Grand Canyon Times

On February 10, 2025, Vice Chairman Nick Myers initiated docket G-00000A-25-0029 to explore the expansion of natural gas infrastructure and storage in Arizona. Myers highlighted concerns about resource adequacy for electric utilities in the state due to several factors. These include the closure of coal-fired power plants, increased reliance on intermittent resources, and projected load growth from data centers and large industrial customers. "Resource adequacy for our electric utilities is a growing concern in Arizona," he noted. "The closure of coal-fired power plants, the increased dependence on intermittent resources, and the projected load growth due to data centers and large industrial customers are requiring substantial firm capacity from natural gas generation to maintain reliability and resource adequacy."

Myers also pointed out existing constraints on gas supply: "Simply put, Arizona lacks the natural gas infrastructure needed to meet the growing demand." He further referenced winter storm Uri's impact in 2021 as a catalyst for discussions about developing a large-scale natural gas storage project in Arizona. "Further, the significant economic impact of winter storm Uri in 2021 on Arizona electric and gas customers revived discussions about the benefits of developing a large natural gas storage project in Arizona," he stated.

To advance these efforts, Myers plans to organize a workshop within two to three months. This event will examine developments related to expanding natural gas infrastructure and storage within the state. Regulated utilities, pipeline companies, and other stakeholders are invited to file comments with information pertinent to these initiatives in docket G-00000A-25-0029. These submissions aim to shape discussions during the upcoming workshop.

For additional details or inquiries, Vice Chairman Myers can be contacted at myers-web@azcc.gov.