The State of Utility Planning, 2025 Q3

CIN Admin
CIN Admin
  • Updated
Resource Type Article
Author / Source Jon Rea (RMI)
Publication Date October 2025
Location United States
Initiative Type Policy, Technology, Program
Project Complexity Intermediate
Recommended For Staff, Board

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Estimated reading time: 30+ minutes


Why This Matters for Rural Electric Co-ops

This quarterly IRP tracker provides rural electric cooperative leaders with a current, data-driven picture of where U.S. utility planning stands, which includes rising load projections, stalled decarbonization progress, and delayed fossil fuel retirements. For co-ops navigating G&T contract decisions and their own resource planning, understanding these national trends helps contextualize local pressures around capacity adequacy, renewable tax credit phase-outs, and regulatory uncertainty.

The analysis also highlights that delayed retirements and increased gas reliance, while common default choices, expose utilities to price volatility and long-term stranded asset risk. Co-ops can use this as a benchmarking tool to assess whether their own power supply trajectory aligns with emerging cost and climate expectations.


Key Takeaways

› Quarterly summary of projected electricity demand and emissions drawn from public utility IRPs.
› Utilities updated in Q3 2025 increased projected load by 2.1% and emissions by 5.5%, driven largely by data center and large-load growth, a trend with direct implications for co-ops experiencing similar pressures.
› The phase-out of federal renewable tax credits is now visibly reducing wind and solar capacity plans, making near-term financing and procurement decisions more consequential for co-ops.
› Delayed fossil plant retirements are the most common response to near-term capacity shortfalls, but this approach locks in gas price exposure and slows emissions reductions. Alternatives exist and should be evaluated.
› Improved large-load forecasting and clearer understanding of the distinction between reliability and dispatchability are identified as key planning reforms that could benefit co-ops and G&Ts alike.

Implementation Considerations

  • Cost or Funding Requirements: Co-ops relying on G&T power supply decisions should factor in how national trends toward delayed retirements and increased gas capacity may affect long-term wholesale costs. Advocacy for IRP reform at the G&T level may require staff time and coalition-building.
  • Regulatory or Governance Considerations: Changes to MISO's seasonal accreditation rules and EPA greenhouse gas regulations are actively reshaping capacity decisions. Co-op leaders should ensure their G&T is monitoring and responding to these developments.
  • Staffing or Technology Requirements: Smaller co-ops may lack internal capacity to track IRP trends independently; they will need resources that can serve as efficient proxies. Co-ops with direct planning responsibilities should evaluate whether their forecasting tools adequately account for large-load uncertainty and climate variability.

Notable Examples

  • Santee Cooper (SC): IRP highlights the wide uncertainty range in large load forecasting, a model case for planning under uncertainty.
  • El Paso Electric (NM): Renewable portfolio standards helped maintain accelerated zero-carbon capacity plans despite broader industry headwinds.
  • Cleco Power (LA): Used MISO generator replacement process to repower a retired coal site with clean capacity, which is a potentially replicable strategy.

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Estimated reading time: 30+ minutes

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