Linamar
Distributed Energy Solutions: Behind-the-Meter Generation
Alectra Energy Solutions Delivers Energy Cost Control for Linamar
In the competitive world of automotive manufacturing, cost certainty isn’t just a priority, it’s a business imperative. For Linamar, one of Canada’s largest auto parts manufacturers, electricity costs were becoming increasingly unpredictable, driven by rising Global Adjustment (GA) charges and ongoing volatility in Ontario’s energy market.
Determined to get ahead of the issue, Linamar turned to Alectra Energy Solutions (AES) for a more strategic and sustainable approach to managing energy expenses. Together, they rolled out a behind-the-meter generation program across 19 Linamar facilities, laying the groundwork for greater cost control, energy flexibility, and long-term resilience.
"Alectra Energy Solutions’ own-and-operate model allowed us to scale quickly and manage energy costs, while remaining focused on our core operations."
Tony Luis
Linamar, Director of Purchasing
A Scalable Strategy to Tackle Energy Volatility
Linamar’s partnership with AES began with a clear goal: reduce exposure to GA costs without disrupting operations. AES designed and implemented a multisite solution using natural gas generators, deployed in two phases across locations in both Guelph and Windsor.
The 29.5 MW fleet of 20 fully enclosed generators is designed to operate during the highest periods of peak demand in the province, while providing standby capacity the remainder of the time. This allows Linamar to actively manage its peak demand profile and benefit from Ontario’s Industrial Conservation Initiative (ICI), while also generating new revenue through participation in the IESO’s capacity auction.
From procurement to commissioning, AES oversaw the end-to-end development of the projects, delivering a turnkey solution under long-term shared-revenue agreements with no up-front cost to the customer. The result: a highly targeted energy strategy that works quietly in the background, lowering costs without impacting day-to-day operations.
Built for Flexibility, Designed for the Long Haul
For this application, natural gas generation provided the right balance of reliability, flexibility, and cost effectiveness. As part of a broader, technology-agnostic portfolio that includes solar, battery storage, and other clean energy solutions, AES focuses on what works best for each customer’s operational needs and long-term strategy.
Outcomes That Matter
Energy Cost Stability
With greater control over peak demand charges, Linamar has reduced exposure to energy market volatility and gained more predictability in its operating costs.
Operational Flexibility Without Disruption
The generator systems run independently of production, helping Linamar manage costs while maintaining uninterrupted operations at all 19 sites.
Accelerated Deployment with No Capital Investment
AES' own-and-operate model enabled Linamar to scale on-site generation quickly, expanding its energy strategy without requiring capital investment.