Northwestern Energy says it needs to pay for a new $320 million gas-fired power plant in Laurel. It’s asking the Public Service Commission for permission to pass that cost onto customers.
Commissioners heard the company’s case this week, but it'll be up to them to decide on how much monthly electric bills could increase.
Customers like Great Falls resident Larry Stimac told commissioners any price hike could force people out of their homes.
"I live in a mobile home park, and our rent rates are tripled, and now we gotta pay triple in utility bills. And if you think we have a problem with homelessness now, we’re going to have homeless in the future because most of these people are on fixed incomes."
Customers like Stimac have already seen their bills increase by 39% over the past three years. NorthWestern also recently used an obscure law to increase bills another 17% this year. That’s on top of its request to pay for the Laurel plant.
Jason Brown is with the Montana Consumer Counsel – one of several intervenors in that case.
"Our position is that rate payers should not be a backstop for utilities that make needlessly risky and questionable decisions."
The Laurel plant has been a point of conflict since its inception. It was built without the PSC’s preapproval, then embroiled in several legal challenges.
Brown’s sentiments were echoed by the majority of public commenters.
NorthWestern Energy’s lawyers say the plant is needed to provide reliable power to Montanans, especially during extreme weather. The company has invested close to a billion dollars on electric and gas services in the last few years, and CEO Brian Bird said it’s a balancing act.
"We're doing our part from a sustainability standpoint, but what we need to do as a company is to balance reliability, affordability and sustainability."
It will ultimately be up to the Public Service Commission to decide on the utility’s request.
The rate case hearings are scheduled to run through June 20.
