Key Takeaways From The 2025 Ontario Energy Conference

On September 29, 2025, the Ontario Energy Conference brought together key stakeholders from across the energy sector to discuss the province's evolving energy landscape¹. With participation from government leaders, regulators and industry experts, the conference highlighted Ontario's ambition to become an energy "superpower", and provided an overview of the coordinated efforts and challenges the sector needs to navigate to realize this vision.

What you need to know

• Ontario's energy superpower ambition. The Integrated Energy Plan (IEP) and proposed Bill 40 mark a coordinated push to position Ontario as an energy superpower, with strong support for nuclear development, transmission and distribution expansion and reinforcement, natural gas and energy efficiency.
• Navigating change and uncertainty. Despite policy momentum, the sector faces rapid change and uncertainty around demand growth, evolving utility business models like Distribution System Operators (DSOs), and the pace of infrastructure development required under new federal legislation.
• Meaningful engagement. Speakers emphasized that fostering meaningful Indigenous engagement, building trust and maintaining consumer confidence are key to Ontario's success, as are continuing efforts to enhance sector collaboration through integrated planning.

Ontario's energy superpower ambition

The conference highlighted Ontario's ambition to become an "energy superpower": a goal supported by coordinated government action and recent policy developments. Central to this vision are the IEP and proposed Bill 40, which affirm the province's commitment to nuclear energy, electricity infrastructure, natural gas and energy efficiency. These initiatives signal a pivotal moment for Ontario's energy sector, and align stakeholders around a clear direction for growth and modernization.

Clear policy direction

Ontario's IEP provides strong policy direction to invest in the resources and infrastructure needed to meet the province's forecasted demand, and affirms the important role of natural gas in the province's energy mix. Independent Electricity System Operator (IESO) and Ontario Energy Board (OEB) stakeholders are working through their new mandates to deliver the government's vision, leveraging their expertise in planning, forecasting and regulation. In her remarks, OEB CEO Carolyn Calwell highlighted the OEB's work in establishing a methodology to include a margin on payment incentives in order to encourage use of third-party distributed energy resources as non-wires solutions².

Integrated planning and coordination

Speakers expressed optimism about improving collaboration between the gas and electricity sectors through regional planning processes. The IESO's forecasting continues to shift toward incremental, continuous, scenario-based forecasting. The recent Directive from the Ministry of Energy and Mines to the OEB also supports integrated planning by mandating the regulator to improve data sharing and coordination across the sector³.

Nuclear expertise as a strategic advantage

Ontario's deep expertise and global leadership in nuclear energy was recognized by many speakers as a strategic advantage. The pioneering SMR project at Darlington and early completion of Unit 1 refurbishment were cited as examples of Ontario's global competitiveness⁴.

Navigating change and uncertainty

While the conference reflected optimism about Ontario's energy direction, speakers noted various aspects of change and uncertainty in the sector that require urgent action and agility. Demand growth driven by technology and housing, evolving utility business models and the need to accelerate nationally significant infrastructure are creating shifts in the sector.

Demand growth

Speakers reflected on the pace and scale of future electricity demand, particularly from housing development and data centres growth⁵. The IESO projects a 75% increase in demand by 2050—equivalent to powering 4.5 cities the size of Toronto. Draft regulations on data centre connectivity are in development⁶, but the challenge of preparing for and managing this growth remains significant.

Evolving business models

DSOs could play a key role in managing local energy resources, improving system efficiency and delivering affordable electricity solutions. While the model shows promise, panelists expressed the need for greater clarity in the regulatory frameworks and instruments required to enable distribution utilities to incorporate DSO-style responsibilities in their current business model. The OEB will meet with stakeholders on October 14 to discuss advancing a regulatory policy for DSO capabilities.

Bill C-5 and accelerating nation-building projects

The federal Building Canada Act was seen as a welcome step forward in prioritizing energy infrastructure. However, concerns remain over what the law means and whether it only introduces incremental regulatory efficiencies. Panelists highlighted the sense of urgency and need to focus on projects that support Canada's competitiveness, security and sovereignty.

Meaningful Indigenous and consumer engagement

Speakers noted that fostering meaningful Indigenous engagement, building trust and maintaining consumer affordability are key to achieving Ontario's energy vision.

Indigenous engagement

Meaningful, multifaceted Indigenous engagement is essential in project development and should be prioritized. This is especially critical given recent legislation aimed at accelerating national priority projects. Speakers stressed the importance of trust building and the provision of all relevant information in order to enable informed consultation and engagement in project development. Here, project proponents play a key role in supporting communities with project information and resources. While many Indigenous communities are willing to engage, relationship-building takes time and must be prioritized.

Consumer affordability

Despite enthusiasm for growth and innovation, Ontario's energy policy must remain focused on maintaining affordability for consumers and should not lose sight of the consumer perspective. With growing public skepticism about government decision-making and rapid technological advancement, public opinion experts advised that building trust and confidence through meaningful consumer engagement is critical.

Key remarks

As Premier Doug Ford remarked in his keynote, "crisis brings opportunity". The 2025 Ontario Energy Conference made it clear that the province stands at a pivotal juncture where bold leadership, strategic coordination and inclusive engagement can shape a resilient and competitive energy future. Amid rapid change and uncertainty, energy sector leaders and experts are united in the government's shared vision to become an energy superpower, and are committed to seizing the moment to chart a path forward that secures an affordable, reliable, equitable and clean energy future for Ontarians.

Footnotes

1. With grateful appreciation to Dennis E. Mahony, Huw Evans, Valerie Helbronner and T. Ryan Lax for providing comments on earlier drafts of this bulletin.

2. Ontario Energy Board, Framework for Energy Innovation 2.0: Non-Wires Solution Incentives (Margin on Payments), May 2025.

3. Government of Ontario, Order in Council 802/2025, June 2025.

4. Government of Ontario, Ontario Marks Completion of Darlington Unit 1 Refurbishment Project Five Months Ahead of Schedule, November 2024.

5. Energy Regulation Quarterly, Connecting data centres in Ontario: key considerations and challenges, July 2025.

6. Government of Ontario, New requirements for data centres seeking to connect to the electricity grid in Ontario, September 2025.

The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.