TORONTO, Feb. 19, 2026 /CNW/ - In addition to executing over $600 million in capital investments across our local electricity distribution system in 2025 alone,* Toronto Hydro has secured 12 megawatts (MW) of local flexible electricity capacity, the equivalent of powering 3,000 households, through its Local Demand Response (LDR) Program to maximize the efficiency of our grid during periods of peak demand at specific transformer stations across the city.
Since 2018, Toronto Hydro's LDR Program uses demand response in parallel with ongoing distribution system investments -- including behind‑the‑meter and customer‑owned distributed energy resources -- to help address short‑ to medium‑term localized capacity constraints while we grow and reinforce our system. This targeted, local approach enables Toronto Hydro to optimize system capacity through managing electricity demand levels at key times and at precise points on the distribution system.
Connecting to flexible local capacity can play an increasingly important role to ensure resilient grid operations, especially as summer approaches and high temperatures are anticipated to drive higher electricity demand peaks across Toronto. Through the program, participating customers temporarily reduce electricity use or deploy on‑site energy resources during critical peak periods, helping relieve pressure on the distribution system without the need for immediate infrastructure expansion.
The 12 MW secured through the most recent auction in late 2025 represents the largest single‑year procurement since the program launched in 2018 and will be deployed throughout the upcoming summer season. From 2026 to 2029, Toronto Hydro aims to procure up to 30 MW of local capacity across six targeted transformer stations: Finch, Leslie, Manby, Horner, Strachan and Dufferin. The most recent capacity was procured through a competitive auction that ran from Oct. 7 to Oct. 10, 2025.
Benefit to Customers
The LDR Program gives commercial, industrial and institutional customers the opportunity to play an active role in grid resiliency -- and get paid for it. Participants are compensated for reducing electricity use during peak periods, such as by temporarily turning off non-critical equipment or using on‑site energy resources. Learn more at torontohydro.com/localdemandresponse.
Benefit to Toronto's Distribution Grid
Toronto Hydro's LDR Program enables partnerships with customers and energy aggregators to temporarily reduce electricity use during peak periods on the system. This approach reduces strain on the system and allows Toronto Hydro to pace infrastructure investments over time.
Since 2018, Toronto Hydro has typically procured 4 to 8 MW of capacity each summer. The most recent procurement of 12 MW represents the highest level secured to date and reflects an expansion of the program's target areas from two transformer stations to six, enabling broader customer participation.
What does 12 MW in capacity mean for Toronto?
It's the equivalent of shifting the energy load of 3,000 homes, 25 large commercial buildings or two major factories, all without building a single new powerline. Instead, Toronto Hydro is tapping into the power of collaboration and innovation to keep the grid running smoothly during periods of peak demand.
*Figure based on capital investments made as of Sept. 30, 2025
QUOTE
"Our customers are at the heart of this success. By joining forces, we're ensuring that Torontonians continue to benefit from a flexible, resilient distribution grid during peak demand, and we're also creating a network of innovative partnerships with our customers that's efficient and sustainable."
- Jana Mosley, President & CEO, Toronto Hydro
QUICK FACTS
- Toronto Hydro's LDR Program capacity auction opened on Oct. 7, 2025 and closed on Oct. 10, 2025
- With the auction results secured, registration for summer 2026 is now closed, and participants interested in summer 2027 can register using the forms found on our website or reach out to us at [email protected]
ABOUT TORONTO HYDRO
Toronto Hydro powers Canada's largest city through delivering electricity and related energy solutions to more than 3 million people and businesses, safely, reliably and sustainably. With the dedication of our skilled employees and partners, we're electrifying communities today and building a brighter tomorrow by investing in a modern, capable and resilient distribution grid and delivering value to our customers and sole shareholder, the City of Toronto. For more information, visit torontohydro.com, or follow us on X, Instagram, Facebook, TikTok, YouTube and LinkedIn.
SOURCE Toronto Hydro Corporation
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