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Data Centers Part of Rationale to Investors for Power Merger, Record Shows

Opponents say the $15.4 billion deal could shift control to Black Hills and raise concerns about data center-driven demand.

  • On Tuesday, the Montana Public Service Commission began a four-day hearing on the $15.4 billion merger between NorthWestern Energy and Black Hills Energy, tasked with determining if the deal serves the public interest and benefits customers.
  • NorthWestern officials argue the merger provides reliable energy and infrastructure investment, yet 350 Montana co-chair Jim Parker warned the deal prioritizes data center development over residential ratepayer interests.
  • During the hearing, NorthWestern CEO Brian Bird confirmed "large load customers" remain a growth opportunity, while filings show top five executives could receive nearly $30 million in combined payouts if the merger closes.
  • Federal Judge Donald Molloy issued a temporary restraining order allowing Commissioner Brad Molnar to participate in person, while Commissioner Randy Pinocci expressed doubt the merger would improve utility performance.
  • Hearings conclude Friday, with the Montana Public Service Commission expected to delay final decisions until a work session later this year, as companies aim to close the merger in the second part of 2026.
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KBZK broke the news on Tuesday, May 12, 2026.
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