Welcome back to my blog, solar enthusiasts! If you’re considering investing in solar panels for your home, understanding the industry’s trends and challenges is essential. Today, we are shedding light on a significant issue facing the solar landscape — the transmission interconnection study bottleneck.
Recently, Lawrence Berkeley National Laboratory published research indicating a substantial backlog of solar projects awaiting interconnection studies. These studies are the pivotal point where solar projects connect to the transmission grid, making them absolutely crucial for solar companies and potential investors.
So, what are the statistics? The report asserts that an astonishing 1,080 GW of solar projects and about 1,030 GW of storage projects stand idle, effectively in a ‘queue’, waiting for their shot at an interconnection study. This bottleneck accounts for over 95% of all active capacity, encompassing predominant sectors like solar, storage, and wind projects.
An interesting trend in the data is that solar and battery storage vastly overshadowed other energy forms, with more than 80% of new capacity entering the queues. This influx led to an increase of 30% in the backlog! Meanwhile, another increasing trend is that over half of the battery storage capacity in these queues is paired with solar, highlighting the growing synergy between solar and storage.
Though the data paints a daunting picture, this ‘queue’ is not entirely negative. It provides a reasonable barometer, albeit rough, for mid-term trends in the energy sector at large and the progress of the energy transition.
Undeniably, grid interconnection is a multifaceted process. Although involving a formal request and waiting for the grid operator to complete the studies, the process also includes striking agreements with landowners, communities, power purchasers, equipment suppliers, and financiers. These stages add complexity to the process, making it a labyrinthine task that can delay or deter projects.
Unfortunately, despite implementing major interconnection reforms in 2023, the backlog has grown, with grid interconnection remaining a notorious cause for project delays and cancellations. These results underline the urgency and necessity of reducing the interconnection study wait times to enhance solar company performance and promote the adoption of solar panels for homes.
As always, knowledge and understanding are key in any industry, more so in the ever-evolving solar sphere. Stay updated on the industry’s challenges and triumphs to make an informed decision about starting a solar array for your home. After all, we’re all working towards a sustainable, efficient, and brighter future!
Don’t forget to mark your calendar for the webinar on April 23 at 1 p.m. Eastern time, where the study’s authors will detail their research and answer any questions.
Until next time, solar enthusiasts.
Original Articlehttps://pv-magazine-usa.com/2024/04/11/renewables-and-storage-interconnection-backlog-grew-about-30-last-year/
