Managing Your Contract

Here you will find important information for managing your microFIT Contract.

Please note that the meanings of all capitalized terms in this section are set out in the Definitions sections of the microFIT Contract and microFIT Rules.

Contract changes

How to make changes via Change Request

Different parts of the microFIT Contract may be changed by submitting a Change Request.

Please refer to the Beacon User Guide Library (microFIT) for further information.

Contract assignment

When to assign your Contract

A Contract assignment is necessary when the current Supplier intends to assign all of its rights and obligations under the Contract to a different individual or legal entity (new Supplier). Pursuant to Section 12 of a version 1 Contract or Section 10 of a version 2/3/4 Contract, the current Supplier (Assignor) may submit a request to the IESO* to assign the Contract to a new Supplier (Assignee).
The Supplier may submit a Contract assignment request to the IESO* in connection with the following:

  • Sale of property upon which the Facility is located to another individual or legal entity (under no circumstances can a Facility be relocated to a new property)
  • Adding or removing an individual or other legal entity from the Contract
  • Where an event will cause the Supplier to no longer be an Eligible Participant and the Contract can be assigned to an Eligible Participant

Important: Where the Supplier fails to submit a Contract assignment request for any of the above changes, the Supplier may be in breach of the Contract.

Upon IESO*’s consent to the Contract assignment request, the new Supplier (Assignee) will take over the Contract for the remainder of the Contract term. For example, if a 20-year Contract is assigned after 15 years to a new individual or legal entity, the new Supplier will be entitled to receive Generation Payments for the remaining five years of the Contract term.
 

How to assign your Contract

In order to submit a Contract assignment request to the IESO*, the current Supplier (Assignor) and prospective new Supplier (Assignee) must follow the automated Contract assignment process administered through their respective Beacon account.

Please refer to the microFIT Beacon User Guide - Contract Assignments for further information.

The proposed new Supplier (Assignee) must meet the criteria listed in the applicable microFIT Eligible Participant Schedule in order for the IESO to provide its consent to the Contract assignment request.

*For version 1.x and 2.x Contracts, reference may be made to the OPA. Please note that effective January 1, 2015 the former OPA merged with the IESO. All notifications and requests are to be made to the IESO.

The Prescribed Form: Assignee’s Declaration must be completed by the Assignee and a scanned PDF must be uploaded as part of the microFIT Contract Assignment Request. Please note that each Assignee’s Declaration must be signed in the presence of, and commissioned by, a notary public or a commissioner for taking affidavits.

Each additional Assignee listed on the microFIT Contract Assignment Request must complete a separate Assignee’s Declaration; these individual Assignee’s Declarations must then be uploaded as one file.

The Prescribed Form: Assignee’s Declaration can be found at www.ieso.ca/-/media/files/ieso/document-library/microfit/microfit-assignees-declaration-natural-person.pdf.

Generation payments

Who pays for the electricity being generated?
Once a microFIT project is connected and the Supplier has a Contract, the Supplier’s Local Distribution Company will make Generation Payments to the Supplier.

When will payments be made?
Payments will be made according to the regular billing cycle of the Supplier’s Local Distribution Company. A Supplier should contact its Local Distribution Company for more details on payment processes such as billing dates and cycles.

How are payments calculated?
A Supplier will receive a Generation Payment equal to the Contract Price multiplied by the metered electricity output from the Facility. A Supplier will be responsible for paying for all electricity consumed as a load customer.

Calculation for a typical microFIT project
For example, a Generation Payment for a version 4.1 microFIT Contract would be calculated as follows:

  • A three-kilowatt (kW) solar PV rooftop project produced 280 kilowatt-hours (kWh) in one month
  • The Contract Price is 31.1 cents per kWh
  • The Generation Payment is:
    280 kWh x $0.311/kWh = $87.08

*Please note that the Contract Price is dependent on the version of the microFIT Contract. To determine Contract Price refer to the FIT/microFIT Price Schedule for the applicable Contract version.

Why have my Generation Payments been suspended?
For version 4.0 microFIT Contracts, Generation Payments will be suspended if the Supplier breaches any term of the microFIT Contract, including if any representation or warranty of the Supplier is untrue, until the breach is cured. Generation Payments will be reinstated and the Supplier will be paid any withheld Generation Payments if such breach is corrected in accordance with the terms of the microFIT Contract.

Contract termination

A Contract may be terminated in the following circumstances:

  • the Supplier may terminate the Contract upon 30 days prior written notice to the IESO*, as further described below
  • the IESO* may terminate the Contract where the Supplier has breached a Contract term or condition, if the Supplier fails to remedy (correct) the breach within 10 Business Days after receiving notice of such breach from the IESO*
  • the Contract will automatically terminate in the event that the Supplier’s Connection Agreement with its Local Distribution Company is terminated (where there is no Connection Agreement, there is no microFIT Contract)

In order to terminate its microFIT Contract, the Supplier must initiate a Change Request via Beacon, complete and sign the Notice of Termination Form and finally, upload a scanned copy of the document within the request.

*For version 1.x and 2.x Contracts, reference may be made to the OPA. Please note that effective January 1, 2015 the former OPA merged with the IESO. All notifications and requests are to be made to the IESO.

Audits and Inspections

During the term of the Contract, the IESO* reserves the right to audit and inspect the Facility, to request copies of all Generation Payment statements and invoices from the Supplier’s Local Distribution Company.

To ensure compliance with the Contract, the IESO* may audit a number of items including (but not limited to) inverter ratings and solar array ratings.

*For version 1.x and 2.x Contracts, reference may be made to the OPA. Please note that effective January 1, 2015 the former OPA merged with the IESO. All notifications and requests are to be made to the IESO.