

   19.  This Schedule comes into force on a day to be named by proclamation of the Lieutenant Governor.

 

EXPLANATORY NOTE

This Explanatory Note was written as a reader's aid to Bill 135 and does not form part of the law. Bill 135 has been enacted as Chapter 10 of the Statutes of Ontario, 2016.

The Bill amends several Acts, and revokes several regulations, in relation to energy conservation and long-term energy planning.

Schedule 1
Amendments to the Green Energy Act, 2009

The Schedule makes amendments to the Green Energy Act, 2009. The Lieutenant Governor in Council is authorized to make regulations requiring prescribed persons to report energy consumption and water use. Other amendments to the Act include the requirement that electricity, gas and water distributors make available to prescribed persons information with respect to consumption or use of electricity, gas or water at prescribed properties.

Schedule 2
Amendments to the Electricity Act, 1998 and the Ontario Energy Board Act, 1998

The Schedule amends the Electricity Act, 1998 and the Ontario Energy Board Act, 1998 and revokes several regulations.

Electricity Act, 1998

Part II.2 of the Electricity Act, 1998 currently sets out a structure for the assessment of electricity resources, the development of an integrated power system plan and the development of procurement processes for matters relating to electricity. The Schedule re-enacts sections 25.29 to 25.32 in that Part in order to replace this structure with a new long-term energy planning regime.

Section 25.29 is re-enacted to require the Minister, subject to the approval of the Lieutenant Governor in Council, to periodically issue a long-term energy plan setting out the Government of Ontario's goals and objectives respecting energy. The contents of the long-term energy plan are informed by technical reports that the IESO is required to submit to the Minister on specified matters relating to electricity. In developing a long-term energy plan, the Minister is required to consult with appropriate persons and groups, and an issued plan and related information must be published.

Section 25.30 is re-enacted to provide a power for the Minister, subject to the approval of the Lieutenant Governor in Council, to issue directives to the IESO and to the Board that set out requirements respecting the implementation of the long-term energy plan in respect of each body. Issued directives may be amended.

If a directive is issued under section 25.30 respecting the IESO or the Board, that body must, within the time specified by the directive, submit to the Minister an implementation plan setting out the steps the body intends to take in order to meet the requirements set out in the directive. If a directive respecting a body is amended, the body must submit a corresponding amendment to its implementation plan. The body may also otherwise submit amendments to its implementation plan. Implementation plans and amendments to implementation plans are to be reviewed by the Minister, who shall either approve them, with or without changes, or reject them and refer them back to the appropriate body for further consideration and resubmission.

The re-enacted section 25.32 sets out rules respecting procurement contracts (the definition of which, in subsection 2 (1) of the Act, is also re-enacted). The IESO is required to enter into contracts for the procurement of specified matters relating to electricity under an approved implementation plan or under a directive issued by the Minister, subject to the approval of the Lieutenant Governor in Council, under subsection 25.32 (5), or may, under an implementation plan, be given authority to do so. Section 25.32 also provides that the Minister may direct the IESO to implement specified procedures or establish specified programs or funding. Directions issued under the section before its re-enactment by this Schedule, and any programs or other things established or done under such directions, are continued.

Section 25.32.1 is enacted to specify that no plan, directive, direction or other document issued or provided under sections 25.29 to 25.32 is an undertaking to which the Environmental Assessment Act applies.

Section 25.35 of the Act, respecting feed-in tariff programs, is repealed; directions issued under that section before its repeal, and any program or other thing established or done under such directions, are continued by the new subsection 25.32 (10).

Complementary amendments arising from the amendments to Part II.2 of the Act include the amendment of section 1 of the Act to add a purpose of the Act relating to energy planning, the modification of the heading to Part II.2, and the amendment of subsection 114 (1.3) of the Act to modify the regulation-making authority respecting Part II.2.

In addition to the amendments relating to long-term energy planning, the Act is amended to add references to transmission systems (clause 6 (1) (h); subsection 9 (4); the re-enacted subsection 25.29 (2); and the re-enacted section 25.32). And, subsection 25.4 (1) of the Act is amended to specify that the IESO must, if required by the Minister to do so, examine, report and advise on any question respecting electricity.

Ontario Energy Board Act, 1998

The Schedule makes complementary amendments to the Ontario Energy Board Act, 1998 to reflect the amendments to Part II.2 of the Electricity Act, 1998. A new section 2.1 states that the Ontario Energy Board shall be guided by the objective of facilitating the implementation of directives issued under the re-enacted subsection 25.30 (2) of the Electricity Act, 1998 in accordance with the applicable implementation plan approved in respect of the Board.  And, clause 70 (2) (l) of the Ontario Energy Board Act, 1998 is repealed.

In addition, a new section 28.6.1 is added to permit the Minister to issue directives approved by the Lieutenant Governor in Council requiring the Board to take specified steps respecting transmission systems.

Finally, sections 97.1 and 97.2 are added to the Act to limit the Board's power to grant leave on an application under section 92 of the Act in specified circumstances.

Regulations

The Schedule revokes two regulations made under the Electricity Act, 1998, made in relation to Part II.2 of that Act, that are not required under the re-enacted sections 25.29 to 25.32 of that Act.

The Schedule also revokes a regulation made under the Environmental Assessment Act in relation to integrated power systems plans.

 

[41] Bill 135 Original (PDF)

Bill 135 2015

An Act to amend several statutes and revoke several regulations in relation to energy conservation and long-term energy planning

CONTENTS

1.

Contents of this Act

2.

Commencement

3.

Short title

Schedule 1

Amendments to the Green Energy Act, 2009

Schedule 2

Amendments to the Electricity Act, 1998 and the Ontario Energy Board Act, 1998

 

______________

Her Majesty, by and with the advice and consent of the Legislative Assembly of the Province of Ontario, enacts as follows:

Contents of this Act

   1.  This Act consists of this section, sections 2 and 3, and the Schedules to this Act.

Commencement

   2.  (1)  Subject to subsections (2) and (3), this Act comes into force on the day it receives Royal Assent.

Same, Schedules

   (2)  The Schedules to this Act come into force as provided in each Schedule. 

Different dates for same Schedule

   (3)  If a Schedule to this Act or any portion of a Schedule to this Act provides that it is to come into force on a day to be named by proclamation of the Lieutenant Governor, the proclamation may apply to the whole or any portion of the Schedule, and proclamations may be issued at different times as to any portion of the Schedule.

Short title

   3.  The short title of this Act is the Energy Statute Law Amendment Act, 2015.

Schedule 1
Amendments to the Green Energy Act, 2009

   1.  Sections 6 and 7 of the Green Energy Act, 2009 are repealed and the following substituted:

Public agency, energy conservation and demand management plan

   6.  (1)  The Lieutenant Governor in Council may, by regulation, require a public agency to prepare and submit to the Ministry an energy conservation and demand management plan.

Requirements

   (2)  The energy conservation and demand management plan must comply with any prescribed requirements and must include the following information:

    1.  A summary of annual energy consumption for each of the public agency's prescribed operations.

    2.  A description and a forecast of the expected results of current and proposed activities and measures to conserve the energy consumed by the public agency's prescribed operations and to otherwise reduce the amount of energy consumed by the public agency, including by employing such energy conservation and demand management methods as may be prescribed.

    3.  A summary of the progress and achievements in energy conservation and other reductions described in paragraph 2 since the previous plan.

    4.  Such additional information as may be prescribed.

Specified targets and standards, public agencies

   (3)  The Lieutenant Governor in Council may, by regulation, require a public agency to achieve prescribed targets and meet prescribed energy and environmental standards, including standards for energy conservation and demand management.

Implementation and publication

   (4)  The public agency shall,

  (a)  implement the energy conservation and demand management plan and comply with any prescribed requirements respecting the implementation of the plan; and

  (b)  publish the plan in accordance with any prescribed requirements.

Joint plans

   (5)  Two or more public agencies may prepare a joint energy conservation and demand management plan and may publish and implement it jointly.

Effect

   (6)  If the joint plan satisfies the requirements established under this section, the public agencies are not required to prepare, publish and implement separate energy conservation and demand management plans for the same period.

Prescribed person, reporting of energy consumption and water use

   7.  (1)  The Lieutenant Governor in Council may, by regulation,

  (a)  require a prescribed person, other than a public agency, to report to the Ministry, in the prescribed manner, energy consumption, water use, ratings or other performance metrics in respect of energy consumption and water use and such additional information as may be prescribed in respect of each of the person's prescribed properties;

  (b)  prescribe circumstances in which the Minister may request that a person mentioned in clause (a) undertake verification, in the prescribed manner, of any information required to be reported under a regulation made under clause (a) or under a notice published under subsection (4); and

   (c)  require a person mentioned in clause (a) to comply with a request by the Minister under clause (b).

Manner of reporting

   (2)  For the purposes of clause (1) (a), the regulations may require reporting through the use of a prescribed reporting system, including an electronic reporting system administered by a third party and a reporting system that generates ratings or other performance metrics in respect of energy consumption and water use.

Verification by prescribed person

   (3)  For the purposes of clause (1) (b), the regulations may specify that the verification must be conducted by a prescribed person.

Minister's notice, additional requirements

   (4)  The Minister may, by publishing notice in the registry under the Environmental Bill of Rights, 1993, require a prescribed person under clause (1) (a) to report to the Ministry, in the prescribed manner, energy consumption, water use, ratings or other performance metrics in respect of energy consumption and water use and any additional information in respect of each of the person's prescribed properties.

Same

   (5)  A notice published under subsection (4) may incorporate another document by reference and may provide that the reference to the document includes amendments made to the document from time to time after the notice is published.

Prescribed person, energy conservation and demand management plan

   7.1  (1)  The Lieutenant Governor in Council may, by regulation, require a prescribed person to prepare and submit to the Ministry an energy conservation and demand management plan.

Same

   (2)  A regulation under subsection (1) may require that the person,

  (a)  prepare the plan in prescribed circumstances and in accordance with prescribed requirements; and

  (b)  make the plan available to the public in accordance with prescribed requirements.

Minister may publish information

   7.2  (1)  Despite any other Act, the Minister may,

  (a)  make available to the public any of the information required to be reported or submitted to the Ministry under sections 7 and 7.1; and

  (b)  share any of the information required to be reported or submitted to the Ministry under sections 7 and 7.1 with another Ministry or agency of the Government of Ontario, or such other persons or entities as may be prescribed for the purposes of this section.

Information supplied in confidence

   (2)  If the Minister has not made information available to the public under clause (1) (a), the information is deemed, for the purposes of section 17 of the Freedom of Information and Protection of Privacy Act, to have been supplied in confidence to the Minister.

Distributors, requirement to provide information

Definition

   7.3  (1)  In this section,

"distributor" means,

  (a)  a distributor within the meaning of section 3 of the Ontario Energy Board Act, 1998,

  (b)  a gas distributor within the meaning of section 3 of the Ontario Energy Board Act, 1998, or

   (c)  an owner or operator of a water works within the meaning of subsection 1 (1) of the Ontario Water Resources Act.

Information to be provided

   (2)  A distributor that has been prescribed for the purposes of this section shall, upon receiving a request from a person who is required to report under section 7 or to prepare a plan under section 7.1 in respect of a property that meets prescribed criteria, make available to that person, in the prescribed manner, prescribed information with respect to the consumption or use of electricity, gas or water distributed by the distributor to the property.

Same

   (3)  The requirements in subsection (2) are subject to any prescribed conditions.

   2.  The heading to Part III of the Act is amended by adding "AND EFFICIENT USE OF WATER" at the end.

   3.  Subsection 16 (2) of the Act is amended by adding the following clauses:

(b.1) governing everything required under or provided for in or that may be prescribed under sections 6, 7 and 7.1, including,

           (i)  the periods that may be covered by plans and reports required under those sections and the intervals for which the plans and reports are required,

          (ii)  the submission of the plans, reports and other documents to the Ministry,

         (iii)  circumstances in which two or more buildings or structures may be treated as a single property for the purposes of clause 7 (1) (a),

         (iv)  generally governing how those sections are to be complied with;

(b.2) governing circumstances in which two or more buildings or structures may be treated as a single property for the purposes of section 7.3;

.     .     .     .     .

(d.1) prescribing water efficiency standards or requirements for appliances or products that consume energy and are prescribed under clause (c);

Commencement

   4.  This Schedule comes into force on the day the Energy Statute Law Amendment Act, 2015 receives Royal Assent.

Schedule 2
Amendments to the Electricity act, 1998 and the Ontario Energy Board act, 1998

Electricity Act, 1998

   1.  Section 1 of the Electricity Act, 1998 is amended by adding the following clause:

(a.1) to establish a mechanism for energy planning;

   2.  (1)  The definition of "procurement contract" in subsection 2 (1) of the Act is repealed and the following substituted:

"procurement contract" means a contract entered into by the IESO pursuant to section 25.32, including pursuant to a directive issued under subsection 25.32 (5) or a direction issued under subsection 25.32 (7) or (8); ("contrat d'acquisition")

   (2)  Subsection 2 (1.5) of the Act is repealed and the following substituted:

Procurement contracts, transition

   (1.5)  For the purposes of this Act, a procurement contract is deemed to include,

  (a)  a contract entered into or assumed, pursuant to section 25.32, before the day section 7 of Schedule 2 to the Energy Statute Law Amendment Act, 2015 comes into force; and

  (b)  a contract entered into, pursuant to section 25.35, before its repeal by section 8 of Schedule 2 to the Energy Statute Law Amendment Act, 2015.

   3.  Clause 6 (1) (h) of the Act is amended by adding "electricity storage, transmission systems or any part of such systems" after "electricity capacity".

   4.  (1)  Subparagraph 2 i of subsection 9 (4) of the Act is repealed and the following substituted:

            i.  electricity supply, capacity or storage,

   (2)  Paragraph 2 of subsection 9 (4) of the Act is amended by striking out "or" at the end of subparagraph iii, by adding "or" at the end of paragraph iv and by adding the following subparagraph:

           v.  transmission systems or any part of such systems.

   (3)  The definition of "microFIT program" in subsection 9 (6) of the Act is amended by striking out "that is authorized by a direction issued to the IESO under section 25.35" and substituting "that is continued under subsection 25.32 (10)".

   5.  Subsection 25.4 (1) of the Act is amended by adding "and shall, if required by the Minister to do so, examine, report and advise on any question respecting electricity" at the end.

   6.  The heading to Part II.2 of the Act is repealed and the following substituted:

Part II.2
Planning, Procurement and Pricing

   7.  Sections 25.29, 25.30, 25.31 and 25.32 of the Act are repealed and the following substituted:

Long-term energy plans

   25.29  (1)  At least once during each period prescribed by the regulations, the Minister shall, subject to the approval of the Lieutenant Governor in Council, issue a long-term energy plan setting out and balancing the Government of Ontario's goals and objectives respecting energy for the period specified by the plan.

Same

   (2)  For the purposes of subsection (1), a long-term energy plan may include goals and objectives respecting,

  (a)  the cost-effectiveness of energy supply and capacity, transmission and distribution;

  (b)  the reliability of energy supply and capacity, transmission and distribution, including resiliency to the effects of climate change;

   (c)  the prioritization of measures related to the conservation of energy or the management of energy demand;

  (d)  the use of cleaner energy sources and innovative and emerging technologies;

  (e)  air emissions from the energy sector, taking into account any projections respecting the emission of greenhouse gases developed with the assistance of the IESO;

   (f)  consultation with aboriginal peoples and their participation in the energy sector, and the engagement of interested persons, groups and communities in the energy sector; and

  (g)  any other related matter the Minister determines should be addressed.

Technical reports by IESO

   (3)  The Minister shall, before issuing a long-term energy plan under subsection (1), require the IESO to submit a technical report on the adequacy and reliability of electricity resources with respect to anticipated electricity supply, capacity, storage, reliability and demand and on any other related matters the Minister may specify, and the Minister shall,

  (a)  consider the report in developing the long-term energy plan; and

  (b)  post the report on a publicly-accessible Government of Ontario website or publish it in another manner, before undertaking any consultations under subsection (4).

Consultation required

   (4)  The Minister shall, before issuing a long-term energy plan under subsection (1), consult with any consumers, distributors, generators, transmitters, aboriginal peoples or other persons or groups that the Minister considers appropriate given the matters being addressed by the long-term energy plan, and the Minister shall consider the results of such consultation in developing the long-term energy plan.

Notice

   (5)  The Minister shall publish notice of consultations under subsection (4), together with any relevant background materials or other information the Minister considers appropriate, in the environmental registry established under section 5 of the Environmental Bill of Rights, 1993.

Participation

   (6)  The Minister shall take steps to promote the participation of the persons or groups with whom the Minister intends to consult under subsection (4), including,

  (a)  scheduling one or more consultation meetings, where the Minister considers it appropriate to do so, that the persons or groups are entitled to attend in person; and

  (b)  providing for the participation of persons or groups in consultations through electronic or other means not requiring personal attendance.

Publication

   (7)  On issuing a long-term energy plan under subsection (1), the Minister shall post it on a publicly-accessible Government of Ontario website or publish it in another manner, and shall also post or publish any other information, such as key data and cost projections, used in the development of the long-term energy plan that the Minister determines should be made publicly available.

Implementation directives

To the IESO

   25.30  (1)  The Minister may, subject to the approval of the Lieutenant Governor in Council, issue a directive to the IESO setting out the Government of Ontario's requirements respecting the implementation of the long-term energy plan by the IESO and any other related requirements, and the date by which the IESO must submit an implementation plan to the Minister under subsection 25.31 (1).

To the Board

   (2)  The Minister may, subject to the approval of the Lieutenant Governor in Council, issue a directive to the Board setting out the Government of Ontario's requirements respecting the implementation of the long-term energy plan in respect of matters falling within the Board's jurisdiction, and the date by which the Board must submit an implementation plan to the Minister under subsection 25.31 (2).

Amendments

   (3)  The Minister may, subject to the approval of the Lieutenant Governor in Council, issue an amendment to a directive issued under subsection (1) or (2).

Same

   (4)  An amendment issued under subsection (3) may change or remove requirements or set out new requirements, and shall specify the date by which the IESO or the Board, as the case may be, must submit a corresponding amendment to its implementation plan to the Minister under subsection 25.31 (3).

Implementation plans

By the IESO

   25.31  (1)  On the issuance of a directive under subsection 25.30 (1), the IESO shall, within the time specified in the directive, submit to the Minister an implementation plan containing an outline of the steps the IESO intends to take to meet the requirements set out in the directive including, if the directive requires it, the development of processes for entering into procurement contracts, processes for selecting transmitters, or both.

By the Board

   (2)  On the issuance of a directive under subsection 25.30 (2), the Board shall, within the time specified in the directive, submit to the Minister an implementation plan containing an outline of the steps the Board intends to take to meet the requirements set out in the directive.

If amendment issued

   (3)  On the issuance of an amendment to a directive under subsection 25.30 (3), the IESO or the Board shall, within the time specified in the amendment, submit to the Minister a corresponding amendment to its implementation plan.

Amendment proposed by IESO or Board

   (4)  If the IESO or the Board wishes to make a change to its implementation plan in order to facilitate the meeting of the requirements set out in the applicable directive or amendment to a directive, the IESO or the Board, as the case may be, may submit to the Minister an amendment to its implementation plan.

Review by Minister

   (5)  The Minister shall review every implementation plan submitted under subsection (1) or (2) and shall,

  (a)  approve the implementation plan, with or without changes; or

  (b)  reject the implementation plan and refer it back to the IESO or the Board, as the case may be, for further consideration and resubmission to the Minister.

Same

   (6)  Subsection (5) applies with necessary modifications to,

  (a)  amendments to implementation plans submitted under subsection (3) or (4); and

  (b)  implementation plans or amendments to implementation plans resubmitted to the Minister under clause (5) (b).

Procurement contracts

Definition

   25.32  (1)  In this section,

"implementation plan" means an implementation plan submitted by the IESO and approved under clause 25.31 (5) (a), including any amendments to the implementation plan that are submitted by the IESO and approved under that clause.

Entering into contracts

   (2)  The IESO shall, if required to do so under an implementation plan or a directive issued under subsection (5), and may, if an implementation plan provides the authority to do so, enter into contracts for the procurement of,

  (a)  electricity supply, capacity or storage;

  (b)  changes in electricity demand;

   (c)  measures related to the conservation of electricity or the management of electricity demand; or

  (d)  transmission systems or any part of such systems, including the development of all or part of such systems.

Transmitters

   (3)  Despite clause (2) (d), the IESO is not required to enter into a contract under subsection (2) in order to select a transmitter, unless the applicable implementation plan or directive provides otherwise.

Resolution of procurement contract disputes

   (4)  The parties to a procurement contract shall ensure that the contract provides a mechanism to resolve any disputes between them with respect to the contract.

Directives requiring IESO to undertake RFPs, etc.

   (5)  The Minister may, subject to the approval of the Lieutenant Governor in Council, issue directives requiring the IESO to undertake any request for proposal, any other form of procurement solicitation or any other initiative or activity that relates to a matter listed in subsection (2).

Same

   (6)  A directive may be issued under subsection (5) regardless of any long-term energy plan issued under section 25.29, directive issued under section 25.30, or implementation plan approved under section 25.31 and, in the event of a conflict, a directive issued under subsection (5) prevails.

Directions re consultation

   (7)  The Minister may direct the IESO to implement procedures for consulting aboriginal peoples or other persons or groups that may be specified in the direction, on the planning, development or procurement of electricity supply, capacity, transmission systems or distribution systems, and the direction may specify the manner or method by which such consultations shall occur and the timing within which such consultations shall occur. 

Directions re programs or funding

   (8)  The Minister may direct the IESO to establish programs or funding to facilitate the participation and engagement in the electricity sector of aboriginal peoples or any other persons or groups that may be specified in the direction.

Transition, directions

   (9)  Any direction issued by the Minister under this section that was in force immediately before the day section 7 of Schedule 2 to the Energy Statute Law Amendment Act, 2015 came into force continues to apply, and any procurement, procedure, measure, program or other thing undertaken, implemented, established, developed or otherwise done in accordance with the direction that is in existence immediately before that day is unaffected.

Transition, feed-in tariff programs

   (10)  Despite the repeal of section 25.35 by section 8 of Schedule 2 to the Energy Statute Law Amendment Act, 2015, any direction issued by the Minister under section 25.35 that was in force immediately before the day section 8 of Schedule 2 to the Energy Statute Law Amendment Act, 2015 came into force continues to apply, and any program or other thing established or otherwise done in accordance with the direction that is in existence immediately before that day is unaffected.

Transition, ongoing power to amend, revoke

   (11)  A direction continued under subsection (9) or (10) may be amended or revoked by,

  (a)  the Minister, until the day that the first implementation plan submitted by the IESO is approved under clause 25.31 (5) (a); and

  (b)  the Lieutenant Governor in Council, on and after that day.

Non-application of Environmental Assessment Act

   25.32.1  To the extent that any plan, directive, direction or other document issued or otherwise provided under sections 25.29 to 25.32 is an undertaking as defined in the Environmental Assessment Act, that undertaking is exempt from that Act.

   8.  Section 25.35 of the Act is repealed. 

   9.  Subsection 41 (10) of the Act is repealed.

   10.  (1)  Clause 114 (1.3) (a) of the Act is repealed.

   (2)  Clause 114 (1.3) (b) of the Act repealed and the following substituted:

  (b)  governing long-term energy plans, including prescribing periods for the purposes of subsection 25.29 (1);

   (3)  Clause 114 (1.3) (d) of the Act is repealed.

Ontario Energy Board Act, 1998

   11.  Subsection 1 (2) of the Ontario Energy Board Act, 1998 is repealed.

   12.  The Act is amended by adding the following section:

Board objectives, implementation plans

   2.1  The Board, in exercising its powers and performing its duties under this or any other Act, shall be guided by the objective of facilitating the implementation of any directives issued under subsection 25.30 (2) of the Electricity Act, 1998 in accordance with the implementation plans submitted by the Board and approved under clause 25.31 (5) (a) of that Act, including any amendments submitted by the Board and approved under that clause.

   13.  Subsection 28.6 (2) of the Act is amended by striking out "transmission system or distribution system" at the end and substituting "transmission systems, distribution systems or other associated systems".

   14.  The Act is amended by adding the following section:

Directives, transmission systems

   28.6.1  (1)  The Minister may issue, and the Board shall implement directives, approved by the Lieutenant Governor in Council, requiring the Board to take such steps as are specified in the directive relating to the construction, expansion or re-enforcement of transmission systems.

Same

   (2)  Subsections 28.6 (2) and (3) apply with necessary modifications in respect of directives issued under subsection (1).

   15.  Clause 70 (2) (l) of the Act is repealed.

   16.  The Act is amended by adding the following sections:

No leave if covered by licence

   97.1  (1)  In an application under section 92, leave shall not be granted to a person if a licence issued under Part V that is held by another person includes an obligation to develop, construct, expand or reinforce the line, or make the interconnection, that is the subject of the application.

Transition

   (2)  For greater certainty, an application made, but not determined, before the day section 16 of Schedule 2 to the Energy Statute Law Amendment Act, 2015 comes into force, is subject to subsection (1).

Leave in the procurement, selection context

   97.2  (1)  In an application under section 92, leave to construct, expand or reinforce an electricity transmission line or to make an interconnection shall not be granted to a person if,

  (a)  the IESO has commenced, been directed to commence, or announced a future procurement process for the development, construction, expansion or reinforcement of that line or for the making of that interconnection, and the procurement process has not yet been completed or otherwise terminated;

  (b)  the IESO has commenced, been directed to commence, or announced a future process to select a transmitter for the development, construction, expansion or reinforcement of that line or for the making of that interconnection, and the process has not yet been completed or otherwise terminated;

   (c)  the IESO has completed a procurement process for the development, construction, expansion or reinforcement of that line or for the making of that interconnection, and the person is someone other than the person with whom the IESO has entered into a procurement contract respecting the development, construction, expansion, reinforcement or interconnection; or

  (d)  the IESO has completed a process to select a transmitter for the development, construction, expansion or reinforcement of that line or for the making of that interconnection, and the person is someone other than the selected transmitter.

No hearing required

   (2)  If the applicant in an application under section 92 is a person with whom the IESO has entered into a procurement contact respecting the development, construction, expansion, reinforcement of the line or the making of the interconnection, the Board may make an order under section 96 without holding a hearing.

Procurement contract

   (3)  For the purposes of subsections (1) and (2),

"procurement contract" has the same meaning as in the Electricity Act, 1998.

Transition

   (4)  For greater certainty, an application made, but not determined, before the day section 16 of Schedule 2 to the Energy Statute Law Amendment Act, 2015 comes into force, is subject to subsections (1) and (2).

Revocations

Revocations under the Electricity Act, 1998

   17.  The following regulations made under the Electricity Act, 1998 are revoked:

    1.  Ontario Regulation 424/04 (Integrated Power System Plan).

    2.  Ontario Regulation 426/04 (IESO Procurement Process).

Revocation under the Environmental Assessment Act

   18.  Ontario Regulation 276/06 (Designation and Exemption of Integrated Power System Plan) made under the Environmental Assessment Act is revoked.

Commencement

Commencement

   19.  This Schedule comes into force on a day to be named by proclamation of the Lieutenant Governor.

 

EXPLANATORY NOTE

The Bill amends several Acts, and revokes several regulations, in relation to energy conservation and long-term energy planning.

Schedule 1
Amendments to the Green Energy Act, 2009

The Schedule makes amendments to the Green Energy Act, 2009. The Lieutenant Governor in Council is authorized to make regulations requiring prescribed persons to report energy consumption and water use. Other amendments to the Act include the requirement that electricity, gas and water distributors make available to prescribed persons information with respect to consumption or use of electricity, gas or water at prescribed properties.

Schedule 2
Amendments to the Electricity Act, 1998 and the Ontario Energy Board Act, 1998

The Schedule amends the Electricity Act, 1998 and the Ontario Energy Board Act, 1998 and revokes several regulations.

Electricity Act, 1998

Part II.2 of the Electricity Act, 1998 currently sets out a structure for the assessment of electricity resources, the development of an integrated power system plan and the development of procurement processes for matters relating to electricity. The Schedule re-enacts sections 25.29 to 25.32 in that Part in order to replace this structure with a new long-term energy planning regime.

Section 25.29 is re-enacted to require the Minister, subject to the approval of the Lieutenant Governor in Council, to periodically issue a long-term energy plan setting out the Government of Ontario's goals and objectives respecting energy. The contents of the long-term energy plan are informed by technical reports that the IESO is required to submit to the Minister on specified matters relating to electricity. In developing a long-term energy plan, the Minister is required to consult with appropriate persons and groups, and an issued plan and related information must be published.

Section 25.30 is re-enacted to provide a power for the Minister, subject to the approval of the Lieutenant Governor in Council, to issue directives to the IESO and to the Board that set out requirements respecting the implementation of the long-term energy plan in respect of each body. Issued directives may be amended.

If a directive is issued under section 25.30 respecting the IESO or the Board, that body must, within the time specified by the directive, submit to the Minister an implementation plan setting out the steps the body intends to take in order to meet the requirements set out in the directive. If a directive respecting a body is amended, the body must submit a corresponding amendment to its implementation plan. The body may also otherwise submit amendments to its implementation plan. Implementation plans and amendments to implementation plans are to be reviewed by the Minister, who shall either approve them, with or without changes, or reject them and refer them back to the appropriate body for further consideration and resubmission.

The re-enacted section 25.32 sets out rules respecting procurement contracts (the definition of which, in subsection 2 (1) of the Act, is also re-enacted). The IESO is required to enter into contracts for the procurement of specified matters relating to electricity under an approved implementation plan or under a directive issued by the Minister, subject to the approval of the Lieutenant Governor in Council, under subsection 25.32 (5), or may, under an implementation plan, be given authority to do so. Section 25.32 also provides that the Minister may direct the IESO to implement specified procedures or establish specified programs or funding. Directions issued under the section before its re-enactment by this Schedule, and any programs or other things established or done under such directions, are continued.

Section 25.32.1 is enacted to specify that no plan, directive, direction or other document issued or provided under sections 25.29 to 25.32 is an undertaking to which the Environmental Assessment Act applies.

Section 25.35 of the Act, respecting feed-in tariff programs, is repealed; directions issued under that section before its repeal, and any program or other thing established or done under such directions, are continued by the new subsection 25.32 (10).

Complementary amendments arising from the amendments to Part II.2 of the Act include the amendment of section 1 of the Act to add a purpose of the Act relating to energy planning, the modification of the heading to Part II.2, and the amendment of subsection 114 (1.3) of the Act to modify the regulation-making authority respecting Part II.2.

In addition to the amendments relating to long-term energy planning, the Act is amended to add references to transmission systems (clause 6 (1) (h); subsection 9 (4); the re-enacted subsection 25.29 (2); and the re-enacted section 25.32). And, subsection 25.4 (1) of the Act is amended to specify that the IESO must, if required by the Minister to do so, examine, report and advise on any question respecting electricity.

Ontario Energy Board Act, 1998

The Schedule makes complementary amendments to the Ontario Energy Board Act, 1998 to reflect the amendments to Part II.2 of the Electricity Act, 1998. A new section 2.1 states that the Ontario Energy Board shall be guided by the objective of facilitating the implementation of directives issued under the re-enacted subsection 25.30 (2) of the Electricity Act, 1998 in accordance with the applicable implementation plan approved in respect of the Board.  And, clause 70 (2) (l) of the Ontario Energy Board Act, 1998 is repealed.

In addition, a new section 28.6.1 is added to permit the Minister to issue directives approved by the Lieutenant Governor in Council requiring the Board to take specified steps respecting transmission systems.

Finally, sections 97.1 and 97.2 are added to the Act to limit the Board's power to grant leave on an application under section 92 of the Act in specified circumstances.

Regulations

The Schedule revokes two regulations made under the Electricity Act, 1998, made in relation to Part II.2 of that Act, that are not required under the re-enacted sections 25.29 to 25.32 of that Act.

The Schedule also revokes a regulation made under the Environmental Assessment Act in relation to integrated power systems plans.