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Planning Division

The Planning Division develops and revises the states plans for energy and telecommunications, analyzes utility proposals for the purchase of energy resources and the building of facilities and transmisison lines, reviews proposed utility special contracts and integrated resource plans, and supports litigation with technical support and expert witness testimony.

Statewide Plans

Planning Division is responsible for directing the review of the state’s uses and projected needs for several types of service that are considered essential to the “public good,” specifically the state’s electric and telecommunications industries. For electricity and telecommunications services, the Planning Division gathers data on past usage and assesses current market conditions, emerging technologies, key indicators of the state’s anticipated economic and demographic conditions. In its preparation of these plans, the Planning Division uses several advanced computer simulation models. For economic forecasts, the REMI model is used, and a system dynamic model of the energy sector are used to forecast total energy use. These plans also set out goals and objectives reflecting prior plans, Board Orders, and state statutes, a survey of the current situation, and a set of statewide policies, guidelines, and recommendations to guide future decision making.

Specific planning documents required by statute include the:

• Vermont Electric Plan
• Vermont Comprehensive Energy Plan
• Vermont Telecommunications Plan

Review of Gas and Electric Purchases, Investments, Sales, and Facilities Proposals

The Planning Division also analyses and reviews utility proposal to purchase natural gas, electric capacity, or energy from outside the state (if the contract amount was greater than 1% of the utility’s load and the contract period exceeds five years) in accordance with 30 V.S.A.§248. This statute also requires prior approval of any site preparations or investments in natural gas and electric facilities or transmission lines. The Department’s assessment of these utility proposals, along with input from other designated parties and the public, is taken into consideration as the Board determines whether the proposed action will promote the general good of the state. If the Board approves the proposed contract or investment, a certificate of public good (CPG) is issued, allowing the proposal to proceed. Utilities notify the Department when seeking PSB authority to make investments, issue debt, construct a generation or transmission facility, or make certain purchases of electricity so that the Department can determine whether the proposed action is consistent with the Vermont Electric Plan (30 V.S.A.§202(f)).

Special Contracts

Planning coordinates with the Economics Division in the review of special contracts. 30 V.S.A. §229 establishes that no electric, gas, or telephone company may enter a contract or render any special service that is not covered in a current PSB approved rate schedule, without prior approval of the PSB.

Review of Utility Integrated Resource Plans.

The state’s electric and gas utilities prepare Integrated Resource Plans (IRPs), in accordance with the Vermont Electric Plan, Board Orders, and 30 V.S.A. §218c. These IRP’s are reviewed by the Planning, Engineering and Energy Efficiency Divisions. Least cost integrated planning for energy utilities was made a statutory requirement in 1992 (30 V.S.A.§218b and c). Each of Vermont's regulated electric utilities and the state's natural gas utility must submit for DPS review and PSB approval an IRP that documents the utility's long- term planning and analysis. A key component of each IRP is the utility's planned portfolio of supply resources, demand side management (DSM), and transmission and distribution improvements that will enable the company to serve its customers at the lowest societal cost over the next 20 years.

Litigation Support and Other Activities

The Planning Division also provides litigation support, technical support and expert testimony for a wide variety of other Department activities such as cost studies, calculation of avoided cost rates, economic and policy analyses for major rate cases, forecasts, cases at the FERC and courts, the unpriced external costs of energy services, special studies, and surveys. Information and technical support on issues related to DPS responsibilities are also provided to other state agencies, such as the Agency of Natural Resources, the Economic Progress Council, Department of Finance and Management, Department of Taxes, Environmental Board and the Vermont Legislature. Internally the Planning Division lends technical and analytical support to CAPI and other divisions, and collaborates with the Engineering Division in development and implementation of the Vermont Yankee Emergency Response Plan.

Contact the Planning Division Staff

DPS Staff directory