Sedona explores virtual power purchase agreements for community-scale solar energy projects

The Sedona City Council meeting held on August 27, 2025, focused on discussions surrounding energy procurement strategies, particularly the exploration of Virtual Power Purchase Agreements (VPPAs) and the potential for community-scale energy initiatives.

The meeting began with a review of anticipated growth requirements for energy, highlighting the challenges faced by both Arizona Public Service (APS) and Salt River Project (SRP) in meeting these demands. Council members expressed concerns about the uncertainty consumers might face when transitioning to community-scale energy solutions. It was noted that while VPPAs could provide a stable energy source over a long-term agreement, the future pricing structures from APS and SRP remain unpredictable.

A significant portion of the discussion centered on the potential benefits of VPPAs, with council members considering how these agreements could serve as a hedge against fluctuating utility prices. The council expressed a desire to educate the community about these opportunities, emphasizing that participation would involve some level of risk.

Vice Mayor Bryce was asked to provide examples of short-term opportunities related to VPPAs. He indicated that while most projects would require a longer timeline, there are possibilities for immediate engagement through cooperative purchasing agreements for solar energy. However, he cautioned that most projects would take approximately two to three years to come online.

The conversation also touched on the feasibility of establishing a solar farm on the Dells property in Sedona. While theoretically possible, it was noted that such a project would require APS's agreement to manage the energy produced, particularly if it exceeded local consumption needs.

In conclusion, the meeting underscored the council's commitment to exploring innovative energy solutions while navigating the complexities of community engagement and regulatory requirements. The next steps involve further investigation into VPPAs and potential projects that could benefit the Sedona community in the long term.