This paper identifies six key issues in utility integrated resource planning that are
expected to influence a plan's societal value and discusses the first fOUf, which are
related to the planningprocess. They are: (1) the relative emphasis placed on supply...
and demand-side resources throughout the planning process; (2) the breadth of
inputs considered during plan preparation from various in-house departments and
non-utility interests; (3) the criteria used to select options for resource plans; and
(4) the uncertainty analyses used and their application to the resource selection
process.

A number of opportunities exist for utilities and their regulators to improve the
planning process in order to increase the value of the resource plans that are
produced. Specifically, utilities and/or their state regulatory agencies can: (1) conduct
comprehensive assessments of demand-side management (DSM) resources, avoid
unduly restrictive screening methods, and expand data collection efforts concerning
current energywouse patterns and existing DSM program performance; (2) increase the
involvement of regulators and other interested non-utility parties in the resource
planning process through mechanisms such as public meetings and the establishment
of technical advisory boards; (3) when evaluating the cost-effectiveness of potential
demand-side resources, use the Total Resource Cost Test or Societal Test instead. of
the more restrictive Ratepayer Impact Test, consider the environmental effects of the
resources considered, and examine the effects of the entire mix of resource selection
criteria used; and (4) focus uncertainty analysis on key uncertainties over the shortw
term time horizon and make sure that the results of this analysis are used in resource
selection.