Association of Power Producers of Ontario

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The Association of Power Producers of Ontario (abbreviated APPrO) is a trade and professional body representing commercial electricity generators in Ontario, and the largest organization of its type in Canada.[1] APPrO was established in 1986 as the Independent Power Producers’ Society of Ontario (IPPSO) and changed its name to APPrO in 2003. It projects a unified voice of advocacy for Ontario-based generators of all types, addressing a range of public policy and regulatory issues of concern to the power industry. The organization also operates industry conferences and produces a number of publications, both hardcopy and electronic. The APPrO conference is the largest annual event of its type in Canada,[2] and its magazine, IPPSO FACTO, is considered by many in the industry to be one of the most authoritative periodicals on electricity business and policy issues in Canada.

APPrO currently has about 100 corporate members including some of the most well-known names in the Canadian power business such as TransCanada_Corporation, Bruce Power and Brookfield Renewable Power, along with many lesser-known companies. APPrO members produce electricity from a range of sources including natural gas, hydroelectricity (waterpower), cogeneration, windpower, solar energy, biomass (wood waste), biogas, nuclear energy, and other sources.

The organization has been a leading advocate for public policies and regulatory treatments that it believes would facilitate the development of power generation in the province and assist in the development of a more open and competitive market for power.

APPrO’s mission statement cites the following as its top objective: The achievement of an economically and environmentally sustainable electricity sector in Ontario that supports the business interests of electricity generators including a reasonable rate of return.

APPrO’s current advocacy work is focused on regulatory and policy issues affecting generators in Ontario including electricity market rules, power procurement processes, the regulation of the natural gas market, both provincially and federally, climate change rules and compliance mechanisms, approval requirements, transmission development, distributed generation, and a number of other issues.

Structure and history[edit]

APPrO has frequently put forward the view that the greatest benefits for consumers of electricity are likely to be achieved through the development of open and competitive markets for the production of electricity. Since it was established in 1986, APPrO has been one of the most vocal and consistent advocates for increasing the use of renewable energy in Ontario. Originally incorporated as the Independent Power Producers’ Society of Ontario, the organization grew in scale and scope during the 1990s.

APPrO's predecessor IPPSO was one of the forces that helped convince the Ontario government to end the near-monopoly status of the former Ontario Hydro and introduce a competitive wholesale market for electricity in the province.

The organization is governed by a Board of 28 directors, and is operated on a day-to-day basis by a President, an Executive Director and support staff. 14 of the directors are appointed as direct representatives of major generator members or staff, and the remainder are elected from various categories of APPrO members. The first full-time (and current) president of APPrO is David Butters. The Executive Director is Jake Brooks.

APPrO describes its role as one in which it has “raised awareness and understanding of its members' concerns with senior decision-makers in government, regulatory bodies and the public at large.” One of its publications says “Through its consistent record of insightful and constructive input, top-notch spokespeople, landmark conferences and widely respected publications, APPrO has earned status as a key stakeholder in Ontario's energy sector that ensures it will be consulted on any major developments of concern.” APPrO has formally intervened in a large number of public hearings and policy development consultations.

Over the years, APPrO's efforts have affected important decisions in the areas of ramp rates, natural gas supply services, net load billing for network transmission services, market design, and large number of technical rules and procedures. APPrO has worked closely with the Ontario government to ensure that the concerns and perspectives of its members are reflected in the contracting process for various procurement processes. APPrO says it intends to continue to advocate for “fair access to the market for all generators, reasonable terms for interconnection to the electric grid, a more efficient system in the future, and lower costs for all users of the electric system in Ontario.”

Positions and principles[edit]

A vision statement released by APPrO in 2006 cited the following as among its goals and as its “preferred direction for evolution of the electricity sector”:

Goals for Evolution of the Electricity Sector:

  • Encourage efficient and timely investment in Ontario’s power system to ensure adequacy and reliability.
  • Produce the optimal electricity cost for Ontario consumers.

Principles for Evolution:

1. Decisions affecting the power sector should be made on an economically rational basis
2. Prices should reflect the true cost/value of production.
3. Robust competition among generators is a critical factor in achieving the optimal electricity cost for Ontario consumers.
4. Public and private sector entities should compete on a level playing field.
5. Markets with multiple sellers and buyers are the most effective way to harness the benefits of competition.
6. Stable and predictable public policy is critical to efficient investment and effective markets.

The Canadian Power Conference and Trade Show[edit]

APPrO’s annual conference, which celebrated its 25th anniversary in 2013, has become the largest annual event in the Canadian power generation industry.[3]

Regularly featuring the Ontario Minister of Energy as a keynote speaker, along with senior executives, regulators, and a range of experts from the provincial and national power sector, it has become a key place for important announcements and for the industry to discuss the critical concerns of the day. The 2014 event attracted nearly 1000 people and featured more than 60 speakers.

Publications[edit]

IPPSO FACTO, APPrO’s magazine (available in both hardcopy and online forms)

Public information initiative:

"Powering Ontario’s Future", begun by APPrO in 2007

A wide range of statements and releases, many of which can be seen on APPrO’s what’s new page.

External links[edit]

Links to other power producer organizations[edit]

See also[edit]

References[edit]

  1. ^ See list of other power producer organizations in Canada in the section titled "Links to other power producer organizations"
  2. ^ It is in fact the only annual conference covering all types of generation in Canada.
  3. ^ As above, it is in fact the only annual conference covering all types of generation in Canada.