Path-Q Solar

What risks arise if solar construction starts before grid interconnection approval?

Answer

Starting construction before interconnection approval can leave you with a completed or partly completed system that cannot legally or technically operate in parallel with the grid. Require clear written allocation of this risk before authorizing work.

Key points

  • Approval may impose export limits, equipment changes, protection requirements, or system-size reductions.
  • Construction may need to be paused, modified, or repeated if the approved design differs from the installed design.
  • Payment, financing, warranty, and project-completion obligations may continue even while operation is delayed.

What it depends on

  • Utility interconnection process and approval conditions
  • Contract language and payment schedule
  • Whether equipment can operate without grid export
  • Potential design changes after review

Risks and trade-offs

  • You may face redesign, removal, restocking, or delay costs.
  • The system may not receive permission to operate or may be unable to deliver expected savings.
  • Early construction can reduce your leverage to cancel or renegotiate.

Information you may need

  • Written interconnection status and expected decision milestones
  • Contract conditions for starting construction
  • Who pays if the utility requires changes
  • Whether operation is prohibited until approval

Your next step

What to do next

Ask the installer to identify the approval milestone, construction authorization trigger, and written remedy if approval is denied or materially changes the design.

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