AZ SB1462

Establishes the Arizona Grid Security Commission to assess and protect the electrical grid from electromagnetic pulse attacks and other electromagnetic threats, with 13 members representing state agencies, utilities, and public experts appointed by the director, adjutant general, and governor.

Requires the commission to prepare a plan by January 1, 2023 for protecting Arizona's electrical grid, including upgrading extra high-voltage transformers and control systems to withstand electromagnetic pulses by January 1, 2027.

Directs the Division to select contractors by a specified date to identify critical electrical grid components vulnerable to electromagnetic threats and verify that entities upgrade identified systems to meet standards outlined in EMP Commission reports by January 1, 2024.

Allows the Arizona Corporation Commission to consider costs incurred by electric utilities to meet electromagnetic resilience standards as reasonable and necessary expenses eligible for cost recovery through rates.

Requires the security commission to prepare an unclassified annual report by January 1 of each year assessing electromagnetic threats to the electrical grid and mitigation efforts for distribution to state leadership and the public.