PAPP Plastics & Distributing: Saving $285,000 Through Strategic Energy Curtailment
- Location
Ontario, Canada
- Global Adjustment Class
A Class
- Program
Industrial Conservation Initiative (ICI)
Papp Plastics & Distributing Ltd is a unionized, family-run plastics manufacturer based in Ontario. With Active Business Services (ABS), Papp Plastics has used the Industrial Conservation Initiative (ICI) to take control of rising Global Adjustment (GA) costs, stabilize through a difficult period for the industry, and position the business for expansion.
Active Business Services helped a unionized SME stabilize through a tough time by fighting to get us into Class A when the utility said no, and helping us save more on the Global Adjustment than we ever expected.
George Papp Papp Plastics & Distributing Ltd
The Challenge
Rising and unpredictable Global Adjustment costs were eroding margins across Ontario’s manufacturing sector. For Papp Plastics, the situation was made more difficult when the local utility initially denied their Class A eligibility, leaving them locked into Class B rates with limited tools to control their largest line item on the electricity bill.
The Solution
ABS challenged the utility’s denial on Papp Plastics’ behalf and successfully secured their Class A status, helping to unlock the full benefits of the ICI program. From there, ABS deployed peak notification services and load response strategies, helping Papp Plastics plan operations and shifts around Ontario’s top 5 peak demand hours each year, where Class A Global Adjustment charges are calculated. The result is a repeatable, year-over-year curtailment program that protects the bottom line while contributing to a more sustainable provincial grid.
The Result
$285,000+ Saved in Global Adjustment costs since 2023
75% Average load reduction during ICI peak events
1.68 MW Average annual curtailment during top 5 peaks
Across three consecutive curtailment seasons, Papp Plastics has consistently captured the majority of available Global Adjustment savings:
With another strong season behind them and supported by the financial stability that consistent ICI participation has delivered, Papp Plastics is now expanding with the planned acquisition of an additional manufacturing facility.
Curtailment in Action
Each season, ABS works with Papp Plastics to forecast peak events and curtail load during the hours that drive Class A Global Adjustment charges.
Advancing sustainability, together
Papp Plastics’ curtailment efforts deliver impact well beyond their bottom line. By reducing demand during Ontario’s highest-demand hours, they help ease strain on the provincial grid — lowering reliance on natural gas peaker generation, reducing GHG emissions, and easing the pressure to build new power infrastructure. ABS is proud to support their continued growth and commitment to a stronger, cleaner Ontario grid.