ABSTRACT
This chapter presents hypothetical utility system and a reliability analysis the utility system to see when it needs new resources and what the magnitude of the future resource need is. It discusses resource planning concepts by determining that the hypothetical utility system has a resource need 5 years in the future. There are two basic types of resource options that the utility could add to meet a need for future resources: Supply options and DSM options. The fact that there is a difference in the amount of new resources needed depending on the type of resource option that is selected, new Supply or new DSM, is a basic concept of utility resource planning. DSM’s potential impact on either system fuel usage or system air emissions will be less than it would have been if the same amount of DSM were added to the utility system as would be added with Supply options.
