PHOENIX (AZFamily) — Environmental groups are raising concerns that Arizona is stepping away from its renewable energy initiatives.

This comes after the Arizona Corporation Commission (ACC) voted to eliminate incentives for utility companies to use renewable energy sources. The commission also voted to convert two coal power plants to natural gas.

Solar, water and wind power currently account for 20% of Arizona’s electricity generation, and environmental groups said the ACC’s decisions put years of investment in those initiatives at risk.

Coal plants to become natural gas facilities

ACC Chairman Nick Myers said the moves are aimed at improving reliability and reducing costs for customers.

“This is one of those opportunities to remove bad policy. It’s not the most cost-effective method of energy generation,” Myers said. “I got two priorities as the commissioner, and that is reliability first, and a very close second is affordability.”

The chairman said converting the plants to natural gas would save $280 million compared to continuing coal production.

Sierra Club: Decision locks utilities into fossil fuels for decades

Sandy Bahr of the Sierra Club said the conversion would commit utilities to burning gas for years to come.

“It’s just disappointing to see the utilities move from one fossil fuel, dirty coal, to another fossil fuel, harmful gas, instead of really pushing to move to clean energy,” Bahr said.

“I was concerned because I feel like by doing that and spending all that money to convert it, it will mean that they will be burning gas for a long time,” she added.

Bahr said the commission’s actions represent a step backward for the state.

“The Arizona Corporation Commission is taking Arizona backwards. We have a lot of sunshine. Solar should be the energy resource that we look to,” she said.

Background on Arizona’s energy landscape

Four years ago, Arizona Public Service declared that solar energy plants paired with batteries were the cheapest way to power the state. Months later, the Navajo Generating Station, the largest coal-fired power plant in the West, shut down outside of Page.

Despite those developments, four coal plants in rural Arizona, along with some in neighboring states, continue to supply power to Arizona.

The ACC’s recent decisions have raised questions about the direction of Arizona’s renewable energy future.

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