ASU and PayPal recently announced they would buy solar power from the APS-operated Red Rock Solar Plant south of Casa Grande.

Most, if not all, of the 40 megawatts the facility generates are expected to go to those two entities. APS says Red Rock is its biggest grid-scale solar power plant.

With me now to talk about arrangements like this is Ken Silverstein, contributor to Forbes and Editor in Chief of Business Sector Media. Silverstein discusses what he thinks about the deal between APS, ASU and PayPal.