Allied, Enwave and Riocan to accelerate expansion of thermal energy system in Toronto
(3 months ago)
TORONTO, Feb. 14: Allied Properties REIT ("Allied") (TSX: AP.UN), Enwave Energy Corporation ("Enwave") and RioCan REIT ("RioCan") (TSX: REI.UN) are joining forces to extend Enwave's existing Deep Lake Water Cooling and hot water distribution networks by building a new energy storage facility housed at The Well.
The Well is a mixed-use residential, commercial and retail development by RioCan and Allied located in Toronto's downtown west. This joint undertaking will enable westward expansion of Enwave's system, providing both The Well and surrounding communities with access to sustainable cooling and heating solutions. This collaboration is the first one of its kind in Canada and the long-term business agreement will deliver value far into the future.
"This initiative is special in that three, forward-looking companies are collaborating and enabling pioneering ideas to be implemented at a scale greater than each company could achieve alone," said Carlyle Coutinho, President & COO, Enwave Canada. "The development is a reflection of our joint commitment to build resilient, urban communities incorporating intelligent energy solutions and utilizing future-focused technologies."
The thermal energy storage facility consists of two 6-million-litre tanks underneath The Well. The tanks will store temperature-controlled water fed by Enwave's existing Deep Lake Water Cooling system and a newly developed high-efficiency hot water network. It will expand the existing system's capacity with the ability to serve over 20 million square feet of commercial, retail and residential space. As an anchor site, the installation will serve The Well community, and buildings in neighbouring areas, providing the first low-carbon, resilient cooling and heating option for the downtown west community.
"This agreement enables the extension of Enwave's system to The Well and allows our tenants as well as commercial, retail and residential sites in the downtown west and surrounding areas to conserve energy and reduce Toronto's carbon emissions," said Ed Sonshine, Chief Executive Officer of RioCan. "This is a growing focus for many Canadians and we are excited that The Well will support these objectives."
This project will provide long-term benefits for the City of Toronto and support its focus on resiliency and carbon emission reduction. By decentralizing energy supply and reducing the load on the electricity grid, particularly during periods of peak demand, it enables a more reliable and flexible source of energy.
"This is a continuation of our ongoing community-building in King West," said Michael Emory, Allied's President & CEO. "The Well will now actively support two elements of a modern and progressive city: resilience and the need to decarbonize municipal energy supplies. As a mix of different occupancy types exerting their energy demands at different times of day, The Well is ideally suited to a system like Enwave. Also, in facilitating Enwave's expansion, The Well will enable the greater King West community to tap into a low-carbon cooling and heating source."
The Well features 1.1 million square feet of office space, 500,000 square feet of retail and food service space, and 1,800 residential units. Construction on The Well commenced in 2017.