Summary
Arizona Governor Katie Hobbs signed an Executive Order to "cut away the bureaucracy and red tape" for energy development on state land.
The Upshot
- On Monday, September 15, 2025, Governor Katie Hobbs signed Executive Order 2025-13 to directly address barriers to efficient energy development.
- EO 2025-13 directs the Arizona State Land Department to propose streamlined processes for energy infrastructure development on state lands.
- The Executive Order establishes the Arizona Energy Promise Taskforce to develop plans to facilitate large-scale growth.
The Bottom Line
This Executive Order could signal changes in the future for energy developers looking at Arizona for their projects. If you or your organization need assistance navigating the complex regulatory, environmental, and permitting landscape for energy development in Arizona—including state land, utility interconnection, and transmission line siting—please contact us.
This week, Gov. Katie Hobbs, signed an Executive Order targeted at addressing Arizona's growing energy demand by expediting energy infrastructure development on state land.
Changes in Federal Renewable Energy Permitting
Recent changes in federal regulation have impacted renewable energy development. Notably, in response to Executive Orders issued by President Trump earlier this year, the Department of Interior now requires wind and solar projects that necessitate federal permitting to obtain inpidual approval by the Department's Office of the Secretary. See Memorandum regarding Departmental Review Procedures for Decisions, Actions, Consultations, and Other Undertakings Related to Wind and Solar Energy Facilities dated July 15, 2025. Furthermore, the One Big Beautiful Bill Act included cuts to clean energy tax credits.
A Shift Toward State Land
With the changing federal landscape, energy developers in Arizona have increasingly turned their attention to Arizona State Land Department (ASLD) property, especially those parcels near existing and planned substations that allow for easier grid integration. Leasing or purchasing state land involves an application, due diligence, and a potentially competitive bidding process. Additionally, many energy projects require approval from the Arizona Corporation Commission and its Power Plant and Line Siting Committee, involving an application, hearing, and public meeting. Obtaining the required permits and approvals for the siting, development, and construction of energy projects on state land takes time, and public utilities in Arizona are looking to increase their capacity quickly; Arizona Public Service Company, for one, forecasts a 40% increase in peak demand over the next 15 years. See APS Article on APS Customers Set New Peak Demand Record.
Governor Hobbs' Executive Order: "Removing Barriers to Delivering Affordable Energy for Arizona"
On Monday, September 15, 2025, Governor Katie Hobbs signed Executive Order 2025-13 to directly address barriers to efficient energy development. Key actions of the Executive Order include:
- Accelerating State Land Projects. ASLD is directed to deliver a report within 30 days outlining proposals to streamline processes for energy infrastructure development on state lands, and to identify and expedite projects already underway.
- Establishing the Arizona Energy Promise
Taskforce. The Taskforce is charged with:
- developing strategies for accommodating large load growth customers (i.e. data centers) and preserving ratepayer affordability;
- preparing an Arizona energy strategy plan outlining opportunities to take advantage of emergency energy technologies, including geothermal and advanced nuclear generation; and
- delivering a generation and transmission corridor strategy plan to simplify and streamline the siting process for energy development on state land. Notably, the plan must be completed in consultation with ASLD, the Power Plant and Line Siting Committee, and many other Arizona state agencies with key roles in the permitting and approval processes for energy projects.
Governor Hobbs summarized her vision in a news release: "We're going to cut away the bureaucracy and red tape that too often holds our economy back and increase costs. With this Executive Order, we will put common sense before outdated policies and procedures and build the energy infrastructure Arizona needs."
Why This Matters
By streamlining regulations, accelerating state land access, and bringing together stakeholders via the Arizona Energy Promise Taskforce, this Executive Order aims to ensure Arizona's energy sector can keep pace with demand.
If you or your organization need assistance navigating the complex regulatory, environmental, and permitting landscape for energy development in Arizona—including state land, utility interconnection, and transmission line siting—please contact us. Our team can help you understand the latest policy changes, identify opportunity sites, and guide you through every step of your project development process.
The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.
