OwnEnergy

An Interconnection Agreement (IA) is one of the pillars of wind project development.  The IA is the culmination of a series of studies often started with a transmission feasibility study conducted by the regional transmission organization or the independent system operator. The transmission study process usually lasts between one to two years, depending on the region in the country or whether the generator is interconnecting at transmission (high voltage) or distribution (low voltage).

Upon executing the IA, the generator and the transmission owner formally accepts the responsibilities described in the agreement. These include:

• Posting a letter of credit to cover the cost of transmission network upgrades, if necessary, by the generator
• Assumption of transmission network upgrade costs in certain transmission zones 
• Assumption of interconnection cost on the generator side of the transmission system
• Performance of both parties to get the wind project ready for interconnection by a certain date