Interconnection: The Key to Realizing Your Distributed Energy Policy Dream

Imagine a state that has enacted all of the policies that the public and clean energy providers have asked for: an aggressive renewable portfolio standard, a robust grid modernization plan, far-reaching shared renewables. The sun is shining, the birds are chirping, people are celebrating and getting ready to build new projects -- perfect, right? Unfortunately, there could be dark clouds on the horizon without the one policy most critical to making everything else work: interconnection. The absence of this crucial policy would cause projects to because mired in a murky technical process, with no end in sight.  Does this sound too pessimistic to be real? It’s not. Just ask Minnesota, New York and several other states that have learned the hard way about the importance of interconnection. The power grid is much like our network of country roads, highways and freeways, carrying energy from its origin to its final destination. Interconnection standards are, in effect, the “rules of the road,” set by policymakers, which both system owners and utilities must follow to keep traffic flowing smoothly. The quality of these rules -- like any given street sign, traffic direction or roadmap -- can facilitate an easy free-flow of traffic, or result in maddening, unnecessary gridlock. As we introduce new technologies and services, such as self-driving cars and ride-sharing apps, the rules of the road must evolve. So, too, must interconnection procedures.