Image Credit: Sara Levine | Pacific Northwest National Laboratory
Client: Prepared on behalf of Clean Energy Group
Authors: Chirag Lala, Jordan Burt, Sachin Peddada
May 2023
On behalf of the Clean Energy Group, Researcher Chirag Lala and Assistant Researchers, Sachin Pedadda and Jordan Burt prepared a report that assesses the obstacles preventing efficient interconnection of distributed energy storage resources. This Applied Economics Clinic (AEC) white paper identifies and explains these interconnection barriers in Massachusetts and makes recommendations to state agencies and working groups overseeing interconnection, distribution utilities, independent system operators, and the Federal Energy Regulatory Commission.
AEC staff make these five key recommendations to stakeholders: (1) Develop proactive, integrated, and system-wide interconnection planning that takes a systemic view of applications and separates hosting capacity upgrades from particular project or cluster applications and makes hosting capacity upgrades in anticipation of grid-needs and future interconnection volume. (2) Continuously iterate interconnection processes to build in regular improvements, examine effectiveness, and coordinate public and private stakeholders to tackle ad hoc coordination problems. (3) Tackle barriers and solutions comprehensively by integrating multiple solutions. (4) End cost causation by spreading distribution system upgrade costs over a broader set of stakeholders (including ratepayers) than just allocating those costs to the projects or clusters applying for interconnection. (5) Incorporate storage operational parameters into interconnection processes so that storage resources are assessed in a manner reflecting how they would reasonably be expected to operate once interconnected alone or in conjunction with technologies regulating bidirectional power flows and facilitating predictable charging and discharging.