Electric Reliability Organization (ERO)

Ontario is continuing its leadership role in enforcing compliance with reliability standards in North America. Ontario was the first province to recognize the new North American Electric Reliability Corporation in their role as the ERO. The Ontario Energy Board was also the first provincial regulator to sign a Memorandum of Understanding (MOU) with NERC.

With the adoption of the U.S. Energy Policy Act in 2005, a new Electric Reliability Organization (ERO) is charged with developing and enforcing continent-wide reliability standards. Mandatory and enforceable standards are the key recommendation resulting from the investigations into the 2003 Blackout. Enforceable standards will contribute to improving the reliability of the North American bulk power system. The U.S. Federal Energy Regulatory Commission (FERC) has certified NERC as the ERO in the Untied States.

Because Ontario already has mandatory reliability standards, market participants saw very few changes in their day-to-day operations when the North American Electric Corporation (NERC) as the ERO for North America began enforcing reliability standards in the United States on June 18, 2007. Many jurisdictions outside of Ontario are now required to comply with reliability standards for the first time.

Consistent with the IESO’s obligations under the Ontario Electricity Act, 1998, the IESO has been active in the ERO’s development as well as the on-going improvement of today’s NERC and NPCC standards drafting and comment process.

Detailed information on the new ERO, its background, the Ontario standards development process and compliance with these standards is available in the ERO Quick Take.

• Ontario Ministry of Energy Recognition Letter
• Ontario Energy Board MOU with NERC
• IESO Joint MOU
• IESO Joint MOU Background Information
• IESO Joint MOU FAQs
• Bilateral Principles

• IESO Reliability Compliance Program and reliability standards – Ron Falsetti at (905) 855-6187
  
• MACD compliance and enforcement processes – Carmela Phillips at (905) 403-6903
  
• NERC / NPCC / Ontario framework – David Short at (905) 403-6943

• Ontario market participants are encouraged to participate in the development of NERC standards by registering in NERC’s Registered Ballot Body. (The IESO is registered in the ISO/RTO Segment.)
  
  
• Ontario market participants may also consider a separate membership in NERC. (The IESO is a member within the ISO/RTO Sector.)
  
  
• To participate in the development of NPCC regional standards, Ontario market participants are required to become members of NPCC. (The IESO is a member within the Reliability Coordinator Sector.)