AZ Corporation Commissioners Align with Utility Titan’s Agenda

By Matthew Holloway |

At the Arizona Corporation Commission’s (ACC) annual Summer Preparedness Workshop, Chair Kevin Thompson and Vice Chair Nick Myers expressed firm opposition to reactivating the Cholla and Springerville Coal-Fired Power Plants. Their stance aligns closely with Arizona Public Service Company (APS) and Tucson Electric Power (TEP), which have both resisted moves to bring these facilities back online, despite President Trump’s recent Executive Order advocating for their operation. Thompson asserted that reopening these plants would “jeopardize the grid and burden ratepayers with millions of dollars in short-sighted costs.”

Trump’s Executive Order, issued in early April, aimed to preserve APS’ Cholla Power Plant, which he described as “slated for destruction.” The President emphasized the importance of maintaining jobs for coal miners and pledged that operations would resume soon. Representative Walt Blackman lauded Trump for his intervention, highlighting the potential to protect local jobs and generate essential revenue.

In a statement during the workshop, APS representatives indicated that the decision to close the Cholla plant was prompted by a decade-long shift in environmental regulations enforced by the U.S. Environmental Protection Agency (EPA). The company noted that compliance with these regulations would necessitate significant investments for pollution control, rendering the plant’s continued operation economically unfeasible for its customers.

APS maintained that while the infrastructure of the power plant should be preserved, it envisions repurposing the site for future energy generation through nuclear or natural gas sources. This aligns with TEP’s plans, as the utility confirmed its commitment to retire Units 1 and 2 of the Springerville Generating Station after the summer of 2027 and 2032, respectively. TEP is also investigating alternative fuel options for the facility.

Vice Chair Myers acknowledged the significant loss of electric capacity due to the retirement of coal plants while reiterating that re-opening Cholla would lead to higher rates for consumers. He pointed out that the utilities have long prepared for these retirements, with costs already being absorbed by customers. He added that EPA mandates contribute to the impracticality of reactivating Cholla.

Chair Thompson further emphasized the financial implications of complying with past EPA regulations, stating that modernizing the Cholla plant would involve costly investments in scrubbers, which could impose severe financial burdens on ratepayers. He remarked on the necessity of holding utilities accountable to ensure sustainable energy solutions that do not compromise grid reliability or consumer affordability.

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.