Balancing Cost and Risk: The Treatment of Renewable Energy in Western Utility Resource Plans

Markets for renewable energy have historically been motivated by policy efforts, but a less widely recognized driver is poised to also play a major role in the coming years: utility integrated resource planning. A review of the planning efforts of 12 western utilities reveals that resource plans are becoming increasingly sophisticated in their treatment of renewable resources and the costs and risks that they both entail and mitigate. However, further improvements are possible.