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What is a “Feed-In-Tariff (FIT)”?

It is the rate paid to electrical generators for power supplied to Ontario electrical grid. Standard rate is approximately $.08/kwh. The present rate for rooftop PV systems is currently $.396/kwh and ground mounted systems $.291/kwh.

Why would the government pay 6x more for Photovoltaic (PV) solar than other sources?

Several reasons:

  • PV is very “green” energy: no emissions, no C02, no waste etc.
  • No capital cost to province.
  • Provides jobs in new “green” industry.
  • Standard feed-in-tariff rate is artificially low due to political and economic reasons. True cost to produce “dirty” power is actually much higher but subsidized by various programs and governments.
  • PV provides greatest amount of power at peak demand times therefore reducing brownout risks with “green” solution.
  • Micro-FIT systems are not limited by or a burden on province’s problematic power grid and transmission systems.

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How can you guarantee a rate for 20 years?

In an unprecedented move. the province legislated the Ontario Power Authority (OPA) to enter into binding contracts with all Micro-FIT and FIT generators to guarantee this rate for rooftop installations 20 years from date of installation. Every approved rooftop application installed at this rate is guaranteed to receive this rate for the next 20 yrs. This will not change regardless of future policy and rate changes

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How do we get paid?

You will receive two bills from your local hydro utility Load Distribution Centres (LDC). One will be your standard hydro bill you receive now. The other will look the same but the hydro reading will be for power generated and will multiplied by the rate applicable for your system and either there will be a cheque attached for that amount or if available the funds will be direct deposited to your account. The Load Distribution Centres (LDC) will charge a service charge to manage the account. This charge will be approximately $4.95-$12.95/month.

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What happens after the 20 year contract expires?

Once the contract is up you do have the choice to do what you want with the system. You can disconnect the system from the grid and use the power yourself, you can dismantle the system or you can continue feeding the power into the grid and receive the going feed-in-tariff rate applicable at that time.

The PV solar panels that Edcon Energy use are guaranteed to produce 8O% output after 25 years so they will still be producing 80% output at this time and will only lose about 4% efficiency per year for the next 10 years. So they will still be producing substantial amount of no cost, no emission energy for years to come.

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What about roof maintenance?

All of Edcon Energy’s systems are designed and installed by professionals to work with minimal maintenance for 20-30 years. Unfortunately the same can’t be said about roofs. Installation is a large cost for these systems so we don’t want to have to remove and reinstall systems. Generally before we will install a system we require a new, or newer and well kept, roof system. We will provide repair or reinstall roof services if roof owner requests such service. New steel roofs will outlive the PV system but some shingle roofs may wear out before the PV system. If a roof needs replacing before the contract and/or life of the system is up, Edcon Energy will remove the system to allow roof to be replaced and will reinstall system for a reasonable fee.

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Can I use the power that I produce? During power outages?

Technically you do use the power that you produce but if the power goes out the whole system still shuts down due to Hydro One requirements for safety reasons. You can technically use your power during blackouts but it requires a more complicated system then the systems we recommend. The bigger question is why would you? If you use the power your system is generating you are only being paid the rate at which you can buy electricity which is presently 5-8 cents per Kilowatt whereas thanks to the Micro-FIT program you will receive .396 cents per Kilowatt when you sell it onto the electrical grid. You will make approximately .31 cents in profit for every Kilowatt of power you sell to the grid.

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Is Ontario a good location for solar?

Ontario is a very good place for solar installations. We are at a latitude that still receives fairly direct sun light other than in the depth of winter. Concerns with winter such as the angle of the Sun, short days and snow accumulation has been addressed with the Micro-FIT programs rates. The rates have been set by the Ontario Power Authority (OPA) to take into account the yearly average of sunlight to insure the ROI needed to make solar feasible. Ironically Ontario does not have the problems that some solar hotspots such as California and Nevada have with dirty panels because we receive enough precipitation throughout the year to keep panels clean and efficient. Unexpectantly, Toronto is not the best area in Ontario even though it has little snow and is at a low latitude compared to most of the province. This is due to smog which affects the sun during the highest power production period, the summer. Sunny cold winter days can still produce almost maximum power but for a shorter period then summer days.

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How much do systems cost and how much revenue do they produce?

The costs of the system have plunged over the past few years due to increase in supply of modules and inverters. Prices have changed so often that it is difficult to keep up with pricing. Presently, system costs are about $3,000-$5,500 per kilowatt. The Micro-FIT program is for systems rated up to and including 10 KW so the average max system costs about $30,000 to $55,000 depending on options installed. A 10 KW system will generate under normal average installation conditions approximately 12-16 MWh per year depending on system type and site location or $4,000-$5,200 yearly. Installation types and locations definitely affect system output which it is why it is so important to make the correct decisions with equipment and locations before going ahead with systems.


We are sure you have more questions and that is what we are here for. We are committed to ensuring you are able to make an informed and educated decision. Please contact us today at 888-446-1116 to have all your questions answered by a professional and informed solar specialist.

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"I feel very fortunate to have learned about Tom Russell and his company, Edcon Energy for my solar installation. From his first visit to my house he impressed me greatly with his attention to detail ...

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The Green Energy Act

The Green Energy Act includes many provisions to promote and develop green energy industries in Ontario. These programs are designed to reduce bureaucratic red tape, introduce subsidies and provide general government support at all levels for the renewable energy industry.


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MicroFIT Program

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Specializing in Southern Georgian Bay & Central Ontario including Collingwood, Thornbury, Meaford, Stayner, Wasaga Beach, Markdale, Creemore, Barrie, Angus, Alliston and beyond.




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