November 22, 2019 VOM Podcast

The High Cost of Energy on the Open Market

(32 minutes) According to NorthWestern Energy Vice President and Controller Crystal Lail, the cost of energy for the typical residential customer will increase by about $3.09 in your monthly bill. Why?

It has to do with a prolonged record cold spell last year, the related high cost of energy on the open market, and an annual adjustment mechanism called the PCCAM (Power Cost & Credit Adjustment).

Listen to the podcast to hear Lail, and Kevin Markovich, Director of Energy Supply Market Operations, discuss the factors involved in predicting power needs and learn more about future challenges facing providers, such as the threat of base load losses with the closure of Colstrip generating units 1 and 2 and the inherent instability of wind and solar generation.