President Trump’s energy action is the right call for Arizona

By Kevin Thompson

President Trump’s recent executive action delaying the EPA’s updated Mercury and Air Toxics Standards (MATS) rule is a critical step toward ensuring energy reliability and security – not only in Arizona but across the country.

In 2010, President Obama stated that cap and trade “was just one way of skinning the cat.” So it wasn’t surprising that the EPA promulgated the original 2012 MATS rule in an effort to reduce emission of mercury and other air pollutants from coal and oil-fire energy generating units.

More than a decade later, in May 2024, the EPA amended the MATS regulations in an effort to impose even more stringent restrictions on these plants. Fortunately, the 2024 standards were challenged by a coalition of attorneys general and remain pending before the D.C. Court of Appeals.

Addressing a threat to reliability

The EPA’s original rule and 2024 proposed revised rule are examples of long-standing and short-sighted efforts to shut down coal plants across the country. An effort which has made our grid less reliable and our electricity more expensive under the guise of reducing greenhouse gases.

So it was a welcome relief when earlier this year, under the leadership of Administrator Lee Zeldin, the EPA proposed a repeal of the 2024 standards, arguing that “the primary purpose of these Biden-Harris administration regulations was to destroy industries that didn't align with their narrow-minded climate change zealotry.” 

The revised rules would have forced needlessly expensive pollution controls requirements on coal-fired power plants by 2027, without any technical basis to do so. If implemented on that timeline, utilities would be left with little choice but to further retire plants prematurely, threatening grid reliability, risking electricity shortages and imposing higher prices on ratepayers to recover the cost.

The impact on Arizona

In Arizona, we understand what energy and grid reliability means. We live in one of the hottest regions in the country and remain one of the fastest expanding electricity grids. During peak summer months, electricity is not just a commodity – it’s a lifeline. In early July, with temperatures in Phoenix reaching 118 degrees, we set a new record for peak energy demand for the third year in a row.

Our utilities rely on a mix of energy sources, including natural gas, coal, nuclear and renewables to keep the lights on. Arizona has three functioning coal plants that provide power to customers, and we also receive power from the Four Corners plant in New Mexico.

Collectively these plants provide more than 3,000 MWs of power for Arizonans. To put that into perspective, that’s enough electricity to power roughly 10% of Arizona’s residential households. You don’t have to be an energy expert to recognize that removing that much generation too quickly without realistic and reliable alternatives undermines the stability of our grid and the affordability of electricity.

President Trump’s order offers a common-sense pause: a two-year extension that allows coal plants to remain in compliance under existing rules while technology catches up and regulators reassess the feasibility of the EPA’s requirements. That pause is especially important for rural Arizona communities that rely on coal plants not just for electricity but also jobs. It’s also important for national security purposes, as President Trump correctly explained that shutting down our coal-fired plants would leave our country vulnerable to electricity demand shortages and in turn increase our dependence on foreign sources of energy. 

Promoting security, protecting ratepayers

This is not about resisting change, ignoring the environment or positioning one form of generation over others. Arizona is actively pursuing a comprehensive energy strategy that includes renewables, improves efficiency and modernizes grid planning. But we cannot abandon practicality and reality in the name of ideology. The energy landscape has shifted dramatically since 2012. Pushing forward with an unworkable regulation not based in reality would have forced higher costs on Arizonans and weakened grid stability during a time of unprecedented rapid growth and demand.

As chairman of the Arizona Corporation Commission, the most important thing I can do is to work to maintain a reliable, resilient and affordable electric grid. The Commission is charged with protecting ratepayers while ensuring reliable service across our state.

President Trump’s action directly supports those priorities. It gives states the flexibility we need to meet both near-term and long-term energy goals – without compromising reliability or economic stability. It also gives states the ability to begin planning on how to convert coal plants to natural gas plants or even small modular nuclear reactor facilities once existing coal facilities reach the end of their useful life.

I support the President’s decision because it reflects the real-world challenges regulators and utilities face every day. It’s a step toward energy policy and reliability that balances innovation with realism, and national goals with state-level expertise.

Arizona needs an energy strategy that works for our state and isn’t constrained by universal edicts handed down by the federal government. That starts with making sure our grid is strong, our power is affordable, and our regulatory policies are rooted in reality. President Trump’s executive order helps keep us on that path.

Kevin Thompson is chair of the Arizona Corporation Commission. Email: Thompson-Web@azcc.gov.  

_{*The opinions expressed in this column are those of the author and do not necessarily reflect the views of EnergyPlatform.News.}