A Carbon-Neutral Future for the U.S. Southwest


The Center for an Arizona Carbon-Neutral Economy pursues a bold vision: A thriving, resilient Arizona by 2050—advancing collaboration, innovation, and shared opportunity to realize a carbon-neutral economy that strengthens communities, enhances economic opportunity, and supports enduring prosperity. 

We support cross-sector efforts that draw on Arizona’s regional strengths—including world-class solar resources, a growing manufacturing base, leading research institutions, and strong community leadership—to enhance long-term prosperity and resilience.

AzCaNE convenes Arizona’s public, private, Tribal, academic, and community collaborators, providing transparent analysis that helps assess and identify opportunities that contribute to long-term prosperity and resilience.

State of Arizona flag on billboard

Water Considerations Related to Clean Hydrogen in Arizona

Supplying all heavy-duty trucking and 5% of Arizona’s electricity with low-carbon-intensity hydrogen in 2050 would consume around 15,500 to 34,250 acre-feet of water each year. This equals roughly 0.5 % of today’s statewide demand, or 4 to 9 gallons per kilogram of hydrogen.

Sustainable supply is influenced by groundwater drawdowns, scarce reclaimed water, complex surface-water rights and similar factors. AzCaNE convenes utilities, tribal nations, industry and regulators to navigate these trade-offs and ensure future hydrogen projects align with Arizona’s long-term water resilience.

Latest News Highlights

SunZia wind project begins generating power as largest U.S. renewable energy development

April 16, 2026 The SunZia Wind project, the largest renewable energy development in U.S. history, has begun generating electricity as it nears full commercial operation. The 3.5 GW wind project in New Mexico will deliver power across a 550-mile transmission line to customers in California and Arizona, helping meet growing demand and reduce reliance on fossil fuels. After years of permitting challenges, the project marks a major milestone for large-scale renewable infrastructure in the Southwest and highlights the critical role of transmission in connecting clean energy to high-demand regions.

SRP election results highlight split priorities on energy, affordability, and governance

April 9, 2026 Salt River Project (SRP) election results revealed a divided but engaged voter base, with record turnout and representation from both clean energy advocates and conservative groups. While leadership positions were won by Turning Point-backed candidates, a majority of board seats went to Clean Energy Team candidates. Despite differing perspectives, both sides emphasized shared priorities such as affordability, grid reliability, and water protection, reflecting the ongoing balance between energy policy direction and customer impact in Arizona.

Arizona Governor unveils strategic energy plan to address data center growth and rising power demand

April 2, 2026 Arizona Governor Katie Hobbs has introduced a comprehensive strategic energy plan to address rising electricity demand driven by data centers, population growth, and economic expansion. Developed by the Arizona Energy Promise Task Force, the plan outlines 31 recommendations focused on grid reliability, affordability, and long-term sustainability. Key priorities include expanding renewable energy, supporting emerging technologies like geothermal and nuclear, and improving energy efficiency. The plan also highlights the need for community engagement and new frameworks to manage large energy users, positioning Arizona to balance growth with a reliable and diversified energy future.

Horseshoe Bend in the Grand Canyon, Arizona

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