Flagstaff joins NAU‑led consortium to pursue virtual power purchase agreements, council approved participation

City of Flagstaff staff updated the Sustainability Commission Oct. 20 on the city’s decision to join an Arizona consortium pursuing virtual power purchase agreements (vPPAs) to increase purchases of clean electricity.

Jenny Niemann said the city joined a collaborative effort led by Northern Arizona University sustainability officials and that City Council approved the intergovernmental agreement Oct. 7. The consortium will explore pooled procurement strategies to seek economies of scale and contract terms that increase additionality—i.e., contributing to new renewable generation—rather than only buying existing green power products, Niemann said.

Niemann said the effort is coordinated with the Arizona Board of Regents and the city will consult its current retail power providers (for example, APS and SRP for different customers) as well as other potential suppliers. She said staff expect partners to issue a request for proposals in the coming months to pursue competitive rates and to capture tax‑credit and other market timing advantages.

Commissioners asked whether tribal entities and the Navajo generation asset base are part of the current discussions; Niemann said tribal partners are not currently part of the consortium but that staff continue outreach and are exploring possible partnerships.

Niemann said this stage is an authorization to participate and that commissioners and the public will receive more detailed procurement materials as the consortium moves toward a formal RFP process.