Flexible Interconnection: Unlocking Grid Capacity in an Era of Explosive Load Growth

Why Flexible Interconnection Is Gaining Momentum 

In 2026, we have seen a confluence of circumstances that makes flexible interconnection very compelling across North American utilities: 

• Rapid data center development and electrification is increasing load growth. 
• Expanded deployment of distributed energy resources (DERs) connected to the distribution grid and battery storage to support bulk system resource adequacy. 
• Increasing regulatory and utility focus on innovative interconnection approaches that can accelerate resource integration without requiring immediate infrastructure upgrades.

Flexible interconnection is a way to connect new energy resources—like solar, storage, or large loads—to the grid without triggering the need for grid upgrades. Instead of guaranteeing full, always-on access from day one, the grid operator allows the resource to operate under certain conditions, such as reducing output during peak periods. This approach speeds up connection timelines while still protecting grid reliability.

2026-2027: Clear Benefits Can Be Realized in the Immediate Term.

“Flexible” Sounds Great. Why Isn’t Every Utility Doing It? 

Flexibility adds significant value but is much more difficult for utilities to plan for and incorporate into system operations in a way that still preserves reliability. As a result, the study process for flexible interconnections is more complex, requiring new methods, more granular data, and closer coordination across interconnection, planning, and operations. Utilities’ adoption of systems needed to enable dynamic management are also still in the early stages.

Customers may also be hesitant to agree to flexible interconnections, especially if applicable operating restrictions are not known in advance. This is particularly true for new load connections because those loads are, in reality, equipment needed for the business operations. Flexible interconnection options need to account for customer needs and enable flexibility without putting critical business operations at risk.

What It Takes to Implement Flexible Interconnection

In order to do things differently, you have to know how things work today so you know what is necessary for effective change. It is also essential to communicate effectively with customers to ensure you meet their needs.

EPE helps utilities design and implement these programs effectively with: 

Deep Technical Expertise in Distribution Planning, DER Integration, and Operations 

Our technical services span all of the key areas impacted by flexible interconnection, including:

• Load and DER Interconnection Studies 
• Integrated Distribution Planning and Forecasting 
• Operations Technologies including ADMS and DERMS 
• Regulatory Support and Expert Witness Testimony 
• Stakeholder Engagement and Effective Communication

Experience in Developing Real-World Flexible Interconnection Programs 

In 2025, EPE helped Ameren Illinois explore the feasibility, process impacts, customer use cases, and other potential impacts of several different methods of flexible interconnection. For their Phase 1 project, we helped Ameren evaluate several flexible connection methods: 

Leadership in Industry Guidance and Technical Publications 

EPE is helping to lead broad, industry-wide efforts to develop flexible interconnection pathways that are feasible for both utilities and load and DER customers. EPE’s support of the CHARGED initiative and contributions to their Flexible Grid Connection Implementation Guide demonstrate a commitment to technical though leadership and industry engagement.

Focus on Implementation 

Understanding the key concepts and value drivers is necessary but not sufficient to actually deploy a successful flexible interconnection offering. EPE’s services focus on implementation details including technical standards, study methods and assumptions, performance requirements, and internal utility stakeholder awareness. Using this approach, EPE can customize flexible interconnection design to the specific utility needs, drivers, and capabilities.

Move from Firm to Flexible: The Time Is Now 

Utilities across North America are moving toward flexible interconnection to unlock more hosting capacity while maintaining reliability. The shift is already underway as utilities look for practical ways to connect more customers without waiting on major upgrades. Success comes down to execution—clear processes, the right data, and coordination across teams. EPE brings the experience, tools, and implementation support utilities need to make flexible interconnection work in practice and deliver its full value.