HomeMy WebLinkAbout06-07-19 Correspondence - D. Merrill (with Sierra Club) - Request for Mayoral Letter to NorthWestern EnergyFrom:David Merrill
To:Agenda
Subject:request for mayoral letter to NorthWestern Energy regarding rate case and other concerns
Date:Friday, June 07, 2019 2:11:05 PM
Dear Mayor Andrus,
I have been speaking with some Bozeman citizens about NorthWesternEnergy and their ongoing rate case and resource procurement plan
processes. We have some serious concerns that we hope could be raised in
a mayoral letter directed at NorthWestern Energy CEO Bob Rowe.
I have been in touch with Terry Cunningham and Chris Mehl about these
matters and they both urged me to contact you directly. I have also
spoken with Natalie Meyer.
In the rate case, we have these concerns:
1- NorthWestern Energy has been overcharging Bozeman electricity
ratepayers for over ten years. According to Montana Public ServiceCommission documents, NorthWestern Energy has been charging
electricity customers rates based on valuing its 30% portion of Colstrip
Unit 4 at $407 million despite the fact that the utility only paid $187
million for the asset. (Montana Public Service Commission DocketD2008.6.69). We believe that NorthWestern's share of Colstrip Unit 4
should be revalued to reflect NorthWestern's actual cost for the unit.
2- The cost for clean-up of environmental damage at Costrip will be atleast $700 million, yet NorthWestern Energy has not commited any funds
towards this bill. We would like to see NorthWestern commit clean-up
funds in the same proportion to ownership share that the largest Colstrip
owner, Puget Sound Energy, has.
3- We believe that NorthWestern Energy should commit transition funds
for the Colstrip community and its fossil fuel workers, as some other
Colstrip co-owners have done.
4- Finally, we would like to see regular and timely reports on the status of
Colstrip Unit 4.
In the resource procurement plan process, we have these concerns:
1- A critical lack of planning. There is no indication that NorthWestern is
doing any planning for a post-Colstrip world despite the fact that the plantmay shut down completely by 2025.
2- We want to ensure that Colstrip power is replaced by Montana-
produced renewable energy, like solar and wind power. NorthWestern
should be modeling this outcome.
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We would appreciate the opportunity to meet with you to discuss these issues at your earliest
convenience. I can be reached on my cell at 406-218-8175.
Sincerely,
David
-- David Merrill
Senior Organizing RepresentativeSierra Club
Missoula, MT(406) 549-1142--office