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We propose a multistage multiscale linear stochastic model to optimize electricity generation, storage, and transmission investments over a long planning horizon. The multiscale structure captures ‘large-scale’ uncertainties, such as investment and fuel-cost changes and long-run demand-growth rates, and ‘small-scale’ uncertainties, such as hour-to-hour demand and renewable-availability uncertainty. The model also includes a detailed treatment of operating periods so that the effect of dispatch decisions on long-term investments are captured. The proposed model can be large in size. The progressive hedging algorithm is applied to decompose the model by scenario, greatly reducing computation times. We also derive bounds on the optimal objective-function value, to assess solution quality. We use a case study based on the state of Texas to demonstrate the model and show the benefits of its detailed representation of the operating periods in making investment decisions.