DSO by Design: Making Market-Ready the New Business as Usual

February 04, 2026
26AB
Advanced Operations , Bulk Power and Energy Markets , Control Room Operations

As Ontario’s energy landscape rapidly evolves—with accelerating electrification and a surge in Distributed Energy Resources (DERs)—the role of Local Distribution Companies (LDCs) must fundamentally change. To facilitate DER participation in emerging markets and maintain system reliability, LDCs must transition into fully functional Distribution System Operators (DSOs). This shift is essential to support the Independent Electricity System Operator’s (IESO) Market Vision and Design Project (MVDP), which targets DERs of 100 kW and greater for wholesale market participation .

At Alectra Utilities, we believe that becoming a DSO should not be treated as a pilot—it must become business as usual. Our approach is rooted in agility, pragmatism, and proactive execution. Rather than experiment in isolation, we are implementing a structured, “least regrets” strategy that identifies operational and planning gaps, defines a clear roadmap, and systematically integrates advanced capabilities into our core functions.

This presentation will detail Alectra’s practical journey toward DSO maturity, highlighting how we are embedding new tools and processes directly into our existing systems. We will explore how we’re developing advanced operational planning capabilities, including real-time power flow analysis, robust DER forecasting engines, and probabilistic scenario and risk management tools—enabling a shift from static worst-case assumptions to dynamic, stochastic techno-economic planning.

We will also discuss our efforts to co-develop local grid services market rules and a shared market platform to facilitate transparent, efficient DER participation. This platform will enable seamless coordination among IESO, LDCs, DSOs, and aggregators—positioning Alectra as a leader in enabling Ontario’s grid of the future.

Chairperson
Stuart Laval
Stuart Laval - Eaton Corporation