Promoting independent renewable power options in BC

This paper explores ways to implement the electrical self-sufficiency clause of the 2007 Energy Plan by rapidly expanding production from independent power producers by 2016. Past experience demonstrates that IPPs face barriers to producing power reliably and policies are required to promote dependable production. In this paper, I employ interviews with IPPs and other stakeholders and a case study analysis to uncover barriers in the province and successful policies that have expanded production in other jurisdictions. I find that the single-buyer model is the most reliable market structure to expand IPP production and propose that the province amend this system to address problems in BC. I recommend that the province use regularly scheduled calls for power, require IPPs to complete all permitting and First Nations negotiations prior to submitting their bid and reduce liquidated damages that IPPs pay to BC Hydro for failing to meet their firm energy quota.