Clean Energy’s Uphill Battle

The legislative session has been a tough one for clean energy, but it is not all bad news.

The Good...

Rooftop Solar Clean Energy: There has been both good news and bad news regarding rooftop An Uphill Battle solar in Montana. Throughout the first half of the session, all eyes were by Conor Ploeger on HB 359 (Rep. Larry Brewster, R-Billings), which would have punished rooftop solar owners. The bill would have overturned the 2019 rate case decision in which the PSC determined that NorthWestern Energy’s Loge, R-Saint Regis) would have dramatically proposal to reduce net metering credits was increased the registration fees for electric not justified. vehicles, but the bill has now been amended to

The bill also would have interfered with increase them by a more modest amount. Finally, the “grandfather” clause that protects 3,000 a bill (HB 606) designed to hinder utilities Montanans who rely on rooftop solar from any across the state from using advanced metering rate changes, and that is where the bill fell apart. to get more accurate results for ratepayers was After numerous Montanans, including many defeated due to a joint effort by environmental MEIC members, reached out to Rep. Brewster groups and utilities across the state. about this potential interference, he realized that the bill would harm the existing contracts. ...and the Bad Minutes before the hearing started, Rep. Brewster asked the House Energy, Telecommunications, and Federal Relations committee to table the bill, and it did. Since that victory, an excellent bill, HB 448 (Rep. Josh Kassmeir, R-Fort Benton) has been making its way steadily through the legislature. The bill aims to increase the total amount — or the cap — of generating capacity that can be installed for rooftop solar for commercial rooftop solar owners. That would allow commercial property owners to reap more of the benefits from solar and allow the state to better pursue solar as a renewable energy option. Renewable Portfolio Standard Montana’s Renewable Portfolio Standard (RPS) came under attack during this session. The RPS requires Montana utilities to purchase at least 15% of their electricity needs from renewable sources. NorthWestern Energy and Montana-Dakota Utilities have expressed their interest in changing or repealing the RPS, and the legislature is listening. First, there is SB 237 (Sen. Doug Kary, R-Billings). This bill aims to remove the community renewable energy projects (CREPs) requirement under the RPS. The CREPs provision ensures that utilities in Montana pursue Victory by Defeats locally-owned resources when meeting their

Bills that aimed to increase taxes on solar requirements under the RPS. NorthWestern (HB 346) and wind (SB 85) were all amended has continuously argued that the CREPs or died in committee. HB 188 (Rep. Denley requirement is not feasible and has therefore

used it as an excuse not to meet its requirements under the RPS. But the courts have disagreed, ruling that NorthWestern’s shareholders must pay low-income and tribal community energy assistance programs $2.5 million because of the company’s failure to meet this requirement. However, that requirement could disappear if SB 237 passes.

Two other bills take aim at the RPS. HB 475 (Rep Derek Skees, R-Kalispell) would functionally repeal the RPS by modifying the language so that it covers energy from old hydroelectric dams and nuclear energy instead of its intended role. HB 576 (Rep. Jerry Schillinger, R-Circle) repeals the RPS altogether. Both of these bills would send Montana down the wrong path. Montana, like other states throughout the West, should expand the RPS, not repeal it. Local Governments

Recent efforts by Montana’s cities have also come under attack. SB 257 (Sen. Jason Small, R-Busby) could make it more difficult for local governments to pass regulations designed to address the climate crisis. This bill could prohibit local governments from enacting regulations aimed to reduce energy consumption in their jurisdictions through changing transportation plans, design standards, noise limitations, development patterns, etc.

More Barriers for Renewables and Storage

The legislature is considering several bills that could further impede renewable energy projects. SB 201 (Sen. Steve Fitzpatrick, R-Great Falls) sponsored a bill that could make it easier for NorthWestern Energy to avoid having to purchase electricity from wind, storage, and solar developers. Until now, NorthWestern had to consider the avoided costs it would have to pay for future regulation of carbon dioxide, but this bill tries to prohibit consideration of these costs. In other words, this bill could allow NorthWestern to ignore important benefits associated with clean energy when considering the costs of electricity moving forward.

Another barrier is presented in SB 334 (Sen. Brad Molnar, R-Laurel), which would change the cost calculations for transmission systems. These changes would make it easier for utilities, such as NorthWestern, to obtain electricity from gas plants rather than renewable resources.

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Left: A Montana wind farm.

Opposite: A solar panel.