Development and finance
Interconnection: the step that most shapes a project's schedule
A plant that connects to the grid needs CENACE to define the infrastructure it requires, the works to be built and the interconnection contract to be signed. It is the most uncertain step on the calendar, so GIS Power starts it early and manages it as a risk.
The interconnection process
From request to energizationCENACE studies the new plant's effect on the grid and determines the interconnection and reinforcement works required. Once those works are complete and the facilities meet the standards, the transmission or distribution company connects the plant.
When it is not a fit
- If the plant will run islanded from the grid, as isolated self-supply (LSE art. 31): there is no interconnection to process.
- If it will not export surplus and on-site load absorbs all generation: weigh whether interconnection is worth its cost.
- If you need power before interconnection can be ready: the first phase starts with bridge power.
- 01 · Request
Plant data, proposed point of interconnection and capacity.
- 02 · Studies
CENACE defines the specific characteristics of the required infrastructure.
- 03 · Works
Interconnection and reinforcement works, by the developer or through contributions.
- 04 · Interconnection contract
With the transmission or distribution company, as instructed by CENACE.
- 05 · Energization
Testing, commissioning and operation under CENACE's instructions.
Legal framework
What the Electricity Sector Law says
Articles that matter for a projectDuty to interconnect
The transmission and distribution companies must interconnect plants that request it, on terms that are not unduly discriminatory, where technically feasible (art. 48).
CENACE defines the infrastructure
Technical specifications, interconnection and reinforcement works, and the ranking of requests (arts. 48 and 49).
A permit gives no priority
The generation permit is not a ranking criterion and is not required to request the studies (art. 49).
Self-built works
The developer may build the required infrastructure at its own cost, or group with others to do so (arts. 49 and 50).
Upfront guarantees
The CNE authorizes the guarantee deposits and periodic fees required before the plant enters operation (art. 49).
Surplus energy
Selling surplus from grid-connected self-supply requires a valid generation permit and interconnection contract; sales go only to CFE (art. 32).
Electricity Sector Law (LSE), DOF 18-Mar-2025, arts. 31, 32, 48, 49 and 50.
Timing as a risk
How it is managedThe developer does not control the interconnection calendar: it depends on the volume of requests in the region, the studies and the reinforcement works. Lenders know this and review it.
GIS Power manages it in three ways: it files the request during development, in parallel with the other permits; it designs the project to run in phases; and when the load cannot wait, it installs bridge power on site until the permanent interconnection arrives.
An intermittent plant that injects energy must have its own storage backup or pay CFE for it (LSE art. 32). In GIS Power's solar projects, BESS is part of the design from the start.
What a lender asks about interconnection
- The filed request and the results of CENACE's studies.
- The cost and schedule of the interconnection and reinforcement works.
- The interconnection contract, signed or with an expected date.
- A plan if interconnection is delayed.
Frequently asked questions
Who pays for the interconnection works?
The developer can build them at its own cost, make contributions to the transmission or distribution company, or ask for them to be included in grid expansion programs if they support reliability (LSE arts. 49 and 50).
Do I need the generation permit before requesting interconnection?
No. The permit is not required to request the interconnection studies (LSE art. 49).
What if the plant does not connect to the grid?
That is isolated self-supply: all energy is consumed on a private network and there is no interconnection (LSE art. 31).
What is bridge power?
Temporary on-site generation that supplies power while the interconnection or the permanent plant is completed. See bridge power.
Review a project's interconnection
Location, capacity and point of connection: that is where we start.
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