Senate Bill No. [insert bill number] establishes the "Montana Energy Conservation Efficiency Standards Act," which mandates investor-owned utilities in Montana to implement energy conservation programs aimed at achieving specific energy savings targets. The bill defines "energy conservation investments" and outlines the requirements for utilities to conduct energy conservation assessments, which must be completed by independent entities and updated every two years. Utilities are required to acquire all achievable cost-effective energy conservation and submit plans detailing how they will meet these targets, which cannot be lower than 1% of retail load. The bill also grants the commission authority to adopt rules for evaluating and approving these programs, ensuring transparency and public participation in the process.

Additionally, the bill includes provisions for cost recovery and incentives for utilities that exceed their energy conservation targets. The commission is tasked with allowing timely recovery of costs associated with energy conservation activities and creating performance-based incentives that share the economic benefits of energy conservation between utilities and their customers. The act is designed to enhance grid reliability, reduce electricity costs, and promote sustainable energy practices in Montana, with an immediate effective date upon passage and approval.