On August 9th, 2011, the Canadian Solar Industries Association (CanSIA, Ottawa, Canada) announced that it supports the reduction of feed-in tariff rates (FiT) in the fall of 2011, when the program is scheduled to come under review.

CanSIA cites a study that shows that private investment is leading to a healthy solar industry, which will support an estimated 74,000 person-years of employment over the next seven years.

“Our support for a rate decrease recognizes how far solar has come," states CanSIA Board Chair Jon Kieran. "It acknowledges the need to see a reasonable rate of return for investors and the importance of creating a stable diversified energy grid."

"The Ontario industry knows what people around the world are discovering: solar energy becomes more affordable as demand increases, technology matures and production expands. We believe that with new rates, Ontario is well on the way toward price parity with other forms of energy generation.”

CanSIA has also proposed the implementation of a FiT for solar thermal systems.

Ontario solar industry to attract USD 12.9 billion in private investment

In supporting the reduction, CanSIA cites "Economic Impacts of the Solar PV Sector in Ontario" by ClearSky Advisors Inc. (Toronto, Canada), which predicts that Ontario's solar industry will attract USD 12.9 billion in private investment by 2018.

Costs to Ontario consumers from the program at current rates is projected at CAD 0.70 per month (USD 0.71 per month) for the typical residential electric bill for the next seven years.

Conservatives threaten to destroy FiT

CanSIA may also be responding to pressure from Ontario's Conservative Party, which has consistently led in polls leading to the October 6th, 2011 election.

Ontario Conservative Leader Tim Hudak has threatened to scrap the province's program if elected, citing costs to consumers.

2011-08-15 | Courtesy: CanSIA; Image source: Ontario Progressive Conservative Party | solarserver.com © Heindl Server GmbH

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