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SRP

Arizona public utility co-serving Mesa; offers 18-24 month large-load connections alongside APS for Phoenix metro data centres.

Last refreshed: 6 May 2026 · Appears in 1 active topic

Key Question

How does SRP's public-utility structure give Mesa data centres an edge over APS-served sites?

Timeline for SRP

#26 May

Cited alongside APS for competitive large-load connection windows in Arizona

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Common Questions
What is SRP and how does it differ from APS for data centres?
SRP (Salt River Project) is a publicly owned utility serving the eastern Phoenix metro including Mesa. Unlike investor-owned APS, it is not subject to Arizona Corporation Commission rate regulation, giving it pricing flexibility. Both offer 18-24 month large-load connections with solar PPAs at $20-25/MWh.Source: briefing analysis
What territory does Salt River Project serve in Arizona?
SRP serves the eastern Phoenix metro including Mesa, Tempe, and Scottsdale, covering approximately 1 million electric customers. Its territory is adjacent to APS territory and together they cover the Phoenix metro data-centre corridor.Source: SRP
Is Salt River Project regulated by the Arizona Corporation Commission?
No. SRP is a publicly owned agricultural improvement and power district, not an investor-owned utility, so it is not subject to Arizona Corporation Commission rate regulation. This gives it pricing and connection flexibility that APS, as a regulated investor-owned utility, cannot easily match.Source: SRP

Background

SRP (Salt River Project) is one of the two utilities serving the Mesa, Arizona data-centre corridor, alongside APS (Arizona Public Service). Together they offer operators 18-24 month large-load connection windows and solar PPAs at $20-25/MWh — conditions that place the Phoenix metro fifth on the global siting shortlist for 2026. SRP serves the eastern portions of the Phoenix metro area, including substantial portions of Mesa, Tempe, and Scottsdale, covering approximately 1 million electric customers.

SRP is a public utility — technically an agricultural improvement and power district — founded in 1903 and wholly publicly owned, with governance by elected directors. It is not subject to Arizona Corporation Commission rate regulation that applies to investor-owned utilities like APS. This regulatory difference means SRP can price its electricity and adjust connection processes without going through the same rate-case proceedings, giving it some operational flexibility that APS lacks. SRP operates the Roosevelt Dam system and has substantial hydropower alongside thermal and renewable generation.

The same water-stress risk that applies to APS applies to SRP: the Phoenix metro sits at WRI "high" to "extremely high" water stress, with Colorado River allocation reductions under active review. SRP's agricultural-district origins make it directly involved in irrigation water management, giving it an unusual institutional stake in the water-rights debate that data-centre cooling-tower consumption is aggravating.

More questions
Why do data centres choose the Phoenix metro area over Northern Virginia?
Phoenix offers 18-24 month grid connections via APS and SRP with solar PPAs at $20-25/MWh, compared with multi-year queues and higher costs in Northern Virginia. Land costs are also lower, and Arizona's business-friendly regulatory environment adds to the appeal.Source: Lowdown data-centres briefing
Source Material
Salt River ProjectSalt River Project