AriSEIA, along with the Attorney General's Office, Western Resource Advocates, and the Sierra Club, filed an Application for Rehearing today in the Unisource Electric (UNSE) Certificate of Environmental Compatibility (CEC) case. In this case, UNSE asked the ACC to "disclaim jurisdiction" over essentially all new gas plants in the State. The Line Siting Committee voted against them 9-2 after a two day hearing, but the ACC voted along party lines to overturn that decision. AriSEIA asked for rehearing, which is a necessary next step to appeal.

UNSE continues to call for a Motion to Dismiss on AriSEIA's complaint against them for violating Arizona's Line Siting statutes for nearly two decades. AriSEIA argues that position is premature given the likely rehearing or appeal on the underling disclaimer of jurisdiction docket.

The Arizona Corporation Commission sent AriSEIA a letter regarding our UNSE press release, requesting changes. AriSEIA filed the request along with a letter objecting to the inappropriate request in the docket and declined to make the requested changes.

The administrative law judge has imposed a stay on AriSEIA's complaint against UNSE pending the outcome of the UNSE CEC docket, which AriSEIA does not oppose at this time.

FOR IMMEDIATE RELEASE

Contact:
Autumn Johnson
(520) 240-4757
[email protected]

Phoenix, AZ - Today, the Arizona Corporation Commission (ACC) voted 4-1 along party lines to overturn the 9-2 decision of their own Arizona Power Plant and Line Siting Committee. The ACC's vote will eliminate environmental review of new gas plants in Arizona going forward. It reverses 53 years of consistent application of Arizona law regarding the siting of new thermal power plants.

UNE Electric (UNSE), the sister company of Tucson Electric Power (TEP), plans to add 200 MW of new gas at Black Mountain Generating Station in Mohave County. Plants greater than 100 MW are required to obtain a Certificate of Environmental Compatibility (CEC) from the Line Siting Committee. UNSE argued that A.R.S. 40-360(9) should be reinterpreted to only require a CEC for turbines that are greater than 100 MW, regardless of how many there are or the overall size of the plant. This loophole will now mean that no utilities in Arizona will need ACC review of any new gas (or nuclear) plants as long as the individual units are smaller than 100 MW.

"The ACC overturned their own Line Siting Committee and 53 years of legal precedent today to achieve the policy goal of making it as easy as possible to build more gas generation while simultaneously stating that the legislature should require additional regulation of renewables," said Autumn Johnson, Executive Director of the Arizona Solar Energy Industries Association (AriSEIA). "We had a 2 day hearing in front of an 11 member Committee and UNSE lost overwhelmingly because they did not prove their case. And yet, we can now expect that every utility in Arizona will start building new plants with no environmental review. This is a major setback for the clean energy transition."

The intervening parties have 20 days to ask for a rehearing before they can appeal to Superior Court. The full docket can be found here.

About AriSEIA

AriSEIA is the leading voice of the solar industry in Arizona, dedicated to advancing solar energy through advocacy, education, and collaboration. With a commitment to promoting sustainable energy solutions, AriSEIA serves as a catalyst for the growth and development of Arizona's solar industry.

On June 11th, the Arizona Corporation Commission will be reviewing a very significant decision from its own Line Siting Committee. In the decision, the Arizona Power Plant and Line Siting Committee rejected a request by Unisource to waive its own authority to review new thermal power plants in the state. To do so, the ACC would have to interpret Arizona law differently than it has for the last half century.

The Line Siting Committee is made up of 11 members. Six of those members are appointed by the corporation commissioners themselves. All six of the ACC-appointed members were appointed last year at this time. Roman Fontes representing the counties, David Kryder representing agriculture, Toby Little representing the general public, and Scott Somers representing the cities were appointed by the ACC on May 1, 2023. The appointments of Kryder, Little, and  Somers were unanimous. Fontes was appointed 4-1 with Commissioner Tovar voting no. Dave Richins representing the general public and Jon Gold representing the general public were appointed on July 12, 2023 unanimously.

Five of those six appointees voted no on Unisource’s request after a two-day hearing that resulted in a 463 page-transcript. Richins, Fontes, Little, Somers, and Gold all voted against Unisource. Here are comments taken from the transcript.

Richins questioned Unisource stating, “so you don’t consider a CEC [certificate of environmental compatibility] would be part of the right thing to do, then, in this instance?” Little pointed out that “one of the important parts of the law says that the CEC would provide a single proceeding to which access will be open to interested and affected [persons].”
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Unisource is attempting to reinterpret A.R.S. § 40-360(9) in a way to absolve them of needing environmental review by the ACC. To do that, they have to prove that the turbines are separate from one another. Richins asked “that natural gas feeds into the whole facility from one location into that plant, into that generating station?”  Fontes asked, “Is it one single gas contract or is it separate gas contracts, because you’re characterizing these as separate units that are operating independent and dispatching.”

Little explained her vote against Unisource saying, “I believe that as a representative of the public, I have a responsibility to assure that the public has the right to express their voice in the siting of environmental impact for generation and transmission, and I think that clumping a bunch of smaller units all in one place does that. And I vote no.”

Richins made the motion to deny Unisource’s request, which was seconded by Fontes. Explaining his vote, Gold said, “I too represent the people of the state of Arizona and while I believe you should build this plant, I believe a CEC in this case is necessary…. I don’t foresee you not getting one. But I have to say, this Committee is here for a reason.”

The committee voted 9-2 to deny Unisource’s request. The committee then issued a written decision including its legal analysis denying Unisource’s request on May 2, 2024. The decision stated, “[Unisource’s] interpretation of A.R.S. § 40-360(9) would circumvent the manifest purpose of the line siting statutes and deprive the people of Arizona who are affected by the construction of these major facilities of their ability to participate in the process to mitigate the adverse impacts on the environment and their quality of life.” Pg. 6.

The ACC commissioners should uphold the overwhelming decision of the committee they just appointed last year – the committee that listened to two days of testimony and oral arguments and reviewed dozens of exhibits. The committee got it right and the ACC should deny Unisource’s request. Doing anything else would needlessly cede half of the authority of the ACC’s own Line Siting Committee.

AriSEIA filed exceptions in the Unisource Electric (UNSE) certificate of environmental compatibility (CEC)) case in which they have asked the ACC for a "disclaimer of jurisdiction." UNSE asks the ACC to interpret AZ law differently than it has for the last 53 years and in a way that would basically waive ACC authority over all new gas plants in the state. AriSEIA also put forward an amendment to improve ACC Staff's Sample Order No. 2 denying the request. The Line Siting Committee already voted 9-2 against UNSE. This is on the June 11th open meeting agenda.

UNSE filed an Answer to AriSEIA's complaint that they have been operating Black Mountain Generating Station since 2007 in violation of Arizona's Line Siting statutes. UNSE asked for the complaint to be dismissed or stayed (i.e. put on hold) pending the outcome of the Black Mountain Expansion Project CEC (certificate of environmental compatibility) matter. AriSEIA has objected and you can read that filing above.

AriSEIA filed a formal complaint today against Unisource Energy Company (UNSE). UNSE has been violating Arizona's Line Siting statutes for 16 years by operating Black Mountain Generating Station (a 122 MW gas plant) without a certificate of environmental compatibility (CEC). The complaint asks for UNSE to be required to obtain a CEC right away and pay punitive damages.

FOR IMMEDIATE RELEASE

Contact:
Autumn Johnson
520-240-4757
[email protected]

Phoenix, AZ: Today, the Arizona Power Plant and Line Siting Committee (Committee) voted overwhelming in support of AriSEIA's position in opposition to Unisource Electric's (UNSE) application for a disclaimer of jurisdiction for its Black Mountain Expansion Project. The Committee voted 9-2 to deny UNSE's application and agreed with AriSEIA, Sierra Club, Western Resource Advocates (WRA), and Southwest Energy Efficiency Project (SWEEP).

UNSE requested the Committee interpret Arizona law in a way it had never done in its 53 year history. ARS 40-360 was enacted by the legislature in 1971 as a means to "provide a single forum for the expeditious resolution of all matters concerning the location of electric generating plants and transmission lines in a single proceeding to which access will be open to interested and affected individuals, groups... to enable them to participate in these decisions." The statute applies to thermal plants (gas, coal, nuclear, hydro) 100 MW or greater. For the first time, UNSE argued the statute should only apply to turbines greater than 100 MW, regardless of how big the plant as a whole is. This would have eliminated regulatory review for all new gas and small modular nuclear plants in Arizona, significantly disadvantaging renewables in any kind of request for proposal process.

AriSEIA argued this interpretation was both illogical and also incorrect under the facts of the case. "Reason prevailed today when the Line Siting Committee told one of Arizona's largest utilities that it also must abide by the law," said Autumn Johnson, Executive Director of AriSEIA. "UNSE has knowingly been violated Arizona law for 16 years and it is time it is held accountable."

The Committee will issue a formal Order denying UNSE's request for a disclaimer of jurisdiction in the coming weeks. The full docket can be found here.

About AriSEIA

AriSEIA is the leading voice of the solar industry in Arizona, dedicated to advancing solar energy through advocacy, education, and collaboration. With a commitment to promoting sustainable energy solutions, AriSEIA serves as a catalyst for the growth and development of Arizona's solar industry.