The DNV playbook for modernizing the DG interconnection queue process

In our more recent Energy Transition Outlook for North America, DNV notes that grid interconnection queues are now stretching out for years. The queue for distributed generation (DG) and distributed energy resource (DER)-driven interconnection demand, according to the Lawrence Berkeley National Laboratory, now exceeds 2 terawatts of pending capacity. 

This is a bottleneck the U.S. cannot afford when energy demand is growing faster than supply can keep up. Without a faster and easier way for utilities to progress DG and DER projects through the interconnection queue, electricity prices will rise, energy accessibility will deteriorate, and energy security will erode. 

We’ve been working with North American utilities for 45+ years, and can confirm that the year on year growth in applications for DG and DER-driven interconnection is new, and that utility leaders are looking for a modern solution that meet FERC, ISO and local PUC rules. 

We’ve built a secure, AI-powered workflow management platform that resolves some of the core constraints limiting DG and DER-driven interconnections such as:

• Manual handoffs that add time and complexity
• Fragmented systems often creating conflicting data
• Document-heavy, error prone reviews that frustrate installers and customers.

This is a proven solution already used by a number of leading, utilities. This playbook explains, step by step, how utility program teams can automate, standardize, and scale the DG interconnection process end-to-end. This way, we can take full advantage of the energy transition without getting bogged down in processing delays.

Step 1: Define the data that drives your interconnection process

Utilities begin by defining exactly what information they need to collect for a DG interconnection application. Using the platform’s data dictionary, program teams specify customer details, site information, equipment attributes, installer data, and any other data requirements necessary to evaluate an application. Each data element is defined by type, validation rules, and permissions.

This approach ensures that data requirements are explicit and standardized from the start. If regulatory requirements or program rules change, program managers can add or modify data fields later without redesigning the entire system. Personally identifiable information can also be tagged so that it is automatically masked for users who should not see it.

Step 2: Create guided, branded application experiences

Once the data model is defined, utilities design the application experience that customers and installers interact with. Program teams use a drag-and-drop form designer to build guided, step-by-step application flows that are responsive across desktop, tablet, and mobile devices.

The application path can change dynamically based on user inputs, such as whether the applicant is a customer or installer, or whether the project is residential or commercial. Mandatory fields, input masks (predefined formatting rules), and validation logic help prevent incomplete or incorrect submissions. The entire experience can be white labeled so applicants see a seamless extension of the utility’s own website and branding.

Step 3: Automate how applications move through the queue

After submission, applications move through a workflow defined by the utility. Program managers model their DG interconnection process visually, using drag-and-drop workflow tools to represent each stage, decision point, and outcome. Applications progress automatically based on rules rather than manual handoffs.

The workflow can include duplicate checks, validation steps, document generation, service studies, communications, and approvals. Conditional routing allows applications to follow different paths depending on system size, technical requirements, or study outcomes. Timers and service-level rules can be applied so that stalled applications are flagged or escalated automatically.

Step 4: Reduce manual reviews with AI enabled document validation

A major bottleneck in DG interconnection is reviewing uploaded diagrams and technical documents. With DNV’s document recognition module (DRM), utilities can automate much of this work. When applicants upload single-line diagrams or layout sketches, the platform uses OCR (Optical Character Recognition) and machine learning to extract key values and validate them against expected submissions  to the application.

If the documents match expectations, the application can advance without manual review. If errors or inconsistencies are detected, the system classifies them and routes the application for attention. Utilities using this capability have seen a meaningful portion of applications move through the process with little to no staff intervention.

Step 5: Generate and manage agreements automatically

As applications reach key milestones, the platform generates required documents such as tariff applications, interconnection agreements, and permit-to-operate letters. These documents are built from customizable templates and populated automatically with application data, ensuring consistency and accuracy.

Once generated, documents are routed for electronic signature using integrated e signature providers. Program teams can track when documents are sent, viewed, and signed, all within the same system. Depending on application details, different document templates or combinations can be used without creating separate workflows.

Step 6: Integrate with enterprise systems and payment platforms

DNV’s platform is designed to integrate with existing utility systems rather than replace them. During application intake or at specific workflow stages, the platform can make outbound calls to systems such as SAP, Oracle, Salesforce, or customer information systems to validate customer eligibility or retrieve reference data.

Payment processing for application fees can also be integrated so applicants are redirected to approved payment gateways, with transactions flowing directly into the utility’s financial systems. All integrations can be implemented through APIs or file-based mechanisms, depending on utility requirements and security constraints.

Step 7: Proactively manage Service Level Agreements (SLAs) and exceptions

To keep applications moving, utilities configure service-level expectations within the workflow. If an application remains in a given status beyond a defined timeframe, the platform can highlight it visually, trigger alerts within the system, and send email or SMS notifications to the appropriate staff.

In more advanced scenarios, overdue applications can be automatically rerouted to different queues or escalated for review. This helps program managers identify bottlenecks early and manage workloads proactively rather than reactively.

Step 8: Maintain visibility, auditability, and insight

Throughout the process, utilities have centralized visibility into every application. Program teams can view workflow history, see exactly where each project sits, and understand how it moved through the process. Every interaction - data changes, status updates, document actions - is logged for audit and compliance purposes.

Reporting tools allow analysts and managers to query application data, build dashboards, and track trends such as application volumes, document error rates, and installer performance. Advanced analytics and AI-driven queries can also be used to answer operational questions without manual data extraction.