Government announces $70 million Renewable Energy Initiative
Below is an Ontario Region eALERT regarding a $70 million renewable energy initiative for social housing. The government has a number of key objectives with this program including improving energy efficiency in affordable housing projects and creating jobs and generate investment in Ontario.
Seventy million dollars in funding was announced today for “renewable energy” projects in social housing under Ontario’s Renewable Energy Initiative (REI). This is part of the Year 2 funding under the Social Housing Renovation and Retrofit Program (SHRRP). SHRA co-ops are eligible for this funding – federal co-ops are not. A more detailed information package about the program should be available next week from your service manager.
One type of project that is eligible is installing a solar photovoltaic system on your roof. You could generate electricity for your own use, or sell it back into the grid at a premium price. A new Feed-In-Tariff program (FIT) operated by the Ontario Power Authority (OPA) allows for this option. SHRA co-ops that are successful in getting REI money to pay for the capital cost of the system will have a long-term revenue stream without spending from their own reserves.
The FIT concept is part of Ontario’s new Green Energy Act, and the opportunity to generate and sell electricity back to OPA is therefore open to all housing co-ops. Federal co-ops would need to finance the system on their own. Co-ops are strongly encouraged to participate in the program, as it will improve their long-term viability and contribute to overall efforts to make the world more sustainable.
The government has several key objectives in providing this funding – two of them are:
• to improve energy efficiency in affordable housing projects through the use of renewable energy technologies that contribute to the overall energy supply, and
• to create jobs and generate investment by accelerating the development of the renewable energy industry in Ontario.
Detailed program guidelines have been sent to service managers. Currently, what we know about the timing is that service managers can submit lists of priority projects starting March 1, funding agreements will be signed by September 30, and construction must start within 3 months after that. Applications will go through the service manager, but be approved centrally by the Ministry of Municipal Affairs and Housing. They will ensure that there is a balance of projects and technologies across the province.
CHF Canada and Green Light on a Better Environment (GLOBE) have been providing information in advance of this announcement, and we know that many co-ops are interested in applying for funding. The economics of your project should be based on a Building Condition Assessment and/or Energy Audit, as well as capital cost estimates. The usual SHRRP funding limit of $28,000 per unit for each project will apply. For example, if your project consists of a roof repair under the regular SHRRP and the installation of solar panels under the REI, the total combined cost must not be more than $28,000 per unit.
OPA will administer a list of pre-qualified suppliers and contractors; they will send out a Request for Qualifications soon and issue the list later this month. If you have already talked to a supplier for this work, make sure that they get on the list. You will have to follow the usual tendering rules.
If you have questions about the program or this eALERT, please contact Eliza Moore, Program Manager, Renovation and Retrofit Support at 416-366-1711 (toll free 1-800-268-2537), ext.239, or emoore@chfcanada.coop.
