HELENA — The Public Service Commission plans to look at how NorthWestern Energy’s purchase of hydroelectric dams affects the company’s taxes and, therefore, the rates it charges its customers.
The Department of Revenue increased its valuation of NorthWestern Energy to $2.2 billion from $1.6 billion. PSC spokesman Eric Sell says most of that could be attributed to the company’s $900 million purchase of 11 hydroelectric dams just over a year ago.
Commissioner Travis Kavulla made the motion to work with the Department of Revenue and NorthWestern Energy to try and mitigate the impacts on ratepayers.
Sell says state law allows property taxes to be passed along to utility customers.
Last year, NorthWestern said the dams purchase would result in about a $5 per month increase in the average residential electrical bill. The Montana Consumer Counsel estimated an $8 increase.