AR — Power Infrastructure Updated 2026-07-17

Arkansas

MISO/SPP Solar Wind Storage Data Center PPAs Queue Bottlenecks Transmission Constraints

Last updated: July 17, 2026

1) Grid operator and market structure

  • Balancing authority / RTO: Arkansas remains split between MISO and SPP for transmission planning and market operations: Entergy Arkansas is in MISO, while SWEPCO, OG&E, Empire, and Arkansas Electric Cooperative Corporation participate in SPP-related arrangements. ENERGY STAR state profile, 2016; FERC, accessed 2026-07-17
  • Market structure: Arkansas remains a fully regulated retail electricity market. The Arkansas PSC states that Act 204 of 2003 found continued regulation of electric utility rates to be in the public interest and superseded rules adopted in anticipation of retail electric competition. Arkansas PSC, accessed 2026-07-17
  • Large-load policy venue: For large data centers, the practical venues are the Arkansas PSC for retail rates, utility contracts, certificates, and riders; MISO/SPP for transmission service and reliability studies; and FERC for interstate transmission tariff changes. Arkansas PSC, accessed 2026-07-17; FERC, accessed 2026-07-17

2) Interconnection queue status (SPP & MISO)

  • SPP high-impact large load process: SPP’s High Impact Large Load (HILL) initiative covers data centers and other fast-growing large loads. SPP describes Conditional High Impact Large Load (CHILL) service as a path to quick study results and grid access, with curtailment during system stress. Southwest Power Pool, accessed 2026-07-17
  • SPP CHILLS filing and implementation: SPP filed tariff revisions on February 10, 2026, in FERC Docket ER26-1323 to add Conditional High Impact Large Load Service (CHILLS), including a 10-MW threshold for loads connected at 69 kV or below and 50 MW above 69 kV. FERC conditionally accepted the revisions June 5 for a July 1 effective date, and SPP submitted its compliance filing July 6. SPP filing, 2026-02-10; FERC order via SPP, 2026-06-05; Southwest Power Pool, 2026-07-06
  • SPP CHILLS service characteristics: CHILLS is designed as non-firm, conditional service that may last up to seven years while a large load secures firm service or waits for network upgrades, with lower priority than firm service under constrained or emergency conditions. SPP filing, 2026-02-10; FERC order via SPP, 2026-06-05
  • MISO large-load framework: MISO is developing a three-part framework—generator/load pairing, expedited resource-adequacy study or expedited project review, and a non-firm-to-firm service step-up—to provide staged service while preserving reliability. MISO says the framework is intended to support approvals within roughly 120 days where the facts permit. MISO, accessed 2026-07-17
  • FERC orders replaced the anticipated June action: On June 18, FERC opened separate Federal Power Act section 206 proceedings for every jurisdictional RTO/ISO, including SPP Docket EL26-68 and MISO Docket EL26-70. The Commission preliminarily found tariff gaps involving timely large-load service, study transparency, cost shifting, co-located and behind-the-meter generation, flexible service, and temporary generator-to-load arrangements; it required 30-day informational reports and 60-day show-cause responses or proposed tariff reforms. These proceedings were pending on July 17. FERC, 2026-06-18; FERC MISO Order, 2026-06-18; FERC SPP Order, 2026-06-18

3) Ratepayer protection (tariffs, cost allocation, PSC dockets)

  • Entergy Arkansas LPHLDS tariff: Entergy Arkansas’s Rate Schedule No. 69, Large Power High-Load Density Service (LPHLDS), is available for cryptocurrency mining or similar high-load-factor operations; it bars customers on that tariff from simultaneously taking service under small/large cogeneration, optional interruptible service, legacy net-metering, or non-legacy net-metering tariffs. Entergy Arkansas tariff, 2024-11
  • LPHLDS interruptibility and penalties: LPHLDS customers execute an interruptible customer agreement; Entergy may register load as MISO Load Modifying Resources, and customers that fail to curtail after notice must reimburse costs or penalties caused by the failure. Entergy Arkansas tariff, 2024-11
  • LPHLDS PSC approval and reporting: The Arkansas PSC approved LPHLDS in Docket 22-032-TF, Order No. 7, finding the tariff just, reasonable, and in the public interest, and later required additional reporting on the tariff. Arkansas PSC Docket 22-032-TF, accessed 2026-07-17
  • Google special-rate contract status: The PSC approved Entergy Arkansas’s Google special-rate contract in Order No. 9 on December 4, 2025; Order No. 11 on January 29, 2026 resolved rehearing and ratemaking issues, and Entergy filed compliance testimony and revised exhibits on February 5. The contract is approved, but Docket 25-055-P was still listed open on July 17, so it is inaccurate to describe the docket itself as closed. Arkansas PSC Docket 25-055-P, accessed 2026-07-17
  • Fair Share Plus / customer savings claim: Entergy stated on March 5, 2026, that data center agreements would deliver up to $1.7B in savings for Entergy Arkansas customers from the Google and AVAIO projects and described “Fair Share Plus” principles including long contract terms, collateral, revenues covering incremental costs and a share of existing grid costs, reliability protections, and commission oversight. Entergy, 2026-03-05
  • Generating Arkansas Jobs Act rider: Entergy Arkansas opened Docket 26-008-TF for Generating Arkansas Jobs Act annual updates. Order No. 7 on June 4 approved the annual update, Entergy filed revised GAJA Rider Rate Schedule No. 73 attachments on June 5, and Order No. 9 on June 12 found the revised tariff pages just and reasonable and made them effective immediately. Arkansas PSC Docket 26-008-TF, accessed 2026-07-17
  • Entergy base-rate case remains pending: Entergy filed Docket 26-001-U on February 27 to replace its formula-rate plan with new base rates. The PSC suspended the proposed rates in Order No. 4 on March 20, and the docket remained open on July 17; large economic-development loads, including Google and AVAIO, feature in Entergy’s cost-sharing and savings claims, but the Commission had not decided the rate case. Entergy Arkansas, 2026-02-27; Arkansas PSC Docket 26-001-U, accessed 2026-07-17
  • Clarksville municipal oversized-demand rate: Outside PSC-regulated retail service, the Clarksville City Council adopted a municipal “Oversized Demand Electric Service” rate in March for loads beyond the local system’s capacity. It directly assigns market energy, transmission, generation, and incremental infrastructure costs to the large customer and imposes a monthly availability charge ranging from $480,000 for up to 500 MW to $960,000 above 1,000 MW. Johnson County Graphic, 2026-03-10

4) Generation adequacy and major projects

  • Cypress Solar / battery project approved: In Order No. 4 on March 3, the PSC granted Entergy Arkansas a CECPN and related approvals for the 600-MW solar, 350-MW battery, and associated transmission project in Jefferson County; it also found Cypress to be a strategic investment eligible for GAJA rider recovery. The project was estimated at approximately $1.60B, with costs allocated to Entergy’s Arkansas retail customers subject to continuing Commission review. Arkansas PSC Docket 25-054-U, 2026-03-03; Arkansas PSC GAJA Annual Legislative Report, 2026-06-30
  • Ironwood and Jefferson gas generation: The PSC’s June GAJA report identifies two additional Entergy strategic investments responding in part to economic-development load growth: the 446-MW Ironwood hydrogen-capable simple-cycle unit at Lake Catherine (Docket 24-072-U) and the 754-MW Jefferson Power Station combined-cycle unit at White Bluff (Docket 25-047-U). Both certificate dockets remained open for monitoring/compliance on July 17. Arkansas PSC GAJA Annual Legislative Report, 2026-06-30; Arkansas PSC Docket 24-072-U, accessed 2026-07-17; Arkansas PSC Docket 25-047-U, accessed 2026-07-17
  • Google-supported solar and storage: Entergy said Google’s agreement supports a 600-MW solar and 350-MW battery facility that will serve all Entergy Arkansas customers while supporting the West Memphis data center. Entergy, 2026-03-05
  • Steel River Energy Center: Cypress Creek announced $3.5B of financing on June 11 for the first two phases—about 1.63 GWdc of solar and 1.9 GWh of storage—and Google and Cypress Creek broke ground July 14. Google is anchor investor and offtaker for those phases; the full three-phase plan would reach 2.5 GWdc and 2.9 GWh by 2029. The project adds capacity to the regional grid rather than providing a dedicated physical line to one data center. Cypress Creek Renewables, 2026-06-11; Google, 2026-07-14
  • AVAIO Project Leo power plan: AVAIO says Project Leo has an executed energy services agreement with Entergy Arkansas for an initial 150 MW grid connection expected to energize in April 2027, 500+ MW of behind-the-meter thermal generation enabled by nearby gas-pipeline access starting in 2027, an additional 420 MW of grid power planned for 2030, and 75+ MW of planned on-site solar. AVAIO Digital, accessed 2026-07-17
  • SWEPCO high-load case remains relevant in SPP territory: SWEPCO’s 2024 Arkansas IRP high case assumed load growing about 14.5% above the base forecast over the forecast horizon, representing new load from large customers such as data centers; that high case selected additional solar, wind, and NGCT resources including Welsh fuel-switch and Hallsville NGCT resources. SWEPCO 2024 Arkansas IRP, 2025-02-14
  • Statewide adequacy warning: Arkansas Advanced Energy’s March industry report concluded that utility IRPs show generation shortfalls appearing as early as 2026 and that large industrial loads and data centers are materially reshaping load forecasts. This is an industry-association synthesis, not a PSC adequacy determination, but it documents the widening gap between existing plans and proposed demand. Arkansas Advanced Energy, 2026-03-18; Talk Business & Politics, 2026-03-18

5) Utility load forecasts and data-center demand

  • Google West Memphis: Public Arkansas economic-development and utility materials describe Google’s West Memphis campus as a multi-billion-dollar project on more than 1,000 acres, paired with the 600-MW solar / 350-MW battery resource described above. AEDC, 2025-10-02; Entergy, 2026-03-05
  • Little Rock / Port of Little Rock Google site: The revised Corps application says the five-building Willowbend proposal would likely exceed 100 MW, but Google still characterized the purchased Port site as a potential data center in the very early evaluation stage on July 17. The Corps’ public docket showed no final Section 404 decision. U.S. Army Corps of Engineers, 2026-04-06; Google, accessed 2026-07-17
  • AVAIO Little Rock / Project Leo: AVAIO states the project begins with 150 MW of grid power and has a path to 1.07 GW total baseload power if fully built out. AVAIO Digital, accessed 2026-07-17
  • Clarksville / Serverfarm: A draft 15-year Clarksville Connected Utilities agreement covered the first 318 MW of projected load and required the developer to fund related infrastructure in advance. CCU did not execute the ESA, construction-funding agreement, or SPP transmission agreement at its June 30 meeting because final terms were incomplete; an SPP study had identified approximately $15M-$20M in upgrades. Separately, Solaris contracted to provide Hatchbo more than 500 MW of generation equipment for the data center beginning in first-quarter 2027. Johnson County Graphic, 2026-06-23; Johnson County Graphic, 2026-07-07; Solaris Energy Infrastructure Form 10-Q, 2026-05-01
  • Conway: The proposed campus could take up to 1,000 MW from Entergy Arkansas, while Conway Corp would provide up to 10 MW for auxiliary/non-data-center uses. The city’s MOU applies a 0.75% franchise fee to Entergy-supplied power, projected by local officials at roughly $4M annually at 1,000 MW. Arkansas Business, 2026-05-18
  • Union County Campus: Z Squared’s proposed acquisition of Paradox Data includes approximately 8 MW of operating, energized capacity in El Dorado and a campus concept targeting as much as 150 MW of firm continuous power through utility service and behind-the-meter generation. The transaction and expansion remained contingent on diligence, definitive agreements, approvals, and interconnection milestones as of July 17. U.S. SEC / Z Squared, 2026-06-25

6) Behind-the-meter, co-location, and direct supply arrangements

  • AVAIO behind-the-meter generation: AVAIO’s current project page states that Project Leo will use nearby natural-gas pipeline access for 500+ MW of on-site behind-the-meter thermal generation starting in 2027, with further grid additions planned later. AVAIO Digital, accessed 2026-07-17
  • Union County hybrid plan: The Union County Campus concept similarly combines grid service with behind-the-meter natural-gas generation, but only its approximately 8-MW energized capacity was operational in the June announcement; the path to 150 MW was prospective. U.S. SEC / Z Squared, 2026-06-25
  • Clarksville generation agreement: Solaris’s Hatchbo agreement covers more than 500 MW of generation equipment for an initial 10-year term, with a five-year extension option, beginning in first-quarter 2027; the separate 318-MW municipal service proposal remained unsigned at the cutoff. Solaris Energy Infrastructure Form 10-Q, 2026-05-01; Johnson County Graphic, 2026-07-07
  • SPP HILL/HILLGA support for paired load and generation: SPP’s HILL integration process includes a HILL Generation Assessment intended to study high-impact large loads and supporting or on-site generation in parallel. Southwest Power Pool, accessed 2026-07-17
  • LPHLDS constraints on alternative-source riders: Entergy Arkansas’s high-load-density tariff bars simultaneous use of LPHLDS with net-metering and cogeneration riders, which narrows tariff paths for high-density loads seeking those configurations. Entergy Arkansas tariff, 2024-11

7) Transmission constraints and planned upgrades

  • SPP: CHILLS now provides a conditional, curtailable bridge for large loads awaiting firm transmission service or network upgrades. FERC nevertheless opened EL26-68 on June 18 because SPP’s tariff may still need broader reforms on service clarity, cost shifting, co-location, flexible service, and resource adequacy. FERC order via SPP, 2026-06-05; FERC SPP Order, 2026-06-18
  • MISO: MISO’s expedited resource-adequacy/project-review and service-step-up work could allow staged service before every upgrade is complete, but FERC’s EL26-70 show-cause order means the final tariff framework and cost protections remained unsettled on July 17. MISO, accessed 2026-07-17; FERC MISO Order, 2026-06-18
  • Entergy Arkansas: The PSC approved Entergy’s GAJA annual update June 4; after Entergy filed revised attachments June 5, Order No. 9 on June 12 found the revised Rate Schedule No. 73 pages just and reasonable and effective immediately. Arkansas PSC Docket 26-008-TF, accessed 2026-07-17
  • Clarksville / SPP interface: CCU’s contemplated 318-MW phase requires about four miles of new 161-kV line and roughly 50 easements. The developer was to advance all project construction costs, but the ESA/CIAC/NITSA package remained unsigned after CCU deferred action June 30 pending final legal and technical terms. Johnson County Graphic, 2026-06-23; Johnson County Graphic, 2026-07-07
  • SWEPCO transmission context: SWEPCO’s Arkansas IRP noted that AEP’s transmission system has limited import capability and that many constraints are in neighboring systems, which remains relevant for large-load siting in SPP territory. SWEPCO 2024 Arkansas IRP, 2025-02-14

Gaps & verification notes