Understanding the Impact of Interconnection Reform: What’s Next for Deployment in CAISO?

Synopsis

Clarifying the implications of CAISO’s reforms on project timelines, risk management, and the overall feasibility of maintaining project pipelines in California’s increasingly competitive interconnection environment.

• Overview: what is the practical impact of CAISO’s newly approved interconnection reform on development pipeline, project viability, and interconnection costs?
• How will the new zonal cluster system (Deliverable vs. Merchant Zones) impact project interconnection timelines and costs, particularly for projects required to self-fund network upgrades?
• With the scoring criteria emphasizing commercial interest and viability, what are the specific benchmarks, and how do projects with utility or commercial offtake agreements stand in comparison to merchant or community-owned projects?