Montana Code Annotated 2017

TITLE 69. PUBLIC UTILITIES AND CARRIERS

CHAPTER 8. ELECTRIC UTILITY INDUSTRY GENERATION REINTEGRATION

Part 4. Public Utilities, Cooperative Utilities, and Electricity Suppliers

Electricity Supply Resource Planning And Procurement -- Duties Of Public Utility -- Objectives -- Commission Rules

69-8-419. Electricity supply resource planning and procurement -- duties of public utility -- objectives -- commission rules. (1) The public utility shall:

(a) plan for future electricity supply resource needs;

(b) manage a portfolio of electricity supply resources; and

(c) procure new electricity supply resources when needed.

(2) The public utility shall pursue the following objectives in fulfilling its duties pursuant to subsection (1):

(a) provide adequate and reliable electricity supply service at the lowest long-term total cost;

(b) conduct an efficient electricity supply resource planning and procurement process that evaluates the full range of cost-effective electricity supply and demand-side management options;

(c) identify and cost-effectively manage and mitigate risks related to its obligation to provide electricity supply service;

(d) use open, fair, and competitive procurement processes whenever possible; and

(e) provide electricity supply service and related services at just and reasonable rates.

(3) By March 31, 2008, the commission shall adopt rules that guide the electricity supply resource planning and procurement processes used by the public utility and facilitate the achievement of the objectives in subsection (2) by the public utility. The rules must establish:

(a) goals, objectives, and guidelines that are consistent with the objectives in subsection (2) for:

(i) planning for future electricity supply resource needs;

(ii) managing the portfolio of electricity supply resources; and

(iii) procuring new electricity supply resources;

(b) standards for the evaluation by the commission of the reasonableness of a power purchase agreement proposed by the public utility; and

(c) minimum filing requirements for an application by the public utility for approval of an electricity supply resource.

History: En. Sec. 1, Ch. 509, L. 2003; amd. Sec. 13, Ch. 491, L. 2007; amd. Sec. 93, Ch. 2, L. 2009.