How to take into account demand side management program in electricity planning in order to achieve minimum cost both economically and socially is one of the most popular topics of energy research around the world. In this study, based on the status of China's electricity industry planning and demand-side management, a method of distribution network planning consider demand-side resource is proposed. We use cost and reliability as two main factors in this method, and analyze the existing and proposed distribution resources as well as demand-side resources in effect, calculates the overall costs and reliability of each distribution network construction program on a yearly basis. The result can be used to choose the optimal program and its time of implementation, and also to compare with the planning program with no consideration of demand-side resources from various aspects such as investment, reliability and emission reduction. We implement this method for a typical distribution network in China's developed area using actual data, results show that as demand-side resource being considered, the overall cost of the planning program in a certain area is reduced apparently, and the reliability level of each year is improved, meanwhile, when to implement (time of distribution resource construction) is an important factor which impacts both overall cost and reliability.
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