Interconnection Reform Is Changing How Energy Projects Move Forward

Article by Dave Green, Principal Power System Engineer; RLC Engineering

For energy developers, successfully navigating the interconnection process has always required careful planning. Recent reforms are making that early planning even more important.

FERC Order No. 2023 introduced significant changes intended to address interconnection queue backlogs and create a more efficient and predictable process for connecting new generation resources to the transmission system. Among the most significant changes is a move from serial project studies toward a first-ready, first-served cluster study process, along with stronger site control, financial readiness, study deadlines, and withdrawal requirements. These changes started taking effect in 2025. In New England, ISO New England's current Cluster Study application window runs from October 5 through November 19, 2026. Under the new process, complete interconnection request packages must be submitted during an established cluster request window. For developers, the message is becoming increasingly clear: more project decisions need to be made before entering the interconnection queue, making preparation a critical aspect.

What is Changing?

Historically, projects could enter an interconnection queue and progress through studies individually. Under the evolving framework, multiple projects can instead be evaluated together during defined cluster study periods.

At the same time, developers face increased expectations around project readiness. Site control, technical information, financial commitments, and project configuration may need to be established earlier in development. FERC's reforms also include withdrawal penalties intended to discourage speculative projects from entering and subsequently leaving the queue.

For developers, these requirements increase the importance of understanding a project's potential interconnection challenges before significant commitments are made.

Earlier decisions carry greater importance

A potential point of interconnection can have a major influence on project feasibility, cost, and schedule. Developers may need to evaluate transmission constraints, potential network upgrades, site characteristics, and project configurations well before submitting an interconnection request.

That creates several important questions early in development:

• Is the proposed point of interconnection technically viable?

• What transmission constraints could affect the project?

• What upgrades could potentially be required?

• Is the proposed project configuration appropriate for the site and grid?

• Is the technical documentation ready for the applicable interconnection process?

  
  

Answering these questions earlier can help developers make more informed decisions before committing additional time and capital.

The process is evolving differently across regions

The changing interconnection environment creates an opportunity to shift technical evaluation earlier in the development process.

RLC Engineering can support developers with:

• Interconnection screening and feasibility assessments

• Transmission capacity and constraint evaluations

• Site and point-of-interconnection evaluation

• Conceptual site plans and one-line diagrams

• System modeling and technical documentation

• Interconnection application support

• Independent review of study results and network upgrades

• Substation and transmission engineering

• Detailed design and commissioning support

• Development of site specific models ,including validation testing

Planning earlier can help projects move forward

Interconnection reform does not eliminate the complexity of connecting new generation to the grid. Instead, it places greater importance on demonstrating that a project is technically and commercially prepared to advance.

For developers, that means interconnection strategy should begin well before an application is submitted.

Engaging RLC early in project development can help developers evaluate potential points of interconnection, identify transmission constraints, assess project feasibility, and prepare the technical information needed for the interconnection process. As a project advances, RLC can continue supporting the project through interconnection studies, substation and transmission design, and commissioning.

By bringing grid expertise into the development process earlier, RLC can help identify potential challenges before they result in costly redesigns, restudies, unexpected network upgrades, or schedule delays.