Energy Policy Now Will Interconnection Reform Unlock the Grid?
Jul 8, 2025
In this conversation, Sarah Toth Kotwis, a senior associate at RMI specializing in energy grid challenges, dives into the urgent issues plaguing the U.S. electric grid. With rising electricity demands and declining fossil fuel plants, she highlights the bottleneck in interconnecting clean energy projects. The episode explores new interconnection reforms, which aim to expedite approvals and discusses the use of innovative technologies to improve grid efficiency. Sarah emphasizes the critical need for infrastructure upgrades to ensure reliable energy access in a rapidly changing landscape.
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Growing Grid Demand and Risks
- Electricity demand is rapidly increasing due to AI data centers and electrification, while many fossil fuel plants retire.
- This creates urgent pressure on the grid to add new power sources rapidly for reliability and affordability.
Interconnection Queue Explained
- The interconnection queue holds over twice the capacity currently operating, fueled by cheap renewables.
- Grid operators must study and approve projects for grid impacts before allowing connection.
Low Project Success Rates
- Only about 20% of queued projects since 2000 reached commercial operation by 2023, indicating a low success rate.
- Constraints like transmission capacity, high costs, speculation, and long queue times limit project success.