Please read the instructions provided on the passport application carefully. All your questions are answered there.
The application form reads as follows:
"[The Guarantor must] Write 'I certify this to be a true likeness of (your name)' on the back of one (1) of your photos, and sign it."
"- Provide at least one (1) document to support your identity with the name, sex, date of birth, signature and photo to appear in the passport. More than one document may be used to fulfill the requirements.
- All documents submitted to support your identity must be valid and, must be issued by a federal or, provincial/territorial authority (or local equivalent abroad).
...
- Copies are acceptable provided your guarantor has signed and dated a copy of each document (both sides) confirming that the original document has been seen. If you are submitting original documents, they will be returned to you."
What's unclear about it?
Is your OntarioDriver's Licence issued by a provincial authority and contains you name, sex, DOB, signature and photo? I guess so, so you're good to go.