Item - 2021.EX28.1

Tracking Status

  • City Council adopted this item on December 15, 2021 with amendments.
  • This item was considered by Executive Committee on December 7, 2021 and was adopted with amendments. It will be considered by City Council on December 15, 2021.

EX28.1 - Toronto Hydro Climate Action Plan and Next Steps

Decision Type:
ACTION
Status:
Amended
Wards:
All

City Council Decision

City Council on December 15, 16 and 17, 2021, adopted the following:

 

1. City Council as shareholder request Toronto Hydro Corporation, the Deputy City Manager, Infrastructure and Development Services and the Deputy City Manager, Corporate Services, to continue a collaborative analysis of the Toronto Hydro Climate Action Plan and relevant City strategies and programs to determine specific goals, outcomes, actions and timelines for enabling Toronto’s net zero climate targets, including consideration of the recommendations contained in the letter (December 6, 2021) from Councillor Mike Layton and provide recommendations to both new business opportunities as outlined in the Plan; Climate Advisory Services and Climate Capital Investment.

 

2. City Council request the Deputy City Manager, Infrastructure and Development Services and the Deputy City Manager, Corporate Services, and relevant divisions, agencies and stakeholders, in collaboration with Toronto Hydro, to refine the TransformTO spatial and temporal study of climate actions to include probabilistic adoption scenarios (for example, electric vehicles and heat pumps), resulting in corresponding electricity consumption and demand profiles.

 

3. City Council direct the City Manager to report to City Council by the end of the second quarter of 2022 with respect to the analysis referred to in Part 1 above and the consultation and climate adoption scenarios referred to in Part 2 above, including possible implementation plans starting as early as 2022, and any recommendations regarding new climate action mandates such as a shareholder direction for Toronto Hydro.

 

4. City Council direct that Confidential Attachment 3 to the report (November 23, 2021) from the City Manager remain confidential in its entirety, in accordance with Section 4.4 of the Toronto Hydro Shareholder Direction, as it contains technical, commercial, financial or labour relations information of Toronto Hydro Corporation.

 

5. City Council request the Director, Environment and Energy to report on the current City programs, through Live Green TO, that already engage residents in climate action activities and what possibilities there are to increase public engagement.

 

6. City Council request Toronto Hydro to report on the feasibility of providing On-Demand water heaters or other similar energy efficient climate friendly products to Toronto Hydro customers, through an affordable program that could include grants and interest free loans, that would ensure that low and modest income residents of Toronto are able to afford these energy saving water heating products.

 

7. City Council request Toronto Hydro to report to City Council by the first quarter of 2022 on Part 6 above given the urgency of the Climate Change Crisis.

 

Confidential Attachment 3 to the report (November 23, 2021) from the City Manager remains confidential in its entirety in accordance with Section 4.4 of the Toronto Hydro Shareholder Direction, as it contains technical, commercial, financial or labour relations information of Toronto Hydro Corporation.

City Council Decision Advice and Other Information

City Council considered Items EX28.1 and IE26.16 together.

Confidential Attachment - Information provided by Toronto Hydro Corporation in accordance with Section 4.4 of the Shareholder Direction and contains technical, commercial, financial or labour relations information of Toronto Hydro Corporation; disclosure may reasonably be expected to significantly prejudice Toronto Hydro's competitive position and result in undue loss to Toronto Hydro; any disclosure could give rise to a breach of law, including applicable securities laws.

Background Information (Committee)

(November 23, 2021) Report from the City Manager on Toronto Hydro Climate Action Plan and Next Steps
https://www.toronto.ca/legdocs/mmis/2021/ex/bgrd/backgroundfile-173879.pdf
Attachment 1 - Letter from Toronto Hydro President and Chief Executive Officer
https://www.toronto.ca/legdocs/mmis/2021/ex/bgrd/backgroundfile-173880.pdf
Attachment 2 - Toronto Hydro Climate Action Plan - submitted to the City Manager on Sep 30, 2021.
https://www.toronto.ca/legdocs/mmis/2021/ex/bgrd/backgroundfile-173881.pdf
Confidential Attachment 3 - Confidential Climate Action Plan "Appendix H" - submitted to the City Manager on Sep 30, 2021

Communications (Committee)

(December 1, 2021) Letter from Jan De Silva, President and Chief Executive Officer, Toronto Region Board of Trade (EX.Supp)
https://www.toronto.ca/legdocs/mmis/2021/ex/comm/communicationfile-141948.pdf
(December 1, 2021) Letter from Carolyn Kim, Director, Ontario Region Pembina Institute (EX.Supp)
https://www.toronto.ca/legdocs/mmis/2021/ex/comm/communicationfile-141951.pdf
(December 6, 2021) E-mail from Hamish Wilson (EX.Supp)
(December 6, 2021) E-mail from Mark Marmer (EX.Supp)
(December 6, 2021) Letter from Bryan Purcell, Vice President of Policy and Programs, The Atmospheric Fund (EX.New)
https://www.toronto.ca/legdocs/mmis/2021/ex/comm/communicationfile-142248.pdf
(December 6, 2021) Letter from Councillor Mike Layton, Ward 11, University-Rosedale (EX.New)
https://www.toronto.ca/legdocs/mmis/2021/ex/comm/communicationfile-142265.pdf
(December 7, 2021) Letter from Geoffrey Osborne, Director Strategy and Operations, NRStor Inc. (EX.New)
https://www.toronto.ca/legdocs/mmis/2021/ex/comm/communicationfile-142253.pdf

Motions (City Council)

1 - Motion to Amend Item moved by Councillor Mike Layton (Carried)

That City Council amend Executive Committee Recommendation 1 by adding the words "and provide recommendations to both new business opportunities as outlined in the Plan; Climate Advisory Services and Climate Capital Investment." so that the Recommendation reads as follows: 

 

1. City Council as shareholder request Toronto Hydro Corporation, the Deputy City Manager, Infrastructure and Development Services and the Deputy City Manager, Corporate Services, to continue a collaborative analysis of the Toronto Hydro Climate Action Plan and relevant City strategies and programs to determine specific goals, outcomes, actions and timelines for enabling Toronto’s net zero climate targets, including consideration of the recommendations contained in the letter (December 6, 2021) from Councillor Mike Layton and provide recommendations to both new business opportunities as outlined in the Plan; Climate Advisory Services and Climate Capital Investment.


2 - Motion to Amend Item (Additional) moved by Councillor Mike Colle (Carried)

That:

 

1. City Council request Toronto Hydro to report on the feasibility of providing On-Demand water heaters or other similar energy efficient climate friendly products to Toronto Hydro customers, through an affordable program that could include grants and interest free loans, that would ensure that low and modest income residents of Toronto are able to afford these energy saving water heating products.

 

2. City Council request Toronto Hydro to report to City Council by the first quarter of 2022 on Part 1 above given the urgency of the Climate Change Crisis.

Vote (Amend Item (Additional)) Dec-15-2021 5:39 PM

Result: Carried Majority Required - EX28.1 - Colle - motion 2
Total members that voted Yes: 24 Members that voted Yes are Paul Ainslie, Ana Bail„o, Brad Bradford, Shelley Carroll, Mike Colle, Gary Crawford, Joe Cressy, John Filion, Paula Fletcher, Michael Ford, Mark Grimes, Cynthia Lai, Mike Layton, Nick Mantas, Josh Matlow, Jennifer McKelvie, Frances Nunziata (Chair), James Pasternak, Gord Perks, Anthony Perruzza, Jaye Robinson, Michael Thompson, John Tory, Kristyn Wong-Tam
Total members that voted No: 2 Members that voted No are Stephen Holyday, Denzil Minnan-Wong
Total members that were Absent: 0 Members that were absent are

3 - Motion to Amend Item (Additional) moved by Councillor Paula Fletcher (Carried)

That:

 

1. City Council request the Director, Environment and Energy to report on the current City programs, through Live Green TO, that already engage residents in climate action activities and what possibilities there are to increase public engagement.


Motion to Adopt Item as Amended (Carried)

EX28.1 - Toronto Hydro Climate Action Plan and Next Steps

Decision Type:
ACTION
Status:
Amended
Wards:
All

Confidential Attachment - Information provided by Toronto Hydro Corporation in accordance with Section 4.4 of the Shareholder Direction and contains technical, commercial, financial or labour relations information of Toronto Hydro Corporation; disclosure may reasonably be expected to significantly prejudice Toronto Hydro's competitive position and result in undue loss to Toronto Hydro; any disclosure could give rise to a breach of law, including applicable securities laws.

Committee Recommendations

The Executive Committee recommends that:   

 

1. City Council as shareholder request Toronto Hydro Corporation, the Deputy City Manager, Infrastructure and Development Services and the Deputy City Manager, Corporate Services, to continue a collaborative analysis of the Toronto Hydro Climate Action Plan and relevant City strategies and programs to determine specific goals, outcomes, actions and timelines for enabling Toronto’s net zero climate targets, including consideration of the recommendations contained in the letter (December 6, 2021) from Councillor Mike Layton.

 

2. City Council request the Deputy City Manager, Infrastructure and Development Services and the Deputy City Manager, Corporate Services, and relevant divisions, agencies and stakeholders, in collaboration with Toronto Hydro, to refine the TransformTO spatial and temporal study of climate actions to include probabilistic adoption scenarios (for example, electric vehicles and heat pumps), resulting in corresponding electricity consumption and demand profiles.

 

3.  City Council direct the City Manager to report to City Council by the end of the second quarter of 2022 with respect to the analysis referred to in Part 1 above and the consultation and climate adoption scenarios referred to in Part 2 above, including possible implementation plans starting as early as 2022, and any recommendations regarding new climate action mandates such as a shareholder direction for Toronto Hydro.

 

4. City Council direct that Confidential Attachment 3 to the report (November 23, 2021) from the City Manager remain confidential in its entirety, in accordance with Section 4.4 of the Toronto Hydro Shareholder Direction, as it contains technical, commercial, financial or labour relations information of Toronto Hydro Corporation.

Origin

(November 23, 2021) Report from the City Manager

Summary

At City Council's request from its April 7, 2021 meeting, Toronto Hydro Corporation has submitted a report to the City Manager on its current climate action work and opportunities in key areas including electric vehicles, outdoor lighting, renewable energy, energy storage and non-capital sources of revenue.  

 

This report responds to further Council direction that the City Manager report on Toronto Hydro's plan and the role Toronto Hydro has in enabling the City's climate change and equity objectives.

 

Accelerating climate action is essential for the health and prosperity of Toronto and requires all City divisions, agencies and corporations to advance this work.  Toronto Hydro, as the City's wholly-owned electrical distribution company, is a critical enabler of many of the City's climate goals outlined in TransformTO and the staff-recommended Net Zero Strategy, given the significant greenhouse gas (GHG) reductions that can be realized through electrification to displace fossil fuel use in buildings and vehicles. 

 

Toronto Hydro's Climate Action Plan (attached to this report with a cover letter and confidential appendix) offers a positive framework to enable the electrification necessary to achieve net zero emissions. It proposes opportunities that include:

 

- expanding regulated electricity distribution to build a grid that is capable of supporting Toronto’s future zero-emission electricity demand;  
- creating a new, unregulated “Climate Advisory Services” business to facilitate the growth of emerging local clean-tech markets; and 
- making capital investments, focused on modernization of outdoor lighting. 
 

Toronto Hydro submitted its Climate Action Plan to the City Manager on September 30, 2021. City staff have begun reviewing the framework with Hydro, divisions and agencies to determine alignment with the TransformTO Net Zero Strategy and other strategies and programs such as City-run climate advisory services, electric vehicles, and street lighting. Further review of financial, economic, environmental, regulatory and timing risks and opportunities is required. Thorough analysis and due diligence will enable City and Toronto Hydro staff to provide recommendations to City Council and the Toronto Hydro Board regarding any new mandates or shareholder direction to Toronto Hydro, City-funded investments, partnerships and other actions. 

 

The City and Toronto Hydro will continue to collaborate on research and to consider specific investments, programs, policies and other measures to advance the objectives of the Climate Action Plan and a coordinated City-Hydro climate response. This report recommends consideration of specific priority areas and reporting back to Council in Q2 2022 on next steps.

Background Information

(November 23, 2021) Report from the City Manager on Toronto Hydro Climate Action Plan and Next Steps
https://www.toronto.ca/legdocs/mmis/2021/ex/bgrd/backgroundfile-173879.pdf
Attachment 1 - Letter from Toronto Hydro President and Chief Executive Officer
https://www.toronto.ca/legdocs/mmis/2021/ex/bgrd/backgroundfile-173880.pdf
Attachment 2 - Toronto Hydro Climate Action Plan - submitted to the City Manager on Sep 30, 2021.
https://www.toronto.ca/legdocs/mmis/2021/ex/bgrd/backgroundfile-173881.pdf
Confidential Attachment 3 - Confidential Climate Action Plan "Appendix H" - submitted to the City Manager on Sep 30, 2021

Communications

(December 1, 2021) Letter from Jan De Silva, President and Chief Executive Officer, Toronto Region Board of Trade (EX.Supp)
https://www.toronto.ca/legdocs/mmis/2021/ex/comm/communicationfile-141948.pdf
(December 1, 2021) Letter from Carolyn Kim, Director, Ontario Region Pembina Institute (EX.Supp)
https://www.toronto.ca/legdocs/mmis/2021/ex/comm/communicationfile-141951.pdf
(December 6, 2021) E-mail from Hamish Wilson (EX.Supp)
(December 6, 2021) E-mail from Mark Marmer (EX.Supp)
(December 6, 2021) Letter from Bryan Purcell, Vice President of Policy and Programs, The Atmospheric Fund (EX.New)
https://www.toronto.ca/legdocs/mmis/2021/ex/comm/communicationfile-142248.pdf
(December 6, 2021) Letter from Councillor Mike Layton, Ward 11, University-Rosedale (EX.New)
https://www.toronto.ca/legdocs/mmis/2021/ex/comm/communicationfile-142265.pdf
(December 7, 2021) Letter from Geoffrey Osborne, Director Strategy and Operations, NRStor Inc. (EX.New)
https://www.toronto.ca/legdocs/mmis/2021/ex/comm/communicationfile-142253.pdf

Speakers

Gabriella Kalapos, Clean Air Partnership
Mark Marmer, Signature Electric
Councillor Paula Fletcher

Motions

1 - Motion to Amend Item moved by Mayor John Tory (Carried)

That the Executive Committee:

 

1. Amend Recommendation 1 by adding the words "including consideration of the recommendations contained in the letter (December 6, 2021) from Councillor Mike Layton" so that is now reads as follows:

 

1. City Council as shareholder request Toronto Hydro Corporation, the Deputy City Manager, Infrastructure and Development Services and the Deputy City Manager, Corporate Services, to continue a collaborative analysis of the Toronto Hydro Climate Action Plan and relevant City strategies and programs to determine specific goals, outcomes, actions and timelines for enabling Toronto’s net zero climate targets, including consideration of the recommendations contained in the letter (December 6, 2021) from Councillor Mike Layton.

 

2.  Amend Recommendation 3 by adding the words "including possible implementation plans starting as early as 2022" so it now reads as follows:

 

3.  City Council direct the City Manager to report to City Council by the end of the second quarter of 2022 with respect to the analysis referred to in Part 1 above and the consultation and climate adoption scenarios referred to in Part 2 above, including possible implementation plans starting as early as 2022, and any recommendations regarding new climate action mandates such as a shareholder direction for Toronto Hydro.  


Motion to Adopt Item as Amended moved by Mayor John Tory (Carried)
Source: Toronto City Clerk at www.toronto.ca/council