City of Ottawa Environmental Initiatives / Hydro Ottawa
Complementary Programs/Activities
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City of Ottawa - Environmental Areas – January 2006 |
Hydro Ottawa – Complementary Programs/Activities
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BACKGROUND – The following lists
environmental programs that the City of Ottawa is considering. |
BACKGROUND - Hydro Ottawa is implementing an Ontario Energy Board
(OEB) approved 3-year, $9.3 million electricity conservation plan. In 2005, the first year of plan
implementation, Hydro Ottawa invested $2.1 million and delivered 6.9 million
kilowatt hours of savings, enough to power over 750 Ottawa homes.
The
following chart identifies Hydro Ottawa programs and activities that it
considers to be complementary to the programs and activities being considered
by the City of Ottawa.
For
reference, please see Hydro Ottawa Conservation and Demand Management 2005
Annual Report. Page
references (pg) are noted below.
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1. $276,000 capital account authority for
air and energy initiatives This project is used to advance projects of
corporate significance as identified in the City Corporate Plan
(Environmental Agenda). Initiatives are guided by the 20/20 Environmental
Strategy and the supporting Air Quality and Climate Change Management Plan
approved by Council in January 2005. In 2006 funds would support:
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2. $580,000 within to complement, not
duplicate, existing programs for achieving building energy efficiency within
our community Part one of a two-year program required to establish
a revolving fund for building energy conservation program. Council has
approved targets of 20% reductions in Green house Gas Emissions for both the
corporation and the community. Buildings are responsible for 40% of
emissions. Without a program to target buildings, the target cannot be
achieved. It is likely that without a program, the City will miss
opportunities to obtain federal or provincial funds on a matching basis. |
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3. $140,000 for coordinating a comprehensive
communications strategy for environmental initiatives and community awards,
as committed within the Environmental Strategy The Communications Strategy directs the City’s participation in community-oriented events, such as Car Free Day and Environment Week, informs citizens of the progress on City environmental initiatives, and recognizes the good work done in the community to protect and enhance the environment. |
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4. $390,000 for one community outreach staff
position and the conduct of activities to increase natural environment
stewardship and energy The
public will be looking for ways to conserve energy in the face of the rapid
increase in energy prices. Taking action now will position individuals and
the community to be less vulnerable to the effects of increasing energy
prices. Stewardship programs encourage the use of environmentally sound
practices on a voluntary basis and are primarily directed toward the rural
areas. |
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5. Two positions within the Environmental
Sustainability Division, for service enhancement Services
enhancements: Addition of two (2) full-time equivalent positions to the
Environmental Sustainability Division to support the implementation of the
Environmental Strategy and the Corporate Plan Environmental Agenda. Primary
responsibilities will be the initiation of the Better Buildings Program and
community outreach for proactive programs of natural resource stewardship
education and promotion. |
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Status report on City Environmental Initiatives
and proposed STRATEGIC PARTNERSHIP WITH ENERGY OTTAWA
ÉTAT D'AVANCEMENT DES INITIATIVES DE LA
VILLE EN MATIÈRE D'ENVIRONNEMENT ET PARTENARIAT STRATÉGIQUE PROJETÉ AVEC
ÉNERGIE OTTAWA
ACS2006-PGM-POL-0047
At the outset of the discussion of this item,
Mayor Chiarelli pointed out that revised Appendices A-1 and A-2 (to replace
Appendix A at pages 145 to 150 of the Agenda) had been distributed to
Councillors in advance of the meeting.
Kent Kirkpatrick, City Manager, provided a
brief overview of the staff report. He
noted this report identifies over 90 environmental initiatives the City and
Hydro Ottawa are pursuing in terms of the environmental goals of both
organizations. Referencing the
Environmental Agenda in the Corporate Plan (approved by Council on 28 September,
2005), the City Manager stated staff felt, given it was mid-year and also
Environment Week, it was important to provide Council with an update on the
status of all of the programs, projects and environmental initiatives underway
with the City and Hydro Ottawa. Mr.
Kirkpatrick went on to note the report recommends the establishment of a
preferred partnership relationship with Energy Ottawa, so that more can be
gained from the investments in environmental initiatives (i.e. the potential
opportunities are identified in the staff report). As well, the report also recommends a funding policy for
Council. He felt it would be prudent
for Council to identify the actual financial potential (and environmental
benefits) of the City continuing to look into energy conservation and measures
that would allow the City to reduce its energy consumption. The report also indicates how, working with
Energy Ottawa (which has a generator’s license), the City could provide energy
back onto the grid. There are revenues
that will be achieved from these initiatives that the City pursues with Energy
Ottawa and the report recommends for Committee and Council’s consideration the
creation of an energy efficiency reserve fund to receive the net proceeds from
these initiatives and exist as a source of funding for Council’s consideration
from one budget year to another, of reinvesting into additional and further
energy conservation and environmental initiatives.
Mr. Kirkpatrick advised that Rosemary
Leclair, President, Hydro Ottawa Holding Inc. (HOHI) and Greg Clark, Director,
Energy Services, Energy Ottawa were also present to answer questions from the
Committee on this matter.
Councillor Cullen, referencing the proposed
strategic partnership with Energy Ottawa, asked where the EnviroCentre fits
into this partnership. Mr. Kirkpatrick
said although the EnviroCentre is related, it does not fit directly with the
what was before the Committee. He went
on to say he had met recently with Dana Silk, General Manager of the EnviroCentre
and Paul Koch, a member of the EnviroCentre Board, to discuss the City’s
partnership with the EnviroCentre and where they would like it to go. As a result of this meeting, the
EnviroCentre has provided a list of initiatives it would like the City to consider
and these initiatives will be discussed at the next City Manager’s
Environmental Working Group meeting and subsequently further discussions will
take place with the EnviroCentre.
At Mr. Kirkpatrick’s request, Mr. Clarke
noted he was also the Chair of the EnviroCentre Board. He explained the EnviroCentre is focused
mostly on residential programs, community based initiatives and offers a
service to small commercial businesses.
Energy Ottawa’s focus is more on larger commercial facilities and therefore
did not see any potential conflict and in fact, look at this as an opportunity
to engage EnviroCentre in helping to deliver some of the opportunities through
this strategic partnership.
Councillor Cullen questioned whether Energy
Ottawa had or intended to put in place, a mechanism (similar to the City’s
Environmental Advisory Committee (EAC) to engage the public. Mr. Clarke responded that, as the
Councillor had referenced, there is the City’s Environmental Advisory Committee
and through that committee, the public has the opportunity to voice their
concerns and give direction to the City.
In terms of Energy Ottawa having a dedicated advisory committee, he felt
this to be a governance issue and beyond the scope of what he would be able to
address.
Councillor Cullen noted the EAC is the
City’s, it does not have the ability to put something on the agenda of Energy
Ottawa and he opined it would be a cumbersome process to route ideas through
the EAC to a Shareholder’s meeting. The
Councillor stressed there would be public interest in this issue and felt it
would be useful to have the public involved and it would therefore be worth
exploring the possibility of a public advisory committee.
Mr. Kirkpatrick stated from his perspective,
the EAC is the public advisory committee established by Council to advise the
City on what its initiatives should be.
When management believes those initiatives could be best promoted by
using the services of Energy Ottawa, they would do so under this agreement,
should Council choose to approve it.
Ms. Leclair added that Energy Ottawa would be
a contractor to the City of Ottawa and the programs and initiatives it
identifies, that the City could benefit from, would go through the City’s
process. These would be brought forward
to City management and City management would undertake whatever approvals,
consultation, etc. were necessary. Ms.
Leclair also pointed out that in terms of ideas coming forward from the public,
these could come forward to Energy Ottawa’s conservation manager. She noted one example of an idea coming from
the public that fit into Energy Ottawa’s program and that they were quick to
respond to, was “Project Porch Light”.
Councillor Cullen then had questions with
respect to the profits that Energy Ottawa generates. He assumed the profits would be redistributed by the Board of
Hydro Ottawa Holding Inc. and asked if there was the possibility these profits
might be deployed elsewhere, such as to Telecom Ottawa. Ms. Leclair responded that each subsidiary
operates on its own and is self-sufficient.
Profits from the subsidiaries would go up to Hydro Ottawa Holding Inc.
and be consolidated to meet the capital needs of the group of companies or to
meet the dividend policies of the City of Ottawa. She stressed there is not a cross-subsidization of the
companies. If one of the companies
requires financing, HOHI would loan the company the required funds and these
loans would be paid back to HOHI (i.e. money is never “gifted” to any of the
companies).
In response to a final question from
Councillor Cullen, Mr. Kirkpatrick confirmed the fees for service would be
negotiated between Energy Ottawa and the City and would be on a competitive,
fair market fee basis.
In concluding his comments, Councillor Cullen
indicated he would support the staff recommendations. He stressed again however, the importance of engaging the public
on this issue.
In response to questions from Councillor E.
El Chantiry, Ms. Leclair advised that Energy Ottawa’s service territory extends
through Eastern Ontario; it does not have the same restrictions as Hydro Ottawa
Limited does (i.e. Hydro Ottawa’s license restricts its service
territory).
Councillor El Chantiry then had questions
with respect to HOHI’s negotiations with Hydro One for the outlying areas of
the City. Ms. Leclair advised that HOHI
would be providing an update on this issue when it brings forward its annual
report to the shareholder’s meeting.
She noted however, the restrictions on disposition and acquisitions
placed on Hydro One by the Province (that Council was advised of in 2005), are
still in place.
The recommendations were then approved by
Committee.
That Corporate Services and Economic
Development Committee recommend Council:
1.
Receive the status
report on City of Ottawa Environmental Initiaves in Appendix A-1 and A-2 for information.
2.
Approve Energy
Ottawa as the City’s preferred partner in the pursuit of initiatives to reduce
energy costs and overall energy consumption through energy efficiency,
conservation and demand management;
3.
Authorize the City
Manager to negotiate a partnership agreement with Energy Ottawa to assist the
City in maximizing revenue from demand response and similar opportunities;
4.
Create an Energy
Efficiency Reserve Fund with revenues realized from the partnership with Energy
Ottawa; and
5. Approve
the use of revenues from the Energy Efficiency Reserve Fund for programs in the
areas of energy efficiency and air quality as described in this report.
CARRIED