A proposed AI data center near Camp Verde is drawing new attention as state regulators take up the question of who pays when large tech facilities tie into Arizona’s power grid.
Last summer, a company called Blu-Sky AI announced a non-binding letter of intent to purchase about 15 acres of industrial land near Camp Verde. Town officials have confirmed no formal application or permits have been filed, and the project remains in the very early stages — but the conversation it started hasn’t gone away.
Last week, the Arizona Corporation Commission held its first workshop on how to handle the energy demands of data centers without passing infrastructure costs on to residential ratepayers. That matters directly to APS customers in Prescott, Prescott Valley, Chino Valley, and Cottonwood — commissioners are looking at special rate structures that would require large users to cover their own grid costs rather than spreading them across everyone’s bills.
With more than 1,000 data center projects already under construction statewide and 4,000-plus in planning, regulators say they want to get ahead of the boom before more projects like the one discussed in Camp Verde move forward.