By BEX Staff for AZBEX
The Arizona Corporation Commission announced a unanimous vote to approve converting the Springerville and Coronado coal-fired power generation plants to natural gas.
Tucson Electric Power owns the Springerville Generating Station. The Coronado Generating Station is owned by Salt River Project.
In announcing the unanimous approval, ACC said, “The futures of both the Springerville and Coronado coal plants and the inevitable loss of major sources of dispatchable power have been in jeopardy for years as previous federal mandates would force their closure in the next six years.”
After the vote, Commissioner Kevin Thompson said, “The conversion of these plants will result in a dramatic reduction in emissions, an increase in the performance and efficiency of the plants, increase the lifespan of the plants, preserve quality jobs, maintain significant revenues for local communities, and is the most cost-effective way to maintain grid reliability.”
TEP owns Unit 1 and Unit 2 at Springerville. An area news outlet reported Unit 3 is owned by Tri-State Generation and Transmission Association, while Unit 4 is owned by SRP. The other two owners have contracted with the utility to maintain and operate the station, according to ACC.
TEP’s request covers modifying the coal-fired boilers at Unit 1 and Unit 2 only. TEP expects the natural gas pipeline to serve the station to be finished before year-end 2029, with the units’ conversion to be delivered in Q1 2030.
The Springerville conversion is expected to cost $170M.
SRP said it expects the Coronado natural gas infrastructure and coal unit conversion to be delivered by late 2029. Coronado currently supplies an estimated 10% of SRP’s peak demand, with a capacity to produce enough power for more than 150,000 homes.
The Coronado project is expected to cost $1.1B through 2045, including the costs to convert and operate the facility. The utility held an open house in December to inform area residents about the project.
Area leaders, including officials in Springerville and St. Johns, expressed support for the projects and appreciation of the approvals.
