Wind Power Production Incentive Contribution Program

Name of transfer payment program

Wind Power Production Incentive Contribution Program (voted)

Start date

April 1, 2002

End date

The program’s authority to enter into contribution agreements ended on March 31, 2007. However, allocated funding will be issued as per signed contribution agreements with program participants until 2016-17.

Fiscal year for terms and conditions

2005-06

Strategic Outcome

2 – Natural Resource Sectors and Consumers are Environmentally Responsible

Link to department's Program Alignment Architecture

2.1 – Energy-efficient Practices and Lower-carbon Energy Sources > 2.1.1 – Renewable Energy Deployment

Description

The Wind Power Production Incentive program was set up to help establish wind energy in Canada by providing a financial incentive of about 1 cent per kilowatt-hour produced from the installation of up to 1,000 megawatts (MW) of new wind power capacity in Canada by 2007. Eligible recipients claim payment of the incentive over a 10-year period. The program contributes to the production of new electricity from wind energy projects. The program approved 22 wind projects for a total capacity of 924 MW.

NOTE: The total contribution funding for the program is $324 million, of which $314 million has been committed to wind projects. Actual spending will be spread out over several years until 2016-17. The initial Wind Power Production Incentive program G&C budget was $254 million and an additional $69.9 million was allocated in 2005-06.

This transfer payment program has repayable contributions.

Expected results

In fiscal year 2015-16, it is expected that the program will contribute to annual generation of up to 2.55 terawatt-hours.

Fiscal year of last completed evaluation

2010-11

Decision following the results of last evaluation

N/A (No decision required)

Fiscal year of planned completion of next evaluation

2015-16

General targeted recipient groups

An entity that owns a Qualified Wind Farm (QWF), A QWF is a new electricity-generating facility, or the clearly delineated expansion of an existing facility, located in Canada that is a wind farm producing electricity through the direct conversion of wind power using wind turbines. The QWF must also meet minimum size criteria and be built during the qualifying years, as determined in program material.

Initiatives to engage applicants and recipients

The Wind Power Production Incentive program no longer accepts applications as the commitment period ended on March 31, 2007. The department continues to be engaged with recipients to ensure compliance with the requirements of the contribution agreements.

Total grants

Total contributions

Total transfer payments