Solar Industry Update

FERC Issues Order 2023 The new order includes several changes: • • . Implements a first-ready, first-served cluster study process, in which project requests enter a "cluster window" and all receive the same priority, allowing for a group interconnection study rather than sequentially. Cluster study costs imposed on a pro rata and per capita basis, and upgrade costs allocated to cluster on a "proportional impact method." - BNEF stated that most grid operators already (or will soon) conduct joint grid connection studies, and it will not necessarily reduce the combined cost of grid interconnection. Implements enhanced financial commitments and withdrawal penalties to discourage withdrawals and requires demonstration of site control at the time of submission (or a deposit of $500k-$2M). Aims to increase the speed of the interconnection queue by removing the "reasonable efforts" standard governing transmission provider's duty for timely completion of studies and places firm study deadlines and penalties for missing study deadlines ($1k per business day of delays to cluster studies / $2.5k for facilities studies). Allows interconnection process to have one interconnection point (and study) for co-located facilities. Source: JDSupra (08/11/23); The National Law Review (08/18/23) NREL 10

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