Assigned to NR FOR COMMITTEE ARIZONA STATE SENATE Fifty-Seventh Legislature, First Regular Session FACT SHEET FOR H.C.M. 2014 corporation commission; reliable energy Purpose Urges the Arizona Corporation Commission (ACC) to ensure the Arizona grid is powered by affordable and reliable energy generation, prevent regulated utilities from shutting down Arizona's dispatchable sources of energy generation and protect ratepayers by adopting the model entitled Only Pay for What You Get. Background The ACC regulates investor-owned or privately-owned utilities that provide gas, water, electricity or telephone service (ACC). The ACC has the power to inspect and investigate the property, books, papers, business, methods and affairs of any corporation whose stock is offered for sale to the public and any public service corporation doing business within Arizona (Ariz. Const. art. 15 § 4). The ACC has the power and authority to enforce its rules, regulations and orders by the imposition of such fines as the ACC may deem just (Ariz. Const. art. 15 § 19). The Arizona Constitution allows the Legislature to enlarge the powers and extend the duties of the ACC and to prescribe rules and regulations to govern proceedings by and before the ACC (Ariz. Const. art. 15 § 6). There is no anticipated fiscal impact to the state General Fund associated with this legislation. Provisions 1. States that the Legislature prays that the ACC: a) ensure the Arizona grid is powered by affordable and reliable energy generation; b) prevents regulated utilities from going Net Zero and shutting down Arizona's critical dispatchable sources of energy generation and replacing them with costly, intermittent and unreliable solar, wind and battery storage; and c) protects ratepayers by adopting the national model entitled Only Pay for What You Get to allow Arizona utilities to recover costs only from the reliable portion of generation from a proposed new source. 2. Directs the Secretary of State to transmit copies of the memorial to the Chairperson and each Commissioner of the ACC. 3. Becomes effective on the general effective date. FACT SHEET H.C.M. 2014 Page 2 House Action NREW 2/18/25 DPA 6-4-0-0 3 rd Read 2/26/25 33-26-1 Prepared by Senate Research March 14, 2025 SB/slp