Interconnection Barriers Continue and Fundamental Reforms are Needed

Transmission towers with sunset in background.

This July marks three years since the Federal Energy Regulatory Commission (FERC or the Commission) issued Order No. 2023, requiring a host of reforms to transmission providers’ pro forma Large and Small Generator Interconnection Procedures and Agreements. The Commission’s stated reasons for such action persist today: “interconnection queue backlogs, longer development timelines, and increased uncertainty regarding the cost and timing of interconnecting to the transmission system.” Such concerns continue to pose a major impediment to the development of energy resources. In ACORE’s recently released survey of clean energy capital providers and project sponsors, “interconnection uncertainty and costs” was the top risk facing project sponsors in 2026, and the second-highest risk for capital providers.

This issue brief describes the current state of the interconnection queues, ongoing concerns and ACORE’s recommendations for much-needed reforms.


Author

Elise Caplan
Elise Caplan Headshot

Elise Caplan

ACORE Team Member

Vice President, Regulatory Affairs