by Corinne Murdock | Feb 7, 2024 | News
By Corinne Murdock |
A coalition of grassroots advocacy groups is asking the Arizona Corporation Commission (ACC) to reject Environmental, Social, and Governance (ESG) efforts by energy companies, citing the impact to consumer well-being.
In a letter sent last week, representatives of Heritage Action for America, EZAZ, and Heartland Impact, led by the Arizona Free Enterprise Club (AFEC), expressed concern for the impact on utility rates and energy reliability that ESG implementation poses under plans submitted by APS, TEP, and UNS. The grassroots claimed that the three companies have deprioritized cost and efficiency in pursuit of voluntary climate goals.
“The Commission has a constitutional obligation to ensure just and reasonable rates and a statutory duty to ensure adequate provision of service,” stated the organizations. “That means ensuring reliable, affordable, and plentiful energy in the state, which should be the mission of this Commission. But these ideological environmental commitments do the opposite, and for that reason, they should be rejected.”
The grassroots leaders also expressed concern with the relationship between ESG and a greater political agenda to achieve “net zero” carbon emissions by 2050. In order to achieve net zero, companies would have to drastically reduce, if not eliminate totally, usage of coal, gas, and oil in exchange for renewable energies such as solar and wind.
In their letter, the organizations pointed out the intermittency — and therefore unreliability — of renewable energies. They referenced the power failures and high rates experienced by states and countries further along in their net zero journey, citing specifically California, Texas, and Germany.
The grassroots leaders maintained that ACC has the authority to prevent energy companies from quitting traditional energies and using ratepayer funds to subsidize renewables.
Utility companies previously rejected an increased reliance on renewable energies as recently as 2018, the letter noted, over concerns that such a move would greatly increase costs for ratepayers. They also cited 2021 ACC cost analysis, which found in part that a total transition to renewables could incur a $6 billion cost to ratepayers, averaging hundreds of dollars more a month, by 2050.
Last year, AFEC issued an analysis comparing the energy mandates of the 10 states with the highest electricity rates and 10 states with the lowest electricity rates. Per that report, nine of the 10 states with the highest rates had some form of mandates requiring renewable energy usage, while seven of the 10 states with the lowest rates had no mandates at all.
The report estimated that states with renewable energy mandates paid, on average, close to double what their peers in mandate-free states paid.
In a press release, AFEC President Scot Mussi blamed leftist politicians for the ESG push.
“Liberal activists and politicians in Arizona are seeking to harm our energy future, freedoms, and choices by forcing their radical and failed ESG policies on consumers,” said Mussi.
As AZ Free News reported last November, the executives overseeing those three companies have financial incentives to meet ESG criteria.
Corinne Murdock is a reporter for AZ Free News. Follow her latest on Twitter, or email tips to corinne@azfreenews.com.
by AZ Free Enterprise Club | Aug 21, 2023 | Opinion
By the Arizona Free Enterprise Club |
For years, the Arizona Corporation Commission (ACC) has been the stomping ground for the left to push its Green New Deal Agenda. In fact, it was just over two years ago when the commission quietly released its plan to impose California-style energy mandates in our state. Their goal was to ban fossil fuels and require most electricity companies to provide “clean” energy by 2050. Thankfully, the commission voted down these energy mandates in January 2022. But that hasn’t stopped the left from trying to find other ways to exploit the ACC.
One of their latest efforts has centered on Tucson, and as part of its Green New Deal agenda, Tucson Electric Power (TEP) asked the ACC for rate hikes to subsidize electric vehicles. But TEP didn’t get everything it wanted…
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by AZ Free Enterprise Club | May 27, 2023 | Opinion
By the Arizona Free Enterprise Club |
Last week, Tucson residents exercised common sense by overwhelmingly rejecting Prop 412 in a special election. And whether you live in the city or not, this is a significant win for our future.
Disguised as a new agreement between the City of Tucson and Tucson Electric Power (TEP) to renew the Franchise Agreement for another 25 years using the current 2.25% fee, the proposal included a number of Green New Deal pet projects. Had it passed, it would have added a 0.75% “Community Resilience Fee” to fund the costs associated with building underground transmission facilities—and “projects that support the City’s implementation of the City’s approved Climate Action and Adaptation Plan.”
That would have meant:
- Lengthy construction projects removing driving lanes from roads (Road Diets)
- Permanently inhibiting access to small businesses
- Reducing personal vehicles by 40% by 2050
- Establishing Tucson as a 15-minute city with local travel restrictions removing personal choice
Now, the citizens of Tucson have spoken. And it’s clear that they don’t want Green New Deal mandates that take money from their wallet and freedom from their lives.
But make no mistake about it. TEP and its leftist ally Major Regina Romero are committed to their “climate change” agenda…
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by Daniel Stefanski | May 19, 2023 | News
By Daniel Stefanski |
Tucson voters delivered a resounding defeat to Mayor Regina Romero and her support of Proposition 412.
On Tuesday, results were released for the special election, showing Prop 412 receiving 28,084 (44.7%) votes in favor versus 34,712 (55.3%) votes in opposition. Voter turnout for the City of Tucson’s contest hovered around 21.69%.
Prop 412 would have granted “a franchise to Tucson Electric Power (TEP) Company for the purpose of providing electric transmission and distribution services within the City of Tucson for which the City of Tucson will receive a franchise fee and other consideration.” The “other consideration” would have come, in part, in the form of a “Community Resilience Fee” to fund Tucson’s Climate Action and Adaptation Plan, which was an effort to achieve “carbon neutrality for City operations by 2030.”
Mayor Romero, who had been one of the strongest proponents of Prop 412, released a statement after the results confirmed the worst: “TEP and the City put together a franchise agreement that tried to be responsive to the different needs our community was asking for, like undergrounding, investing in climate resiliency and creating EV infrastructure in public rights of way. I respect the voters’ decision not to approve.”
Arizona Corporation Commissioner Kevin Thompson, one of Arizona’s few Republican statewide officeholders at the moment, reacted to the news from southern Arizona, telling AZ Free News, “Tucson voters rightfully demonstrated they understood the ramifications of mixing political pet projects under the guise of essential utility contract service requirements. This is a good outcome for ratepayers and a step towards returning these important decisions to the Corporation Commission where they belong.”
Merissa Hamilton, a grassroots leader in Arizona, tweeted her analysis of the Tucson election result, writing, “This vote is significant because it was the Public’s chance to make their voice heard on Romero’s tyrannical climate action agenda.”
One of the main issues that caused contention over this proposal was the insertion of the community resilience fee of 0.75% of all applicable revenues of TEP – in addition to the 2.25% Franchise Fee. This new fee would have been collected and disbursed for “funding costs associated with the underground installation of new TEP Facilities or conversion to underground of existing TEP facilities currently installed overhead; and projects that support the City’s implementation of the City’s approved Climate Action and Adaptation Plan.” This fee picked up opposition from both sides of the political aisle.
The Pima County Republican Party had fiercely lobbied against Prop 412 and cheered on its defeat. In a Facebook post, the Party stated, “WE DID IT!! Thank you to our LD’s and our incredible volunteers. CONGRATULATIONS to every volunteer and every candidate who helped us fight this Marxist proposal.”
The community resilience charge hasn’t been the only fee that TEP is attempting to pass along to its Southern Arizona consumers. Earlier last year, TEP submitted an application to the Arizona Corporation Commission (ACC), proposing a rate increase of 11.8% to take effect no later than September 1, 2023. TEP informed the Commission that “the new rates are intended to result in an increase in retail revenues of approximately $136 million.” According to reports, TEP customers’ bills would increase more than $14 each month should the ACC sign off on the request.
Daniel Stefanski is a reporter for AZ Free News. You can send him news tips using this link.
by AZ Free Enterprise Club | Apr 30, 2023 | Opinion
By the Arizona Free Enterprise Club |
A special election is taking place right now in Tucson, and even if you’re not from the city, you should pay attention. At first glance, Prop 412 appears to be nothing more than a new agreement between the City of Tucson and Tucson Electric Power (TEP) to renew the Franchise Agreement for another 25 years using the current 2.25% fee. But just like anything government bureaucrats put out there nowadays, you need to keep reading.
Along with the renewed agreement, Prop 412 would add a 0.75% “Community Resilience Fee” to fund the costs associated with building underground transmission facilities—and projects that support the City’s implementation of its Climate Action Plan. Ahhh, there it is. The agenda behind Prop 412 finally comes out. This isn’t about renewing a franchise agreement. It’s about forcing hardworking taxpayers to start funding the estimated $326 million it’s going to need to address Mayor Regina Romero’s so-called “climate emergency.”
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