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Energy-Efficiency Funds and Demand Response Programs, Montana

Updated July 2007

What public-purpose-funded energy efficiency programs are available in my state?

Montana's electricity restructuring law mandated the creation of a universal system benefit charge for the funding of energy efficiency, renewables, and low-income energy assistance programs. About $9 million is available annually for energy efficiency programs, which are administered by the utilities.

NorthWestern Energy offers a variety of energy efficiency services:

  • The E+ Business Partners Program provides funding for energy conservation and load management projects in both new and retrofit applications. NorthWestern Energy solicits proposals for this program from customers, architects, engineers and other energy efficiency trade allies.
  • The E+ Energy Appraisal For Businesses program provides free energy audits to identify energy efficiency opportunities for customers with peak demand of 300 kW or less.
  • The E+ Commercial Lighting Rebate Program provides rebates for installing energy-efficient lighting.

Flathead Electric Co-op offers rebates for energy-efficient lighting, as well as air- and ground-source heat pumps, washing machines and water heaters.

Smaller cooperatives in Montana such as Lower Yellowstone Cooperative, McCone Electric Cooperative, Southeast Electric Cooperative, and others offer various rebates to their customers for installing energy-efficient equipment.

The Pacific Northwest's investor- and publicly-owned utilities and public representatives, have banded together to offer energy efficiency market transformation initiatives under the auspices of the Northwest Energy Efficiency Alliance (NEEA), a non-profit corporation. Federal customers should be aware of NEEA initiatives that could impact their facilities, such as commissioning of public buildings, building operator certification, efficient building practices, Lighting Design Lab, Northwest Energy Education Institute, Compressed Air Challenge, and Motor Drive Power.

What utility energy efficiency programs are available to me?

The Bonneville Power Administration (BPA) offers energy efficiency retrofits to federal agencies under its Federal Conservation Acquisition Program. In 2006, program funding was renewed through September 2009. Under this program, BPA identifies and implements energy-saving measures at federal facilities. Federal facilities located in "load following areas"—areas that are served 100% with BPA power—receive all design, engineering support services and contracting free of charge, as well as financial incentives. In addition a financing service is available to help federal agencies meet cost sharing requirements. Projects at sites served by utilities procuring only a portion of their power from BPA may still take advantage of BPA's services but must reimburse BPA for its costs. Interested federal agencies can contact Frank Brown (206-220-6774) for more information.

What load management/demand response options are available to me?

Funding for load management projects may be available through NorthWestern Energy's Business Partners Program, described above.

BPA offers the Demand Exchange Program, an internet-based, load reduction bidding program. Participants are alerted to hourly, one-day, and two-day price signals associated with peak load events and are able to post their willingness to participate at a price. While eligibility is limited to participants able to curtail and/or generate at least 1 MW, BPA assists customers with smaller loads to aggregate with other, similarly situated customers to meet this criterion.

What distributed energy resource options are available to me?

The Database of State Incentives for Renewable Energy (DSIRE) website provides information on programs in Montana that offer incentives for renewable distributed generation. The following programs may of interest to federal customers:

  • Using revenues generated from the sales of Green Tags, the Bonneville Environmental Foundation, a not-for-profit organization, accepts proposals for funding for renewable energy projects located in the Pacific Northwest. Any facility located in the Pacific Northwest (including Montana) may participate.
  • The state government also runs several programs that provide rebate and tax incentives for renewable energy, including biomass/biofuels, solar, geothermal, and wind energy. Visit the Montana Department of Environmental Quality for information.
  • Funding for solar, wind or geothermal projects may be available from NorthWestern Energy through the E+ Renewable Energy Program. However, these programs primarily target residential customers.

Are there energy efficiency programs sponsored by the state government?

Montana's state government does not currently offer any energy efficiency programs to federal customers. For information on potential future opportunities, contact the Planning, Prevention, and Assistance Division of the Department of Environmental Quality.

What additional opportunities are available to me?

Federal customers whose utilities have area-wide contracts with GSA and, by extension, all other federal agencies (e.g., NorthWestern Energy and Montana-Dakota Utilities), may take advantage of additional energy efficiency opportunities. Federal facilities should contact their account executive to determine the level of participation by their local utility.