A federal utility provider in central Arizona, serving thousands of customers, is exploring options to transfer ownership to other utility companies.
The ABC15 Investigators have reported ongoing power outages affecting the San Carlos Irrigation Project SCIP, which is operated by the Bureau of Indian Affairs (BIA). Many customers have expressed frustration over the repeated outages this summer, with power being out for anywhere from a few seconds to over 20 hours.
SCIP doesn’t generate its own electricity because they lack the water needed for hydropower. Instead, they purchase electricity from the Western Area Power Administration and the Southwest Public Power Agency, which they then resell to more than 13,000 customers.
A spokesperson for the BIA told ABC15 that they believe other tribal or non-federal entities could provide better service. The BIA hopes to transfer ownership of on-reservation facilities to the Gila River Indian Community and the San Carlos Apache Tribe.
The BIA also serves customers who live off tribal land and plans to work with private and public utilities in Arizona to manage these services. If the tribes decide not to take ownership, the BIA will seek other utility companies to serve the reservations.
The BIA considers this transfer a significant economic opportunity for tribes and other stakeholders. The move could also result in better efficiency and cost savings for customers.
Power outages are not only affecting families but also emergency services. Steven Kerber from Regional Fire and Rescue says outages disrupt their operations, from preventing fire trucks from leaving the station due to malfunctioning doors to cutting off high-speed internet for communication with emergency dispatchers.
Kerber said they lack funds for generators needed to power their operations during outages. Their fire department, funded by homeowners, struggles to cover costs for essential equipment due to limited resources.
Regional Fire and Rescue has experienced at least six outages in the past 30 days, with utility bills reaching $2,100 per month during summer.
Moving forward with any changes will likely require federal legislation. Senator Mark Kelly has been in contact with the BIA, requesting more information on their divestment plans and working with tribes and other stakeholders to address these issues.
The BIA says the success of this initiative will depend on coordination between federal, tribal, and state parties and may require federal legislation to proceed.