AZ Corp. Comm. Republican Primaries Focus on Data Centers and “Large Load" Users

Welcome to the second week of the Drunken Debates!

On Tuesday, May 19, we'll be guzzling down liquor and live blogging the Republican primary debates for the Arizona Corporation Commission.

The Arizona Corporation Commission has long been one of the state’s most powerful — and least understood — elected bodies. The five-member commission regulates utilities like APS and Southwest Gas, oversees pipeline and railroad safety, and decides how aggressively Arizona moves toward renewable energy. Because commissioners are elected statewide, the body has increasingly become a political battleground over utility rates, clean energy mandates, and the future of Arizona’s power grid.

Republicans have controlled the commission for years, often with support from utility and business interests. In recent election cycles, conservatives aligned with the Arizona Freedom Caucus and Turning Point USA have pushed candidates who argue renewable energy mandates and “green agenda” policies are driving up costs for ratepayers. But that message has not always resonated with voters. In other Arizona utility-related races — including recent Salt River Project board elections — candidates backed by far-right groups and anti-green-energy messaging suffered major losses. Critics argued voters were more concerned with rising utility bills and grid reliability than culture war politics.

This year’s Corporation Commission race continues those fights. Republican incumbent commissioners Kevin Thompson and Nick Myers are seeking reelection while facing a challenge from state Rep. Ralph Heap, a Freedom Caucus-aligned conservative who has campaigned heavily against renewable energy policies and what he calls the “Green New Deal” approach to energy regulation. Heap is not participating in the debate.

Now, the rules for tonight's game:

Live Blog

And that's the debate! A lot more sober than I want to be, but I at least got one drink finished.

My takeaway is that it's pretty clear that Myers and Thompson are teaming up in this race against Heap, who is the outsider. Going to be very curious to see what happens if Heap indeed ousts one of them in July, and what the conversation might be then.

Myers making a jab at Heap being the rookie in the room when his campaign has been less about what both men have been speaking on tonight and more about culture war issues is the only reference we've seen against him tonight.

Kevin Thompson wants to “get into the energy mix.” And Nick Myers calls the Corporation Commission the Rodney Dangerfield of offices. I need a drink y’all and I’m going to take one.

A Rodney Dangerfield joke is such a Gen X moment that I feel sorry for anyone who did not get that.

We got very close to “government overreach" just now. I’ll count that as a big sip.

Not only is that bill not passed, it never got passed the Senate committee. Debating this seems a bit moot.

Kevin Thompson says that it sucks to be Californian. And moderator calls him on it. Let’s have a drink.

Ooh, we got some finger-pointing at California. Take a sip!

AG Kris Mayes' time in office is likely going to be marked by using her power to sue in favor of consumers, consistently. So, whether or not it's as Myers says (the lawsuits are just political) it definitely has boosted her brand.

This is one of the most informative and civil debates I've seen in a while — and not nearly as wild as expected (probably because the Turning Point candidate isn't here) — so I'm endorsing John's skirting of the established rules to just find any reason to drink.

“It chapped me to no end,” Nick Myers says of Solana’s grandfathered energy agreement. A phrase worthy of a sip.

FYI, that as of 2013, the Solana plant was one of the largest electricity creators in the WORLD: https://www.kjzz.org/2013-11-06/content-9634-aps-opens-new-solar-plant-near-gila-bend

They’re really skirting around AI with all the data center talk, but not quite landing on it, and we got another large load, so have a sip y’all.

For context: A megawatt measures electricity demand at a single moment. One megawatt can power roughly 800 to 1,000 homes, a large school, or a grocery store. Data centers often require hundreds of megawatts, comparable to small power plants.

For those of you, like me, who may not be in on the wonk of water: Water credits in Arizona utility regulation aren’t literal bill credits. They usually refer to financial adjustments tied to water use rights or infrastructure costs. In cases before the Arizona Corporation Commission, utilities may recover expenses for water systems or large industrial contracts through rates. These credits can offset costs or allocate water-related investments, especially for power plants and big energy users like data centers.

Both men attended a “large load workshop,” and they keep dropping the term, and they’re not hitting any of the other sip or big sip markers, so take another couple swigs — and think of their wives.

"Water is for fighting, whiskey is for drinking" is the best line I've ever heard and I'm using it forever now.

Some background on the record energy usage last year from ACC's website: the state hit record-high electricity demand during August 2025’s extreme heat, surpassing forecasts for the year. Arizona Public Service, Salt River Project and Tucson Electric Power all broke previous demand records as temperatures climbed above 117 degrees in Phoenix. https://www.azcc.gov/news/home/2025/08/09/arizona-electric-utilities-set-record-high-demand--again--demand-soars-above-original-forecasts-for-2025

Really should have made "large loads" a sipper

Two more “large load users”. It’s a sonorous phrase, imo, and I like drinking to it.

It's interesting that there has been a capitulation away from keeping data centers, specifically, accountable. Instead, it's been a bit of a holistic focus at all companies that use a large amount of energy.

We got another “large load user” and I’m going to ask you all to take a big drink with me.

Fact check: The Arizona Corporation Commission is constitutionally required to set “just and reasonable” utility rates under Article 15, Section 3 of the Arizona Constitution. The constitution does not explicitly say utilities are guaranteed profits or rate hikes, but Arizona courts have interpreted it to mean regulated monopoly utilities are entitled to a “fair and reasonable return” on their investments

A News 12 story that came out earlier this year shows that Arizona Public Service data found residential customers used 5.5% less electricity since 2022 but are paying 23% more per kilowatt-hour, while business usage — largely driven by data centers — jumped 22%. Consumer advocates argue homeowners are unfairly absorbing costs tied to booming industrial demand. APS disputes the analysis, saying rate design is more complex and that data centers pay through contracts and infrastructure investments. The debate is fueling calls for more transparency at the Arizona Corporation Commission.

Thompson said “levalize” which is not in Merriam Webster’s. My wine is going to go stale, so I’m going to drink for ‘levalize’

For those who don't know what it means when they say "formula rates:" a formula rate plan, or FRP, is a utility pricing system adopted by the Arizona Corporation Commission that allows utilities to adjust customer rates every year using a pre-approved formula instead of waiting for traditional rate cases every few years.

Arizona Attorney General Kris Mayes has escalated her fight with the Arizona Corporation Commission over utility rates and energy policy. Mayes has filed rehearing requests, lawsuits and interventions targeting utility hikes, renewable energy rollbacks and a controversial data center deal. Myers has accused Mayes of overstepping constitutional authority for political gain. https://azcapitoltimes.com/news/2026/04/09/attorney-general-mayes-sparks-turf-war-with-arizona-corporation-commission/

From this morning's Tucson Agenda, that talks about Tucson Electric Power (TEP), which is pushing the Arizona Corporation Commission to approve “formula rates,” a system that would let the utility adjust rates annually instead of every few years through lengthy rate cases. Critics, including Residential Utility Consumer Office and Kris Mayes, warn the move could lead to steady increases with less oversight, pointing to Illinois, where lawmakers later scrapped a similar system.

Both of these guys seem to have wives who may be quite upset, it sounds like.

“We are ratepayers just like everyone else” Take a sip y’all!

I’m going to take a sip for “large loads” just because I’m thirsty. I encourage you to join me.

Speaking of rates, and the protests just mentioned. Protesters and customers rallied outside the Arizona Corporation Commission against Arizona Public Service’s proposed 14% rate increase, arguing it would burden working families while subsidizing energy-hungry data centers. APS says higher rates are needed for infrastructure costs. Public hearings will continue through June, with a final commission vote expected in December.

A lot of near misses, but nary a sip yet!

Myers mentioned his fight with a water utility company that sparked his interest. He became involved in Arizona utility politics after battling Johnson Utilities over rural water access. Residents accused the company of restricting standpipe use to a family-linked hauling business, increasing costs. The Arizona Corporation Commission ordered access restored amid wider complaints over spills, poor service and infrastructure failures. More on that here: https://www.azcentral.com/story/money/business/energy/2022/07/08/nick-myers-arizona-corporation-commission-primary-2022-candidate/7458571001/?gnt-cfr=1&gca-cat=p&gca-uir=true&gca-epti=z114339e1198xxv114339d--48--b--48--&gca-ft=233&gca-ds=sophi

Both Thompson and Myers are currently on the commission and it's very interesting that Thompson starts his opening statement thanking Arizonans for voting for BOTH of them. I'm reading that as they're in a united front against Heap.

I’m on the drink tab tonight, and will be playing along with a Car Sur from Argentina, a beautiful, saline, and herbaceous orange wine from Argentina. I got a tall pour from Westbound at Tucson’s MSA Annex, where (just across the way at Desierto books) in less than two weeks I’ll be in conversation with two great poets as part of LOOKOUT’s first Tucson-specific festival. Get tickets (for free) here: https://www.eventbrite.com/e/revolution-gardens-a-grey-gardens-gathering-tickets-1987088962578?aff=oddtdtcreator&ref=lookoutnews.org

We’ll see how much poetry comes from the debate tonight…. And I’ll be hounding y’all to take sips or down your drinks.

And what am I drinking tonight? It's a Jack and Coke kind of night. I'm already two espresso martinis in because it's been that kind of Tuesday. If all goes well, I might still be fine to drive in a few hours. Either that or my husband will have to call a Lyft for me if tonight's debate is anything like last week's Republican Superintendent for Public Schools debate, which started with a full chug of a drink in the first minute.

Alright everyone, I'm back at my local watering hole ready to dig deep into this debate. This race has been interesting so far, if only because of the stories around it. Rep. David Marshall was supposed to be one of the Republicans running to replace one of the commissioner seats, but quit his job as a legislator and tossed this campaign so he could, instead, be the Navajo County recorder. That appointment has been heavily contested and its unclear if he's going to get the position.

But there's also another person who simply won't show up tonight: Rep. Ralph Heap, who is being backed by Turning Point Action. For those who need a reminder, the PAC had their butts paddled a bit in the SRP Election, where only two of their preferred candidates won seats despite outspending progressive and clean energy candidates nearly 10-1. That board is now clean-energy policy advocates as the majority.