
NorthWestern Energy merger plans linked to data center growth
News ClipBozeman Daily Chronicle·MT·5/9/2026
NorthWestern Energy is seeking approval from the Montana Public Service Commission for a merger with Black Hills Energy, which critics allege is primarily driven by data center expansion. The Montana Environmental Information Center and concerned citizens are urging the PSC to consider the potential impacts on electricity rates, water resources, and local control. The PSC hearing is scheduled for May 12.
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Gov: Montana Public Service Commission, Montana Legislature, county commissions, Montana Governor
The Montana Environmental Information Center (MEIC) executive director, Anne Hedges, alleges that NorthWestern Energy's proposed merger with South Dakota's Black Hills Energy is primarily driven by the expansion of data centers, despite the company's denials. Hedges points to NorthWestern CEO Brian Bird's statements to investors, where he highlighted the merger's role in capturing "data center opportunities" and addressing their energy demands. NorthWestern Energy is requesting the Montana Public Service Commission (PSC) to approve the merger without considering the impact of 14 proposed data center projects previously mentioned to investors, and has refused to answer PSC questions regarding data centers.
Hedges warns that Montana is vulnerable to the negative consequences seen in other states, including increased electricity rates and harm to water resources, due to state legislation that has granted tax breaks to data centers and weakened local control. She argues that the proposed "Bright Horizons Energy Corporation" mega-utility, which would serve eight states, would prioritize data center goals over Montanans' interests.
The MEIC has engaged with communities across the state, finding bipartisan concern over unregulated data centers and utility secrecy. Hedges calls for political action and transparency from NorthWestern Energy before the PSC hearing begins on May 12.