On May 27, 2025, FERC addressed arguments raised on rehearing of a January 30, 2025 order, which accepted the Midcontinent Independent System Operator, Inc.’s (“MISO”) proposal to modify its generator interconnection study process by implementing a queue cap and exemptions to that cap (the “Queue Cap Order”). In doing so, FERC reaffirmed that MISO’s proposed queue cap and exemptions align with Order No. 2003’s independent entity variations for regional transmission organizations and independent system operators.
MISO initially filed its queue cap proposal with FERC on November 3, 2023, aiming to establish a cap on the total megawatt (“MW”) value of interconnection requests that could be studied in a cluster (the “2023 Queue Cap Proposal”). On January 19, 2024, FERC rejected this proposal, finding that MISO had not shown the proposal to be just and reasonable, although it acknowledged that “a cap in some form could be beneficial”. Subsequently, MISO filed a revised proposal on November 21, 2024 (the “2024 Queue Cap Proposal”). As relevant to rehearing requests, MISO proposed using a date and time stamp process to determine which interconnection requests to include in a study cycle. MISO specifically proposed exemptions for interconnection requests involving: (1) an increase in the generating facility capacity of a replacement facility; (2) generating facilities with Provisional Generator Interconnection Agreements; and (3) an existing generating facility’s conversion from Energy Resource Interconnection Service to Network Resource Interconnection Service. However, MISO did not propose an exemption for projects identified by relevant electric retail regulatory authorities (“RERRA”).
The Commission accepted the 2024 Queue Cap Proposal, finding that it was just and reasonable to cap the total MWs in a study cycle due to the significant volume of interconnection requests submitted to MISO’s interconnection queue. Additionally, the Commission rejected the requests to condition the acceptance of the exemptions on including a RERRA exemption, reasoning that the proposal was not before the Commission in the Federal Power Act (“FPA”) section 205 proceeding. Several parties requested rehearing, arguing, among other things, that the 2024 Queue Cap Proposal was unjust and unreasonable without a RERRA exemption, and inconsistent with Order No. 2003’s standardized interconnection processes and Order No. 2023’s requirement to transition from a first-come, first-served interconnection study approach to a first-ready, first-served cluster study process (see March 28, 2024 edition of the WER).
In upholding the Queue Cap Order, FERC found that the 2024 Queue Cap Proposal aligns with Order No. 2003 by addressing the regional need to manage MISO’s study clusters to ensure reliable and efficient interconnection. Furthermore, FERC found that using a submission time stamp for entry under the queue cap is consistent with Order No. 2023’s requirement for a first-ready, first-served cluster study process, as it allows prioritization within clusters without reverting to a serial first-come, first-served approach. Lastly, FERC found that the request to condition the acceptance of the 2024 Queue Cap Proposal on the inclusion of a RERRA exemption is beyond the scope of the FPA section 205 proceeding. FERC explained that the Commission’s role under section 205 is passive and reactive, allowing it to accept or reject proposals but not mandate specific rates unless existing rates are deemed unlawful under an FPA section 206 proceeding.
FERC’s order, issued in Docket No. ER25-507-001, can be found here.
