Katie Hobbs Rewards $15.6 Million to Projects to help Modernize Power Grids

Governor Katie Hobbs (D-AZ) has announced $15.6 million in funding for four grid resiliency projects expected to benefit 1.6 million Arizonans.

The grant was funded through the Governor's Office of Resilience Grant Program and is pushing to strengthen the state's current power grid against weather disasters.

"I'm investing in Arizona's affordable energy future and strengthening our energy system because it's critical to the success of our families and businesses," Hobbs shared. "These projects will significantly boost grid reliability, decrease power outages, reduce wildfire and extreme weather risks, and lower costs for Arizonans."

Arizona's power grids are outdated and have led to more outages for families, which the Governor is trying to prevent. Businesses have suffered through the outages as well, distributing service, and are planning to receive $27 million in investments.

The Projects

The Governor awarded the Rural Arizona Cooperative Grid Hardening Project, which prioritizes modernizing electrical conductors to ensure security during extreme weather.

Strengthening Arizona's Grid Utilizing Advanced Resilience Operations (SAGUARO) is an Arizona Public Service Company that provides timely information to first responders.

The Lingurta Substation Modernization Project - Grid Resilience Grant is expected to support infrastructure upgrades to improve stability in the Wellton-Mohawk Irrigation and Drainage District.

The final project awarded is the Wildfire Mitigation and Grid Resilience Grant, a collaboration pursuing drone technology to reduce wildfire risk.

The four projects are expected to reduce power outages for nearly 290,000 Arizona customers and cut wildfire risk by 20%. They will strengthen the grid against extreme weather to protect critical infrastructure. Additionally, they plan to inform future grid resilience planning and extend equipment lifespan to lower energy costs.

Hobbs Response

The grant received support statewide, expressing gratitude for prioritizing the safety of Arizonans and for the ability to work together to help reduce the challenges the state is facing.

The Arizona Grid Resilience Grant Program is expected to distribute the first round of funding for the selected projects by the end of 2027.

"Investments in Arizona energy are investments in growing our economy, creating more jobs, and ensuring opportunity for all Arizonans," Hobbs concluded. "I will continue to strengthen Arizona's affordable energy economy so Arizona can thrive now and in the future."