The Desert Southwest Pipeline will strengthen energy infrastructure across Arizona and New Mexico while creating jobs, supporting local businesses, and generating long-term economic benefits for communities along the route.
Estimated Property Taxes
Taxes are paid annually for the life of the pipeline, with the project's estimated property tax totaling approximately $59 million in its first year of service
Arizona Taxes
New Mexico
Texas
Delivering Value For Communities Across The Southwest
The Desert Southwest Pipeline is designed to meet growing energy demand while creating meaningful benefits for the communities, businesses, landowners, and local governments connected to the project.
From construction spending and workforce opportunities to long-term property tax revenue and increased energy reliability, the project will contribute to economic growth throughout the region.
Benefits for the Southwest
The Desert Southwest Pipeline is designed to meet growing energy demand while delivering lasting benefits to communities, businesses, landowners, and local governments. From construction spending and workforce opportunities to long-term tax revenue and improved energy reliability, the project will support economic growth across the region.
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Reliable Energy Supply
The project will expand access to natural gas to support growing communities, business development, and future energy needs across Arizona and New Mexico.
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Jobs & Workforce
Construction will support up to 5,000 local and union jobs over the four-year build, creating opportunities for local workers, contractors, suppliers, and skilled trades. The completed pipeline will also create approximately 75 permanent operations and maintenance positions.
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Support for Local Businesses
Project construction will boost demand for local businesses, including lodging, restaurants, fuel providers, equipment suppliers, construction services, and other vendors throughout the project area.
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Long-Term Tax Revenue
The project will generate significant property tax revenue to help fund schools, public safety, infrastructure, and other essential local services for years to come.
Investing In The Region's Future
The Desert Southwest Pipeline represents a major infrastructure investment designed to support the long-term energy needs of the Southwest.
Key benefits include:
- Significant investment in local economies
- Support for American manufacturing and domestic energy development
- Increased energy capacity for growing communities
- Long-term tax revenue for counties and municipalities
- Opportunities for local and union labor during construction
Supporting Reliable Energy
Southwestern Communities throughout Arizona and New Mexico continue to experience population growth, business development, and rising electricity demand. The Desert Southwest Pipeline will help deliver additional natural gas supplies needed to support power generation and strengthen regional energy infrastructure.
By expanding access to reliable energy resources, the project helps position the region to meet future demand while supporting economic growth and grid reliability.
Benefits That Last Beyond Construction
While construction activity creates immediate economic opportunities, the benefits of the project continue long after completion.
Communities along the route may benefit from:
- Ongoing property tax contributions
- Continued support for public services
- Improved energy infrastructure
- Economic development opportunities
- Long-term investment in the region’s future
Safety Systems
Every section is inspected, tested, and monitored. Built-in systems help detect issues early and respond quickly.
Safety Info
More Than a Pipeline
See how the project creates jobs, strengthens energy reliability, and supports local communities.
Stakeholder EngagementProject Q&A
Why do we need the Desert Southwest Pipeline Project?
The Desert Southwest Pipeline Expansion Project will provide Arizona and New Mexico with a reliable supply of natural gas from the Texas Permian Basin. This additional energy supply will help utilities meet growing demand for power and electric generation as communities expand, populations increase, and businesses continue to grow throughout the region.
How will the construction of the Desert Southwest pipeline benefit local communities?
The project is expected to create approximately 5,000 construction jobs, along with increased demand for local goods and services. Once operational, the project is also expected to support approximately 35 permanent jobs.
How will the Desert Southwest pipeline provide long-term economic benefits to my community?
Desert Southwest will financially benefit local communities for decades.
Once in service, the project is expected to generate approximately $56 million in ad valorem tax payments to counties along the route in its first year. Ad valorem taxes, primarily property taxes, help fund essential local services such as schools, law enforcement, libraries, parks, and hospitals.