One of the fastest-growing states in the nation, Arizona is undergoing a tech-driven economic boom, with major investments from chip manufacturers, electric vehicle factories and digital data companies transforming it into a global hub for high-tech industry. This economic engine is bringing high-quality jobs and investment to our communities, but it also brings a distinct set of challenges. 

Our energy demands are skyrocketing.

According to utility estimates highlighted by the Arizona Energy Promise Taskforce, the state’s peak electricity demand could increase by up to 40% over the next 15 years. Our grid is already under enormous pressure, with utilities setting records for electricity usage during heat waves last summer. To maintain our competitive advantage and protect the quality of life here, our state must have access to reliable, affordable and clean energy.

Recently, the Arizona Energy Promise Taskforce, convened by Gov. Katie Hobbs, delivered a comprehensive roadmap to achieve exactly that. Having served on this taskforce alongside a broad array of experts from industry, government and environmental advocacy, it’s clear we all agree on one key principle: Arizona should responsibly cut red tape on clean energy to strengthen its electricity grid. 

Arizona boasts world-class solar and wind resources, including more than 300 days of sunshine each year, and the recommendations call for streamlining the buildout of cost-effective, utility-scale renewable projects to fully tap that potential and keep costs down. The state must also look to emerging firm, clean energy resources like next-generation geothermal power, which holds great promise given Arizona’s geology.

Business leaders and economic development groups consistently point out that, in addition to powering our homes and economy, clean energy is a powerful engine for jobs and investment. Today, more than 64,000 Arizonans work in the clean energy industry, more than half of all energy jobs statewide. For many communities, especially in rural areas, clean energy projects bring new tax revenue that helps fund schools, roads and emergency services. They also create new opportunities for farmers and landowners, who can lease part of their land for wind and solar projects, providing a reliable, drought-proof source of income. It only makes sense to unleash the opportunities that the new clean energy economy brings, not stifle them in red tape.

Just as important as bringing new clean power projects online, Arizona can get more out of the grid and resources we already have to tap into more savings. The taskforce highlights how upgrading the grid with new technologies can increase the amount of low-cost power flowing through existing transmission lines. As energy demand grows, especially from data centers, there are smart ways to manage that growth. Encouraging data centers to shift electricity use away from peak hours, or to bring their own clean power and storage online, can ease strain on the grid, saving money for everyone.

But modernizing our infrastructure is only part of the equation for lowering costs and keeping power reliable. A recent analysis by the Environmental Defense Fund shows that Arizona’s major utilities could lower costs to the tune of more than $100 million a year by plugging into a West-wide electricity market. By better sharing energy with neighboring states, Arizona can seamlessly import cheap, abundant clean energy during extreme heat events, like the heat dome last month. Likewise, we can export power when we have more than enough abundant solar energy to go around rather than wasting those resources.

The release of the Arizona Energy Promise Taskforce report is not the end of a process, but the beginning of a critical execution phase. We commend Governor Hobbs, Director Maren Mahoney, and our fellow taskforce members for their collaborative vision.

Now, the real work begins. We urge the Arizona Corporation Commission, our utilities, state lawmakers, and local communities to embrace the taskforce recommendations to unleash Arizona’s affordable, reliable, clean energy potential. 

Kevin Moran is associate vice president of regional affairs for the Environmental Defense Fund.