With the United States on the cusp of an energy revolution, FERC’s Order 2023 represents a noteworthy shift in the interconnection process for new generation projects. Order 2023 addresses the bottlenecks caused by lengthy interconnection queues, which are exacerbated by rising grid congestion, permitting obstacles, and infrastructure project delays.
This new mandate seeks to introduce efficiency to the interconnection process, reduce costs, and speed up the integration of new renewable energy sources onto the grid. A key piece of Order 2023 is the requirement to include eight alternative transmission technologies (ATTs) in interconnection studies, a move that could dramatically transform the traditional grid upgrade landscape.
Recognizing the Promise of ATTs
ATTs, exemplified by innovative, flexible solutions such as advanced power flow control (APFC), embody the forward-looking strategy central to Order 2023. By requiring a shift to first-ready, first-served cluster studies and promoting the co-location of generation and storage, Order 2023 is well-suited to take advantage of these flexible technologies and the dynamic solutions that they offer.
The requirement to include ATTs as possible grid reinforcements in the early cluster study phase should lead to more seamless and cost-effective interconnections of new generating facilities going forward. In many cases, ATT solutions offer an alternative or complement to conventional grid upgrades, which typically take years to construct, are expensive, and are inflexibly sized to meet the whole network need from day one.
Now, let’s dive deeper into how ATTs, specifically APFCs, enable a faster and more efficient interconnection process for renewable energy onto the transmission grid.
What is APFC?
APFC solutions are game changers in managing electricity transmission. Like a complex network of highways, the electricity grid operates under the fundamental laws of physics where electrons flow along the path of least resistance — similar to cars following the fastest route. However, unlike highways, where navigation tools like traffic signals and mobile apps adjust to changing conditions, traditional grids lack dynamic routing capabilities.
Grid operators historically haven’t had tools to dynamically control the flow of these electrons. As a result, this leads to inefficiencies where some lines become overloaded while others go unused or are forced to deliver more expensive types of energy. This ultimately drives up costs, similar to a traffic jam causing detours. In the U.S. alone, ratepayers paid $22 billion for these types of “congestion” costs in 2022.
By dynamically rerouting the flow of electricity, APFC effectively redirects power from congested lines to underused pathways. This not only alleviates bottlenecks but also maximizes the use of existing infrastructure, much like using GPS to reroute drivers away from congested highways in real-time. Unlike older technologies that are akin to fixed signs on the road, which tell electricity only one way to go, APFC adapts to grid conditions instantly, which is invaluable in handling the unpredictable nature of renewable power sources.
How Can APFC Help Modernize the Grid?
The modular design of APFC devices allows for something of a tool-kit approach — they can be added, removed, or reconfigured as the grid’s demands evolve. This flexibility eliminates many of the delays associated with building new infrastructure, making it quicker and easier to connect new renewable energy projects and large energy users.
What’s more, APFC solutions have now matured to the point where they are seamlessly integrated into native models in major planning software platforms. This integration enhances accessibility and allows utilities to easily incorporate APFC devices into standard network planning and interconnection study processes. The versatile and scalable attributes of APFC also position them as an essential long-term solution for providing firm capacity to generators, which often face delays and challenges due to congestion issues on the grid. The ability of APFC devices to be quickly dispatched or deployments resized makes them a critical tool in addressing these challenges.
Exploring APFC in Action
Given their cost-effectiveness and modularity, the role of APFC in creating a more flexible, reliable and affordable grid cannot be overstated. For instance, National Grid Electricity Transmission (NGET) strategically deployed APFC devices in the UK at three substations across five circuits operating at 275 and 400 kV. This implementation directly addresses the congestion caused by significant north-to-south power flows. The NGET initiative is driven by a substantial increase in renewable generation in Scotland that must be delivered to demand centers in England, as well as the retirement of conventional generation plants.
Using APFC to divert power from overloaded circuits to those with spare capacity, NGET balances power flows within its high voltage network, thereby unlocking over 2 GW of additional transmission capacity across Scotland and Northern England. This use of APFC accelerates the integration of new wind power in Scotland by providing capacity more quickly than other alternatives while offering a cost-effective solution, surpassing $500 million in consumer savings in the first seven years by avoiding curtailment costs.
The successful application of APFC technology by NGET in the UK not only showcases its immediate benefits of managing grid congestion and enhancing transmission capacity but also serves as a case study for other regions facing similar challenges. The use of APFC is growing in the U.S., supported by multiple federal initiatives, with multiple federal projects commissioned, in delivery, and planned across the country.
FERC Order 2023 represents meaningful progress for the U.S. energy transition, which will also be facilitated by FERC Order 1920, reforming regional transmission planning for the first time in over a decade. By advocating for the broader implementation of ATTs like APFC, Order 2023 targets the root causes of the lengthy interconnection queue. The modularity and adaptability of APFC and similar technologies promise flexibility to expand and evolve alongside growing energy demands, paving the way for a smoother, more efficient interconnection process and a more resilient and sustainable energy future.
Ted Bloch-Rubin is director of business development, Americas, at Smart Wires Inc.
