Toronto, ON — Ontario announces a new electricity program that incentivizes businesses to lower electricity use during high-demand periods.
The Peak Performance program provides financial incentives to encourage commercial and institutional properties to reduce HVAC use during periods of high demand. The Peak Performance program is provided under Ontario’s Energy Efficient Framework.
As stated in the press release, “This change will protect the reliability of Ontario’s electricity grid, reduce costs for consumers and businesses while delivering up to 100 megawatts of peak-demand reduction in 2026 and scaling up to 230 megawatts in 2027.”
The electricity demand in Ontario is projected to increase by up to 90 per cent over the next 25 years. With this information, maximizing existing grid capacity is essential in reducing strain and keeping energy costs down.
Eligible facilities can participate by signing up to reduce their HVAC use for up to three hours on business days, between June 1 and Sept. 30. Participants must be able to reduce at least 500 kilowatts or contribute to a portfolio of aggregated load reduction of at least 500 kilowatts.
Eligible participants will receive a $20-per-kilowatt incentive to offset the cost of monitoring and control equipment. As stated on the program website, “Buildings that curtail an average of 1.25 megawatts (MW) over the 2026 season could earn approximately $94,000.”
Ontario’s Energy Efficiency Framework is forecasted to reduce the province’s peak demand by 3,000 megawatts by 2036, the equivalent of taking three million homes off the grid. The Framework is estimated to result in $23.1 billion in nominal electricity system benefits.