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Rao Konidena's picture
Independent Consultant Rakon Energy LLC

Rao Konidena found Rakon Energy LLC because Rao is passionate about connecting clients to cost-effective solutions in energy consulting, storage, distributed energy resources, and electricity...

  • Member since 2014
  • 189 items added with 40,225 views
  • Dec 13, 2021

These 345 kV projects come at a total cost of $1.95 Billion.

MISO and SPP are still working on cost allocation mechanisms for these projects. Both RTOs say that the costs are recovered from new generators as they exit the queue. Both RTOs must file at FERC a cost allocation for these jointly identified interconnection queue projects.

Matt Chester's picture
Matt Chester on Dec 13, 2021

Is that level of cost about what you would expect, or are they getting more expensive over time? 

Rao Konidena's picture
Rao Konidena on Dec 13, 2021

Matt - I don't know how you do it, but, you always ask good questions.

Did I expect almost $2B upgrade costs on the MISO and SPP border?

Let me walk you through my reasoning.

First data point, MISO had a $5B portfolio cost for Multi Value Project in 2011. That was mostly 345 kV projects. Second data point, for interconnecting a 100 MW solar project, $10M in upgrade costs is considered reasonable. So, what does $2B buy us? 20,000 MW of solar interconnections. Is that reasonable? Because there are more than 150 GW sitting in the queue.

Matt Chester's picture
Matt Chester on Dec 13, 2021

Definitely eye-opening-- thanks Rao!

Rao Konidena's picture
Thank Rao for the Post!
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