Utility Planning

Planning for the future

A core responsibility of the PUC is regulating how Minnesotans get their power. This process begins when a utility files a new resource or distribution plan. These plans are forward-looking planning documents that focus on the utility’s forecast of how much energy customers will need in the future. Plans then analyze how energy conservation, fuel purchases, power generation, and infrastructure to get energy to customers’ homes or businesses, could meet those energy needs. In other words, it is a whole system view.

The plans can then inform each other, and other utility proceedings, like rate cases. Many customer programs, however, like energy efficiency programs, utility rates, and utility rates, natural gas innovation, and solar programs are decided through other processes.

To keep up with new technology, changing fuels and power sources, and evolving laws, the Commission reviews utilities’ updated plans regularly to ensure there is safe, reliable, and affordable utility services.

The Commission’s public process gives stakeholders a chance to review utilities’ plans. The public process helps ensure decisions are built on significant feedback and analysis from citizens, utilities, state agencies, clean energy organizations, labor unions, consumer advocates, and more.

In Minnesota, utilities engage in multiple types of planning processes. These include:

Integrated Resource Planning (IRP)
Gas Integrated Resource Planning
Integrated Distribution Planning (IDP)
Transmission Planning

Planning process graph showing the steps of planning, comment period, reply period and commission decision

Once a utility submits a resource or distribution plan, here’s what usually happens next:

The Commission files a Notice in its eDocket system which announces the opening of an initial comment period. During the comment period any person or organization can explain how the plan will or will not provide safe, reliable, affordable, and sustainable energy.
The Notice also says when the reply comment period will open. This is how stakeholders can respond to one another’s feedback and analysis submitted during the initial comment period.
After reply comments are filed, the Commission makes a decision on the plan during an Agenda Meeting.

How to get involved?

Members of the public, community organizations, local governments, businesses, and more can get involved in PUC proceedings. To get involved, you can:

Look at our web page dedicated to participating in the Commission process:

Check out our “How to Comment” page for tips on providing strong comments

When in doubt, consider getting involved with an organization that you trust and that appears in front of the Commission. They may be able to help you get involved.

Electric IRP
Gas IRP
IDP

Electric Integrated Resource Plan (IRP)

An electric Integrated Resource Plan (also known as IRP) is a blueprint showing how a utility plans to make electricity for their customers for the next 15 years. A resource plan can affect many things, like electricity rates, the communities where power plants are located, when power plants might be built or retired, electric system reliability- the likelihood of power outages and how quickly the lights come back on, and the environment.

When a utility is developing its plan, they first look at state laws about renewable energy resource use, carbon emissions reductions, affordability, and reliability.

With these laws in mind, utilities predict how much energy customers will use in the future. They then use computer models to determine which mix of resources, like wind, solar, gas, and storage, can meet that demand but also follow state laws and keep rates as low as possible. The utility submits its preferred plan to the Commission for approval.

Utilities file these plans about every two years, so there are many chances for you, the PUC, and stakeholders to file comments that can influence a utility’s future. After a comment period, the PUC can approve electric IRPs from investor-owned electric utilities (such as Xcel Energy and Minnesota Power). PUC reviews but does not need to approve IRPs from some municipal and cooperative utilities. Utilities that have a very small presence in Minnesota file “O-IRPs,” meaning “optional IRPs.”
Gas Integrated Resource Plan (IRP)

Gas integrated resource planning (also known as gas IRP) determines the mix of energy resources that best protects ratepayer and public interests; and maintains, safe, reliable, and affordable services, and advances state energy policy moving forward.

The initiative began following the 2021 gas price spike from Winter Storm Uri, which showed a need for more comprehensive planning to protect consumers from gas price spikes.

In February 2024, the Commission established planning requirements for three of Minnesota’s largest natural gas utilities, Xcel Energy, CenterPoint Energy and Minnesota Energy Resources Corporation (MERC).

The next step in the process will be to determine the final information and data that must be submitted as part of a gas integrated plan. From there, gas utilities will begin submitting their gas IRPs every 3 years.

The Commission will approve, modify, or reject plans, and intends to modify requirements and criteria on an iterative basis moving forward.
Integrated Distribution Plan

Integrated Distribution Planning (also known as IDP). The distribution system connects Minnesota’s homes and businesses to the energy supplied by a utility. As technology has

advanced, the distribution system increasingly works in two directions supplying power to customers but also allowing customers to send electricity back to the utility from things like solar panels or battery storage systems. IDP is the process where a utility, the Commission, and stakeholders examine a utility’s plan for how it will maintain and operate its distribution system. IDPs contain details about the utility’s planned distribution system investments, non-wires alternatives, and grid modernization. Investor-owned utilities are required to file Transportation Electrification Plans (TEPs) as part of their IDPs that outline their plans for electric vehicles.

At an Agenda Meeting, the Commission will accept the IDP filing and may require additional information from utilities in future plans. Dakota Electric Association, Minnesota Power, Otter Tail Power, and Xcel Energy submit their IDPs on November 1 of every odd numbered year. Utilities hold stakeholder meetings ahead of filing their plans. Members of the public can participate in these meetings to learn more and provide feedback on utilities’ plans.