by Matthew Holloway | Apr 27, 2025 | News
By Matthew Holloway |
During the Arizona Corporation Commission’s annual Summer Preparedness Workshop, Chair Kevin Thompson and Vice Chair Nick Myers essentially echoed the talking points of Arizona Public Service Company (APS) and Tucson Electric Power (TEP). Both utility companies implicitly refused to reactivate the Cholla and Springerville Coal-Fired Power Plants in defiance of President Trump’s Executive Order earlier this month. Thompson claimed doing so would “jeopardize the grid and burden ratepayers with millions of dollars in short-sighted costs.”
In early April, President Donald Trump issued an Executive Order (EO) using emergency authority to keep APS’ Cholla Power Plant in operation. In a statement issued with the EO, Trump said, “I am instructing Secretary Wright to save the Cholla coal plant in Arizona, which has been slated for destruction. We’re going to keep those coal miners on the job. We’re going to have that plant opening and burning beautiful, clean coal in a very short period of time.”
According to an emailed release from the ACC, the APS representative at the workshop “stated that the process that culminated in closing the plant began ten years ago because of new regulations from the U.S. Environmental Protection Agency (EPA) making the operation of the plant uneconomic for their customers.” The utility added, per the ACC that “because of the ongoing EPA regulations requiring new equipment for pollution control and significant deferred capital and maintenance investments that would have to be made, the re-opening and continued operation of the Cholla plant would come at a significantly high cost for customers.”
APS reiterated that it intends to preserve the infrastructure of the power plant and offered that it could be used as a potential site for nuclear or natural gas power later, implicitly refusing to bring the coal-fired plant back online.
Similarly, TEP confirmed that it still intends to move forward with the scheduled retirement of Units 1 and 2 at the coal-fired Springerville Generating Station after the summer of 2027 and after the summer of 2032. The utility is also exploring the possibility of repurposing the power station for an alternative fuel source.
Vice Chair Myers commented, “We’re all aware of the detrimental loss of electric capacity with the closure of Arizona coal plants, and in part because of ongoing EPA regulations. It is a day late and a dollar short when it comes to re-opening the Cholla plant. Trying to re-open Cholla at this point would result in significantly higher rates for customers,” repeating the APS talking point.
He added, “The utilities have already been planning for this retirement and replacement costs are already being born by the utility customers. Re-opening Cholla would also require significant capital and maintenance investments that have been deferred. Further, the EPA requirements that made the continued operation of Cholla not cost-effective are still in effect. The damage has already been done. Arizona utilities are prepared for that and already planning to repurpose those plants for future generation, such as nuclear or natural gas-fired power.”
“Bringing the Cholla plant into compliance with Obama era EPA requirements will require the installation of costly scrubbers on the coal-fired units that would cost ratepayers hundreds of millions of dollars,” said Chair Kevin Thompson.
Thompson added a subtle critique of the President’s movement to reactivate the Cholla Generating Station saying, “The Commission must hold utilities accountable and ensure that we have reliable and dispatchable generation to meet the load demands of the future. We also have to make sure we accomplish that goal in a manner that doesn’t jeopardize the grid and burden ratepayers with millions of dollars in short-sighted costs that fail to meaningfully address our long-term energy needs.”
Matthew Holloway is a senior reporter for AZ Free News. Follow him on X for his latest stories, or email tips to Matthew@azfreenews.com.
by Daniel Stefanski | Jan 10, 2025 | News
By Daniel Stefanski |
The Arizona Corporation Commission is now entirely under Republican leadership.
On Monday, Lea Márquez Peterson, Rachel Walden, and Rene Lopez were sworn into office at the Arizona Corporation Commission (ACC), giving Republicans control of all five positions on the state agency. Peterson returned to office, while Walden and Lopez entered this position for the first time.
During the inaugural meeting of the new year, first-term Commissioner Kevin Thompson was voted as chairman of the ACC. Nick Myers became (what appears to be) the first-ever vice chair of the ACC.
In an exclusive comment to AZ Free News, Thompson said, “During our campaign, Commissioner Myers and I often spoke on the trail about our objectives once elected. We expected it to take our full four-year term, but instead we accomplished our goals within the first two years of office.”
Thompson added, “Looking forward to serving as Chairman, I’m confident we will be able to build upon our recent successes with this talented and motivated group of Commissioners. As Chair, my focus is going to be on ensuring our collective efforts are always pushing Arizona forward, making the Commission more efficient and responsive to the public, and never losing sight of our duties to ratepayers and the trust voters have placed in us.”
Peterson posted to her X account about her first day of this new term of office, saying, “I am honored to serving a second term at the Arizona Corporation Commission! Thank you to Chief Justice Timmer for conducting my oath of office. I’m looking forward to serving with Nick Myers, Kevin Thompson, Rachel Walden, and Rene Lopez!
Nick Myers said, “As best we can tell, the Arizona Corporation Commission has never had a Vice-Chairman position. Today we made history… Again. After I nominated Commissioner Kevin Thompson as the new chairman, he nominated me as the very first Vice-Chairman!”
Rachel Walden wrote, “It’s official! Thank you to the Commission staff for organizing today’s swearing in ceremony and agenda. Thank you to my friends and family for attending! And a massive thank you, Arizona! It’s an honor to go to work for you.”
All five commissioners are excited about their upcoming work at the ACC over the next two years – even in a divided state government with a Democrat as Governor and Republicans maintaining control of the Arizona Legislature. In his remarks following his unanimous election as chairman of the ACC, Thompson said, “I want to continue to support this Agency and build upon a culture of success and further ensure the Commission is a place the brightest and best want to work. Where we can all be excited to step foot in this building and be proud of what we do to ensure Arizona remains a great place for our children and grandchildren and businesses for decades to come.”
Daniel Stefanski is a reporter for AZ Free News. You can send him news tips using this link.
by Daniel Stefanski | Nov 18, 2024 | News
By Daniel Stefanski |
Another Arizona governing body has intervened in a critical issue in place of the state’s attorney general.
Last week, the Arizona Corporation Commission (ACC) intervened in a matter at the Federal Energy Regulatory Commission (FERC), protesting BlackRock, Inc.’s Request for Reauthorization and Extension of Blanket Authorizations to own utilities. The Environmental Social Governance (ESG) – related filing was led by a coalition of state attorneys general from around the nation and the ACC.
The coalition requested that FERC decline to approve BlackRock’s application unless the following four conditions are met:
- “The Commission must require that Applicants, including all affiliates and subsidiaries, limit their collective ownership to 20% or less of the shares of each FPA-covered utility.
- “Applicants must function only as passive investors.
- “Applicants must hold the shares subject to their fiduciary duties to their investors, including the duty to act in the sole financial interest of the investors.
- “The Commission should require specific reports by Applicants of every instance when the asset managers voted contrary to the recommendation of utility management on a shareholder proposal or board of director nomination, as well as an explanation of how such votes were consistent with the asset manager’s commitments to FERC.”
Freshman Commissioner Kevin Thompson, who pushed hard for the commission to join the legal protest, told AZ Free News, “We need utilities to make decisions based on what makes the most sense for ratepayers and the integrity of our grid, not the policy goals of ESG-minded asset management cartels. This Commission is taking a more proactive role in federal matters that impact Arizona ratepayers and our grid because FERC and other federal agencies have rapidly been exerting their influence in matters that should be left up to state regulators and our utilities.”
Joining the Arizona Corporation Commission on the filing were the States of Utah, Arkansas, Florida, Idaho, Indiana, Iowa, Kentucky, Louisiana, Mississippi, Missouri, Montana, Nebraska, North Dakota, South Carolina, South Dakota, Tennessee, Texas, Virginia, and Wyoming.
The Corporation Commission’s involvement with this coalition mirrors the Arizona Legislature’s repeated efforts the past two years to join with other state officers in attempts to defend laws and protect the interests of their constituents. Both the Commission and the Legislature have been forced into acting as the state’s defacto attorney general due to Arizona’s top prosecutor, a Democrat, being unwilling to stand against certain infractions or questions of legality for state and federal laws.
The intervention into the ESG-related matter marks another instance of leadership by Arizona Republicans on this issue. The ESG movement has sought to advance an environmental agenda to bring an end to traditional and reliable energy investments across the country and world, and many have challenged the legality of such efforts in various industries. Before the current Democrat administration, the state had a Republican Attorney General Mark Brnovich, who led a handful of early ESG skirmishes. Arizona Treasurer Kimberly Yee has also joined other state financial officers over the years to oppose pro-ESG actions.
Daniel Stefanski is a reporter for AZ Free News. You can send him news tips using this link.
by Daniel Stefanski | Nov 18, 2024 | News
By Daniel Stefanski |
Arizona’s Corporation Commission will be completely governed by Republicans after the party experienced a clean sweep of three contests during November’s General Election.
Republicans emerged victorious over their Democrat opponents for three Corporation Commissioner spots on the ballot. Those individuals were newcomers Rachel Walden and Rene Lopez, and incumbent Lea Márquez Peterson, finishing in that order. Márquez Peterson received 100,000 more votes than the fourth-place candidate.
After winning the election, Walden released a statement, saying, “It is a great honor to be elected to the Arizona Corporation Commission. Thank you. To all of the volunteers who knocked on doors, made calls on my behalf, and put up signs. I am so grateful for all of the grassroots efforts. But I am especially grateful for the hundreds of thousands of votes. Thank you for trusting me to serve on the Arizona Corporation Commission. I look forward to serving you to make sure our utilities are affordable and reliable.”
Lopez wrote, “Thank you to everyone for your vote and to: Jessica, Brianna, Andrew & family for your sacrifices in supporting me on this journey. All the PCs, LDs, clubs, Rep Women’s clubs for the opportunities, your work and support. Rachel and Lea for the year long grind. We did it!”
Márquez Peterson said, “Thank you to every campaign volunteer and supporter across the state. I’m honored to continue to serve at the Arizona Corporation Commission for a second term!”
In an exclusive statement to AZ Free News about the coup for Republicans, current Commissioner Kevin Thompson, said, “Despite liberal activist groups spending millions of dollars this cycle to defeat Republican Commission candidates, Arizona voters demonstrated they want Commissioners who will ignore activist politics and prioritize reliability and affordability for ratepayers.”
Thompson added, “The current Commission has focused on the long term reliability of our grid and doing what is best for Arizona, not the activists who want to turn us into another California at the expense of ratepayers. I’m confident the incoming Commission will build upon that work and make sure Arizona remains successful and affordable for the foreseeable future.”
Despite Democrats winning the major statewide offices in 2022 (Governor, Attorney General, and Secretary of State), Republican majority control of this Commission has been a bright spot for those attempting to keep leftwing policies from taking root and blossoming in Arizona. According to its website, the ACC works to ensure “safe, reliable, and affordable utility services,” and Republicans have been instrumental in directing policies to do just that for the state. Without a single Democrat on the panel going forward, starting in January, Republicans will have even more of an opportunity to enact their vision for Arizona utilities and other areas within their jurisdiction on the Commission.
Daniel Stefanski is a reporter for AZ Free News. You can send him news tips using this link.
by Daniel Stefanski | Sep 22, 2024 | Economy, News
By Daniel Stefanski |
Many Arizona energy consumers are about to see some savings in their bills in time for the holidays.
This month, the Southwest Gas Corporation sent a notice to the Arizona Corporation Commission about a rate decrease to consumers effective at the start of October.
The statement from Doran A. Miller, a Regulator Manager, said, “Pursuant to Decision Nos 74595 and 79038, Southwest Gas is providing notice that the Gas Cost Balancing Account rate will decrease from $0.30911 per therm to $0.00 per therm effective October 1, 2024. This results in a decrease of approximately $7 per month for the average single-family residential customer.”
In an exclusive comment to AZ Free News, Republican Commissioner Kevin Thompson responded to the notice from Southwest Gas, saying, “Any significant savings for the ratepayer should be welcomed, particularly in this economy. The cost of natural gas fuel is required to be passed along to ratepayers as a monthly surcharge that the Commission regularly reviews to make sure customers are paying the actual cost. This helps ensure utilities don’t over collect or earn a profit on this necessary resource.”
Thompson added, “As volatility in domestic and international markets have subsided, and the cost of natural gas dramatically decreases, most Southwest Gas customers will see a noticeable decrease in their monthly gas bill beginning in October.”
Earlier this year, the Corporation Commission shared a report from WalletHub, which showed that Arizona had the second-lowest energy cost out of the 50 states in the North American union with a $400 bill.
According to the Corporation Commission, there were a handful of factors separating Arizona from other states:
- “Diverse generation sources – Arizona relies on a mix of generation sources, from nuclear, natural gas, hydropower, renewables, and battery storage.
- “Self-Sufficiency – Arizona is not dependent on imported power. We tap into the market if needed, but our utilities’ focus is providing Integrated Resource Plans to guarantee future readiness. The Commission diligently oversees upgrades and construction.
- “Proactive maintenance to ensure reliability – The Commission prioritizes daily maintenance and line work leading up to the summer to ensure the grid is ready for the extreme heat and high load.”
Republican Commissioner Lea Marquez Peterson reacted to the report from WalletHub, writing, “The data released in the report reflects the priorities of our Commission – reliable energy at the most affordable rates. I’m proud of the service and affordable rates we work hard to provide to ratepayers throughout the state.”
Daniel Stefanski is a reporter for AZ Free News. You can send him news tips using this link.
