Arizona Corporation Commission Vice Chair Rachel Walden discusses utility regulation, nuclear energy, and Arizona power markets

Rachel Walden, vice chair of the Arizona Corporation Commission (ACC), discussed utility regulation, deregulated energy markets, nuclear power development, and Arizona’s growing electricity demands during an appearance on the Phoenix Business Brief Podcast.

Walden explained the ACC’s role in regulating rates for many of Arizona’s electric, water, and natural gas utilities, while also overseeing railroad safety, pipeline safety, and securities-related fraud investigations.

Listen to this episode:

• Apple

• Spotify

“A lot of people work with the commission for their filings for the corporations and LLCs, but I think we're most known as the people that regulate the rates for utilities,” Walden said.

During the interview, Walden discussed how Arizona’s regulated utility structure differs from deregulated energy markets in other parts of the country, including PJM in the eastern United States.

“What we've seen from deregulated markets is that they absolutely cost more money,” Walden said.

Walden said Arizona utilities operate as vertically integrated systems that generate much of their own electricity instead of relying heavily on wholesale power markets. She said that structure can help reduce exposure to price spikes tied to electricity demand.

“We saw in PJM this winter, especially with the data centers driving up demand, the megawatt hour was $1,600,” Walden said. “APS or SRP, they can generate their own power at 20 to $80 a megawatt hour.”

The conversation also covered Arizona’s growing electricity demand, renewable energy integration challenges, and future nuclear energy development.

“Nuclear's exciting because it's got bipartisan support, and so no one's really fighting about it,” Walden said. “It's more about how are we gonna get it here as soon as possible.”

Walden said utilities across the country are exploring small modular reactor technology, though supply chain constraints and workforce shortages remain challenges for future nuclear expansion.

She also discussed how Arizona utilities interact with neighboring states’ power systems, including situations where Arizona utilities can purchase excess solar-generated electricity from California during periods of oversupply.

About the Guest

Rachel Walden is vice chair of the Arizona Corporation Commission (ACC), where she helps oversee utility regulation, energy policy, pipeline and railroad safety, and securities enforcement in Arizona. She was elected to the commission in 2024 after previously serving on the Mesa Public Schools governing board.

Before entering public service, Walden worked at Vanguard for 12 years and has a background in finance and investment services. She has been active in Arizona education and public policy issues and has focused much of her work on utility affordability, energy reliability, and consumer protection.

The Arizona Corporation Commission is a constitutionally established state agency that regulates many of Arizona’s electric, water, wastewater, and natural gas utilities. The commission also oversees railroad and pipeline safety, incorporation filings for businesses and LLCs, and securities-related enforcement and fraud investigations. Arizona is one of a limited number of states with an elected utility commission.