NorthWestern Energy made an announcement on Tuesday regarding its acquisition of a 370-megawatt share in the Colstrip coal plant. This acquisition makes the Montana-based utility the largest shareholder in the plant.
NorthWestern Energy will be taking over the share of fellow co-owner Puget Sound Energy at no cost, effective January 1, 2026. This move comes after the utility’s recent acquisition of 222 megawatts from co-owner Avista Corp.
The acquisition will give NorthWestern Energy a 55 percent majority stake in Colstrip, finalizing on January 1, 2026. The previous majority stakeholder, Talen Energy, had originally planned to buy Puget Sound Energy’s stake in 2022, but the deal fell through due to Talen’s bankruptcy declaration.
Colstrip’s co-owners in the Pacific Northwest are looking to transition away from coal due to measures in Washington and Oregon requiring utilities to move towards renewable energy sources. However, NorthWestern Energy argues that Montana needs the reliable baseload power provided by Colstrip to meet growing demand, alongside increasing wind and solar energy on the grid.
Montana leaders have shown support for NorthWestern Energy’s move, with Governor Greg Gianforte praising the acquisition as a step towards securing a strong future for Montana’s energy. He emphasized the importance of an all-of-the-above energy strategy to ensure access to affordable and reliable energy for all Montana consumers.
