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The electricity grid is facing an unprecedented surge in demand. Data centers supporting AI and cloud computing, fleets of electric vehicles, and a growing share of renewable energy projects are all looking to connect. Yet, instead of enabling this growth, interconnection queues are becoming one of the biggest bottlenecks to progress.
Across much of the U.S., it now takes years—typically up to five—to connect large loads or renewable generation to the grid. Developers are forced to wait while utilities conduct lengthy interconnection studies, often only to find that costly infrastructure upgrades are required before a project can move forward. The process isn’t just slow; it’s expensive and unpredictable, creating a major obstacle for companies investing in electrification and clean energy.
At the same time, much of the grid sits underutilized for large portions of the year—despite having ample capacity outside of peak periods. Our internal analysis of data from nearly 2,000 utility feeders showed average loading at just 45% of rated capacity. Today’s interconnection rules are largely built around worst-case scenarios, meaning that if a new load or generation source might create a constraint for just a few hours a year, it’s treated as if it’s a constant problem.
The good news is that there’s a better way. By shifting from rigid, always-on interconnection rules to a more adaptive approach, utilities can enable new connections much faster—without waiting for expensive and time-consuming infrastructure upgrades.
Flexible interconnection is an approach that dynamically adjusts how and when energy resources connect to the grid based on real-time grid conditions. Instead of treating every interconnection as a fixed commitment that must work under all circumstances, flexible interconnection allows utilities, large energy users, and developers to take advantage of available capacity most of the time—and adjust their usage only when necessary to protect the grid.
This means that instead of forcing new projects to wait years for infrastructure upgrades, many could connect today, as long as they can adjust their consumption or generation during rare periods of congestion.
There’s a spectrum of approaches to flexible interconnection. In some cases, time-based or "scheduled" operating limits—such as limiting charging during certain peak hours—are enough to prevent overloads. In others, real-time active management is required, using high-fidelity data from grid sensors or SCADA systems to dynamically curtail generation or shift loads when needed. All types of flexible interconnection approaches allow for faster, more efficient use of grid capacity while maintaining reliability.
To understand how flexible interconnection enables faster connections, it’s helpful to look at the types of grid constraints that commonly create bottlenecks.
Fleet electrification is rapidly growing, but many charging depots struggle to secure interconnection approvals. A key challenge is that EV charging demand often spikes during peak grid hours, creating concerns about substation transformer or feeder conductor capacity.
Flexible interconnection allows fleets to coordinate their charging schedules—shifting demand to lower-stress hours rather than requiring expensive infrastructure upgrades. When charging schedules can’t be adjusted, fleets can also manage their net power consumption using on-site generation or battery storage, reducing stress on the grid while maintaining fleet operations.
The AI and cloud computing boom has created explosive demand for electricity. Large data centers often require hundreds of megawatts of power, and many projects are delayed due to the need for large-scale transmission upgrades or concerns about sufficient generation capacity to serve the full data center load.
To manage these constraints, developers often build large data centers in phases, starting with one or two buildings (~50 MW each) and expanding over time. Flexible interconnection enables these initial buildings to connect much sooner by leveraging existing transmission and generation capacity, rather than waiting for multi-year infrastructure upgrades. For larger hyperscale data centers, transmission and generation investments will still be necessary, but flexible interconnection gets them operational faster—and for smaller enterprise data centers, it provides a complete solution.
Many solar projects face interconnection hurdles due to concerns about unexpected or uncontrolled backfeeding—where excess solar generation flows back through substations and other utility equipment. This can cause issues with protection settings, which are designed for one-way power flow and are essential for grid safety, especially when utility crews are servicing lines or restoring power after an outage.
Flexible interconnection provides a solution by allowing solar farms to connect immediately while curtailing output only when absolutely necessary, ensuring that protection settings remain effective while maximizing solar generation. Studies have shown that actual curtailment levels in flexible interconnection pilots are much lower than initially projected—highlighting the potential for broader adoption.
Flexible interconnection offers a clear path forward for utilities, developers, and large energy users facing mounting delays and growing grid constraints. Rather than waiting years for upgrades, stakeholders can start connecting projects today—safely and cost-effectively—by using the capacity already built into the system more intelligently.
At Camus, we’re working with utilities and developers to make this a reality. Our FlexConnect solution helps identify real-time and forecasted capacity on the grid, enabling smarter, faster interconnections for everything from EV fleets and solar farms to data centers and industrial sites.
📌 Want to learn more? Explore our FlexConnect solution, or reach out to discuss how flexible interconnection can help accelerate your project or utility’s interconnection strategy.
