NorthWestern Corporation d/b/a NorthWestern Energy has filed an application with the Montana Public Service Commission to place the company's Battle Creek natural gas assets into rate base.

NorthWestern Energy purchased the proven production field and gathering system in 2010 for $12.4 million as part of an overall strategy to provide rate stability and customer value through the addition of regulated assets that are not subject to market forces. Montana Power owned about fifty percent of the natural gas used by its customers, with the price based on the cost of providing the gas. These gas resources were sold as part of supply deregulation. Since then, the transmission and distribution prices have been set on the regulated cost of providing the service, while the price of gas has been based on short-term market purchases.

Tags: NorthWestern Energy