Apache Solar Project and Battery Storage Facility Receives Approval

Southwest electric cooperatives and public power utility leaders banded together in support of Arizona Electric Power Cooperative’s largest renewable project at the Arizona Corporation Commission Open Meeting in October. Photo by Jorge Canaca

Arizona Electric Power Cooperative, a not-for-profit, member-owned electric generation and transmission cooperative headquartered southeast of Tucson, has received board approval to enter into an agreement with Roadrunner Solar LLC and Roadrunner Storage LLC — affiliates of Clēnera LLC, an Enlight Company — to develop a new solar project. The project includes an up to 294 megawatts defined conditions capacity solar grid and an up to 940 megawatt-hours battery storage facility at the Apache Generating Station in Cochise County.

Also known as the Apache Solar II project and Roadrunner project, it will be AEPCO’s largest renewable project developed for the benefit of its rural electric distribution cooperative and public power members. It will provide enough energy to power about 54,000 homes.

“We’re excited to add this cost-effective renewable generation to our portfolio,” Patrick Ledger, AEPCO executive vice president and CEO, says. “As a not-for-profit cooperative, we work with our member-owners and their boards and managers to ensure that investments in new resources are prudently made. Our objective is to provide affordable and reliable power, not to make a profit.

The Apache Solar II project demonstrates the advantage of smaller utilities coming together on a larger project, to take advantage of economies of scale and substantially reduce costs for all participants and their electric consumers at the end of the line.”

In addition to solar power, AEPCO’s Apache Solar II will give each participating cooperative and utility member the ability to store solar energy in a 4-hour battery energy storage system with flexibility to use the batteries to meet the unique needs of each member.

To fund the project, AEPCO is exploring incentives and grants.

“Our electric cooperative and public utility members serve several disadvantaged communities in the state, so we also hope to take advantage of direct-pay tax incentives, as well as new federal grants under the Rural Utilities Services New Electronic Research Administration grants program that could help further decrease the cost of the project, providing a truly competitive source of carbon-free power for the first time,” Patrick says.

Siting, design and permitting work are expected to be complete over the next several months. The project could be operational as soon as summer 2025.