Breaking the U.S. interconnection logjam 

Lengthy interconnection queues remain a major roadblock to deploying energy storage; in 2024, an estimated 139GW of storage capacity sought connection to the American grid.   

“Interconnection isn’t a black hole,” said John Gardner, a senior project manager for distributed energy resource interconnection engineering at Xcel Energy. Gardner was one of five experts who spoke on a panel at Intersolar and Energy Storage North America focused on the interconnection processes.  

“There are actual people working behind the scenes to improve timelines, maximize efficiencies and help developers regain trust,” he added. 

Emily Dalecki, a renewable energy policy analyst at the National Renewable Energy Laboratory, and her team worked with developers to collect interconnection data from 1,600 jurisdictions and 220 utilities across 38 states; requirements varied widely.  

“Most utilities are complying with regulations about [interconnection] timelines, but short timelines do not always coincide with stringent requirements,” Dalecki said, adding that long timelines also don’t necessarily mean weaker regulations. “It’s more nuanced.”  

The lack of clarity standardized interconnection processes can cause confusion, leading to significant challenges for developers and inefficient queue management.  

“Our main goal is to empower developers with the tools and knowledge necessary to navigate interconnection as smoothly as possible while maintaining system reliability,” said Gardner.  

Panelists also emphasized the need for long-term grid planning.  

“We need a holistic approach that identifies where upgrades are needed and proactively expands capacity,” said Alex Lawton, a policy director at Advanced Energy United (AEU). He noted that an AEU report which graded RTOs’ interconnection processes in 2024 found significant room for improvement. “The highest grade [in that report] was a B in CAISO; that tells us there’s a lot of work to do.” 

Settling on industry-wide best practices could be a productive next step. 

Dalecki highlighted that providing online interconnection applications and more clearly communicating requirements could help streamline the process and lessen delays, as could AI-powered automation. Improved stakeholder engagement between utilities and developers could also improve visibility and speed up the process. 

Policy reforms will also play a crucial role.  

“FERC Order 2023 will completely transform the way resources connect to the bulk power system by clustering projects and studying cumulative impacts,” Lawton explained. However, he cautioned that while the order is a step in the right direction, “we need further reforms to keep projects from falling out of the queue and to accelerate timelines.” 

Moderator Rob Gramlich of Grid Strategies LLC compared interconnection reform to permitting reform and suggested it will soon be a more mainstream issue.  

“If generators are going to pay, make it clear and predictable like any other product in the economy,” he said. “Let’s establish a price for the damn thing.” 

One thing is clear, however: more communication and forward thinking are critical.  

“We need to integrate planning with the interconnection process,” said Tyler Norris, a JB Duke Fellow at Duke University. “If we get it right, we can accelerate the clean energy transition and ensure reliability at the same time.”