Province Also Releases Framework For A New Aboriginal Energy
On Friday September 4, 2009, the Ministry of Energy and
Infrastructure (the "MEI") announced further details of
two new programs for First Nations and Métis communities
interested in developing and owning renewable energy projects:
the Aboriginal Loan Guarantee Program, which was first
announced in the 2008 Budget, is a $250 million program
administered by the Ontario Financing Authority that will
facilitate Aboriginal participation in new renewable green energy
an Aboriginal Energy Partnerships Program, a program that will
be managed by the Ontario Power Authority (the "OPA") and
will support Aboriginal participation in renewable generation
projects by creating a new Aboriginal Renewable Energy Network,
providing support for community energy plans, and providing funding
for renewable project feasibility studies, business cases and other
technical or environmental studies.
These initiatives are consistent with the Minister's
authority to facilitate the participation of Aboriginal peoples in
the development of renewable energy generation facilities under the
Green Energy and Green Economy Act, 2009 (the
"GEGEA"). They build on the OPA's innovative
Aboriginal Pricing Adder as part of its proposed feed-in tariff
program (the "FIT"). In addition, these initiatives are
intended to create jobs, stimulate economic development and offer a
guaranteed and sustained long term revenue stream.
1. The Aboriginal Loan Guarantee Program
The ALGP is a $250 million project that will facilitate
Aboriginal participation in new renewable green energy
infrastructure such as wind, solar and hydroelectric. Under the
ALGP, Aboriginal communities will be eligible for loan guarantees
for up to 75 per cent of an aboriginal corporation's equity in
an eligible project. The guarantee for each project will be up to a
maximum of $50 million. Loan guarantees will be granted only to
commercially viable projects deemed eligible following an extensive
due diligence process. For instance, a project would be required to
established agreements to sell or transmit electricity at a
pre-determined cost (e.g. a FIT contract with the OPA or another
power purchase agreement for generation or regulated rates for
experienced proponents and business partners that have track
records in construction and infrastructure operation;
secured commercial financing arrangements; and
wholly-owned corporations created by Aboriginal communities to
take on all aspects of the project, including signing contracts and
entering partnership agreements.
The Ontario Financing Authority (the "OFA") will
administer the ALGP. Additional program details will be available
later in the fall of 2009.
2. The Aboriginal Energy Partnerships Program
The AEPP is intended to maximize Aboriginal participation in
renewable generation projects. To accomplish this, the province
will assist in three ways:
Support for Community Energy Plans. These plans will enable
Aboriginal communities to determine local interests, need and
opportunities for renewable energy projects, conservation, grid
connection and reducing reliance on diesel in remote
Support through funding project pre-feasibility and feasibility
studies, development of business cases, and technical and
environmental studies. Other soft costs for First Nation and Me_tis
energy projects will also be provided.
Support to create the Aboriginal Renewable Energy Network (the
"AREN"). This network will provide an online-based centre
for sharing knowledge and best practices related to First Nation
and Métis green energy projects. The AREN will enable
contact and information exchange between First Nation and
Métis proponents throughout project development.
Additionally, the AREN will make use of regional seminars,
educational material and interaction with the Renewable Energy
The OPA will manage the AEPP following a directive by the
Minister to establish this initiative. Specific program details
will be available in the coming weeks.
Implementation of the ALGP and the AEPP are steps two and three
of the Ontario government's ten-step plan to bring the GEGEA to
life over the next several weeks. Together, the ALGP and the AEPP
are intended to support First Nation and Métis development
and ownership of economically viable green energy projects.
Canada is a constitutional monarchy, a parliamentary democracy and a federation comprised of ten provinces and three territories. Canada's judiciary is independent of the legislative and executive branches of Government.
In Bank of Montreal v Bumper Development Corporation Ltd, 2016 ABQB 363, the Alberta Court of Queen's Bench enforced the "immediate replacement" provision in the Canadian Association of Petroleum Landmen 2007 Operating Procedure...
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