Energy

SB 81 authorizes Montana's state board to lease public lands for underground storage of natural gas or liquefied gas (including carbon dioxide and methane), primarily affecting natural gas utilities operating in Montana. Key provisions include requiring lessees to pay for remaining natural gas deposits in the land, limiting bonds to $20,000 per lease, and mandating lease terms to prevent waste or damage to gas deposits. The bill also grants the state board rulemaking authority over these leases and forfeiture procedures for violations. This legislation failed to pass, dying in committee after its third reading failed in March 2025.

HB 939 establishes new regulations for wind turbine generators, primarily affecting developers and property owners involved in wind energy agreements. The bill mandates a 1,500-foot setback for new wind turbines 500 feet or taller from occupied residences, unless the property owner approves a closer distance. It also sets a deicing standard, limiting rotor blade speed to 10% of maximum for certain tall turbines near residences, with a similar provision for property owner approval. Furthermore, it updates the required content for wind energy agreements executed after January 1, 2026.

HB 703 exempts specific state and local agencies in Montana from analyzing greenhouse gas emissions during certain environmental reviews. The bill states that the state department and local building departments are no longer required to analyze greenhouse gas emissions from covered appliances when adopting or enforcing building codes. It also exempts the state department from analyzing greenhouse gas emissions from new motor vehicles, engines, and nonroad vehicles, and emissions originating outside the state's borders. The bill cites federal preemption laws as the basis for these exemptions from environmental review.

House Joint Resolution 17 is a resolution from the Montana Legislature urging the U.S. Congress and President to take actions to promote American energy production. It calls for reforming and streamlining federal permitting obligations and revising environmental regulations that are deemed not to align with national security interests. The resolution specifically recommends that the Environmental Protection Agency immediately review and potentially suspend, revise, or rescind certain power plant regulations issued in May 2024.

HB 120 expands Montana's Commercial Property-Assessed Clean Energy (C-PACE) program to include multifamily housing facilities with at least five residential units. This change directly affects property owners and developers of qualifying multifamily buildings (e.g., apartment complexes), allowing them to finance energy efficiency and renewable energy upgrades through property assessments. The bill amends definitions to explicitly include these residential properties under the program, covering improvements like insulation, solar panels, and energy-efficient appliances. It maintains the existing financing mechanism where costs are repaid through property taxes over time, without requiring new debt or upfront payments from property owners. The law took effect immediately upon the governor's signature on April 7, 2025.