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Montana's largest utility company has garnered approval from the state's utility board to restructure its multi-state operation.

Last June, NorthWestern Energy asked regulators to separate its operations in Montana from its business in South Dakota and Nebraska, asserting that the restructuring will insulate Montana ratepayers and provide Montana regulators with a more focused look at relevant operations.

The Federal Energy Regulatory Commission and utility regulators in Nebraska and South Dakota signed off on NorthWestern's plans last year. Approval from the Montana Public Service Commiss...