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AZ — Power Infrastructure Updated January 2026

Arizona

Power generation, transmission, storage, and interconnection topics relevant to data center power supply in Arizona.

WECC Natural Gas Nuclear Solar Wind Storage Data Center PPAs Queue Bottlenecks Transmission Constraints

Overview

Arizona’s power buildout centers on massive solar and wind additions, new interstate transmission lines, and strategic natural gas expansions to meet surging demand from data centers and other loads. Salt River Project and Arizona Public Service have signed clean energy agreements with Meta and Google, with projects totaling over 1,000 MW already under construction. Transmission remains the critical constraint, with three major interstate lines now in development to unlock renewable capacity from New Mexico and link Arizona to California markets.

Generation Projects

Natural Gas

APS is adding 490 MW of new gas capacity through two projects: 90 MW of new units at the Sundance Power Plant in Pinal County and 400 MW at the Redhawk Power Plant in Maricopa County.[1] The utility has signed agreements for nearly 7,300 MW of new resources — including renewables, storage, and gas — with projects expected to begin operation starting in 2026.[1]

Nuclear

Palo Verde Nuclear Generating Station operates three units with current license terms expiring between 2025 and 2027, according to NRC records.[2] Continued nuclear supply will depend on subsequent renewal actions or replacement resources.

Solar

The largest solar project under construction is Orsted’s Eleven Mile Solar Center in Pinal County, a 300 MW solar facility paired with a 300 MW, four-hour battery system.[3] Salt River Project’s agreements with Meta include allocations from the 100 MW West Line Solar Facility in Eloy and the 200 MW Brittlebush Solar Facility in Coolidge, with Brittlebush expected online in 2024.[3] Tucson Electric Power is planning the Winchester Solar project with 80 MW solar and 80 MW battery capacity, targeted for 2027.[4]

Wind

Salt River Project and NextEra completed the 161 MW Babbitt Ranch Energy Center in Coconino County in 2024.[5] SRP says the energy will serve Google’s forthcoming Mesa data center.

Transmission and Grid

Three major interstate transmission projects are reshaping Arizona’s grid access. SunZia Transmission consists of two planned 500 kV lines spanning approximately 520 miles from central New Mexico to Pinal County, Arizona, with construction underway as of 2023.[6] Pattern Energy describes SunZia as a 550-mile, ±525 kV HVDC line enabling access to over 3,000 MW of New Mexico wind.[7]

The Ten West Link is a 500 kV line connecting Central Arizona and Southern California, with a final length of about 125 miles and construction already started.[8] BLM approved the Southline Transmission project in January 2025, a 367-mile, 345 kV line running from the Afton Substation in New Mexico to the Saguaro Substation north of Tucson.[9]

APS’s 2023 integrated resource plan (IRP) emphasizes that future renewables and gas additions are heavily dependent on transmission infrastructure, signaling that grid upgrades remain a persistent bottleneck for new generation and large loads.[10]

Battery Storage

Arizona is deploying over 1,100 MW of utility-scale battery storage by the end of 2024.[3] APS is adding 150 MW of battery capacity at its Agave Solar Plant in Maricopa County.[1] The Eleven Mile Solar Center includes a 300 MW, four-hour battery system paired with the solar array.[3] Tucson Electric Power will build the 200 MW / 800 MWh Roadrunner Reserve II system, with operations expected in early 2026.[4]

Data Center Power Agreements

Meta signed a PPA (power purchase agreement) with Salt River Project and Orsted to take the majority output from Eleven Mile Solar Center (300 MW solar and 300 MW battery), plus allocations from the West Line (100 MW) and Brittlebush (200 MW) solar facilities.[3]

Google has secured energy from the 161 MW Babbitt Ranch Energy Center to serve its Mesa data center.[5] Google’s 2024 sustainability update also announces an energy supply agreement with SRP supporting more than 430 MW of new-to-the-grid carbon-free capacity in Arizona.[11]

Interconnection Queue

APS runs FERC generator interconnection through an annual cluster process and routes applications through PowerClerk, with queue information posted via AZPS OASIS.[12] The utility’s IRP highlights that new renewables and gas resources are heavily dependent on transmission infrastructure, pointing to transmission capacity as a persistent constraint for new generation.[10]

What to Watch

  • Palo Verde license renewals — three units with licenses expiring between 2025 and 2027 require NRC action to continue operations.
  • SunZia and Southline commissioning — completion of these interstate lines will unlock thousands of megawatts of renewable capacity from New Mexico.
  • Meta and Google project milestones — watch for commercial operation announcements for Eleven Mile, Brittlebush, and the Google Mesa data center.

Sources

[1] Arizona Public Service, “APS Secures its Largest-Ever Energy Supply to Reliably Serve Customers,” November 20, 2024, https://www.aps.com/en/About/Our-Company/Newsroom/Articles/APS_Secures_its_Largest-Ever_Energy_Supply_to_Reliably_Serve_Customers (accessed January 8, 2026).

[2] U.S. Nuclear Regulatory Commission, “Status of Initial License Renewal Applications and Industry Initiatives,” n.d., https://www.nrc.gov/reactors/operating/licensing/renewal/applications.html (accessed January 8, 2026).

[3] Salt River Project, “Meta Teams up with SRP and Orsted to Support Data Center with Clean Energy from New Solar and Battery Project,” December 11, 2023, https://media.srpnet.com/meta-teams-up-with-srp-and-rsted-to-support-data-center-with-clean-energy-from-new-solar-and-battery—project/ (accessed January 8, 2026).

[4] Tucson Electric Power, “TEP Will Build New Battery System to Support Reliability,” August 14, 2024, https://www.tep.com/news/tep-will-build-new-battery-system-to-support-reliability/ (accessed January 8, 2026).

[5] Salt River Project, “Leaders from Arizona State Land Department, SRP, NextEra Energy Resources and Babbitt Ranches Celebrate Completion of 161-MW Babbitt Ranch Energy Center,” September 17, 2024, https://media.srpnet.com/leaders-from-arizona-state-land-department-srp-nextera-energy-resources-and-babbitt-ranches-celebrate-completion-of-161-mw-babbitt-ranch-energy-center/ (accessed January 8, 2026).

[6] U.S. Department of the Interior, “Biden-Harris Administration Celebrates Groundbreaking of New SunZia Transmission Line That Will Deliver Clean, Reliable, Affordable Energy to Millions of Americans,” September 1, 2023, https://www.doi.gov/pressreleases/biden-harris-administration-celebrates-groundbreaking-new-sunzia-transmission-line (accessed January 8, 2026).

[7] Pattern Energy, “SunZia Transmission Factsheet,” July 21, 2022, https://patternenergy.com/wp-content/uploads/2022/08/2022-7-21-SunZiaTransmission-Factsheet.pdf (accessed January 8, 2026).

[8] U.S. Department of the Interior, “Biden-Harris Administration Celebrates Groundbreaking of New Transmission Line, Delivering Clean, Reliable, Affordable Energy to Millions of Americans,” January 20, 2023, https://www.doi.gov/pressreleases/biden-harris-administration-celebrates-groundbreaking-new-transmission-line-delivering (accessed January 8, 2026).

[9] Bureau of Land Management, “BLM Issues Final Approval for the Southline Transmission Line Project,” January 20, 2025, https://www.blm.gov/press-release/blm-issues-final-approval-southline-transmission-line-project (accessed January 8, 2026).

[10] Arizona Public Service, “2023 Integrated Resource Plan (Public),” November 2023, https://www.aps.com/-/media/APS/APSCOM-PDFs/About/Our-Company/Doing-business-with-us/Resource-Planning-and-Management/APS_IRP_2023_PUBLIC.pdf (accessed January 8, 2026).

[11] Google, “How Google brought carbon-free energy to Arizona,” March 14, 2024, https://blog.google/outreach-initiatives/sustainability/google-carbon-free-data-center-arizona/ (accessed January 8, 2026).

[12] Arizona Public Service, “FERC Generator Interconnections,” n.d., https://www.aps.com/en/About/Our-Company/Doing-Business-with-Us/FERC-Generator-Interconnections (accessed January 8, 2026).