Net Metering
Net Metering is a program whereby eligible customers with renewable generation facilities can reduce their net energy costs by generating their own energy behind-the-meter. During periods of time when the generation output exceeds customer load, the surplus energy can be exported back onto the distribution system for a credit against future energy consumption. Excess generation credits are shown and tracked on your monthly hydro bill and can be carried forward for up to 12 months. Northern Ontario Wires Inc. (NOW Inc.) cannot pay customers for any excess generation. A common term for this is Distributed Energy Resources (DER)
For details, see Ontario Regulation 541/05: NET METERING.
How It Works
Net metering is a system that allows homeowners and businesses with solar panels or other renewable energy sources to generate their own electricity and feed any excess back into the grid. Here’s how it works:
1. Electricity Generation
Solar panels (or other renewable energy systems) installed on a property generate electricity. This electricity is first used to power the home or business.
2. Excess Energy
If the solar panels generate more electricity than the property needs, the excess energy is sent back to the electric grid.
3. Bi-Directional Meter
A special bi-directional meter is installed, which can measure both the electricity consumed from the grid and the electricity sent back to the grid. When the solar panels produce excess electricity, the meter runs backwards, effectively crediting the property owner for the energy supplied to the grid.
4. Utility Credits
The energy fed back to the grid earns credits, which can be used to offset the electricity consumed from the grid when the solar panels aren’t producing enough energy (e.g., at night or during cloudy days).
5. Billing
At the end of the billing period, the utility company calculates the net usage. (i.e. kWh of electricity you consumed) If the property generated more electricity than it consumed, the surplus may roll over to the next billing cycle, depending on the local net metering policies. If more electricity was consumed than generated, the property owner pays the difference.
NOTE: Per section 8 (8) of the NET Metering Regulation, credits can only be carried over to future bills for up to 12 month, after which credits are reduced to $0.
Connection Process Micro Generators (≤10kW)
NOTE: Applicants are cautioned not to incur any expenses until we approve to connect the proposed generation facility.
These are the steps that must be followed to connect an electricity generation source that will generate less or equal to 10 kilowatts and operate at voltages below 50 kilovolts to NOW Inc.'s electricity grid. Note that this is subject to change at any time.
1. Preliminary Consultation Information Request (PCIR)
The first step is to submit a completed Preliminary Consultation Information Request (PCIR) by email to customercare@nowinc.ca. We will establish the generator classification and provide you with the connection details for the proposed project and outline the available capacity.
2. Connection Application
After the preliminary consultation, complete and submit a Micro-Embedded (<10kW) Generation Facility Connection Application.
3. Connection Agreement and Offer to Connect
NOW Inc. will review the application and, once it is accepted, issue a Micro-Embedded (<10kW) Generation Facility Connection Agreement and Offer to Connect which outlines the requirements and construction costs to connect the generator.
If you decide to proceed with the project, you will be required to pay the connection fees detailed in the Offer to Connect.
NOW Inc. CIA Schedule of Fees Nov 2024.
4. Design and Build
Once the micro generation facility has been built according to NOW Inc.'s requirements, you will need to apply to the Electrical Safety Authority for an electrical inspection.
5. Commissioning/Witness Test & Final Connection
After the Electrical Safety Authority provides us with the electrical inspection “Connection Authorization”, we will schedule a site visit to perform a witness test on the generator protections.
After a successful witness test, NOW Inc. will schedule a meter change to install the new bi-directional meter. NOW Inc. will also do the necessary work to ensure billing arrangements are setup based on the project type.
6. Technical Requirements
NOW Inc. follows the most recent version of the Hydro One TIR for technical interconnection requirements of DER:
https://www.hydroone.com/business-services/generators/technical-requirements
Hyperlink Forms for Micro Generators (<10kW):
-
Micro-Embedded (≤10kW) Generation Facility Connection Application
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Micro-Embedded (≤10kW) Generation Facility Connection Agreement
Connection Process - Small, Mid-Sized and Large Embedded Generators (>10kW)
NOTE: Applicants are cautioned not to incur any expenses until we approve to connect the proposed generation facility.
These are the steps that must be followed to connect an electricity generation source that will generate more than 10 kilowatts and operate at voltages below 50 kilovolts to NOW Inc.'s electricity grid. Note that this is subject to change at any time.
1. Preliminary Consultation Information Request (PCIR)
The first step is to submit a completed Preliminary Consultation Information Request (PCIR) by email to customercare@nowinc.ca. NOW Inc. will establish the generator classification and provide you with the connection details for the proposed project and outline the available capacity.
2. Connection Impact Assessment Application
After the preliminary consultation, complete and submit a Connection Impact Assessment (CIA) Application. Instructions on how to complete Connection Impact Assessment (CIA) Application.
3. Connection Impact Assessment
NOW Inc. conduct a Connection Impact Assessment and issue a report. You will be allocated capacity on the grid upon completion of the Connection Impact Assessment by NOW Inc. and Hydro One (if applicable).
Note: For generators connecting on a Hydro One shared feeder, Hydro One will be required to perform its own Connection Impact Assessment.
4. Connection Agreement and Offer to Connect
NOW Inc. will provide you with a Small, Mid-Sized and Large (>10kW) Embedded Generation Facility Connection Agreement for your proposed Generator. Included in the Connection Agreement is a Connection Cost Agreement. This Connection Cost Agreement serves as your Offer to Connect and provides a cost estimation specifying the scope of work to be performed in order to make the generation connection.
If you decide to proceed with the project, you must sign the Connection Agreement, sign the Connection Cost Agreement, and make the required payments prior to energization.
Connection Impact Assessment Schedule of Fees Nov 2024.
5. Design and Build
You will be required to submit a Detailed Design Review to ensure all requirements for the connection have been satisfied. NOW Inc. will review the Detailed Design and provide feedback and/or approval.
Once the final design is approved you must complete the construction of the generation facility and then apply to the Electrical Safety Authority for an electrical inspection.
Concurrently NOW Inc. and the Upstream Utility (if required) will perform the necessary work required for the connection.
7. Commissioning/Witness Test & Final Connection
NOW Inc. will work with you to complete the final commissioning of your project. The cost for commissioning is detailed in the notes of the CIA Study Fee Schedule.
After the Electrical Safety Authority provides us with the electrical inspection “Connection Authorization”, NOW Inc. will connect the generator to its Distribution System to allow for completion of the commissioning activities.
8. Final Authorization
Once all requirements and commissioning activities have been approved by NOW Inc., An authorization letter that permits the generator to operate within the parameters the connection agreement will be issued.
9. Support
As DER connections vary in scope and complexity, NOW Inc. will work closely with you during the entire project from application through commissioning.
10. Technical Requirements
NOW Inc follows the most recent version of the Hydro One TIR for technical interconnection requirements of DER:
https://www.hydroone.com/business-services/generators/technical-requirements
Hyperlink Forms for Micro Generators (<10kW):
-
Connection Impact Assessment (CIA) Application Instructions
-
Small, Mid-Sized and Large (>10kW) Embedded Generation Facility Connection Agreement
Resources
Interested in knowing more about Net Metering? Please see the available resources below.
Ontario Regulation 541/05: Net Metering
Ministry of Energy: Save on your energy bill with net metering
Use the Electrical Safety Authority (ESA) website to find a licensed contractor for the job.