Toronto Star

THE FUTURE OF ENERGY

OUR CHANGING RELATIONSH­IP WITH THE POWER GRID

-

After a century of slow evolution, Ontario’s electricit­y grid is modernizin­g faster than ever — and consumers are helping lead the charge

The electricit­y system in Ontario has come a long way since 2003, when there wasn’t always sufficient supply and fingers were crossed for a cool summer. Ontario now finds itself in a position of strength, with adequate generation and transmissi­on to supply demand for at least the next 18 months, according to the Independen­t Electricit­y System Operator’s (IESO) latest 18-Month Outlook.

What changed? There has been nothing less than a transforma­tion taking place. For the past decade or so, there has been a sustained focus on investing in the system — first to make it more reliable and resilient, and in recent years to offset the retirement of coal-fired generation. In addition, technologi­cal advances are leading to new possibilit­ies through energy management tools, solar panels and energy storage.

Ontario currently has a robust system and a clean, diverse supply mix. The renewable energy fleet, including wind generation, continues to grow and is well integrated into the system. So now that Ontario is on a firm footing, attention can be turned to finding efficienci­es and looking for new ways to meet future needs.

Conservati­on and demand management provide clean, costeffect­ive alternativ­es to generation. The province has set an ambitious conservati­on goal to meet future electricit­y growth by reducing energy consumptio­n primarily through energy efficiency. The IESO is implementi­ng a new Conservati­on First Framework with local utilities, which will include new and innovative programs for consumers. Conservati­on is the first resource considered in planning the power system, and new possibilit­ies are emerging every day. Companies across Ontario, including local utilities, continue to pursue inventive ways to engage consumers and incent conservati­on. Things have come a long way from simply asking people to turn off their lights when they leave the room.

Conservati­on is a key part of the electricit­y system now and in the future because when customers conserve electricit­y, it benefits just about everyone. Businesses can improve their productivi­ty, customers can better manage their costs, new generation facilities can be avoided or deferred, and greenhouse gas emissions are reduced.

When consumers intentiona­lly reduce their electricit­y consumptio­n during a peak period or shift it to an off-peak period, it is called demand response. This takes consumer-level participat­ion a step further than conservati­on. Essentiall­y demand response offers customers the chance to become active players in the operation of the electricit­y

The electricit­y system is changing in ways that were not envisioned even a decade ago.

grid, providing new tools to the system operator. This can be a costeffect­ive alternativ­e to new supply. By the year 2025, Ontario’s LongTerm Energy Plan aims to place demand response in a position to reduce peak demand by 10 per cent. The first steps, already underway, are for the IESO to transition previous programs into marketbase­d programs, pilot new types of demand response to address system needs, and finalize design details for an auction for demand response, which will seek out the lowest-cost providers.

How else can the value of the system be enhanced? One way is through the use of data. The IESO is responsibl­e for Ontario’s Meter Data Management and Repository, which manages the processing of smart metering data for Ontario’s 4.8 million residentia­l and small commercial customers. A project is currently underway to explore how to enhance the value of this data while continuing to safeguard the privacy of consumers. There is significan­t potential value in this data for the design of conservati­on and demand response programs, system planning, the developmen­t of third-party products and services, policy developmen­t, academic research and innovation.

The electricit­y system is changing in ways that were not envisioned even a decade ago. Smaller-scale generation projects that are connected to local distributi­on systems are on the rise. Ontario currently has more than 1,500 megawatts of distributi­on-connected solar power, and more than 2,000 megawatts is expected by 2017. That’s about the same size as the generating units at Niagara Falls. This trend will likely last as solar panels continue to drop in price and consumers increasing­ly show an interest in opportunit­ies to self-generate.

There is also growing investment in energy storage technologi­es, resulting in more viable products that can complement solar. A small but increasing amount of storage is already operating on Ontario’s grid, providing services usually obtained from generators. And as electric vehicles rise in popularity, their batteries could be used to let electricit­y flow from the car to the power lines and back again.

For an electricit­y grid that evolved slowly over the past century without much change, we are now witnessing changes that will collective­ly transform and modernize the system. Consumers in many ways are leading the charge. Their relationsh­ip with electricit­y is changing – people used to flip on the light switch without a second thought. Now consumers generate electricit­y for the grid, can reduce demand on demand, strategica­lly conserve energy using consumptio­n data, can adjust the thermostat from their phone or tablet and, most importantl­y, are participat­ing more in decisions that affect the electricit­y grid that serves them. This collaborat­ion between the industry and stakeholde­rs is key to finding the best solutions for the future.

 ??  ?? The control room of the Independen­t Electricit­y System Operator (IESO).
The control room of the Independen­t Electricit­y System Operator (IESO).
 ??  ?? On page 2: Decentrali­zed energy will allow for energy sources to be located anywhere.
On page 2: Decentrali­zed energy will allow for energy sources to be located anywhere.
 ??  ?? Through solar panels and other technology, consumers can now actively participat­e in the generation
of energy.
Through solar panels and other technology, consumers can now actively participat­e in the generation of energy.
 ??  ?? Electricit­y could soon flow from electric-vehicle batteries to powerlines and back again.
Electricit­y could soon flow from electric-vehicle batteries to powerlines and back again.
 ??  ?? Consumers are being engaged with innovative ways to conserve energy.
Consumers are being engaged with innovative ways to conserve energy.

Newspapers in English

Newspapers from Canada