News Stories
Sponsored by Earth Etch. Regulatory insight and compliance solutions for today’s energy markets.
PSC Issued An Order On Interconnection Queue Management for New Distributed Generators and Energy Storage Systems
On January 23, 2026 the New York Public Service Commission (PSC) issued an order on interconnection queue management.
From the Order:
“On August 15, 2025, the Internal Revenue Service (IRS) issued IRS Notice 2025-42, which established criteria and timelines that renewable energy projects are required to meet to claim certain federal tax credits. On September 12, 2025, Department of Public Service (DPS) staff filed a proposal for managing the queue of projects subject to the Commission’s Standardized Interconnection Requirements (SIRs) to facilitate maximum capture of federal investment tax credits under the IRS guidance. Following discussions with stakeholders in the Interconnection Policy Working Group (IPWG), DPS staff submitted an updated proposal on November 18, 2025 (together with the September 12, 2025 filing, the Proposal). DPS staff’s proposal would add a temporary framework to the SIRs for scheduling the construction and energization of tax credit-eligible projects. Through this Order, we adopt DPS staff’s proposal, with the modifications identified herein, to enable those interconnection applicants to secure federal tax credits.”
Under this order, (1) utilities must file tariff amendments to incorporate the revised standard interconnection requirements, effective February 9, 2026; (2) utilities must file monthly inventory reports, beginning May 15, 2026; (3) utilities must file a report identifying federal investment tax credit–eligible distributed energy resource projects that depend on capital investment plan projects by May 1, 2026; (4) utilities must prepare a proposal on alternative approaches to meeting internal revenue service deadlines by July 1, 2026; (5) utilities must file their proposal on alternative approaches to meeting Internal Revenue Service deadlines by December 1, 2026; and (6) utilities must file their proposals on shortening the timeframe for construction within 6 months of a stakeholder discussion.

