Policy
Supporting Critical Transmission Infrastructure in Southwestern Ontario
Regulation Number(s):
Instrument Type:
Policy
Bill or Act:
Ontario Energy Board Act, 1998
Summary of Decision:
The Ministry of Energy has decided to move forward with the proposal. Lieutenant Governor in Council has approved the Orders in Council (OICs) and Minister's Directive pursuant to the Ontario Energy Board Act, 1998 (OEBA). The OICs and Directive will facilitate the timely development of five new transmission lines in Southwestern Ontario.
Following the consideration of comments received in response to the proposal, the Government of Ontario has decided to proceed with the proposal to issue an Order in Council (OIC) and a Minister's Directive under section 28.6.1 of the Ontario Energy Board Act, 1998 (OEBA) and a separate but related OIC under section 96.1 of the OEBA. Taken together, the OICs and Directive will have the effect of:
1. Declaring three transmission line projects as priority projects under s. 96.1 (1) of the OEBA, streamlining the Ontario Energy Board (OEB)'s Leave to Construct approvals process.
2. Designating Hydro One as the transmitter of two of the priority projects through a requirement under the Minister's Directive to the OEB to amend Hydro One Networks Inc. (HONI)'s transmission licence pursuant to s. 28.6.1 of the OEBA, requiring HONI to undertake development work and seek approvals to construct the projects (HONI was designated as the transmitter for the third priority transmission line project - Chatham to Lakeshore - in 2020).
3. Requiring Hydro One undertake early development work on two future projects through a requirement under the Minister's Directive to the OEB to amend HONI's transmission licence pursuant to OEBA s. 28.6.1, to impose a similar obligation on HONI as described in the paragraph above. Planning assessments indicate that two additional transmission lines (i.e., apart from the priority transmission line projects) may be required over the longer-term in Southwestern Ontario.
Following the consideration of comments received in response to the proposal, the Government of Ontario has decided to proceed with the proposal to issue an Order in Council (OIC) and a Minister's Directive under section 28.6.1 of the Ontario Energy Board Act, 1998 (OEBA) and a separate but related OIC under section 96.1 of the OEBA. Taken together, the OICs and Directive will have the effect of:
1. Declaring three transmission line projects as priority projects under s. 96.1 (1) of the OEBA, streamlining the Ontario Energy Board (OEB)'s Leave to Construct approvals process.
2. Designating Hydro One as the transmitter of two of the priority projects through a requirement under the Minister's Directive to the OEB to amend Hydro One Networks Inc. (HONI)'s transmission licence pursuant to s. 28.6.1 of the OEBA, requiring HONI to undertake development work and seek approvals to construct the projects (HONI was designated as the transmitter for the third priority transmission line project - Chatham to Lakeshore - in 2020).
3. Requiring Hydro One undertake early development work on two future projects through a requirement under the Minister's Directive to the OEB to amend HONI's transmission licence pursuant to OEBA s. 28.6.1, to impose a similar obligation on HONI as described in the paragraph above. Planning assessments indicate that two additional transmission lines (i.e., apart from the priority transmission line projects) may be required over the longer-term in Southwestern Ontario.
Analysis of Regulatory Impact:
These OICs and Directive are intended to provide regulatory clarity and streamline the Leave to Construct approval hearing process for the specified projects to avoid project delays, as well as begin early development work on longer-term projects to achieve potential cost efficiencies. The proposal is not expected to have significant impacts on electricity ratepayers and other aspects of the approvals process for these projects, including environmental impact assessments.
Further Information:
Link to Environmental Registry
Proposal Number:
22-ENDM003
Posting Date:
January 20, 2022
Summary of Proposal:
The Ministry of Energy (ministry) is proposing to take a number of actions to facilitate the timely development of transmission projects in Southwestern Ontario. The proposed actions are intended to:
• Support planned transmission projects to be built on time and cost-effectively to aid Ontario's economic recovery and meet the rapid pace of development in the region, making Ontario more competitive in attracting and retaining investment.
• Expand the use of Ontario's low-carbon electricity system.
Our proposed actions are best described in three parts:
1. Prioritize certain Transmission Projects
2. Designate Hydro One as Transmitter of Priority Projects
3. Require Hydro One to undertake early development work on future projects
Please refer to the notice on the Environmental Registry of Ontario for details.
• Support planned transmission projects to be built on time and cost-effectively to aid Ontario's economic recovery and meet the rapid pace of development in the region, making Ontario more competitive in attracting and retaining investment.
• Expand the use of Ontario's low-carbon electricity system.
Our proposed actions are best described in three parts:
1. Prioritize certain Transmission Projects
2. Designate Hydro One as Transmitter of Priority Projects
3. Require Hydro One to undertake early development work on future projects
Please refer to the notice on the Environmental Registry of Ontario for details.
Contact Address:
Ministry of Energy
77 Grenville Street, 6th Floor
Toronto, ON M7A 2C1
77 Grenville Street, 6th Floor
Toronto, ON M7A 2C1
Effective Date:
March 31, 2022
Decision:
Approved