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Strengthening Montana’s energy network through collaboration

Strengthening Montana’s energy network through collaboration

Staff writer

NorthWestern Energy Group, Inc. (Nasdaq: NWE), doing business as NorthWestern Energy, is increasing its efforts to meet Montana’s growing energy needs by joining several high-voltage transmission projects. These initiatives aim to expand Montana’s electric grid, improve energy security and position the state as a regional energy hub, ultimately benefiting customers throughout the region.

A strategic partnership with North Plains Connector

NorthWestern Energy has signed a non-binding memorandum of understanding (MOU) with North Plains Connector LLC, a subsidiary of Grid United, to acquire a 10% interest in the North Plains Connector project. This 3,000-megawatt, 420-mile high-voltage direct current (HVDC) transmission line will connect Bismarck, North Dakota, to Colstrip, Montana. The project, co-developed by Grid United and ALLETE, Inc., is supported by additional ownership agreements with utilities such as Avista, Portland General Electric and Puget Sound Energy.

The North Plains Connector is currently in the permitting phase and is targeting regulatory approvals by 2026. Construction is scheduled to begin in 2028 and operations are scheduled to begin in 2032. Grid United will continue to fund the development until all approvals are received. Then NorthWestern Energy will invest.

Improving regional energy security and connectivity

The North Plains Connector will serve as the first interregional transmission line connecting the Midcontinent Independent System Operator (MISO), Southwest Power Pool (SPP), and Western Electricity Coordinating Council (WECC) energy markets. This bi-directional line will enable efficient electricity transport across regions, taking advantage of different load requirements and weather conditions to effectively address energy shortages.

“NorthWestern Energy’s Colstrip substation is strategically located to serve as a critical terminus for the North Plains Connector and solidify Colstrip’s role as a major energy hub,” said Brian Bird, president and CEO of NorthWestern Energy. “Our shared commitment to addressing local concerns and priorities ensures this project meets Montana’s energy needs.”

Driving innovation through collaboration

NorthWestern Energy’s participation strengthens the consortium’s efforts to strengthen grid stability. Earlier this year, the company helped the Montana Department of Commerce secure a $700 million grant for the U.S. Department of Energy Grid Resilience and Innovation Partnership (GRIP). While the grant is primarily for the North Plains Connector, it also includes funds for potential upgrades to the Colstrip Transmission System, which is jointly owned and operated by NorthWestern Energy.

Michael Skelly, CEO and co-founder of Grid United, expressed optimism about the partnership, stating, “NorthWestern Energy’s expertise and understanding of the region’s energy landscape underscores the importance of the North Plains Connector as a critical solution to a reliable electric grid.”

Beyond the North Plains Connector, NorthWestern Energy has signed a memorandum of understanding with Grid United to explore transmission development along Montana’s southwest corridor. The goal of this initiative is to improve connectivity between Montana and the broader Western energy market, increase grid reliability and enable customers to take advantage of new energy opportunities.

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