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Helping a vertically integrated utility develop a strategy and roadmap to engaging stakeholders in a new regulatory framework that closely aligned integrated resource planning and energy efficiency

Background

A large, vertically integrated utility found itself challenged by the need to comply with new integrated resource planning (IRP) and energy efficiency (EE) legislation and regulatory commission implementation guidance after contention in the prior IRP filing and process, and amidst criticism of EE efforts by energy and environmental advocates. With multiple parties involved and several issues being conflated, the client turned to MCR for help.

Solution

MCR EE and Regulatory staff worked with the client to define an approach to strategy development and execution that was driven by a daylong workshop including client EE, regulatory, forecasting and resource planning staff. A key objective of the workshop was to identify and align around the issues and begin to develop a stakeholder engagement strategy. The workshop revealed many issues, proceedings, and processes to address:

  • IRP law
  • EE law
  • Regulatory commission guidance
  • EE plan
  • IRP/Generation certificate of necessity (CON)
  • Sustainability plan

There were underlying forecasting, modeling, and planning processes that had become contentious with the regulator, statutory parties, and the energy/environmental/eco-justice intervenors, all of whom were critical of various aspects of the interrelated, but largely siloed utility processes. MCR facilitated a deep dive into the issues via a disciplined process that examined the background, parties, client objectives, client positions and the impact on the client for each of several issues. We developed an overarching strategy built around six strategy statements and extended them to include action items and metrics by which to assess success.

Results

As a result of the engagement, the client achieved a depth of understanding and a level of consistent internal awareness beyond what existed previously. The seeds of deeper internal collaboration, alignment and consistent engagement of external stakeholders positioned the company well for its going-forward work on the issues and within the various proceedings and processes.