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ARIZONA STATE SENATE
Fifty-Seventh Legislature, First Regular Session
AMENDED
corporation commission; non-thermal generating unit
Purpose
Modifies the definition of plant to include a non-thermal electric generating unit and increases the nameplate rating threshold from 100 megawatts or more to 200 megawatts or more.
Background
The Arizona Corporation Commission (ACC) is responsible for inspecting, certificating, classifying and setting rates, charges, rules, contracts, and accounts for public service corporations, including corporations other than municipal engaged in furnishing gas, oil or electricity for light, fuel or power. The ACC oversees the electric power industry in Arizona but does not have authority over electric service provided by a city, municipality, irrigation district, electric district or utilities operated by tribal authorities (Ariz. Const. art. 15; ACC).
The Power Plant and Transmission Line Siting Committee (Committee) within
the ACC provides a single forum for the expeditious review of all matters
concerning the location of electric generating plants and transmission lines in
a single proceeding that enables affected parties to participate in the
decisions. Before beginning construction of any plant in Arizona, a person must
file a plan with the Committee that includes: 1) the purpose to be served by
each plant; 2) the expected capacity factor; 3) the type of fuel to be used; 4)
the estimated date by which the plant will be in operation; and 5) the size and
proposed route of any transmission lines or locations of each plant. Plant,
as it relates to the Committee, means each separate thermal electric,
nuclear or hydroelectric generating unit with a nameplate rating of 100
megawatts or more for which expenditures or financial commitments for land
acquisition, materials, construction or engineering exceeding $50,000 have not
been made before August 13, 1971 (A.R.S. Title 40, Chapter 2,
Article 6.2).
The Joint Legislative Budget Committee fiscal note on S.B. 1538 as introduced estimates that the addition of non-thermal energy generation facilities to the definition of plant would increase the workload for the Committee. The ACC estimates that the increase would cost $232,000 and two full-time equivalent positions from the Utility Siting Fund to review the Committee's findings prior to ACC approval. Of the estimated cost, $210,000 would be ongoing for salaries and employee-related expenses and $22,000 would be one-time funding for the cost of training, certifications and equipment (JLBC fiscal note).
Provisions
1. Modifies the definition of plant as it relates to review by the Committee by:
a) adding a non-thermal electric generating unit; and
b) increasing the nameplate rating from 100 megawatts or more to 200 megawatts or more.
2. Becomes effective on the general effective date.
Amendments Adopted by the Committee of the Whole
ยท Increases, from 100 megawatts or more to 200 megawatts or more, the nameplate rating of a plant.
Senate Action
GOV 2/19/25 DP 4-3-0
Prepared by Senate Research
March 4, 2025
AN/SDR/ci