Sec. 16a-3a. Comprehensive plan for energy resource procurement.
Sec. 16a-3a. Comprehensive plan for energy resource procurement. (a) The
electric distribution companies, in consultation with the Connecticut Energy Advisory
Board, established pursuant to section 16a-3, shall review the state's energy and capacity
resource assessment and develop a comprehensive plan for the procurement of energy
resources, including, but not limited to, conventional and renewable generating facilities, energy efficiency, load management, demand response, combined heat and power
facilities, distributed generation and other emerging energy technologies to meet the
projected requirements of their customers in a manner that minimizes the cost of such
resources to customers over time and maximizes consumer benefits consistent with the
state's environmental goals and standards.
(b) On or before January 1, 2008, and annually thereafter, the companies shall submit to the Connecticut Energy Advisory Board an assessment of (1) the energy and
capacity requirements of customers for the next three, five and ten years, (2) the manner
of how best to eliminate growth in electric demand, (3) how best to level electric demand
in the state by reducing peak demand and shifting demand to off-peak periods, (4) the
impact of current and projected environmental standards, including, but not limited to,
those related to greenhouse gas emissions and the federal Clean Air Act goals and how
different resources could help achieve those standards and goals, (5) energy security
and economic risks associated with potential energy resources, and (6) the estimated
lifetime cost and availability of potential energy resources.
(c) Resource needs shall first be met through all available energy efficiency and
demand reduction resources that are cost-effective, reliable and feasible. The projected
customer cost impact of any demand-side resources considered pursuant to this subsection shall be reviewed on an equitable bases with nondemand-side resources. The procurement plan shall specify (1) the total amount of energy and capacity resources needed
to meet the requirements of all customers, (2) the extent to which demand-side measures,
including efficiency, conservation, demand response and load management can cost-effectively meet these needs, (3) needs for generating capacity and transmission and
distribution improvements, (4) how the development of such resources will reduce and
stabilize the costs of electricity to consumers, and (5) the manner in which each of
the proposed resources should be procured, including the optimal contract periods for
various resources.
(d) The procurement plan shall consider: (1) Approaches to maximizing the impact
of demand-side measures; (2) the extent to which generation needs can be met by renewable and combined heat and power facilities; (3) the optimization of the use of generation
sites and generation portfolio existing within the state; (4) fuel types, diversity, availability, firmness of supply and security and environmental impacts thereof, including impacts on meeting the state's greenhouse gas emission goals; (5) reliability, peak load and
energy forecasts, system contingencies and existing resource availabilities; (6) import
limitations and the appropriate reliance on such imports; and (7) the impact of the procurement plan on the costs of electric customers.
(e) The board, in consultation with the regional independent system operator, shall
review and approve or review, modify and approve the proposed procurement plan as
submitted not later than one hundred twenty days after receipt. For calendar years 2009
and thereafter, the board shall conduct such review not later than sixty days after receipt.
For the purpose of reviewing the plan, the Commissioners of Transportation and Agriculture and the chairperson of the Public Utilities Control Authority, or their respective
designees, shall not participate as members of the board. The electric distribution companies shall provide any additional information requested by the board that is relevant to
the consideration of the procurement plan. In the course of conducting such review, the
board shall conduct a public hearing, may retain the services of a third-party entity
with experience in the area of energy procurement and may consult with the regional
independent system operator. The board shall submit the reviewed procurement plan,
together with a statement of any unresolved issues, to the Department of Public Utility
Control. The department shall consider the procurement plan in an uncontested proceeding and shall conduct a hearing and provide an opportunity for interested parties to
submit comments regarding the procurement plan. Not later than one hundred twenty
days after submission of the procurement plan, the department shall approve, or modify
and approve, the procurement plan. For calendar years 2009 and thereafter, the department shall approve, or modify and approve, said procurement plan not later than sixty
days after submission.
(f) On or before September 30, 2009, and every two years thereafter, the Department
of Public Utility Control shall report to the joint standing committees of the General
Assembly having cognizance of matters relating to energy and the environment regarding goals established and progress toward implementation of the procurement plan established pursuant to this section, as well as any recommendations for the process.
(g) All electric distribution companies' costs associated with the development of the
resource assessment and the development of the procurement plan shall be recoverable
through the systems benefits charge.
(P.A. 07-242, S. 51.)
History: P.A. 07-242 effective June 4, 2007.