Montana-Dakota Utilities filing federal complaint over excessive congestion charges - KFYR
Montana-Dakota Utilities filing federal complaint over excessive congestion charges
BISMARCK, N.D. (KFYR) - Montana-Dakota Utilities filed a complaint with the Federal Energy Regulatory Commission over claims of excessive congestion charges.
In an affidavit filed last month, MDU argues it has been overcharged approximately $18 million by the Southwest Power Pool and the Midcontinent Independent System Operator due to unjust and unreasonable coordination practices involving a transmission line between Watford City and Grassy Butte.
The report states usage from the Atlas Power Data Center near Williston has created constraints on the line since April 2023 and that MDU has had to pay both the SPP and MISO for charges on the one line.
While the SPP operates the line, MISO pays the SPP to share it. MDU argues this resulted in duplicative congestion charges.
“As a result of the market-to-market coordination of the Charlie Creek to Watford City Live initiated and insisted upon by SPP, MDU is essentially paying twice for the same congestion,” the affidavit states.
MDU says these charges have also led to increases in its customer’s utility bills.
MDU is seeking a refund from MISO and SPP for the duplicative payments and requesting the commission to stop the market-to-market coordination of the line.
SPP responded by asking the commission to deny the request, arguing there is no basis for a refund.
The commission has not yet responded to the complaint.
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