Canadian Lawyer InHouse

Apr/May 2013

Legal news and trends for Canadian in-house counsel and c-suite executives

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Q U I Z By Daniel Ferguson, Partner and Stephen Doak, Associate, WeirFoulds LLP The impact of changes in FIT 2.0 Ontario's Feed-in Tariff program was introduced in 2009, when the province enacted the Green Energy and Green Economy Act as a means to stimulate renewable energy generation and to promote related businesses in Ontario. Under this program, the provincial government procures renewable energy from qualifying large and small-scale generators by granting long-term contracts at guaranteed stable rates. In late 2012, the program was re-launched with a new set of rules and guidelines, as FIT 2.0, which were then amended in December 2012 creating the current rules and contract forms (version 2.1). In this quiz, we review some scenarios incorporating the key changes applicants developing projects under the FIT program will need to be aware of. GO TO WWW.CANADIANLAWYERMAG.COM TO WATCH WEIRFOULDS LLP LAWYERS TALK ABOUT THIS QUIZ. 1 The Ontario Power Authority is reviewing two applications for Contract Capacity Set-Aside projects — one has 60 per cent aboriginal participation and the other has 75 per cent aboriginal participation. How will the OPA determine which application has priority? (a) The projects will be ordered based on priority points and time stamp (b) The project with the highest percentage aboriginal participation (75 per cent) will be given priority (c) Both projects will be given equal priority 2 Your company is in the pre-application stage for submitting their FIT application for a ground-mounted solar photovoltaic project and has site access rights to a parcel of agricultural land in southern Ontario. According to Canada Land Inventory maps, the proposed property for this particular project involves a mix of CLI Class 3 lands as well as non-prime agricultural land. Based on these soil classifications, will the project be eligible for FIT? (a) Yes (b) No (c) It depends 3 Under FIT 2.0, applications are accepted during specific application periods, rather than on an ongoing basis. Your company has submitted two contracts for two rooftop solar projects within the same application window and was awarded contracts for both. One project is for 10 MW and the other is for 20 MW. How long does your company have to complete the projects and bring the contracts to commercial operation? (a) 36 months following the contract date (b) 18 months following the contract date (c) Five years following the contract date 4 Your company is looking at potential sites for a 100 MW wind farm and has zeroed in on a site outside Thunder Bay. The site has excellent wind resource, environmental screening has not revealed any major environmental constraints in the area, and the site is located approximately 15 km from the existing high-voltage transmission circuit. According to the new rules in FIT 2.0, is this site located at an appropriate distance from the project's connection point (i.e. the existing transmission circuit)? (a) Yes this distance is appropriate (b) The project is located too close to the connection point (c) The project is located too far away from the connection point w w w. c a n a d i a n law y er m a g . c o m / i n h o u s E april 2013 • 17

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