The company continues to pursue the development of its portfolio of prospective hydro, wind, and solar projects, and remains ready to respond to future requests for proposals.
In Ontario, the government announced in June 2013 that it would no longer procure large renewable energy capacity under the Feed-In Tariff Program (FIT) for large projects and, as a result, the Ontario Power Authority discontinued the previously submitted Large FIT project applications for which no contract had been awarded. Instead, Ontario will seek to institute a competitive procurement process which will take into account local needs and considerations, including those of municipalities and First Nations. In Ontario’s Long-Term Energy Plan, released in December 2013, the government reiterated its commitment to investing in renewable energy and declared its intention to launch this new procurement process in the spring of 2014. Planned capacity procurement would target 300 MW of wind energy and 140 MW of solar energy in 2015 and another 300 MW of wind energy and 150 MW of solar energy in 2016, with planned annual revisions. Innergex has a number of wind and solar projects that it continues to advance in preparation for submissions under a future competitive bid process. Several prospective projects in Ontario, especially in the wind sector, remain predicated on transmission grid expansion in the northern part of the province and represent more long-term growth potential.
In British Columbia, BC Hydro released its Integrated Resource Plan in November 2013, which calls for “a set of actions that will support a healthy, diverse clean energy sector and promote clean energy opportunities for First Nations,” but provides no specific procurement targets for renewable energy at this time. The province’s significant plans to develop its mining and liquefied natural gas (LNG) sectors may provide development opportunities for the renewable energy sector in light of the Premier’s pledge to produce the “cleanest LNG in the world” and the importance for the population of minimizing greenhouse gas emissions. Innergex hopes to capitalize on its strong industry presence, its positive track record with local communities and First Nations, and its expertise in both hydroelectric and wind energy as it continues to advance the development of a number of prospective projects in this province.
In Quebec, Hydro-Québec launched a request for proposals in December 2013 for the procurement of 450 MW of new wind energy, including 300 MW for projects in the Lower St. Lawrence and Gaspésie regions and 150 MW for projects anywhere in the province. Regulations stipulate a maximum price of $0.09 per kWh, minimum local content requirements of 60%, and ownership of 50% or more of each project by a local entity, including municipalities and First Nations. Innergex has several wind projects that it intends to submit under this request for proposals before the September 2014 deadline.