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Montana Legislature commissions study of PSC decision


TOM LUTEY
There will be an investigation into the Montana Public Service Commission’s decision not to allow NorthWestern Energy to bill customers $6 million for costs related to a months-long malfunction at Colstrip Power Plant.
The investigation will focus on whether PSC’s decisions about not billing customers for replacement power related to Colstrip shutdowns hurt NorthWestern Energy’s bond rating, as well as how not being billed affected customers.
Most recently, commissioners disallowed customers being billed $6 million for replacement power stemming from 77-days in the summer of 2018 during which Colstrip Units 3 and 4 couldn’t meet mercury air toxics standards because of hazardous air pollutant levels. Commissioners concluded that costs were avoidable had NorthWestern managed the situation differently. The decision was made in the fall of 2020 and it resulted in a customer rebate of more than $9 million, in part because NorthWeste ....

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Montana Senate backs Colstrip coal switch


TOM LUTEY
Coal is back on the menu at the Montana Senate where Republicans voted to make it easier for Colstrip Power Plant to cut ties with neighboring Rosebud Mine, or alter its coal supply.
The mine and power plant are a short walk away from each other, but have been miles apart on coal pricing in recent years. A pivot by Colstrip Power Plant owners to a different coal mine would likely be the end of Rosebud, which sells nearly all of its coal to Colstrip.
“What this does is it allows the plant at Colstrip to buy coal from different sources, and that allows the plant to be run for a cheaper price,” said Sen. Steve Fitzpatrick, Republican from Great Falls. “Right now, they have to get all the coal from the mine at the mouth. What this bill will allow them to do is get coal from other facilities they can bring it on in a train, they can bring it in somewhere else.” ....

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PSC may still pay a price for not billing customers for Colstrip costs


TOM LUTEY
Montana’s utility regulator might still pay a price for not allowing NorthWestern Energy to bill customers for $6 million stemming from a months-long summer malfunction at Colstrip Power Plant.
Tuesday, Republicans voted to take $75,000 from the budget of the Montana Public Service Commission to pay for a study about how the PSC’s decision last fall affected NorthWestern Energy’s bond rating — and whether customers could face costs when the utility’s bond rating suffers. The amendment was offered to House Bill 2, the state’s general spending bill, during a meeting of the Senate Free Conference Committee.
The budget cut is equal to the annual salary of PSC rate analysts, who have been blasted by lawmakers for raising concerns about how customer bills might increase under legislation favoring Colstrip and the state’s largest monopoly utility. Another PSC staff position was eliminated by lawmakers a couple of weeks ....

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