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Colstrip

PSC to Decide on Treatment of Colstrip Plant

 

Colstrip[October 2008]  The Montana Public Service Commission is wrestling with one of its thorniest issues in recent years—namely, whether to allow NorthWestern Energy to add the Colstrip generating unit it owns to the “rate base” of its Montana electricity business.   Depending on whose testimony you believe, it’s either a great opportunity for Montana to restore its vertically integrated utilities—meaning that the same company owns generation facilities and transmission systems, as was the case prior to the State’s disastrous 1997 electric utility deregulation law—or it’s a rip-off, saddling consumers with an outdated coal-burning plant.

Add to these diametrically-opposed experts one more fact—that the Colstrip plant will continue to operate and pollute Montana regardless of who buys the electricity it produces—and the complexity of the issue becomes clearer.

 

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