Aegent Energy Advisors – August, 2011 Newsletter
In early August, the Ontario Government announced further details of the January 2010 deal with Samsung to build 2,500 MW of wind and solar electricity generation.
- If all the Samsung generation were to start at once, the gross amount paid for all output in the first year would be $996 million, resulting in an average unit price of $170/MWh (17 cents/kWh).
- Currently, Ontario is a substantial net exporter of energy, so if the Samsung generation came online tomorrow, most or all of it would be exported. This would result in an additional annual cost to the province of about $786 million. For a typical residential consumer, the annual bill impact would be $65.
- The annual economic adder of $14.7 million that is part of the Samsung deal is less than 2% of the cost to Ontarians. Read the article