FERC Approves SPP Reform to Integrate Interconnection and Transmission Planning
The Federal Energy Regulatory Commission (FERC) has approved a proposal by the Southwest Power Pool (SPP) to integrate generation interconnection and transmission planning into a single, consolidated framework, marking a significant shift in power system planning methodology.
Under the new Consolidated Planning Process (CPP), SPP will align long-term transmission expansion planning with generator interconnection requests, addressing one of the key bottlenecks in grid development. The process introduces a standardized cost structure, known as the Generalized Rate for Interconnection Development-Contribution (GRID-C), designed to provide upfront cost certainty for developers regarding network upgrade requirements.
The framework includes both 20-year and 10-year transmission planning horizons. The 20-year cycle will identify Planned Interconnection Locations (PILs)—grid nodes with sufficient existing or planned capacity—while establishing GRID-C rates. The annual 10-year process will allow projects to secure interconnection positions and commit to cost-sharing for system upgrades.
According to David Rosner, Commissioner at FERC, the reform represents a “revolution” in transmission system planning, enabling faster generator interconnection and more efficient infrastructure deployment.
The initiative is designed to address challenges within SPP’s interconnection queue, which currently totals approximately 105 GW, including significant volumes of battery storage, solar, and thermal generation. Historically, uncertainty around upgrade costs and grid capacity has led to project withdrawals, delays, and repeated system studies.
By integrating planning and interconnection, the CPP aims to improve grid reliability, cost allocation efficiency, and renewable integration, while reducing delays associated with fragmented processes
Source: utilitydive.com