From Bottleneck to Backbone: How Utilities are Modernizing Interconnection with iQMS

The rapid influx of distributed energy resource (DER) requests has outpaced the capacity of legacy interconnection frameworks. These decades-old processes now act as a primary bottleneck, stretching interconnection timelines and slowing the transition to a modern grid. To address this bottleneck, the U.S. Department of Energy launched Innovative Queue Management Solutions (iQMS) for Energy Interconnection and Energization program to help utilities modernize and streamline their management of DER interconnection and energization queues. The Smart Electric Power Alliance (SEPA) is facilitating the exchange of technical data and operational strategies across the cohort, focusing on the identification of data-driven automations and process improvements to yield the most significant reductions in queue friction. By coordinating these efforts, SEPA ensures that the lessons learned from individual pilots are refined into standardized, repeatable models.

The iQMS Cohort

Members of the iQMS cohort range from large investor-owned utilities to smaller regional cooperatives. These utilities are working alongside leading software providers and national labs to test a variety of solutions, including automation platforms, forecasting tools, and data integration strategies. All of these solutions can be widely replicated, offering a playbook for utilities of all sizes seeking to modernize and accelerate their own interconnection processes and timelines.

Duquesne Light Company (DLC) 

DLC is exploring new software capabilities to automate their current manual interconnection process and integrate predictive data analysis through geographic information systems (GIS) and advanced metering infrastructure (AMI). They plan to build a digital twin of their network and use system data and artificial intelligence (AI) to predict where hosting capacity constraints may manifest and where upgrades are warranted. Through this pilot, DLC anticipates a reduction in the time and labor required to review interconnection applications and conduct studies, which should accelerate the interconnection process and improve the customer experience. They also expect to unlock more granular insights about their energy system and, using granular data analysis instead of conservative hosting capacity estimates, increase the amount of DER load they can interconnect onto the grid.

Innovation: Using AI to predict real-time hosting capacity.

Goal: More DER capacity – By replacing guesswork with granular data, DLC can safely interconnect more load onto the existing grid.

Leaptran and Guadalupe Valley Electric Cooperative (GVEC)

In collaboration with GVEC, LeapTran is developing the Forecasting-Based Generator Interconnection Analytics Software Tool (F-AST). To weather ERCOT’s surge in interconnection requests, F-AST will simplify, organize, and accelerate the interconnection request review process, which is currently manual. The tool will integrate real-time load forecasting directly into queue management, generating dynamic, probabilistic hosting capacity insights.

Developers can then access and use these hosting capacity insights to proactively self-screen desired points of interconnection and identify which requests to formally pursue. This new user capability is expected to reduce speculative applications and reduce the volume of the interconnection queue. To assist utilities in processing interconnection requests in the queue, F-AST will leverage AI to quickly review how the requests should be triaged and organized for review. The project’s focus on data visibility and request organization is expected to decrease utility workload and empower utilities to identify upgrade needs earlier.

Innovation: Integrating real-time load forecasting directly into the queue.

Goal: Reducing “Ghost” Applications –  Developers can self-screen sites before applying, clearing speculative projects out of the utility’s queue

La Plata Electric Association (LPEA)

In collaboration with Camus Energy and the National Lab of the Rockies (NLR), LPEA will test new software capabilities to efficiently manage the interconnection queue and increase data reliability. The objective is to develop study processes and frameworks that leverage power-flow models and time-series analysis to improve processes, examine thermal, voltage, and protection impacts, and explore the potential of flexible interconnection, all while safely expanding the hosting capacity of these networks. Specifically, the efforts will focus on the following:

• Conversion of its existing system to a software platform that enables advanced power-flow analysis.
• Integration of AMI data with power-flow models to conduct more thorough impact analysis.0
• Detailed, data-driven evaluation that considers flexible interconnection workflows such as non-exporting DERs, limited export profiles, and solar + storage systems.

Ultimately, LPEA seeks to leverage a customized version of NLR’s interconnection screening tool and system feeder data to make well-informed interconnection decisions while strategically minimizing the need for feeder upgrades.

Innovation: Testing flexible interconnection (e.g., non-exporting DERs and solar+storage).

Goal: Avoiding Upgrades – Strategic data allows LPEA to make smarter decisions that minimize the need for expensive physical feeder upgrades.

Puget Sound Energy (PSE)

PSE continually modifies their interconnection workflow and identifies opportunities for improvement with each project. However, this funding opportunity enables PSE to overhaul the process and fix systemic issues on a deeper level, instead of quick modifications in between interconnection studies. In collaboration with Clean Power Research, PSE will test new PowerClerk software capabilities to manage its interconnection queue more efficiently.

The efforts center on streamlining PSE’s internal workflow and collaboration across departments and autopopulating data where appropriate in study documents. PSE also seeks to provide developers and applicants with interconnection process clarity. They will improve hosting capacity analysis maps such that developers can easily conduct primary locational analysis independently, and also create comprehensive educational resources to support applicants through the interconnection study process. Ultimately, by leveraging PowerClerk as the source of truth for system data and project progress, PSE anticipates a simpler project management process that will reduce the turnaround time for interconnection studies.

Innovation: Autopopulating study documents and creating public-facing clarity maps for developers.

Goal: Workflow Transparency – By creating a single source of truth, PSE reduces back-and-forth communication and has the potential to reduce study turnaround times.

Warren Rural Electric Cooperative Corp. (WRECC)

Previously unable to address underlying issues due to cost constraints, WRECC will use DOE’s iQMS program to streamline interconnection workflows. In collaboration with the Tennessee Valley Authority, WRECC will test new tools and capabilities in managing mid-scale interconnection requests by developing new software solutions. The efforts will center on automation, workflow efficiency, and accuracy by addressing the following objectives:

• Interface with the existing workflow software platform to provide prospective generators with a streamlined online method to submit proposals that require an engineering study.
• Enable staff to monitor and report renewable energy project output to the Tennessee Valley Authority and local community partners.
• Include the creation of a digital map that details geographic areas within the service territory that have a lower cost barrier to interconnect within the existing distribution network.

WRECC expects that the accomplishment of the project’s objectives will enable developers to independently and proactively conduct site selection spatial analysis that is informed by system data.

Innovation: A digital cost-barrier map that shows developers where it is cheapest to interconnect.

Goal: Empowered Developers – Site selection is now driven by system data, allowing developers to lead with projects that are most likely to succeed.

National Grid

In New York, the Department of Public Service implements Standardized Interconnection Requirements to govern the interconnection of distributed generation and energy storage systems. This process, however, is on the verge of becoming outdated. National Grid recognizes the need to modernize the interconnection process, especially in anticipation of significant load growth in their service territories.

National Grid is proactively launching the ConnectNow initiative, through which they will streamline interconnection request management by developing a web-based application for distributed generation and electric load requests, including EV chargers. The application will provide planning engineers with a comprehensive view of interconnection requests at each of their feeders and substations. There will be three software components: a pre-application research assistant, a connection schedule and finance module, and a portfolio management tool. National Grid anticipates that the ConnectNow system will allow applicants to screen and prioritize potential interconnection sites based on financial viability before submitting a formal request and entering the queue.

Innovation: A unified queue that manages both DER generation and large EV charging loads.

Goal: Holistic Planning – Engineers get a 360-degree view of every feeder, ensuring load growth from EVs doesn’t crash into new solar generation.

Emerging Themes from the iQMS Cohort

Across the cohort, four key themes are shaping how utilities are refining interconnection:

• Breaking Data Silos: Utilities are integrating GIS, distribution management systems, and AMI to create a single source of truth for their operations. This move from fragmented spreadsheets to integrated data enhances quality, reduces manual entry errors, and generates actionable grid insights.
• Automating the Queue: By replacing manual workflows with automated platforms, utilities can now track applications in real-time. These systems autopopulate study documents, manage task hand-offs between departments, and automatically flag bottlenecks before they cause delays.
• Radical Transparency: New customer-facing portals empower developers to self-screen projects using utility data. This self-service model significantly reduces speculative applications and minimizes the back-and-forth communication that typically clogs the queue.
• Proactive Planning via Analytics: Rather than reacting to requests as they arrive, utilities are using advanced forecasting to predict distribution constraints. This allows for flexible interconnection options that maximize existing grid capacity without requiring immediate, costly infrastructure upgrades.

In an era where utilities face larger volumes of interconnection requests, the impact of automation and streamlined information is crucial. Improvements in these areas will modernize utility processes that have historically been manual and opaque, accelerate interconnection timelines, and provide developers with greater confidence that their projects can be accommodated within a utility’s service territory. These pilots aim to give utilities an opportunity to address systemic issues and demonstrate how technology and process improvements can directly translate into a cleaner, faster, and more predictable interconnection process for utilities and developers.

Looking Ahead

The iQMS cohort represents a step toward modernizing the way utilities manage interconnection and energization requests. The successful completion of their projects will materialize in the development of interconnection queue management processes and best-practices that can be shared and scaled industry-wide. These solutions will reduce the time and costs required to conduct the interconnection process and minimize error rates and data inconsistency. Successful projects will streamline the applicants’ experience, enable more granular energy system data analysis, support rapid evidence-based decisionmaking, reduce workload for utilities, and ultimately accelerate interconnection.

Here is a look at what’s next in our series:

• The Mid-Size Challenge
• The Regulatory Patchwork
• Cohort Progress & Lessons Learned
• Phase 1 Insights

Don’t Miss the Future Ready Grid Webinar Series

From Electrification to Data Centers: Rethinking Planning in an Era of Uncertain Growth

Connecting Faster: Flexible Interconnection and Proactive Investment as Complementary Tools

Questions? Reach out to Ashley Lynn Qua at [email protected]