2021-2024 Conservation and Demand Management Framework

November 4, 2020 Update

Information on programs under the 2021-2024 Conservation and Demand Management (CDM) Framework, launching the week of January 4, 2021, is now available. New programs under the 2021-2024 CDM Framework will continue to target those who need them most and will include opportunities for commercial, industrial, institutional, on-reserve First Nations and income-eligible consumers. Complete program details including available incentives, program budgets and targets will be available in early December. The IESO will continue to engage with customers, vendors, and key stakeholders on new program offerings and opportunities for enhancements as part of the 2021-2024 CDM Framework.

Interested in a specific program or opportunity?

See details on new programs available in January 2021.

Key Framework Information

The 2021-2024 CDM Framework will be centrally delivered by the IESO under the Save on Energy brand. It will focus on cost-effectively meeting the needs of Ontario’s electricity system, including achieving provincial peak demand reductions, as well as targeted approaches to address regional and/or local electricity system needs.
The framework will provide continued opportunities for electricity consumers to manage their electricity costs and stability for partners and businesses involved in the delivery and administration of Save on Energy programs across the province.
Opportunities for electricity consumers will include support to improve the overall energy-efficiency of buildings, facilities and communities. It will also include opportunities to build awareness of energy-efficiency best practices and behaviours to help electricity consumers make decisions about energy-efficiency equipment and products.
The CDM framework will support and solicit customer-based solutions, leverage competitive procurements, and include calls for proposals to increase competition in the industry. It will be able to respond to changing community needs, particularly in vulnerable communities.

Interim Framework Timelines

Retrofit project applications must be submitted by December 4, 2020, to provide applicants with greater assurance that their applications will be reviewed by December 31, 2020.
Process and Systems Upgrade program applicants are requested to submit applications by December 4, 2020, for projects to be considered for contract by December 31, 2020.
Applications for Energy Manager Program and the Energy Performance Program must also be contracted by December 31, 2020.
Interested participants of the Small Business Lighting program and the Home Assistance Program may continue to apply to December 31, 2020.

For questions, please contact your IESO or Save on Energy representative.

Frequently Asked Questions

What has been announced?

The Minister of Energy, Northern Development and Mines has issued a Ministerial directive to the Independent Electricity System Operator (IESO) to establish a new four-year electricity conservation and demand management (CDM) framework for the delivery of a suite of centrally delivered CDM programs launching the week of January 4, 2021.

The framework will focus on cost-effectively meeting the needs of Ontario’s electricity system, including achieving provincial peak demand reductions, as well as targeted approaches to address regional and/or local electricity system needs. Opportunities for consumers will include support to better manage electricity costs, improve the overall efficiency of buildings, facilities and communities, and build awareness of energy-efficiency best practices and behaviours.

Why did the government issue a directive for a new CDM framework?

The government recognizes that electricity CDM programs help consumers manage their energy costs, help cost-effectively address system needs and are an important contributor to Ontario’s economy.

As Ontario recovers from the COVID-19 pandemic, the 2021-2024 CDM Framework will provide continued opportunities for electricity consumers to manage their electricity costs, stability for partners and businesses involved in the delivery of CDM programs in the province, and will help to cost-effectively meet electricity system needs.

How will my current project be impacted by the new framework?

Energy-efficiency projects already underway or applications that are pre-approved/contracted by December 31, 2020, will not be affected by the announcement of this new framework and will be expected to complete according to the current program timelines. Projects under the Conservation First Framework (begun before April 2019) must be complete by June 30, 2021, to be eligible for an incentive. Projects under the Interim Framework (since April 2019) must receive pre-approval by December 31, 2020.

Projects that cannot complete by the prescribed timelines under the IF will be offered the opportunity to apply to the new framework, subject to any new rules, eligibility criteria and guidelines.

What programs are available for electricity consumers?

Opportunities under the 2021-2024 CDM Framework will continue to focus on those who need them most, including commercial, industrial, and institutional consumers, on-reserve First Nations consumers, and income-eligible residential consumers. Information on the programs that will be available can be found here.

More detailed information on available incentives and program budgets will be available in early December.

With whom is the IESO engaging on the design of new programs?

The new framework is informed by customer insights, lessons learned and direct feedback received through the government posting of the 2021-2024 CDM Framework objectives in July/August. In the coming weeks, the IESO will continue to engage with customers and key stakeholders on enhancements of new programming and opportunities for the future.