Dec 23 2010
NorthWestern Energy has entered into a Memorandum of Understanding for purchasing a 25 MW wind project in Central Montana region, which would be developed by Compass Wind, a community- based wind energy project developer formed in 2007.
The project is in line with the latest Montana legislation that offers reintegration of the utility. This project known as the Spion Kop Wind Project is to be positioned into the rate base of the Montana Utility using renewable energy credits to satisfy renewable portfolio standards obligations, which may arise in the future.
A definitive agreement would be executed in the first quarter of 2011, after which an application would be submitted for pre-approval with the Montana Public Service Commission. The decision would be expected in 2012 beginning and construction would start by the end of 2012, if a favorable verdict is given.
NorthWestern Energy supplies natural gas and electricity to Northwest and the Upper Midwest regions and have a 661,000 wide list of clients in Nebraska, Montana and South Dakota areas. Compass Wind mainly develops small utility scale wind projects and currently, has several projects in the Mountain States. Its total established pipeline is around 800 MW.