Projects
Surplus Interconnection Policy Explainer
Surplus Interconnection service offers a solution to the current challenges in deploying new electricity supply by utilizing existing grid infrastructure. This approach brings several benefits, including improved grid reliability, lower consumer electricity rates, and reduced infrastructure costs. Additionally, it provides cost savings for power plant owners, economic benefits for local communities, and enables the rapid deployment of clean energy. By leveraging existing interconnections, new resources can be added without the lengthy delays associated with the standard interconnection process.
However, several barriers hinder the widespread adoption of Surplus Interconnection. These include reliance on commercial incentives of incumbent generators, restrictive study processes, and the service’s dependence on the continued operation of existing resources. To overcome these challenges, policy recommendations include federal leadership to ensure workable and consistent rules, standardized agreements, and proactive measures by ISO/RTOs, utilities, state regulators, legislators, and local governments. These solutions aim to facilitate a smoother and faster transition to a more sustainable and resilient energy system.
This piece provides an introduction to a larger body of work set to be released soon by GridLab that will investigate the potential for surplus interconnection service across the US and in-depth policy recommendations to promote adoption.