Generator Interconnection

Withdrawal Penalty

Definition

The penalty assessed by the Transmission Provider to an Interconnection Customer that chooses to withdraw or is deemed withdrawn from the interconnection queue, or whose Generating Facility does not otherwise reach Commercial Operation. Calculated pursuant to Section 3.7.1 of the LGIP, the Withdrawal Penalty deters speculative queue entries by ensuring developers who abandon projects bear a portion of the study costs incurred on their behalf and the restudy costs triggered for other queue participants.

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Topic Deck

Generator Interconnection

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Source

FERC Pro Forma OATT / LGIP

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