Energy Innovation and Distribution Challenges in Ontario LDCs

This essay explores the evolving landscape of energy innovation and distribution, focusing on the role of local distribution companies (LDCs) in Ontario, Canada. It highlights the impact of technological advancements, financial shifts, and policy changes on the energy sector. The essay discusses the benefits of new energy distribution technologies, such as reduced transmission losses and the integration of renewable energy sources, while also addressing the challenges faced by LDCs, including rising customer expectations for innovation, efficiency, and sustainability. It examines the historical development of LDCs and how these legacies can create barriers to change, emphasizing the importance of innovation in overcoming these obstacles. Furthermore, the essay touches upon the economic factors influencing energy distribution costs and underscores the correlation between innovation and financial performance. It concludes by emphasizing the critical role of LDCs in Ontario's social, environmental, and economic well-being, especially in meeting the evolving needs and expectations of energy consumers.

Running Head: ENERGY INOVATION AND DISTRIBUTION
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Energy Innovation and Distribution
Abstract

ENERGY INNOVATION AND DISTRIBUTION 1
Energy innovation and distribution resources
Abstract
The role of energy innovation is diminishing in a generation of technology, financial,
policy changes in the industry. These changes will find the future of local distribution
company in Ontario (Canada). According to an institutional theory of organization innovation
of technology can break through the cultural resistance to change and historically. The
electricity distributors association discovered public campaign; this campaign promotes the
role of electric energy and importance, and role of local distribution companies to transfer
energy to consumers (EDA, 2015). Ontario is the largest electricity distributor in Canada that
produces electric energy and transfer to millions of homes, and industries. Ontario takes high
voltage power supply from wires and delivers low voltage power supply to homes, and
industries. It is also accountable for billing users and implementing energy conversion
program. LDCs provide a contact between millions of users and rest of the system (EDA,
2015). There are many benefits of latest energy distributor technologies such as reduced
transmission losses, more efficient, low distribution losses, low power consumption, new
methods of electricity storage, use renewable sources to produce electricity
Local Distributors Company provides around 65% of electricity to millions of homes
in Canada. The Hartley Bay is the first microgrid in Canada which provides up to 2 GWh of
electric energy per year at cost of $0.67 per kWh (Natural resources Canada, 2016). The
Cayuga GRS is the largest solar farm in Canada that produces around 100 MW energy and
almost 17000 homes in Canada uses this electricity (The spectator, 2015).
There are many challenges face by LDCs such as costumes are expecting more from
utilities: more innovation, more flexible, more efficient, more reliability, and more value.
Sustainability issues are also rising in the costumes; users want socially and environmentally
responsible options (Post carbon, 2015). The cost of energy distributors is also varying due to
many factors. A demand for electric energy in the U. S. is level across the country, GDP
increased by around 41% but electricity consumption increased by 19% between 1996 and
2007. According to 2013 data, the cost of energy has decreased while global adjustment has
increased. Innovation is good for future because it is correlated with both financial and
competitive. There are many benefits of innovation such as improve revenues, decrease cost,

ENERGY INNOVATION AND DISTRIBUTION 2
increase efficiency, and reduce financial risk. The scope of this idea is limited to a thematic
conversation of the many technologies, stakeholders, and trends at LDC world.
This research determined the current challenges facing by Ontario and LDCs, the
LDCs is tied to the social, environmental health, and overall economy of Ontario. Ontario is
also providing contact between millions of users, and all other institutional users. The
historical development of LDCs also created a barrier that limits LDCs to their changing
environment. A new innovation is an important way to avoid these barriers. New energy
innovation and technologies have potential to change the industry in each aspect. In terms of
users, the biggest challenge faced by LDCs is that attitudes and expectation toward the
energy innovation and distribution. Users want more efficient, more services, and more
flexible from their providers. There are many customers they want low power from the
utility, therefore at that time, the grid is aging and essential to replace at very least.

ENERGY INNOVATION AND DISTRIBUTION 3
References
Clean energy solution (2016). Clean energy innovation in Canada. Retrieved from:
https://cleanenergysolutions.org/sites/default/files/documents/canadas-mi-
webinar-presentation_final_compressed.pdf
Electricity Distributors Association (2015). What is a distributor? Retrieved from:
https://secure2.eda-on.ca/imis15/EDA/About/What_is_a_Distributor/EDA/
About_Us/What_is_a_distributor.aspx?hkey=caa59c1e-717b-4320-
a35ddd7c3bd639f7
Natural resources Canada (2016). The First Canadian Smart Remote Micro grid: Hartley
Bay, BC. Retrieved from:
http://www.nrcan.gc.ca/energy/offices-labs/canmet/publications/smart-grid/
14421
Post carbon (2015). Renewable Energy After COP21: Nine issues for climate leaders to think
about on the journey home. Retrieved from:
http://www.postcarbon.org/renewable-energy-after-cop21/
The spectator (2016). Six Nations landlords for Canada’s largest solar farm. Retrieved from:
https://www.thespec.com/news-story/5767002-six-nations-landlords-for-
canada-s-largest-solar-farm/