The provincial agency that operates Ontario's power grid is working on initiatives to help address electricity usage and pricing for the local greenhouse industry.
The Independent Electricity System Operator (IESO) said it is seeing significant growth in the vegetable and cannabis sectors in Essex and Kent Counties, and added energy efficiency programs will help reduce the strain on the grid while helping greenhouse operators save on energy costs.
The agency said old assets and infrastructure are being replaced with new technology to ensure power supply needs and reliability are met. That includes a new switching station at the Leamington Junction by 2022.
The cannabis industry requires energy-intensive lighting and HVAC systems and the IESO has developed a 20-year planning forecast to assess electricity supply and reliability needs. The electricity operator said winter power loads in the Kingsville-Leamington area are expected to nearly double within the next five years because "artificial lighting is used to compensate for lower solar insolation during the day and extend lighting hours into the early morning and late evening."
Many questions still need to be addressed though, such as how much investment is appropriate and who pays for it.
"The costs may be shared by all provincial ratepayers or recovered only by the specific customers they serve," stated a September IESO report. "In some cases, a combination of cost-sharing may occur when there are both provincial and local benefits."
The IESO is also issuing a call for proposals for innovative indoor agriculture projects that could also allow greenhouses to save on electricity costs and ease the burden on the power grid.
The Ontario Greenhouse Vegetable Growers is worried about an increasing number of greenhouses in Essex County moving to and expanding in the U.S. because of high electricity prices.
