State Solar Policy

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Arizona Solar

Arizona's solar industry is growing quickly. It is one of the sunniest states and it is experiencing one of the largest increases in solar installations in the nation. 

Facts on the Arizona Solar Industry

In 2014, the use of solar in Arizona will save enough water to fill 25,000 swimming pools. Tweet this fact.
  • There are currently more than 330 solar companies at work throughout the value chain in Arizona, employing 8,558.
  • In 2013, Arizona installed 701 MW of solar electric capacity, ranking it 2nd nationally.
  • The 1,875 MW of solar energy currently installed in Arizona ranks the state 2nd in the country in installed solar capacity.  There is enough solar energy installed in the state to power 262,500 homes.
  • In 2013, $1.2 billion was invested in Arizona to install solar for home, business and utility use.
  • Average installed residential and commercial photovoltaic system prices in Arizona have fallen by 7% in the last year. The price to install solar on homes and business has dropped steadily across the country — by 4% from last year and 37% from 2010.

Get more solar industry data.

SEIA Arizona State Policy Priorities

  • Promote distributed generation (including wholesale DG) policies.
  • Ensure future access to net metering for solar customers.
  • Work with stakeholders to ensure reasonable and equitable property taxation treatment for solar systems.

Arizona Net Metering

After months of workshops, regulatory filings and a media battle, on November 14, the Arizona Corporation Commission (ACC) made an important decision regarding net metering. While APS’s original proposal of a $50-$100 monthly charge was rejected, the ACC did approve a $0.70/kW monthly charge for new residential solar customer (a $3.50 monthly charge for a 5 kW system). While SEIA is concerned with imposing an interim charge outside of a rate case, the decision also confirms that the general rate case in 2015 is the appropriate venue for such discussions. Additionally, the ACC voted to hold a workshop process to further investigate the true costs and benefits of solar.

What was evident throughout the process was that Arizonans care deeply about their right to generate their own power from the sun.

  • More than 30,000 Arizonans have emailed the ACC in support of rooftop solar.
  • 1,000 Arizonans gathered at the ACC to protest APS's proposed solar tax.
  • A steady stream of about 100 concerned individuals -- solar workers, solar customers, non-solar customers, environmental advocates, faith based organizations, retirees, veterans, even one passionate 11-year old girl -- participated in the public hearing to urge the ACC to support net metering.

Notable Solar Installations in Arizona

  • Agua Caliente in Yuma County was completed in 2013 by developer First Solar.  This photovoltaic project has the capacity to generate 250 MW of electricity-- enough to power over 31,800 Arizona homes.  An additional 12 MW will come online later this year.
  • At 280 MW, Solana in Gila Bend is among the largest solar installations in Arizona.  Completed in 2013 by Abengoa, this concentrating solar power project has enough electric capacity to power more than 70,000 homes.

See our solar installations maps

Solar Companies in Arizona

  • There are currently more than 330 solar companies at work throughout the value chain in Arizona.  These companies provide a wide variety of solar products and services ranging from solar system installations to the manufacturing of components used in photovoltaic panels.  These companies can be broken down across the following categories: 60 manufacturers, 27 manufacturing facilities, 167 contractor/installers, 20 project developers, 31 distributors and 52 engaged in other solar activities including financing, engineering and legal support.

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Arizona State Solar Policy Resources

Arizona Corporation Commission – Learn about the governing body that regulates the electricity rates and services of Arizona public utilities

Arizona State Legislature – Track pending legislation affecting solar energy, locate and contact individual legislators, and stay up to date on current legislative issues in Arizona 

Arizona Governor's Office of Energy Policy – Find a wide variety of information on state government energy programs, policy, projects, energy-saving strategies and energy-related statistics

Arizona State University - Solar Power Lab – Read about the innovative solar technology research taking place at Arizona State University

Arizona Goes Solar – Learn about residential and commercial solar energy options and related regulations through a collaborative effort led by the Arizona Corporation Commission and implemented by the regulated electric utilities in Arizona 

DSIRE Incentives Database - Arizona – Search a public clearinghouse for specific solar energy incentives in Arizona and across the United States

U.S. Energy Information Administration - Arizona State Profile – Explore official energy statistics, including data on electricity supply and demand, from the U.S. government 

 

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For more information about SEIA’s activities in Arizona, send an email to our state affairs team and we will respond as promptly as possible.

You can also contact our state chapter, AriSEIA, for more information on Arizona solar policy.

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