What BASED Could Mean for Solar, Storage, and Grid Connection

Solar and battery storage projects can be technically sound, financially viable, and fully permitted, yet still face one major obstacle: connection to the electric grid.

Interconnection has become one of the most important factors affecting clean energy timelines in the United States. Developers may spend years waiting for grid studies, cost estimates, and permission to operate.

A newly introduced federal proposal could offer a different path.

The Grid Connection and Congestion Management Act would establish a service known as Basic Access Service for Energy-Only Delivery, or BASED. The framework would give qualifying generators a faster route to the grid while allowing operators to curtail their output when transmission becomes congested.

For customers and developers considering utility-scale solar and advanced energy storage, this discussion matters because interconnection can determine whether an otherwise strong project succeeds.

Why Interconnection Matters

Connecting a generating facility to the grid involves much more than installing a wire.

Grid operators must evaluate whether the new project can operate safely without creating unacceptable thermal overloads, voltage problems, short-circuit conditions, or stability risks.

These studies protect reliability, but they can also become slow and expensive.

Projects are frequently studied in large groups, and changes involving one project can affect the cost and timing of others. Developers may also be assigned responsibility for major network upgrades located far beyond the immediate point of connection.

Those costs can alter the economics of even a well-designed commercial solar project.

What Is BASED?

BASED stands for Basic Access Service for Energy-Only Delivery.

Under the proposal, a project could request an expedited evaluation focused on what is required to connect safely and inject energy at the approved point.

The project would accept operating limits and potential congestion-related curtailment.

This creates a clear trade-off:

  • Faster potential connection
  • Fewer upgrades imposed solely to guarantee deliverability
  • Earlier opportunity to begin producing electricity
  • Greater exposure to curtailment during congested periods

The service would not guarantee that every kilowatt-hour could always move through the transmission network.

How Connect and Manage Works

The proposal is influenced by the connect-and-manage model associated with Texas.

Under the traditional approach, grid operators attempt to identify and address a wide range of future network constraints before allowing a project to connect.

Connect and manage relies more heavily on active operations.

A project receives an appropriate safety and stability review. If later transmission congestion occurs, the operator can redispatch or curtail generation to protect reliability.

This approach treats the grid more like a dynamically managed network than a fixed physical system that must be expanded before every new connection.

What Curtailment Means for Solar Developers

Curtailment occurs when a generator is instructed to temporarily reduce output.

For solar developers, this can affect revenue. A project may be producing available energy but unable to deliver all of it because of a transmission constraint.

Developers evaluating BASED service would need to model:

  • Expected frequency and duration of curtailment
  • Local transmission congestion
  • Power-purchase agreement terms
  • Merchant energy-price exposure
  • Battery storage opportunities
  • The value of connecting earlier

The economic question is not simply whether curtailment is undesirable. It is whether the cost of curtailment is lower than the cost of waiting years or funding major network upgrades.

Why Storage Could Reduce Curtailment Losses

Battery storage could play a major role under an energy-only interconnection model.

If a solar facility is asked to reduce exports during a congested period, an on-site battery may be able to absorb some of the energy. The project can then discharge later when grid conditions improve.

This creates several potential benefits:

  • Reduced wasted solar generation
  • Greater control over delivery timing
  • Improved response to energy prices
  • Additional grid-support capabilities
  • More flexible project economics

This reinforces why modern projects increasingly combine generation with storage. Sun Energy Today approaches large-scale solar and storage as integrated energy infrastructure rather than isolated technologies.

A Separate Path Through the Queue

The proposed legislation would allow a BASED applicant to elect an evaluation separate from a grouped cluster study.

The grid operator could not make the BASED review dependent solely on completion of the larger group.

That could help viable projects avoid being delayed by unrelated requests elsewhere in the queue.

However, faster review would not remove the need for sound engineering, site control, permitting, equipment procurement, financing, and realistic operating assumptions.

How BASED Differs From Guaranteed Service

Network Resource Interconnection Service is designed around stronger deliverability expectations and may require additional transmission upgrades.

BASED would offer narrower energy-only rights subject to operating limits.

The bill would also provide a pathway for a project to transition to another form of interconnection service later. A developer could potentially connect through BASED, begin operating, and then pursue more secure transmission rights through the standard process.

This gives developers flexibility without requiring them to abandon the possibility of future upgrades.

Why Smarter Grid Management Matters

The electric grid is becoming increasingly digital.

Modern system operators use real-time data, automated dispatch, forecasting, grid controls, and advanced software to balance resources.

An energy-only model would place even greater importance on those tools.

Grid operators would need to know what is happening across the network and communicate operating instructions quickly. Solar and storage projects would need dependable controls and monitoring capabilities.

This is one reason modern solar is about much more than panels. System design, power electronics, controls, communications, storage, and long-term operations all affect performance.

Potential Benefits for Energy Customers

Faster interconnection could allow new generation to begin serving load sooner.

More available energy resources may support growing electricity demand from businesses, manufacturing facilities, communities, and data centers.

However, the effect on customer costs would depend on implementation, congestion patterns, project economics, and how curtailment and transmission investments are allocated.

It is too early to know whether the proposal will become law or precisely how each regional operator would implement it.

Planning Still Matters

A faster interconnection option would not make solar development simple.

Developers and energy customers would still need to evaluate:

  • Site suitability
  • Local grid capacity
  • Equipment selection
  • Battery configuration
  • Interconnection risk
  • Permitting</li

If you are ready to explore solar for your home or business, you can get started with Sun Energy Today and work with a team focused on long-term performance, reliability, and support.

Sponsored by Sun Energy Today

This episode is sponsored by Sun Energy Today, a commercial solar and storage developer focused on MW-scale infrastructure and long-term energy resilience.

🌐 https://sunenergytoday.com/
💼 https://www.linkedin.com/in/atzael-herrera/

Listen to the Full Episode

🎧 Spotify: https://open.spotify.com/show/28LLOtNEQj8ZoCZJqVOa7o
🎧 Apple Podcasts: https://podcasts.apple.com/us/podcast/the-solar-coaster-podcast/id1832579656
🎧 Amazon Music: https://music.amazon.com/podcasts/342b84c9-ccb9-4cdb-99cc-ed6254503bfa/the-solar-coaster-podcast
🎧 iHeart Radio: https://iheart.com/podcast/292376116/
📺 YouTube: https://www.youtube.com/@solarcoasterbook

📖 Get the book:
https://www.amazon.com/dp/B0FSGKKV8X?psc=1&smid=A1Y53T3O3Q25L8&linkCode=sl1&tag=annacovert-20&linkId=1dfad38ae3d56078f509025bc52227db&language=en_US&ref_=as_li_ss_tl

⚠️ AI Transparency Notice: This episode uses AI-generated voice technology based on the real voices of Anna Covert and Alex Herrera. Both individuals have provided full knowledge and consent for their voices and likenesses to be used in this AI-produced episode. The insights shared reflect their real-world experience and professional viewpoints. This episode is clearly labeled as AI-assisted and is not intended to mislead viewers regarding identity or authorship.

What the BASED Act Could Mean for Solar Developers, Utilities and Battery Storage

In this Sun Energy Today discussion, Anna Covert and Alex Herrera explain how the proposed BASED interconnection service could affect solar project timelines, curtailment risk, utility planning, battery storage economics, and the future of grid congestion management.


Anna Covert: Imagine spending years developing a state-of-the-art clean energy project, securing the land, getting the funding, and buying the equipment, only to be told you have to wait in a virtual line for seven years just to plug it into the electrical grid. It sounds like a bureaucratic nightmare, but it is the actual reality for thousands of wind, solar, and battery storage projects across the United States right now. The grid is essentially full, or at least, that is what the traditional rules tell us. But what if we are looking at the problem all wrong? What if the solution isn't just building thousands of miles of new transmission lines first, but changing the basic rules of how we let new power sources connect?

Alex Herrera: It is the defining bottleneck of the modern energy transition. Right now, there are more megawatts of clean energy sitting in these interconnection queues waiting for approval than the entire operating capacity of the current U.S. power grid. The system we have relied on for decades is built on a philosophy of absolute certainty. Grid operators want to study every possible scenario, calculate every potential overload, and force developers to pay for massive network upgrades before they are allowed to send a single kilowatt-hour to consumers. It is safe, but it is incredibly slow. And that is why this new legislative push in the Senate is drawing so much attention. It proposes a fundamental shift in how we manage the grid, borrowing a page from a very unlikely pioneer in energy policy: Texas.

Anna Covert: It is fascinating because when people think of progressive energy policy, Texas might not be the first state that comes to mind. Yet, their grid operator, ERCOT, has managed to connect over one hundred gigawatts of new capacity in just a four-year span. That is vastly more than any other region in the country. And the secret weapon behind that speed is a regulatory approach known as connect and manage. Now, a new bill introduced by Senator Martin Heinrich aims to take this Texas model and mandate it nationwide.

Alex Herrera: The contrast between Texas and the rest of the country is stark. The bill itself is called the Grid Connection and Congestion Management Act. What it proposes is to amend the Federal Power Act to make it legally unjust and unreasonable for federally regulated grid operators not to offer a similar fast-track option. The bill calls this new service BASED, which stands for Basic Access Service for Energy-Only Delivery. The goal is to force regional transmission organizations and independent system operators to offer this streamlined connection service within twelve to eighteen months of the bill passing.

Anna Covert: So let us break down what connect and manage actually means in practice, and how this BASED service would work. How does it differ from the traditional process that is causing these massive multi-year backlogs?

Alex Herrera: Think of the traditional process, which is often called Network Resource Interconnection Service, as a highly conservative highway system. Before the grid operator lets you build a new subdivision and connect its access road to the highway, they run complex simulations. They want to ensure that even on the busiest holiday weekend of the year, with maximum traffic, the highway will never slow down. If their simulations show a bottleneck ten miles down the road, they tell the developer they cannot connect until they pay to add an extra lane to that highway. That is why projects get stuck. They are hit with unexpected, multimillion-dollar bills for network upgrades. Connect and manage, or this new BASED framework, takes a completely different approach. It says, we will let you connect to the highway right now. We will do a quick safety check to make sure your connection point is stable and won't cause a crash. But if the highway gets congested in the future, we reserve the right to tell you to pull over or slow down.

Anna Covert: That is the operational measures part of the bill. Instead of building massive physical infrastructure upgrades upfront to handle the absolute worst-case scenario, the grid operator uses software and real-time management. If there is too much power flowing on a line, they tell certain generators to scale back their output. In the industry, they call this redispatch or curtailment.

Alex Herrera: Exactly. Under the BASED framework, the grid operator's evaluation would only look at what is necessary to ensure the physical connection is safe and stable. We are talking about steady-state thermal and voltage limits, short-circuit analysis, and basic stability. They have to assume that any local congestion can and will be managed through these operational tools, like curtailing generation when things get tight. The bill explicitly states that operators can only demand physical grid upgrades if operational measures are physically incapable of maintaining grid reliability. It shifts the default setting from build first to manage first.

Anna Covert: It sounds like a common-sense solution, but I imagine it introduces a new set of risks for developers. If you are a solar developer, and you agree to this BASED service, you get online much faster, but you also accept the risk that you might be curtailed. You might be told to turn off your panels on a sunny day because the transmission lines are full. How do developers balance that risk?

Alex Herrera: That is the trade-off. It changes the financial math. Under the old system, you might wait seven years and then get hit with a fifty-million-dollar upgrade bill that kills your project anyway. Under the BASED system, you can start generating revenue in two years, but you have to accept that maybe five or ten percent of your potential energy might get curtailed during peak hours. For many developers, especially those paired with battery storage, that is a risk they are eager to take. If you have a battery on-site, you don't even have to waste that energy. You just store it when the grid is congested and sell it later when the lines clear up. That is why this bill is such a big deal for the energy storage sector. It unlocks the true value of batteries as grid congestion management tools.

Anna Covert: And the bill doesn't just offer this as an option; it actively gives these projects a way to bypass the queue. Can you explain how the priority mechanism works? Because right now, the queue itself is a giant bottleneck where projects are grouped together in massive studies that can take years to complete.

Alex Herrera: This is one of the most aggressive parts of the legislation. It allows a developer requesting BASED service to elect to have their project evaluated independently of those massive, grouped study processes. The grid operator is flatly prohibited from delaying a BASED request just because they are waiting on a larger group study. It is essentially a fast-pass lane. If you are willing to accept the risk of operational curtailment, you get to skip the line. And the bill also outlines a clear transition path. If a developer starts with BASED service to get online quickly, they can still apply to transition to a full network service later if they want to secure guaranteed, non-interruptible transmission rights.

Anna Covert: So it gives them flexibility. Get online, start generating cash flow, and then figure out the long-term upgrades later. But this brings up an interesting policy question. We already have something in the existing federal rules called Energy Resource Interconnection Service, or ERIS, which is supposed to be similar to this energy-only concept. Why do we need a new law to create BASED if ERIS already exists?

Alex Herrera: That is a crucial point, and the data on this is really telling. The Lawrence Berkeley National Laboratory did a study on this exact issue. They looked at ERIS projects outside of Texas and found that since 2010, they weren't actually getting processed any faster than the standard, more rigorous studies. Even though ERIS was designed to be a lighter option, grid operators outside of Texas still dragged their feet, applying the same slow, bureaucratic study methods. The system was bogged down by institutional inertia. Senator Heinrich's bill essentially recognizes that trying to reform the existing ERIS rules is a losing battle. Instead of trying to patch a broken system, the bill starts from scratch. It defines BASED with very specific, legally binding parameters that force grid operators to change their study assumptions. It takes away their ability to treat these light connections like massive infrastructure projects.

Anna Covert: It seems like it is trying to force a cultural shift in how grid operators view their jobs. Traditionally, their primary directive has been reliability at all costs, which naturally leads to extreme conservatism and slow decision-making. By legally defining BASED and setting tight timelines, the bill is pushing them toward active management. But how does the Federal Energy Regulatory Commission, or FERC, fit into this? They are the ones who actually oversee the grid operators.

Alex Herrera: FERC is the enforcer here. The bill sets a tight timeline for them. Within six to twelve months of the bill's enactment, all regulated grid operators have to submit revised tariffs to FERC detailing how they will implement this new study process and meet the new timelines. FERC then has the authority to either accept those proposals or step in and dictate the terms, rates, and conditions themselves to ensure they are fair and non-discriminatory. It gives FERC the teeth it needs to make sure these regional operators don't just drag their feet or create compliance rules that defeat the purpose of the law.

Anna Covert: Let us step back and look at the bigger picture. If this bill passes, and we see a massive wave of new projects connecting quickly under the BASED framework, what does that do to the overall stability of the grid? If we are suddenly managing hundreds of gigawatts of power through operational measures and curtailment, doesn't that make the grid much more complex to run?

Alex Herrera: It absolutely does. It shifts the complexity from the planning phase to the operational phase. Instead of spending years calculating things on paper to make sure the grid is physically foolproof, control room operators will have to rely on advanced software, automated dispatch systems, and real-time data to balance the system second by second. It requires a much more dynamic, intelligent grid. Some traditionalists worry that this increases the risk of instability. But proponents argue that we already have the technology to manage this. The success in Texas shows that it is highly doable. ERCOT has integrated massive amounts of wind, solar, and storage without sacrificing reliability, largely because they have embraced this active management style.

Anna Covert: And there is a deeper philosophical question here about how we view infrastructure. For a long time, the American approach to infrastructure was to build it big, build it robust, and build it to last without needing constant intervention. But in an era where we need to decarbonize rapidly, we might not have the luxury of waiting decades to build the perfect physical network. This bill suggests that software, smart algorithms, and active management can substitute for physical steel and copper in the ground.

Alex Herrera: That is the core paradigm shift. It is the digitization of the grid. In almost every other industry, we have seen software optimize existing physical assets to run much closer to their actual limits. Think of how ridesharing apps get more utility out of existing cars, or how cloud computing optimizes server usage. The electricity grid has been one of the last holdouts of the analog era, where we still rely heavily on over-building physical assets to ensure reliability. This bill is a legislative nudge to force the grid into the digital age. It says we cannot afford to wait for perfect transmission lines when we have clean energy ready to deploy today.

Anna Covert: Of course, the bill still has a long way to go. It has been referred to the Senate Committee on Energy and Natural Resources, where Senator Heinrich is the ranking member, so it has a powerful champion. But there will undoubtedly be pushback from utility companies and grid operators who are wary of the operational challenges and the loss of control over their planning processes.

Alex Herrera: The political battle will be intense. Utilities often make their profits by building physical infrastructure, so a shift toward software-based management and away from massive capital projects could impact their bottom lines. There will also be legitimate debates about who bears the cost when curtailment happens, and whether this approach might lead to higher costs for consumers in the form of redispatch payments. But the sheer pressure of the interconnection backlog is becoming unsustainable. When you have billions of dollars of private capital waiting to build clean energy, and the only thing stopping them is regulatory red tape, the pressure for reform becomes overwhelming.

Anna Covert: It really highlights the tension between the urgent need for speed and our traditional desire for absolute reliability and predictability. As we look to the future, the success of the energy transition might not depend on inventing a better solar panel or a cheaper battery, but on rewriting the dry, technical rules of grid connection. It is not the most glamorous topic, but it is where the real battle for the future of energy is being fought.

Alex Herrera: It is the ultimate bottleneck. You can have the best clean technology in the world, but if you can't plug it in, it is just expensive lawn ornament. This bill is an acknowledgment that our regulatory framework has to evolve at the same speed as our technology. Whether BASED becomes the new national standard or not, the conversation around how we connect to the grid has permanently changed. We are moving away from the era of build first, ask questions later, and entering an era of smart, dynamic grid management. The future of our energy system depends on how quickly we can learn to manage the traffic on our existing electrical highways.