The IESO has received a Ministerial directive to implement a new 2021-2024 Conservation and Demand Management (CDM) framework, launching the week of January 4, 2021. The province recognizes the benefits of CDM programs to the electricity system and electricity consumers, as well as the contribution they provide to Ontario’s economy and competitiveness.
Programs in the new CDM framework will target those who need them most. The framework will include opportunities for commercial, industrial, institutional, on-reserve First Nations and income-eligible consumers.
Details of programs under the new framework will be available in early November 2020. In the coming weeks the IESO will be engaging with vendors, customers, and key stakeholders on new programs and to ensure a smooth transition from the current 2019-2020 Interim Framework to the new 2021-2024 CDM framework.
As a reminder, Retrofit program customers who are currently participating under the 2019-2020 IF need to have applications pre-approved by December 31, 2020, and need to have their projects completed by December 31, 2021. IF projects through the Process and Systems Upgrade program must be contracted by December 31, 2020 and must be declared in-service by December 31, 2022. Applications for Energy Managers and the Energy Performance Program in the IF must also be approved by December 31, 2020. Consumers interested in participating the Small Business Lighting programs and the Home Assistance Program may continue to apply to December 31, 2020.
For questions, please contact your IESO or Save on Energy representative for more information.
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.
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.
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.
Programs under the new framework will focus on those who need them most, including commercial, industrial, and institutional consumers, on-reserve First Nations consumers, and income-eligible residential consumers. More details on specific program offerings will be available in early November 2020.
Save on Energy will continue to offer all residential consumers information and tips on how to save energy and better manage their electricity bills.
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.