Beyond the pilot: Aligning business processes to scale flexible interconnection

Executive summary: Scaling flexible interconnection requires more than proving the effectiveness of the supporting technology at individual sites. Utilities need repeatable business processes that integrate flexible interconnections into planning and operations while supporting increasingly complex requirements as programs expand.

4-minute read

Getting a flexible interconnection pilot off the ground is different from scaling it into a repeatable program. Early pilots rely on carefully selected sites and minimum viable product (MVP) design decisions to connect the first customers and demonstrate value for a distributed energy resource management system (DERMS) use case. As the program expands, business processes that were sufficient for a small number of sites must support broader and more complex requirements.

The “crawl, walk, run” trajectory deserves attention from day one. Expanding from zero to one site presents a fundamentally different challenge from expanding from one to 20. A single site proves the concept; scaling to 20 tests assumptions established during the pilot, from capacity estimation practices to process ownership as edge cases emerge.

Scaling flexible interconnection therefore depends on establishing repeatable business processes across planning, operations, and customer engagement, not simply extending the technical approach proven during the pilot. Through our Flexible Service Connection offering, we help utilities address these challenges and establish the operating practices needed to scale flexible interconnection beyond the pilot.

Bring the program into the business, not around it

Integrating flexible interconnection into the existing interconnection process is essential for scalability. A program cannot remain isolated within a strategy or innovation team while the teams responsible for interconnection operate separately.

A flexible interconnection involves many of the same functions as a conventional interconnection, including:

• Service planning and design
• Distribution planning
• DERMS teams
• Engineers responsible for final decisions
• Distribution operations
• Program managers

Without defined roles and established practices across these functions, teams may need to determine responsibilities and process requirements for each new site.

Distribution planning plays a central role because planners determine the conditions under which a site can be served. Flexible interconnection therefore needs to become an established option within the planning process, evaluated with the same rigor and confidence as a conventional interconnection.

A repeatable program also depends on consistent practices across the broader interconnection process:

• Intake practices that identify flexible candidates early
• Shared analysis that participating teams can rely on
• Clear ownership of operating limits once a site is live
• Training and standards that support consistent execution

These practices establish an operating model that can continue beyond the pilot and support ongoing program delivery.

Expect edge cases and plan for orchestration

Program growth introduces scenarios that early pilots may not encounter. Two flexible sites on the same circuit need to be coordinated rather than managed in isolation. Related storage or generation programs may also supplement available capacity.

As a result, a single-site problem can become an orchestration challenge involving multiple resources.

The type of system constraint adds another layer of complexity. A site may be limited by generation or load, and the specific asset under constraint determines the DERMS requirements.

Consider one West Coast utility, where a growing number of load-limited Flexible Service Connection sites are constrained by the capacity of the physical line serving the customer rather than a substation or transformer. A line-section constraint introduces two additional requirements:

• A process for estimating the capacity available to the customer for planning purposes
• State-estimation techniques within the DERMS to model operational dynamic envelopes once the site is live

Neither requirement existed during the pilot, but both become necessary as the program expands into areas where line-section constraints are common.

Balance the customer's timeline against the engineering reality

As flexible interconnection expands beyond pilot sites, large-load customers introduce another scaling challenge. These projects often involve significant planning and engineering work, while customers need an early indication of available capacity to inform planning and investment decisions. The utility therefore faces competing timing requirements: providing useful capacity information early and continuing the engineering analysis needed to support the interconnection.

As engineering and design work progresses, new information can change the available capacity or other conditions supporting the initial flexible interconnection estimate. Managing that uncertainty requires close coordination between DERMS and planning teams, with a shared understanding of the customer's planning needs, the utility's engineering requirements, and the potential for changing conditions.

Clear customer communication is also essential. Early capacity information needs to support customer planning while accurately reflecting the potential for changes as project requirements evolve. Maintaining that balance allows flexible interconnection to remain a viable option rather than limiting its use to sites with more predictable conditions.

The takeaway

Scaling flexible interconnection requires utilities to balance technology capabilities with the business processes that support them. Planning for scalability during the pilot can help prevent early design decisions from becoming operational constraints as the program expands.

Preparing for the “run” phase requires integrating flexible interconnection into distribution planning, establishing processes for multi-site orchestration and capacity estimation, and coordinating DERMS, planning, and customer-facing activities as project requirements evolve.

For utilities investing in new grid technologies, the implications extend beyond flexible interconnection. A pilot can demonstrate that a technology works, but technical validation alone does not establish an operational capability. Long-term value depends on the utility’s ability to incorporate the technology into the planning processes, operating practices, and customer interactions required for routine use at scale.

Learn more about flexible interconnections