High interest in data center discussion at Montana PSC
NorthWestern Energy has proposed new electricity tariffs for data centers in Montana, prompting a high level of interest and intervention requests from various groups, including state government and the City of Missoula. Concerns are primarily focused on the potential for increased energy costs for existing customers and the transparency of data center development projects.
NorthWestern Energy has submitted a proposal to the Montana Public Service Commission (PSC) to establish new terms and tariffs for data centers operating within the state. This initiative has garnered significant attention, leading numerous parties to file petitions to intervene in the case, reflecting broad concerns about the substantial energy demands of data centers.
Governor Greg Gianforte, representing the Department of Environmental Quality, has announced the state's intention to participate in the proceedings. His objective is to ensure that Montana can attract high-paying jobs through data center development while simultaneously protecting families from having to subsidize these facilities' energy consumption. Other groups expressing concerns include senior citizens worried about fixed incomes, industrial customers seeking fair costs, and the Butte Watchdogs for Social and Environmental Justice, who have highlighted a lack of transparency due to extensive redactions in project documents.
Moreover, the City of Missoula has formally requested to join the case, emphasizing Montana's already high household energy burden and seeking assurances that data centers will not hinder local affordability. While NorthWestern Energy maintains its proposal protects existing customers, a conservation watchdog group argues that the plan grants the utility too much control over data centers, potentially reducing regulatory oversight. The PSC's role is to ensure that service to data centers does not adversely affect other customers in the long term, though a date for a hearing on the new tariff proposal has not yet been set.