State of Montana Proposed Rule Pertaining to Default Electricity Supply Procurement Guidelines
The State of Montana’s proposed rules pertaining to resource planning and procurement provide a model for other jurisdictions. These guidelines provide policy guidance to default supply utilities (DSU) on long-term default electric supply resource planning and procurement. The guidelines do not impose on DSUs specific resource procurement processes nor mandate particular resource acquisitions. Instead, the guidelines describe a process framework for considering resource needs and suggest optimal ways of meeting those needs. Electric default supply resource decisions affect the public interest. A DSU can better serve the public interest if it involves the public in the portfolio planning process. The DSU must ultimately make electric resource acquisition decisions based on economics, reliability, management expertise and sound judgment, although management should consider these guidelines and public input.