The private sector is being invited to bid for contracts to build up to 1 GW of renewable energy in Ontario. The provincial government has also said that it plans to open up Crown land for wind and hydro developments, despite facing criticism over the move.
The proposals are expected to generate C$1.5 billion (€943 million) in investment.
Consumers in Ontario currently pay C¢5/kWh (€¢3.5/kWh) for the first 750kWh per month after which the rate climbs to C¢5.8/kWh (€¢3.6/kWh) this compares with a previous round of renewable energy projects which produced at an average of nearly C¢8/kWh (€¢5/kWh).
The latest round of bids forms part of a 5% capacity target for renewable energy by 2007 and 10% by 2010 and follow the announcement of plans to phase out coal-fired generation.