York Region
Summary
Canada Growth Fund Inc. (CGF) and Markham District Energy Inc. have entered a landmark 10-year contract aimed at advancing Ontario’s energy sector.
The contract, known as a contract for difference, will fund Markham energy’s development of a new heat pump system, delivering reliable and low-carbon energy services to Markham residents.
The innovative carbon policy operates as a two-way contract: if the actual carbon policy price exceeds the specified strike price, Markham energy pays Canada Growth Fund Inc.
Conversely, if the price falls below the strike price, Canada Growth Fund Inc. compensates Markham energy for the difference. The contracts are designed to reduce policy risk and price volatility, thereby improving economic outcomes for decarbonization projects.
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