Incremental Capacity Auction Engagement

The IESO is working with stakeholders to design and develop an Incremental Capacity Auction (ICA). The ICA initiative will develop an enduring market-based mechanism that will secure incremental capacity to help ensure Ontario’s reliability needs are met cost effectively. Developing an ICA is a key element of the IESO’s Market Renewal program.

Background

The province currently meets its capacity needs through a combination of regulated and contracted resources. This approach has been instrumental in transitioning to a cleaner supply mix while ensuring reliability over the years. Looking ahead, we have an opportunity to draw on the experiences of other electricity markets to meet our reliability needs more cost effectively.

Capacity auctions have been implemented by many jurisdictions with much success. Capacity auctions can achieve efficiency benefits by creating a competitive market for suppliers, increasing the system’s ability to adjust to changing supply and demand dynamics, and attracting low-cost, non-traditional capacity resources that are unlikely to be identified in the absence of a competitive auction. For suppliers, capacity auctions provide enduring and transparent mechanisms to get paid for capacity they can supply. For consumers, capacity auctions ensure that capacity is secured at lowest cost.

Get Involved

As Market Renewal will address the fundamental design issues of Ontario’s electricity marketplace, this project will be of interest to market participants and other stakeholders.

Interested parties are invited to participate in, and provide feedback on, any of the Market Renewal initiatives.

For more information about how to become involved or to provide comments on the project, please contact engagement@ieso.ca.

Stakeholder Engagement Plan (Draft)

Incremental Capacity Auction High-Level Design (full document)

Executive Summary

Backgrounder

ICA Issues & Actions Log

ICA Design Tracker

Documents referenced on this page, but not posted, can be obtained by contacting engagement@ieso.ca with a link to the web page that lists the document and advise whether it needs to be provided in an accessible format. Please allow a minimum of one business day for a response.

Schedule of Activities

Date Agenda Minutes	Activities	Expected Actions
December 16, 2019	Final Engagement Summary Report
July 16, 2019	Market Renewal Update on the ICA Communication
June 25, 2019	ICA – LDC Webinar (Postponed) Communication Communication
May 17, 2019	Deadline for feedback on ICA HLD Stakeholder Feedback: AEMA Alectra AMPCO APPrO Brookfield Renewable Canadian Manufacturers & Exporters Capital Power Consortium of Renewable Generators, Energy Storage Providers, and Industry Associations Electricity Distributors Association Enbridge Gas Enel X Gerdau Goreway Hydro One Hydro Ottawa Hydrostor ITC Holdings Market Surveillance Panel Northland Power Ontario Energy Association Ontario Power Generation Ontario Waterpower Association Peak Power Power Workers Union Rodan Energy Solutions Toronto Hydro TransAlta York University
April 23, 2019 Agenda	ICA HLD Q&A Session
March 22, 2019	Release of draft ICA High-Level Design Feedback Form
March 6, 2019 Agenda Minutes	Stakeholder Meeting Communication Presentation
December 14, 2018	Stakeholder Feedback Advanced Energy Management Alliance AMP Energy Consortium of Renewable Generators and Storage Providers Enel X ITC Holdings Market Surveillance Panel Ontario Energy Association Ontario Waterpower Association Rodan Energy TransAlta IESO Response to Stakeholder Feedback
November 16, 2018	Deadline for feedback on preliminary design decisions and demand curve analysis Communication Feedback form
October 18-19, 2018 Minutes	Stakeholder Meeting ICA Participation Model – Preliminary Decisions ICA Demand Curve Analysis: Preliminary Findings Regarding the Demand Curve for a Two-Season Auction
September 12, 2018 Minutes	Stakeholder Meeting Communication Presentation
July 11, 2018	Stakeholder Feedback APPrO DERAC IESO Response to Stakeholder Feedback
June 14, 2018 Minutes	Stakeholder Meeting Presentation Feedback Template
May 17, 2018	Stakeholder Feedback Advanced Energy Management Alliance APPrO City of Toronto IESO Response to Stakeholder Feedback
April 19, 2018 Meeting Notes	Stakeholder Meeting Presentation Feedback Template
April 13, 2018	Deadline for stakeholder feedback on materials and issues discussed at March 7th meeting Stakeholder Feedback Advanced Energy Management Alliance (AEMA) AMPCO APPrO Capital Power Hydrostor Inc. NRGCS
March 7, 2018 Agenda Minutes	Stakeholder Meeting Presentation Feedback Template
February 21, 2018	Stakeholder Feedback APPrO Capital Power EnerNOC, Inc. Nalcor Energy Marketing IESO Response to Stakeholder Feedback
January 24, 2018 Agenda Minutes	Stakeholder Meeting Feedback Template Presentation ICA Demand Curve Development: Proposed Approach for Ontario
January 8, 2018	ICA Feedback Template for December 4 Meeting and Feedback Deadline Reminder Feedback Template Stakeholder Feedback APPrO EnerNOC, Inc. HQ Energy Marketing Inc. Nalcor Energy Marketing Ontario Waterpower Association IESO Response to Stakeholder Feedback
December 4, 2017 Agenda Minutes	Stakeholder Meeting - PHASE II - Options and Preliminary Decisions Presentation
December 4, 2017	Deadline for stakeholders to submit feedback on materials discussed at November 6th meeting APPrO EnerNOC, Inc. Hydro Quebec Energy Marketing Ontario Waterpower Association Whisker Labs IESO Response to Stakeholder Feedback
November 10, 2017	Communication Feedback Template
November 6, 2017 Agenda Minutes	Stakeholder Meeting PHASE II - Options and Preliminary Decisions Presentation
October 26, 2017	Stakeholder Feedback AMPCO APPrO Brookfield Renewable Energy Storage Canada EnerNOC, Inc. Hydro Quebec Energy Marketing Nalcor Energy NRG Curtailment Solutions, Inc. Ontario Power Generation Ontario Waterpower Association IESO Response to Stakeholder Feedback
September 28, 2017 Agenda Minutes	Stakeholder Meeting - Options Presentation
September 13, 2017	Stakeholder Feedback AMPCO APPrO Bruce Power EnerNOC, Inc. Hydro Quebec Energy Marketing Ontario Power Generation Ontario Waterpower Association Power Advisory LLC on behalf of CanWEA and a Consortium of Renewable Generators Powerful Solutions Storage Power Solutions Inc. IESO Response to Stakeholder Feedback
August 18, 2017	Communication ICA - Options Feedback Form
August 16, 2017 Agenda Minutes	Stakeholder Meeting Communication Presentation
July 20, 2017 Agenda Minutes	Stakeholder Meeting – ICA Fundamentals and Concepts Phase 1 - Fundamentals and Concepts	Recorded Presentation
June 15, 2017 Agenda Minutes	Stakeholder Meeting – ICA Fundamentals and Concepts Phase 1 - Fundamentals Capacity Auction Forward-Period Uniform Price vs. Differentiated Payment Auctions	Recorded Presentation
May 18, 2017 Agenda Minutes	Stakeholder Meeting – Intro to Engagement, Overview of Design Elements and Scope Presentation	Materials posted one week in advance of meeting
May 2017	Post Draft Stakeholder Engagement Plan
April 27, 2017	Launch Engagement and Communication

Stakeholder Engagements

Incremental Capacity Auction Engagement

Schedule of Activities