Montana court rejects lower compensation rates for small wind and solar generators

Montana District Court Judge Mike Menahan affirmed a 2015 Public Service Commission (PSC) order on Monday denying NorthWestern Energy’s request to decrease the amount paid to small wind and solar projects for electricity.

The affirmation stems from a May ruling that the PSC may maintain existing standard rates for certain wind and solar projects no larger than three megawatts in size. Under the Public Utility Regulatory Policy Act of 1978, companies like NorthWestern Energy must purchase power from qualifying facilities based on the avoided cost to the utility.

The PSC found that NorthWestern Energy had failed to provide adequate information to support its application to decrease the rates paid to small wind and solar projects in May. Menahan said that PSC acted in a reasonable manner and that NorthWestern Energy “calculated proposed rates using a flawed methodology.”

“I am very pleased with the court’s decision as it recognizes that the PSC’s order was
based on our unique knowledge and expertise of the subject at hand, as well as a
thorough and fair analysis of NorthWestern’s proposal,” Menahan said.

Jessica Limardo

Recent Posts

South Carolina legislation will help Duke Energy Progress customers save money

Innovative legislation will help Duke Energy Progress customers in South Carolina save $35 million in repair costs from a series…

3 days ago

Appalachian Power, Wheeling Power file cost recovery submissions for West Virginia

Looking to recover costs associated with increased fuel and vegetation management expenditures, Appalachian Power and Wheeling Power recently submitted new…

3 days ago

Hawaiian Electric launches online siting tool for electric vehicle charging stations

As a way to aid the deployment of electric vehicle charging stations, Hawaiian Electric this week released the online Electric…

3 days ago

AEP issues 2024 corporate sustainability report

American Electric Power (AEP) released its 2024 Corporate Sustainability Report, which documents its sustainable business practices, strategy, performance and impact.…

3 days ago

Louisville Gas and Electric and Kentucky Utilities issue RFP for solar, wind and hydro

Louisville Gas and Electric Company (LG&E) and Kentucky Utilities (KU) issued a Request for Proposals (RFP) for new solar, wind,…

4 days ago

Southern Power brings Wyoming’s first solar facility online

Wyoming gained its first solar facility this week, and Southern Power its 30th, with the beginning of operations at the…

4 days ago

This website uses cookies.