Details on Transfer Payment Programs (Exceeding $5 million during the reporting year)

Name of transfer payment program: ecoENERGY for Renewable Power (Voted)

Start date: April 1, 2007

End date: The program’s authority to enter into contribution agreements ended on March 31, 2011. However, allocated funding will be issued to program participants until 2020-21.

Description: The ecoENERGY for Renewable Power program has committed $1.39 billion over 14 years to increase Canada's supply of clean electricity from renewable sources such as wind, biomass, low-impact hydro, geothermal, solar photovoltaic and ocean energy. It is intended to help position low-impact renewable energy technologies to make an increased contribution to Canada’s energy supply and thereby contribute to a more sustainable and diversified energy mix. Payments of the incentive of one cent per kilowatt-hour will be made over a 10-year period to qualifying projects.

This transfer payment program has repayable contributions. The requirements that trigger repayments are detailed in the contribution agreements, along with the process for repayment.

Strategic outcome: 2) Natural Resource Sectors and Consumers are Environmentally Responsible

Results achieved: The program managed 104 contribution agreements that were signed by end of fiscal year 2010-11, representing 4458 megawatts (MW) of renewable power capacity and commitments of $1.39 billion over 14 years.

Comments on variances: Actual spending was less than planned spending because not all project applicants met the March 31, 2011 deadline for project commissioning. As a result, not all of the funds originally available under the program were allocated. In addition, projects qualifying for the incentive produced less energy than anticipated, resulting in lower actual spending than anticipated.

Audits completed or planned: Four recipients were audited during 2012-13. An audit of the Program was also conducted in 2012-13.

Evaluations planned: An evaluation of Renewable Energy Deployment programs, including this program, is planned for 2014-15.

Engagement of applicants and recipients: Applications are no longer accepted for the ecoENERGY for Renewable Power program as the commitment period ended on March 31, 2011. No further activities to engage with new applicants are planned. The department continues to engage with recipients to ensure compliance with the requirements of the contribution agreements.