Energy Procurement, Utilities, Sourcing Renewables - January 30, 2018
Arizona calls for 80% RE and nuclear by 2050
A proposal for Arizona utilities to source 80% of their electricity from renewables and nuclear power by 2050 was announced today by Andy Tobin, Arizona’s utility regulator. The Arizona Energy Modernization Plan calls for an interim goal of 3,000 MWh by 2030, as well as reforms to boost energy efficiency, electric vehicles, and biomass.
As reported by Utility Dive, the proposal contains a "Clean Peak Standard" that would require utilities to deliver an increasing portion of their renewable energy during peak electricity demand hours, which would incentive storage deployment.
If the proposal is approved, Arizona would become "the first state to attempt to modernize its renewable portfolio standard to reflect the recent advances in energy technologies," said Lon Huber, a consultant who worked on a similar proposal from the state consumer advocate in 2016. 'What this plan is saying is we aren’t going to build our future on natural gas — the backbone of the system over the next 40 to 60 years will not be gas."
The proposal also includes directing utility regulators to devise a new efficiency program within 120 days to meet the goals of the clean energy standard. Utilities will also be required to propose EV charging programs for commercial and industrial customers, as well as for new and existing homes and on major freeways.
Utility Dive noted that the prospects for this proposal are "unclear." Tobin is expected to ask the Arizona Corporate Commission to consider the proposal at their February meeting.