Ontario to remove domestic content requirement from FIT program

Canadian national newspaper the Globe and Mail has reported that the province will remove the stipulation that solar and wind installations must be at least 50 to 60% manufactured in the province to qualify for the premium FIT rate.

The report quotes Energy Minister Bob Chiarelli conceding that the FIT scheme will be modified after the WTO this month threw out a Canadian appeal against its December ruling.

It is expected that the FIT scheme will be modfied early in 2014. Japan had complained to the WTO about the domestic content requirement in September 2010, complaining that it breached world trade rules by being unfairly biased against non-Ontarian manufacturers. The EU later added its own complaint in August 2011.

The WTO panel upheld the complaints in December and dismissed an appeal against the ruling, by Canada, on May 6.