Energy Unplugged by Aurora

EP.223 Tyler Norris on Interconnection Processes in the US Power Markets

9 snips
Dec 10, 2024
Tyler Norris, a James B. Duke Fellow at Duke University specializing in electric power systems, shares his insights on U.S. power market interconnection processes. He discusses the increasing complexity of interconnection queues and the challenges developers face, particularly with 'zombie projects.' Tyler contrasts 'invest and connect' with 'connect and manage' approaches, and delves into the implications of upcoming U.S. elections on the energy transition. His expertise sheds light on the delicate balance between innovation, reliability, and market dynamics.
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INSIGHT

Overloaded Queues

  • U.S. interconnection queues are overloaded, hindering energy infrastructure development.
  • The total capacity in queues is double the installed generation capacity, about 2,600 gigawatts.
INSIGHT

Zombie Projects

  • Many projects in the interconnection queue are speculative, termed "zombie projects."
  • Developers use these as options due to information asymmetry and uncertainty about viable positions.
INSIGHT

US vs. China Interconnection

  • US interconnection processes grant open access to transmission service, unlike centralized systems like China's.
  • Independent entities assess market conditions and decide on pursuing interconnection based on market prices.
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