Tribal Natural Resources

Hobbs, northern Arizona tribes enter 5-year 'economic resilience' pact as coal decline continues

KJZZ | By Gabriel Pietrorazio

Published August 12, 2026 at 8:37 AM MST

Navajo Nation President Buu Nygren [left] Gov. Katie Hobbs and Hopi Chairman Lamar Keevama sign a memorandum of understanding for coal-impacted communities at the Desert Botanical Garden on Aug. 11, 2026.

Coverage of tribal natural resources is supported in part by Catena Foundation

Democratic Gov. Katie Hobbs signed an agreement Tuesday in the Valley along with northern Arizona tribal leaders. This pact is meant to prioritize “economic resilience” and offer “a renewed sense of opportunity” within the Four Corners — at a time when the coal industry is in decline.

The six-page MOU is being touted as a blueprint for cooperation between the Navajo Nation, Hopi Tribe and the state of Arizona — all of which are “vulnerable to future coal mine and generating station closures.”

That includes the Four Corners Power Plant on Navajo land in New Mexico, which could shutter as soon as 2031. The private utility, Arizona Public Service, mostly owns this more than 60-year-old facility. It powers Phoenix homes with coal mined by NTEC — or the Navajo Transitional Energy Company.

The Four Corners Power Plant in New Mexico in February 2026.

The trilateral agreement comes just weeks before the Trump administration is expected to announce an August decision that may allow NTEC to expand and extend the life of a massive coal mine by more than a century.

But in the meantime, with coal lately giving way to cleaner, more efficient fuels, state and tribal leaders are now coming together to ink a five-year commitment to track closures and promote the well-being of coal miners.

At the Desert Botanical Garden, Hobbs believed “the vision we set forth here today will lead to more prosperity for generations to come.” Navajo Nation President Buu Nygren echoed her remarks, saying “this MOU is going to bring all of us together to make sure that we plan together, we work together.”

Hopi Chairman Lamar Keevama stressed this framework is a way for all parties to “work together before challenges become crises,” adding “Our goal is not simply to respond to a plan of one industry.”

The Future of Navajo Coal Country

Coal powered the Industrial Revolution, and was the dominant fuel source in the U.S. up until the 1950s. Since then, it’s been giving way to cleaner and cheaper energy alternatives. But President Trump is strategizing a comeback story for the American coal industry. His agenda includes Indian Country.

Grassroots activists working to aid tribal communities in transitioning away from coal-driven economies — like the nonprofit Tó Nizhóní Ání — are encouraged by the Arizona governor’s new memorandum of understanding.

Diné executive director Nicole Horseherder explained this official recognition is “long overdue,” because “our tribes for far too long have suffered the negative impacts of energy development on our lands, our waters and our health without the full benefits that others enjoy.”

Her nonprofit is pledging to help the Hobbs administration, President Nygren and Chairman Keevama “ensure that wrongs of the past are righted and our communities get the support they need.”

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