Introduction

This primer addresses utility and regulatory considerations which are relevant to the strategic planning process in the provision of natural gas utility service. Such strategic planning is key to the prudent operations of gas utilities, just as it is for electric utilities. An optimum resource selection process should not be viewed as new to either industry, but rather is already or should have been an integral part of a given company's operations. This primer is not intended to serve as a handbook, but rather as a treatise exploring considerations which are worthy of review by those willing to give the subject of IRP for natural gas fair and objective consideration. One of the very purposes of this project is to compare key similarities and differences between strategic planning processes for electric and gas utilities. While IRP for electric utilities has received more attention, that does not make it more important, particularly to the customers of gas utilities. As background research was in progress, the Energy Policy Act of 1992 (EPACT) was passed which requires state regulatory commissions to consider whether it is appropriate to implement IRP for gas utilities. The EPACT requirements positively affect the timeliness and relevancy of this primer because it provides state commissions and their staffs with information on technical and policy issues they will face in their consideration of gas IRP.