NorthWestern Energy Seeks MPSC Approval to Acquire Spion Kop Wind Project

NorthWestern Energy has submitted an application to Montana Public Service Commission (MPSC) for sanction to buy and operate Central Montana-located Spion Kop Wind Project. The project development is yet to commence.

Earlier in April, NorthWestern had declared its intentions to buy the 40 MW wind power generation project. If the MPSC approves the project, Compass Wind will develop the proposed project, which will be located into utility rates for NorthWestern’s electric retail clients in Montana. The company has planned to utilize the generated power as well as the renewable energy credits achieved from the project to fulfill the renewable energy portfolio requirements set by Montana law makers.

The wind energy project presents a levelized energy cost of $53.78 per MWh for a period of 25 years, which is comparatively lower than the present qualifying facility rate of $69.21/MWh.

If the project did not receive the MPSC approval on or before 1^st April 2012, then the project accord will be ended by either party. If approval is obtained, construction will begin soon and the commercial operation of the project is anticipated to start by 2012 end.