1. IRP Workshop - CVPS February 12, 2007

2. Power Supply Issues HQ/VY Contracts Terminate 2012-2016 Climate Change and CO2 Emissions Resource Portfolio Factors – Diversity – Renewable – Stable or Predictable Prices – Nuclear vs No Nuclear – Small / In-state vs Large Imports

3. Power Supply Initiatives Act 61 – Efficiency – SPEED – CHP – Public Involvement Process Vermont Generation Feasibility New England Market Changes (FCM) Distributed Utility Planning Renewable Portfolio Standards

4. 2007 CVPS IRP Reiteration of the 2003 Decision Analysis Portfolio risk management Multi-Attribute Trade-off Analysis – Price (NPV and variability) – Resource Attributes ? Size Location CO2 (RGGI) Renewable IRP Analyses Can Inform the Public Involvement Process

5. GMP 2007 IRP Process Follow- up to 2003 Decision Analysis Scenario Evaluation of Six Resource Portfolios Decision Analysis to Refine Scenario Evaluations Stress testing Best Portfolios to support contingency planning Multi-Attributes Trade-off Analysis for Decision Making – Revenue Requirements (NPV and variability) – Other Portfolio Attributes Environmental Impacts Financial Impacts Resource Locations Fossil fuel dependency Resource Plan Flexibility IRP information needs will be used to inform the Public Involvement process

6. Multi-Attribute Demonstration Parameter InputPortfolio Mix Resource Cost- S Cost- U CO 2 CO 2 C& T Aesthe tic Mar ket Mark et / DSM CC / GT / DSM Generat ion Mix Renewa ble / DSM CCGT-NG1.1 1.2 1.25 0.7 GT-Oil1.1 1.5 1.25 0.1 CoalGas1.25 0.9 1.25 0.3 CoalGas-Seq CO21.75 0 1.25 0 Wind-Large1.5 0 5 0.20.4 Wind-Small220 2 0.2 Market Cap112 10.1 Market Energy111 10.90.7 DSM30 0 0.2 PV330 0.5 0.2 11111