The Ontario Feed-In-Tariff (FIT) program allows Ontario homeowners, commercial businesses and farms to sell solar power to the grid over 20 year contracts with the Ontario Power Authority (OPA). Hay Solar is an Ontario agricultural and engineering company that constructs free barns for registered Ontario farms under the FIT program by installing solar panels as part of the barn roof. These solar panels generate FIT solar revenue that pays for the entire cost of the barn and also generates modest revenue for the farm. Hay Solar has a network of barn builders across Ontario and thousands of farm applications in process from Ontario farmers. The owners of Hay Solar are also Ontario farmers and on July 2, 2010, the Ontario Power Authority (OPA) announced a change of policy to prevent FIT applications from buildings that were not already constructed. Since Hay Solar is one of the largest barn builders in Ontario and a large FIT participant, this policy is clearly targeting the termination of thousands of agricultural barns and the loss of thousands of agricultural market sector jobs.
The rationale for the policy change is that these Ontario barns would not have been constructed without the FIT program, however, we can assure you that the hard working Ontario farms that have registered under the Hay Solar program are simply trying to improve the productivity of their farms with the limited resources that they have available. Commercial buildings are paid substantial fees for FIT roof leases and Hay Solar is simply paying the farm “upfront” by constructing a free barn. The OPA policy change has no significant impact on commercial or other markets and the policy seems to target hard working Ontario farmers that do not have the capital resources to fund their own barn construction. The timing of the policy change has occurred during peak hay season whereby the majority of our farm applicants are in the fields cutting hay and working long hours and may not be able to take the time to speak up for their individual rights.
As such, Hay Solar will lobby the Premiers office, the Honourable Ministers Brad Duguid and Carol Mitchell to resolve the matter as it would seem that hard working Ontario farms may not have a voice under the Ontario Green Energy Act. Mr James Mann is the president of Hay Solar and proud member of the Ontario Federation of Agriculture, Professional Engineers of Ontario and a licensed consulting engineer in the Province of Ontario.
To assist us in this matter, please contact your MPP and ask why the OPA is “closing the door” to Hay Solar free barns in Ontario.
Regards,
James Mann, P. Eng.
Hay Solar Ltd.
Comments
Cut all the whining and complaining, and all that nonsense. Everybody knew that paying 80 cents to produce something that retails for about 8 cents, is unsustainable, and that this entire industry was, therefore, extremely unsound right from the outset.
And, what's the big deal about unsigned contracts? If if was a signed contract somebody was being cute about, that's one thing. Everyone of us has had our hopes dashed at the 11th hour, and this was no different.
The more whining and complaining, and rhetoric about "hard-working farmers" I see from people who've seen their gravy boat smash against the harbour wall, the more I'm thinking the government didn't go far enough and should have cancelled the entire program.
And for how long do you think that it will remain?
Costs to update the aging hydro grids will be high no matter which way you go.
Hydro One — that owns the transmission lines and transformer stations -- has spent $1.85 billion in the past seven years upgrading and replacing its equipment. Much more will have to be spent in the coming years.
Accordingly, Hydro One applied for a 21.5 per cent rate hike earlier this year. Fearing a political backlash, the Liberal government at Queen’s Park ordered the requested hike to be scaled back to 15.7 per cent.
We have to find alternative sources, or suffer more blackouts as aging equipment fails. Skimping on investments in renewed sources is not really an option if we want to keep the lights on.
Not one solar proponent has ever stopped to consider the fact that the cheapest, and cleanest, power, is power which, because of energy conservation, doesn't need to be generated at all.
To that end, government would have been a whole lot further ahead paying people to insulate their attics instead of putting solar panels on their roofs.
Farmers can cry and complain all they want about government changing the rules without telling anyone, but we elect governments to do just that, especially when the result is better public policy.
And hurt thousands of farmers along the way. Now that is better public policy. Give me a break!
In their greed to try to sign up for this 80 cent windfall, not one farmer cared one iota about the fact that 9 million Ontario consumers and businesses were eventually going to have to pay for it all.
The only "hurt" farmers felt was a lost opportunity. When compared to the actual costs consumers were going to have to pay for the next 20 years, the short-sightedness of the farm community, and their lack of ability to care about anyone but themselves, gives us all a well-deserved black eye.
Shame on the farm community's greed, and lack of consideration for anyone but themselves.
Shame on you for attacking farmers. The government offered this deal to everyone who was willing to invest in it. That includes businesses, homeowners, everyone who wanted it.
Do not blame farmers for seeing an opportunity for a guaranteed investment. Farmers take a chance every single year in planting crops or raising livestock and hoping for a good yield and enough
profit to make a living.
Ontario wants to be a leader in solar energy but as usual wants it on the back of farmers just like their cheap food policy.
Renewable energy resources is sustainable period!
Considering that everyone was looking for a different way to produce
"fossil fuel free" energy, then we need to understand the initial "up-front" costs of reintegration of energy systems. How this is done is by tax-funded incentive programs - it's part of social and infrastructure responsibility - which, in the end is provided by or socially responsible tax-payers. Don't whine about it.
Another thing to consider is how policy makers weed-out obsolete statutes regarding old energy manufacturing and consumption (let's set oil refineries on fire so we can drive up the price of petroleum)
All joking aside, renewable energy is in the plans and in the beginning people will benefit and some will suffer... Furthermore, responsible business owners - farmers or not - should find time to pursue appropriate market studies and determine if their business direction is feasible in a changing energy sector.
Exactly right. There is no such thing as a "free barn". Sombody has to pay for it and that somebody is the rest of us taxpayers and power users. Cancel the whole program and let them pay for their own barn!
The Sun pays for the barn !
If you really believe that they make electricity that cheap I have a deal for you.
Where do you think the 28 billion dollar debt came from.
Lower solar incentive expected to hit industry hard
July 6, 2010
Co-op says solar rate changes will sink it
July 6, 2010
Letter To The Editor
© AgMedia Inc.
July 8, 2010
As another poster accurately points out; "If you really believe that they make electricity that cheap I/we have a deal for you."
Where do you think the 28 billion dollar debt came from?
Debt retirement may not show as a line item of cost you power generators pay for in generation when your book keeping allows it to be pasted on to consumers after we have receipts paid in full.
If agriculture ever decides to have a surcharge for non profit years well after the fact our books would look as good.
Given the amount of coverage on this subject what do you think the public relations cost for damage to credibility might be? Or will OPG, Hay Solar and others just put a retroactive charge on for public relations rebuilding too?
Renewable energy resources is sustainable period!
Considering that everyone was looking for a different way to produce
"fossil fuel free" energy, then we need to understand the initial "up-front" costs of reintegration of energy systems. How this is done is by tax-funded incentive programs - it's part of social and infrastructure responsibility - which, in the end is provided by or socially responsible tax-payers. Don't whine about it.
Another thing to consider is how policy makers weed-out obsolete statutes regarding old energy manufacturing and consumption (let's set oil refineries on fire so we can drive up the price of petroleum)
All joking aside, renewable energy is in the plans and in the beginning people will benefit and some will suffer... Furthermore, responsible business owners - farmers or not - should find time to pursue appropriate market studies and determine if their business direction is feasible in a changing energy sector.
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