The Grid Crisis: Why Most States Fail

IREC’s 2026 Freeing the Grid report reveals a nationwide failure in interconnection rules, leaving New Mexico as the sole state to earn top marks

22 May 2026

Most US states are failing a national test on grid connection rules. The 2026 Freeing the Grid report, released May 19 by the Interstate Renewable Energy Council, offers a sharp reality check for regulators. The timing could not be more critical as the race to modernize the power grid intensifies.

Produced with Vote Solar, the report grades every state across ten criteria including cost transparency and process speed. Only New Mexico earned an A grade. Eight states, including California and New York, received a B, but over 80 percent of the country scored a C or lower. Thirteen states, including Georgia and Tennessee, have no statewide rules at all.

Also, the progress is possible when political will aligns with policy goals. Oregon and New Jersey both jumped from a D to a B since the last report in 2023, proving that rapid reform is achievable. Maine and Wisconsin also advanced, while Minnesota and Connecticut made partial improvements.

Momentum matters because the pressure on grid operators is reaching a breaking point. Regulators face the dual challenge of containing electricity rate hikes while accelerating new power generation. Distributed solar and storage are fast, cost-effective options, but they only work if projects can connect to the grid without years of bureaucratic delay.

A quarter of US states still operate without unified standards. This regulatory vacuum stalls clean energy adoption and hurts consumers. Fortunately, the report provides actionable recommendations for every state. For governors and utility commissions willing to act, the map for reform is already drawn.