Montana Gas Conservation

The Montana Public Service Commission has decided, for now, to allow Montana-Dakota Utilities Company (MDU) to continue its natural gas conservation programs, inclusive of the provision of energy audits and incentives for programmable thermostats, efficient boilers, and furnaces. 

The commission found that the utility's natural gas-based conservation offerings have saved consumers more money than they have cost, as determined under various cost/benefit tests. Nevertheless, the commission did cast some doubt on the future of such programs, by noting that circumstances have changed since it had first encouraged MDU to increase its spending on energy efficiency. 

In particular, the commission pointed to current energy markets that are characterized by abundant natural gas supplies and consequent low prices. Thus, the commission said, it intends to explore whether the programs should be maintained and if so, whether there are parameters in terms of a payback period and a particular benefits test that should be applied. The commission added that it also expects to look into whether MDU's programs should be restricted to certain consumers, such as those of limited financial means who qualify for low-income assistance. (Docket No. D2017.1.7, Order No. 7559)