Sanctions

Market participants who breach market rules may be subject to sanctions if the IESO considers it appropriate. Sanctions cover a range of possible actions, from a simple non-compliance sanction letter to financial penalties or termination from the market, depending on the nature of the breach.

Below is a list of market participants against whom sanctions have been applied within the last twelve months:

1. Canadian Hydro Developers Inc.: In March 2012, Canadian Hydro Developers Inc. was sanctioned $5,000 for failure to comply with an operational instruction received from the IESO for a reliability purpose. The breach was in relation to the Amaranth wind generating facility. In addition, Canadian Hydro Developers Inc. is required to provide MACD by August 31, 2012, with proof that the mitigation measures cited in Appendix A are in place and are having the desired effect. The breach occurred in May 2011.
2. Suncor Energy Products Inc. - Ripley.: In March 2012, Suncor Energy Products Inc. - Ripley was sanctioned $3,000 for failure to comply with an operational instruction received from the IESO for a reliability purpose.  The breach was in relation to the Ripley wind generating facility. In addition, Suncor Energy Products Inc. - Ripley has also been ordered to provide sufficient evidence of the implementation and efficacy of certain mitigation measures to MACD by August 31st, 2012.  The breach occurred in April 2011.
3. CP Renewable Energy (Kingsbridge) LP.: In March 2012, CP Renewable Energy (Kingsbridge) LP was sanctioned $3,500 for failure to promptly notify the IESO of a change in status to their facility and for failure to comply with an operational instruction received from the IESO for a reliability  purpose. The breach was in relation to the Kingsbridge wind generating facility. Kingsbridge has also been ordered to provide sufficient evidence of the implementation and efficacy of certain mitigation measures to MACD by August 31st 2012.  The breaches occurred in April and May of 2011.
4. Gerdau Ameristeel Corporation: In August, 2011, Gerdau Ameristeel Corporation (“Gerdau”) was found in breach of Chapter 7, sections 7.5.1 and 3.3.8, and Appendix 5, section 1.2.4 of the Market Rules for the Ontario Electricity Market (“the Market Rules”).  Gerdau offered operating reserve which was unavailable for dispatch as scheduled.  The Gerdau facility did not comply with dispatch instructions and did not submit revised dispatch data to the IESO as soon as practical.  No financial penalty was assessed for the breach for several reasons, primarily because this is Gerdau’s first notice of non-compliance with Market Rules. The breach occurred on March 6, 2011.
5. Norampac Inc. – Trenton Division: In May, 2011, the Norampac Inc. – Trenton Division (“Norampac-Trenton”) was found in breach of Chapter 5, section 14.1.2 of the Market Rules for the Ontario Electricity Market. Norampac-Trenton failed to provide IMO-FORM-1521, certifying that protection system maintenance and testing programs at its facility meet all applicable standards set by the Northeast Power Coordinating Council and/or the Ontario Energy Board, to the IESO. Norampac-Trenton has been ordered to submit the completed IMO-FORM-1521 by June 15, 2011. No financial penalty was assessed for the breach. The breach occurred in 2010.

Previous sanctions