Gov. Hobbs Signs Order to Speed Energy Projects, Tackle Rising Power Costs

Gov. Hobbs Signs Order to Speed Energy Projects, Tackle Rising Power Costs

New task force and streamlined state processes aim to meet Arizona’s growing energy demand while keeping utility bills affordable.

Governor Katie Hobbs has issued a new executive order designed to cut red tape and accelerate energy development in Arizona, a move she says will help lower costs for families and businesses while preparing the state for surging power demand.

Signed on Monday, Executive Order 2025-13 directs the Arizona State Land Department to produce a report within 30 days recommending ways to streamline approvals for energy infrastructure on state land. The department will also be tasked with identifying energy projects already in progress that could be fast-tracked.

At the heart of the order is the creation of the Arizona Energy Promise Taskforce, a body charged with mapping out strategies to expand clean energy, improve affordability, and prevent steep utility hikes. Among its priorities: studying consumer energy costs, analyzing fuel and electric vehicle affordability, supporting businesses affected by shifting federal policies, and partnering with Tribal nations on energy sovereignty initiatives.

The push comes as Arizona utilities project dramatic growth in demand, with some forecasts estimating peak power needs could rise by as much as 40% over the next 15 years. Recent federal policy changes—including the rollback of certain clean energy tax credits—have also complicated investments in solar and wind projects, heightening concerns about future supply.

“This executive action puts common sense ahead of outdated procedures,” Hobbs said, adding that Arizona has “incredible potential to deliver affordable energy” if regulatory hurdles are cleared.

Industry and community leaders welcomed the announcement. Jim Shandalov, a vice president at NextEra Energy Resources, noted his company has already invested more than $2.5 billion across 14 Arizona projects and called the state’s approach a model for affordable, American-made power. Jeff Holly of the Arizona Building and Construction Trades Council said the order will help keep major manufacturing projects on track by ensuring reliable infrastructure.

Advocates also stressed the importance of affordability. Kelly McGowan, executive director of the anti-poverty nonprofit Wildfire, said too many families are forced to choose between paying utility bills and covering basic needs. “Energy affordability must remain a top priority,” she said.

The task force is expected to begin its work immediately, with recommendations rolling out in the coming months as Arizona positions itself to meet both its energy challenges and economic growth goals.

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