Montana PSC Faces Lawsuit Over Climate Change Obligations in Utility Decisions

Missoula, MT — Seventeen groups, including healthcare and climate advocates, sued the Montana PSC for ignoring its duty to consider climate change in utility regulation.
Colorado and Xcel’s Comanche 2 Petition Throws Impacted Pueblo Community Under the Bus

Montana Public Service Commission Faces Lawsuit Over Climate Duty

In a significant legal move, 17 diverse organizations, including healthcare providers and clean energy advocates, have taken action against the Montana Public Service Commission (PSC). These groups are challenging the PSC’s decision to dismiss a 2024 petition that sought recognition of its responsibility to factor climate change into its regulation of the state’s gas and electric utilities (lawsuit details).

Despite the Montana courts affirming the state’s obligation to consider climate change in policy decisions, the PSC has not adhered to this directive. In refusing to acknowledge its constitutional duties, the PSC has continued to approve projects like NorthWestern Energy’s Yellowstone County Generating Station, a costly 175-megawatt methane gas plant, consequently exposing ratepayers to climate-related financial burdens.

Patricia M. Notario, MD, FAAP, president of the Montana Chapter for the American Academy of Pediatrics, voiced concerns about the tangible impacts of climate change on children in Montana. “Montana children are growing up with climate-related disasters that are no longer distant or abstract,” she stated. “As pediatricians, we have a responsibility to prepare our patients and communities for these threats and to advocate for a healthier environment for every Montana child.”

Amy Cilimburg, executive director of Climate Smart Missoula, emphasized the financial and environmental stakes for Montanans. “When the PSC fails to consider climate change in its decisions, Montanans bear the high costs and risks that come with fossil-fuel electricity, as well as the unaffordable and unconstitutional effects of a changing climate,” she said.

Alice Boyer, executive director with Forward Montana, highlighted the long-term impact on younger generations. “Young Montanans deserve a future where we can build our lives, raise families and continue to enjoy the places that make Montana home,” she said, stressing the need for the PSC to account for environmental impacts in its decisions.

Sarah Lundquist of Families for a Livable Climate noted the critical role of the PSC in shaping Montana’s energy future, stating, “The Public Service Commission has enormous influence over Montana’s energy future, and we must ensure climate change is at the center of its decisions.”

Echoing these sentiments, Gayle Joslin from the Helena Hunters and Anglers Association remarked on the broader environmental implications, “Montana’s landscapes, wildlife, rivers, and fisheries are all being affected by climate change. The Montana Public Service Commission has a constitutional duty to seek remedies that protect and improve our environment.”

Nick Fitzmaurice, energy transition engineer for Montana Environmental Information Center, pointed out the PSC’s critical role in greenhouse gas regulation, stating, “Our Constitution is clear, and the Held v. State of Montana Supreme Court ruling reaffirmed that the state and each person must maintain and improve a clean and healthful environment, which includes a right to a stable climate.”

Derek Goldman from the NW Energy Coalition called on the PSC to fulfill its legal obligations, stating, “With each passing year, the effects of greenhouse gas pollution on Montana and the region become more severe. It’s time for the commission to honor its legal obligation and nudge Montana’s utilities towards cleaner, cheaper renewable energy resources.”

Earthjustice and the Western Environmental Law Center are representing the coalition of organizations, which includes Climate Smart Missoula, Citizens for Clean Energy, and others, in this legal battle.

Understanding the PSC’s Role

The Montana Public Service Commission is tasked with overseeing utility services to ensure they remain affordable and reliable. Comprising five commissioners, the PSC has substantial influence over utility investments, including the approval of fossil-fuel infrastructure projects like the Yellowstone County Generating Station (details on recent approvals).

The youth-led constitutional climate trial, Held v. State of Montana, highlighted Montana’s constitutional right to a clean environment, with the court underscoring the government’s duty to actively protect this right. Despite this, the PSC has not aligned its decision-making process with climate considerations, contrasting with the practices of utility commissions in other states (more on other states’ practices).

Original Story at earthjustice.org