The Toronto Hydro Local Demand Response program is setting a new standard in grid innovation. As a flagship NonโWires Solutions initiative, it taps into customer-owned distributed energy resources (DERs) to help manage system demand, delay upgrades, and strengthen reliability across the city.
What is the LDR Program?
Launched in 2018, the initiative invites participating organizationsโutilities, businesses, and institutionsโto reduce electricity consumption during peak periods. By leveraging behind-the-meter DERs, the program helps relieve pressure on targeted transformer stations and defers costly infrastructure expansion.
The 2026โ2029 Procurement Plan
In its upcoming multi-year phase, Toronto Hydro plans to secure up to 30 MW of demand response capacity across six transformer stations:
- Finch TS
- Leslie TS
- Manby TS
- Horner TS
- Strachan TS
- Dufferin TS
This strategic deployment ensures stability in key nodes of Torontoโs electrical grid.
Who Can Participate?
Eligible participants must:
- Be located within the service zone of one of the six target stations (eligibility confirmed upon application), and
- Offer at least 500โฏkW of load reduction, either from one site or aggregated resources. Aggregation is permitted within the same station area or across specific station pairs (Manby/Horner, Strachan/Dufferin, Leslie/Finch) with approval by Toronto Hydro.
Application Process & Key Dates
Hereโs the whole journey from initial inquiry to active participation:
- Begin by examining the โLocal Demand Response 2026 Program Rules.
- Complete and submit the Participant Application via email (local_dr@torontohydro.com); additional contributor forms are available if aggregating across multiple sites.
- Receive your eligibility confirmation typically within three business days of submission.
- If eligible, youโll be invited to submit a capacity bid. Offers are ranked by price, and acceptance continues until capacity targets are met; the clearing price determines payouts for all accepted participants.
- Approved offers lead to signing a Participant Agreement that outlines commitments, verification, event limits, and program expectations.
Important 2025 Dates:
- Registration opens: August 1, 2025
- Registration closes: October 3, 2025
- Capacity offer window: October 7โ10, 2025
- Notifications to participants: October 15, 2025
- Contracting period: November 1, 2025โApril 1, 2026
Participation & Compensation Cycle
Once enrolled:
- Standby notices are emailed between 7โฏa.m. the day before and 7โฏa.m. on the event day.
- Outage reporting: Participants must alert Toronto Hydro of any facility outages no later than 9โฏa.m. on the day of an expected activation.
- Activation: Participants receive an activation notice at least 2 hours in advance and must reduce load based on committed capacity.
- Event specifics:
- Activations occur only on business days, between 12โฏp.m. and 9โฏp.m. EST, excluding statutory holidays.
- Each event lasts four hours.
- Up to six activations per season (including both live and test events).
- Payment Processing: Monthly settlement statements summarizing performance are issued; once accepted, clients submit invoices and receive payment within 15 business days.
Enabling Opportunities with Toronto Hydroโs Local Demand Response Program
Toronto Hydro Local Demand Response (LDR) program is paving the way for smarter energy management in Toronto. By inviting local businesses and institutions to reduce electricity use during peak periods, the program helps strengthen grid reliability, defer costly infrastructure investments, and reward participants financially.
Edgecom Energy is a long-standing Demand Response Aggregator in Ontario. While programs like Toronto Hydroโs LDR present exciting opportunities, participation requires careful consideration. Thatโs why weโre here to help you determine if joining the program is right for your facility.
How Edgecom Helps You Decide
Not every facility is the same, nor are the risks and rewards of joining a demand response program. At Edgecom, we work with you to:
- Determine if your facility falls within a targeted transformer station and meets capacity requirements.
- Estimate the financial benefits of participation, from upfront commitments to ongoing payments.
- Analyze how curtailment events might impact operations, productivity, or customer experience.
- If you choose to participate, weโll help design a tailored approach that maximizes benefits while minimizing risk through flexible loads, battery storage, or aggregated resources.
Contact us today to learn more about how you can earn revenue with Demand Response in Ontario.
