SI2 Proposes Reforms to FERC for Fairer Transmission Costs and Improved Solar and Storage Interconnections.

The Solar and Storage Industries Institute (SI2), an affiliate of the Solar Energy Industries Association (SEIA), has proposed two transmission interconnection reforms for consideration by the Federal Energy Regulatory Commission (FERC). The proposals are motivated by concerns that connecting new solar and storage to the transmission grid is becoming increasingly expensive. SI2 proposes comprehensive regional transmission planning processes that integrate the interconnection queue into overall transmission planning. The second proposal proposes a formula to fairly allocate transmission system buildout and local upgrade costs to interconnection customers. The interconnection fee would start with a non-refundable entry fee for entering the queue, which would be applied toward transmission system upgrades identified in the grid operator’s long-term regional transmission plan. The cost proposal is based on a planning framework in FERC’s proposed transmission planning regulation.