Source: Missoulian, December 11, 2019

NorthWestern Energy plans to increase its share in Colstrip Unit 4, by buying out another power plant owner….Montana’s largest monopoly utility said in a Tuesday press release that it will buy out Puget Sound Energy for $1…NorthWestern currently has a 30% share in Unit 4, for which its customers owe $300 million. Puget’s share would boost NorthWestern’s share to 55%. In a separate deal, NorthWestern would buy Puget’s capacity on Colstrip’s transmission lines for $2.5 million to $3.7 million.

The utility has the ability to buy Puget’s assets without government approval, but if its customers are to shoulder costs associated with maintenance, operation, taxes and environmental cleanup, the Public Service Commission will have to sign off. NorthWestern said in its press release that it will seek PSC approval early next year…

NorthWestern said in its press release that the maintenance and property tax costs associated with the increased share would be about $15 million a year. Those costs are typically passed on to customers, but for five years, Puget would pay for half. NorthWestern said it plans to sell Puget Sound Energy coal power for another five years…

“Nothing is more important to the people of NorthWestern than safely providing Montanans with the affordable and reliable energy we all need while also protecting our environment,” said NorthWestern Energy President and CEO Bob Rowe in the press release. “We take that dual responsibility seriously, and right now our state faces an urgent capacity shortage — energy that’s available 24 hours a day, 365 days a year, regardless of the weather.”