Introduction

The Independent Electricity System Operator (IESO) recently introduced the Major Projects Identification Committees (MPIC) process to keep up with increasing digitization and electricity demand in Ontario. Energy organizations planning major infrastructure or construction projects should consider the MPIC process early in project development. The MPIC process is fully operational and strongly recommended by the IESO.

The context: Ontario's growing electricity needs

The IESO forecasts that net annual energy demand will grow by 65% from 2026 to 2050. It predicts up to 93% growth by 2050 under a high-demand scenario. Increased demand is driven by commercial data centre expansion, industrial electric vehicle production, and accelerated electrification across sectors. Understanding when and where major new electricity demand may materialize is essential for effective long-term forecasting and planning. The MPIC process was introduced specifically to address this challenge.

What is the MPIC process?

The MPIC process is a voluntary, structured operation through which the IESO captures early-stage project and site information from entities planning major developments in Ontario’s electricity system. The process is designed to improve visibility into where new demand may emerge, inform electricity system plans and forecasts, and help developers prepare for a formal grid connection application. It connects insights from economic growth opportunities, land use planning, and electricity system needs. In turn, it helps to ensure that all relevant parties are involved in the project planning process and that their feedback is captured.

Critically, the MPIC process is not a regulatory or decision-making forum. Submissions are not applications for connection and do not trigger formal IESO processes or programs. The IESO does not approve, prioritize, or endorse projects via the MPIC process. This initiative does not replace formal IESO processes, such as a System Impact Assessment, procurement, or resource planning.

However, energy and energy-intensive companies benefit from the MPIC process through enhanced information sharing and relationship building. First, understanding competitors’ planned projects may reduce costs. For example, if Company A knows that Company B already invested a significant amount to build at Region 1, Company A may choose to focus its efforts on Region 2 instead. This would save Company A from sunk costs wasted on acquiring a project at Region 1 if it appears that the IESO will approve Company B for Region 1, thus allocating available capacity in that region to another operation.

The IESO is also better prepared to support projects submitted through the MPIC process since the process enables the IESO to plan for its involvement in advance. Although not guaranteed, information sharing can informally help the IESO to deploy the appropriate resources.

Who is involved?

Major Project Originators are entities “that submit major project information to the IESO.” They include project developers, electricity distributors, transmitters, Indigenous communities, municipalities, and other government ministries and agencies. Originators provide project or site development information through the IESO’s MPIC Process Intake Form, update information periodically as projects evolve, and engage with the IESO as needed for clarification.

Major Project Validators are “entities that have relevant information pertaining to [submitted] projects.” They include development agencies, distribution companies, transmitters, gas utilities, Indigenous communities, municipalities, and other provincial ministries and agencies. Validators contribute based on organizational knowledge and perspective. This generally includes providing high-level contextual input and validating submitted information. The IESO does not consider participation as a Project Validator as implied endorsement of any specific project.

How the MPIC process works: The five steps

The MPIC process follows a five-step process.

Step 1: Submission. Major Project Originators submit project information to the IESO via the MPIC Process Intake Form. The IESO designed the intake form to be flexible. Originators may submit information at any time and submit as little or as much as is known at the time. The intake form primarily seeks information on project type, location, size, and in-service date.

Step 2: IESO review. The IESO confirms submission receipt and reviews the submission for completeness and relevance.

Step 3: Verification and collaboration. The IESO requests updates and other necessary information from the Project Originator to ensure project information is accurate and up to date. Major Project Originators should provide updates as they arise.

Step 4: Validation committees. The IESO forms committees of Major Project Validators on an as-needed basis to review project information, verify details, and provide additional insights. The committee structure is flexible and dynamic to be responsive to external factors and emerging project development trends. Validation activities may include identifying high-development areas or regional development trends and providing insights to support IESO planning processes. All Validators must sign a non-disclosure agreement to protect the confidentiality of Project Originators.

Step 5: Annual Major Project List. The IESO creates an annual Major Project List. This list is used to inform electricity system plans and forecasts, such as the Annual Planning Outlook and Integrated Regional Resource Plans.

Eligibility and requirements

What qualifies as a "major project"?

Generally, any project greater than 10 MW in size qualifies for the MPIC process. This includes projects clustered together in one area. Some smaller projects may participate in the MPIC process.

Participation requirements

Participation is voluntary. However, all committee participants are expected to engage in a collaborative and good-faith manner. They must maintain the confidentiality of information discovered through the process. Project Validators must enter into a non-disclosure agreement with the IESO and comply with all applicable confidentiality obligations.

Relationship to Ontario's formal grid connection process

MPIC submissions occur before a formal grid connection application via the System Impact Assessment (SIA). An MPIC submission does not in itself constitute an SIA submission. The MPIC process works in parallel with the SIA process, helping project developers and the IESO navigate Ontario's grid connection process more efficiently.

How information is used

Information collected through the MPIC process is used to inform demand forecasting (including Annual Planning Outlook inputs), support regional and bulk system planning processes, improve understanding of future system needs and timing, and enhance coordination across stakeholders. The IESO intends to regularly publicly report regional and sector-level insights gained via MPIC submissions, subject to confidentiality requirements.

Practical implications for businesses

Strategic planning advantage

The MPIC process provides a strategic opportunity for businesses developing major energy projects in Ontario. By participating early, project developers reinforce that demand from their project is accounted for in electricity system plans, forecasts, and infrastructure developments, while unidentified projects may be less visible in early-stage planning.

Reduced regulatory friction

Participation helps project developers prepare for their formal grid connection application by establishing early communication and information sharing with the IESO. This reduces back-and-forth communication and creates a more efficient pathway through the formal connection assessment.

Coordination with planning cycles

The IESO's bulk planning process considers the location of large power plants, high-voltage transmission capacity, grid connections with neighbouring jurisdictions, and economic growth factors informed by customers and policy decisions. Information validated through the MPIC process feeds directly into these planning activities. Early MPIC participation may position a project favourably regarding infrastructure readiness.

Low barrier to entry

The voluntary nature of the process and the flexibility of the intake form present a low barrier to participation. Developers need not have finalized project details to engage.

Looking ahead

The IESO has indicated that the MPIC process will continue to evolve based on stakeholder and participant feedback, system planning needs, and government policy direction. The IESO may refine intake requirements, validation approaches, participation models, and other aspects of the process as needed to ensure it remains effective and aligned with Ontario's energy objectives and support for economic growth.

If you have any questions about this article, please reach out to one of the authors or any member of the firm’s Energy Group.

 


References

The following documents and resources informed this article.