Ontario Panel Says 1 Year of Locational Pricing Exposed 2 Regional Bottlenecks
Updated
Updated · RTO Insider · Aug 19
Ontario Panel Says 1 Year of Locational Pricing Exposed 2 Regional Bottlenecks
1 articles · Updated · RTO Insider · Aug 19
Summary
More than a year into Ontario’s renewed electricity market, the Market Surveillance Panel said locational pricing has improved visibility into where transmission congestion is occurring.
February and March outages on the P502X 500-kV circuit drove elevated make-whole payments in Ontario’s Northeast and Northwest zones, highlighting the regional bottlenecks the system is now surfacing.
The review from the Ontario Energy Board’s panel frames the first year of locational pricing as a transparency gain, while showing that clearer price signals also reveal grid constraints that can raise compensation costs.
Ontario's new pricing model exposes severe grid bottlenecks, but will these hidden costs ultimately trigger a massive spike in your monthly electricity bill?
As locational pricing reveals the true cost of transmission failures, are energy regulators inadvertently discouraging AI and industrial growth in key regions?
With Northern Ontario facing negative power prices and Ottawa seeing extreme spikes, can battery storage step in to fix the broken grid?