HELENA, Mont. – August 10, 2016 – The Montana Public Service Commission handed a big win to NorthWestern Energy’s Townsend Propane ratepayers Tuesday, with a decision to reduce the price consumers pay for fuel supply to the local propane system. The Commission’s action, which finalizes interim rates approved June 1st, resulted in a 23-percent rate reduction for summer propane supply, and a 12-percent reduction for winter propane supply.
Earlier this year, NorthWestern Energy issued a request for proposal (RFP) for a propane supply contract to supply the Townsend system. AmeriGas submitted the lowest bid, and the
Commission’s action now allows NorthWestern Energy to enter into a contract with AmeriGas until May 31, 2017 to supply propane for the Townsend system.
Commissioner Roger Koopman, R- Bozeman, whose district includes Townsend, made the motion during the August 9th work session for the rate reduction. Speaking to the Commission’s action, Commissioner Koopman said,
“I appreciate NorthWestern Energy’s diligence in actively seeking the lowest possible supply cost for their customers. This is exactly what the commission wants to see utilities do, and in this case, it resulted in a very significant rate reduction for Townsend area consumers.”
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