Customer-Based Generation

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Power from you, with help from us

Power production is not your core business. That’s why we’ve developed Integrated Customer Solutions (ICS), a process that evaluates customer-based generation projects greater than 100 kilowatts and offers solutions to help deliver on their potential.

Have a smaller generation project? Our Net Metering Program is for customers to connect a small electricity generating unit (100 kW or less) to the distribution system.

What is Integrated Customer Solutions?

ICS is the framework that BC Hydro will use to evaluate customer-based generation projects and ensure that they are directed to the appropriate offer. At the top of the list of priorities is ensuring customers displace their own electrical load first.

Through ICS, we will support customer-based generation projects with financial incentives, agreements to purchase the electricity from the project, or a combination of the two.

Learn more about ICS through the experiences of Nechako Green Energy Ltd.

Why customer load displacement is the priority

Load Displacement is a demand-side measure, and Demand-Side Management is generally the most cost-effective way to meet British Columbia's electricity needs. By encouraging customers to displace load first, BC Hydro is able to ensure rates are kept low.

Customers will enjoy the benefits of a financial incentive plus rate savings from the power they no longer have to purchase from BC Hydro.

The basics of evaluation

The ICS project review team will evaluate each project and direct customers according to the following:

  1. Projects that will self-supply all or part of the customer’s site electrical load may be eligible for Load Displacement financial incentives;
  2. Projects that produce sufficient surplus electricity to the customer’s site electrical load may be eligible for a financial incentive for the load displacement portion of the project and may be eligible to sell the surplus to BC Hydro; 
  3. Projects that are not eligible for a Load Displacement incentive may be directed to other options, such as Net Metering (Rate Schedule 1289) or an Energy Procurement initiative such as the Standing Offer Program; or
  4. Customers may be advised that there are no available BC Hydro programs, offers or rates for their project (e.g. project does not meet eligibility requirements, project is not technically viable or cost-effective or BC Hydro does not need the load displacement or electricity supply).

Integrated Customer Solutions, step by step

To initiate a project through ICS, you need to take the following steps:

  1. Contact your Key Account Manager or send us an email. You will need to complete the Load Displacement Pre-Screening Assessment (LDPA) [PDF, 96 KB] or equivalent. The LDPA will investigate the technical and financial basis for a project, if any, and determine if the project may be eligible for a Load Displacement incentive or if you should apply for an Energy Procurement solution.
  2. If your proposed project continues to be evaluated as Load Displacement, you will need to complete the requirements of a Load Displacement Feasibility Study (LDFS) [PDF, 247 KB] or equivalent.
  3. All customers will be required to submit a project proposal (described in the Integrated Customer Solutions Process and Proposal Submission Guide [PDF, 2.1 MB]) after completing a LDFS or equivalent. BC Hydro will review the project proposal and will recommend whether or not the project should be supported by the Load Displacement program or by an Energy Procurement offer.

For more information on this process, see the Integrated Customer Solutions Process and Proposal Submission Guide [PDF, 2.1 MB].

Connecting to the grid

Customers should be aware of the interconnection process that will need to be coordinated with the ICS process.

For more information see:

Co-funding options and related offers

BC Hydro has co-funding options aimed at getting you expert help during the application process, plus incentives for load displacement projects and contracts for the purchase of electricity.

Load Displacement Pre-Screening Assessment (LDPA) consultation

Customers may apply to BC Hydro to co-fund a consultant to perform the LDPA. BC Hydro will pay 50% of the LDPA up to $5,000. However, if the project is directed to apply for an Energy Procurement solution without a load displacement component, BC Hydro will not be able to provide funding for the LDPA.

Load Displacement Feasibility Study (LDFS) consultation

Customers may apply to BC Hydro to co-fund a consultant to perform the LDFS. BC Hydro will pay 50% of the LDFS up to $50,000. However, if the project is directed to apply for an Energy Procurement solution without a load displacement component, BC Hydro will not be able to provide funding for the LDFS.

Load Displacement Incentive

Customers with eligible projects may apply to BC Hydro for financial incentives to displace all or part of the customer's site electrical load. These incentives will be modelled after our Project Incentives: Transmission or Project Incentives: Distribution (the $500,000 max distribution incentive cap has been removed), depending on the customer's rate class. Before providing an incentive estimate, the ICS project review team will need to discuss the project with the customer.

Electricity Purchase Agreement

Although the priority for ICS is to displace load first, if the project has sufficient surplus generation to the customer's site electrical load, BC Hydro may negotiate an Electricity Purchase Agreement (EPA) with the customer for the surplus electricity.

For more information on Integrated Customer Solutions, please contact your Key Account Manager or send us an email.