Left-Wing Law Firm Represents Environmental Groups Suing Montana Energy Giant

Environmental groups sued Montana’s largest energy provider this week as it seeks to provide energy to three new data centers.

The environmentalists alleged Northwestern Energy has not obtained the proper approval of the Montana Public Service Commission (PSC) needed to supply large electricity loads to customers. The PSC regulates energy companies in Montana.

Plaintiffs in the case are Big Sky 55, Butte Watchdogs for Social and Environmental Justice, Climate Smart Missoula, Golden Triangle Resource Council, Helena Interfaith Climate Advocates, Honor the Earth, Montana Environmental Information Center, Montana Public Interest Research Group and NW Energy Coalition, who are being represented by Earthjustice.

Earthjustice is a left-wing public interest nonprofit law firm. The organization has received money from the Ford Foundation, the Sandler Foundation and other left-wing foundations. Last year, Earthjustice’s legal defense fund donated $178,530 to Democrats and $1 to Republicans.

In the lawsuit, the plaintiffs claimed Northwestern Energy was violating Montana law that says large customers using over 5 megawatts can’t provide electricity to state residents without first obtaining confirmation from the PSC that there will be no negative long-term impact on customers.

Northwestern Energy anticipates supplying around 1,400 megawatts of electricity to Atlas Power Group, Sabey Data Center Properties and Quantica Infrastructure. The Atlas Power Group and Sabey Data Center Properties data centers will be located in Butte, while the Quantica Infrastructure data center will be near Billings.

The plaintiffs alleged Northwestern Energy, by not going through the proper approval process, has prevented public participation, failed to disclose the impacts of grid reliability and generation, and violated the Montana Constitution’s Right of Participation clause.

According to the lawsuit, the plaintiffs are concerned about the impact these data centers will have on Montana’s electricity grid. Northwestern Energy already struggles to meet the state’s peak demand for electricity, the lawsuit states.

The plaintiffs also said they are concerned that Montanans will be forced to subsidize the data centers’ electricity usage. The lawsuit cited the expansion of PJM Interconnection, which provides energy to Virginia, Maryland, Pennsylvania and Ohio.

Plaintiffs cited a study showing that 70 percent of PJM Interconnection customers had their electricity costs increase due to data centers.

Seeking relief, the environmental groups asked the PSC to stop Northwestern Energy from providing electricity to these upcoming data centers unless the commission determines that Montana ratepayers will not experience negative impacts.

On top of this, the plaintiffs seek to have PSC create a separate rate class for data centers and make these companies pay for infrastructure upgrades to the state’s electrical grid.