Solar project developer Verogy released information today that a planned 975-kW solar project on a former landfill in Windham, Connecticut, has been met with a $26 million estimated bill for grid interconnection. Typically, transmission interconnection upgrades for projects less than 1 MW cost approximately $50,000 to $300,000.
Local utility Eversource, which serves customers in Connecticut, Massachusetts and New Hampshire, is the entity proposing the $26 million estimate. Verogy said the landfill solar project is now at risk of cancelation due to the unexpectedly high cost of interconnection, which project developers are expected to pay in entirety.
The Town of Windham began exploring solar opportunities in 2022, and energy consultant TitanGen ultimately chose Verogy through a RFP to develop a project on the landfill.
“The Windham landfill solar project is a great example of how innovative partnerships can drive sustainable progress,” said Adam Teff, General Manager, TitanGen. “We’ve worked closely with the town and our partners to develop a project that would deliver important environmental and financial benefits to Windham residents, but the astronomical interconnection costs have created an almost insurmountable roadblock. We need immediate action to reform these barriers and ensure this project and others like it can move forward.”
The project is designed to provide energy to several Windham facilities, including the Town Hall, public safety complex, and other municipal buildings, while delivering significant benefits.
Connecticut’s interconnection process requires solar developers to bear the entire cost of any grid upgrades needed to accommodate new solar projects. These costs are often significantly higher than initially estimated, creating substantial financial barriers that can ultimately lead to project cancelations. In this case, the unexpected and exorbitant $26 million interconnection costs have put the Windham landfill project’s future in jeopardy.
“Our team has a proven track record of designing and constructing landfill-based solar installations just like the project proposed for Windham,” said Will Herchel, CEO of Verogy. “Unfortunately, unexpected interconnection costs are putting this vital project and its benefits at serious risk. Connecticut has made bold commitments to clean energy, yet outdated policies jeopardize projects that are vital to meeting those targets. We remain committed to collaborating with policymakers, utilities, and other stakeholders to address this challenge and make the Windham landfill solar project a reality.”
Upgrading the grid to accommodate solar projects provides systemic value that benefits everyone — by increasing reliability, enabling further clean energy development, and reducing dependence on fossil fuels. By making solar developers solely responsible for these costs, the state effectively overlooks these wider benefits, punishing those who are working to modernize and decarbonize Connecticut’s energy infrastructure, Verogy says.
“For more than a decade, Connecticut’s commercial solar developers have played a crucial role in advancing the state’s clean energy goals, while creating thousands of good-paying jobs and building successful businesses,” said Mike Trahan, Executive Director of the Connecticut Solar & Storage Association. “Solar developers are here to deliver much-needed renewable energy projects, not shoulder the bulk of the most significant grid upgrade in our lifetimes. The potential cancellation of the Windham landfill solar project underscores a larger systemic issue. While Connecticut has set bold targets, such as achieving 100% zero-carbon electricity by 2040, these goals are at risk if prohibitively high interconnection costs continue to stifle solar development. Grid upgrades are necessary to meet the state’s electrification goals, but they will benefit all ratepayers. It’s critical that we reform cost-sharing mechanisms to ensure projects like Windham’s can move forward and that Connecticut remains on track to achieve its ambitious climate objectives.”
The Windham solar installation, which represents a unique opportunity to transform an underutilized piece of land into a valuable source of clean energy, will remain stalled unless Connecticut adopts an equitable cost-sharing mechanism that reflects the benefits of grid upgrades for all stakeholders, including utilities and ratepayers.
“The Connecticut Public Utilities Regulatory Authority (PURA) is currently working to develop a framework for equitable cost-sharing for interconnection of renewables through Docket No. 22-06-29RE01,” added Trahan. “This process, which aims to establish an approach to fairly sharing the costs of upgrading the electric grid, not only calls for regulatory reforms, but as importantly, engagement with legislators, utilities, and clean energy developers. It is only through a proactive, transparent process that Connecticut will be able to achieve an interconnection policy that equitably facilitates renewable energy development while supporting Connecticut’s climate objectives.”