Opposition mounts against APS’ rate hike proposal

Facebook
Twitter
LinkedIn
Reddit
Email
State regulators have recommended against APS' proposal to raise consumer electricity prices, deeming it unnecessary. Source: Arizona Public Service

Arizona Public Service’s (APS) prior recommendation to introduce a rate hike to the amount of US$166 million annually alongside a mandatory demand charge for solar users, has been met with significant opposition.

Despite arguing that the extra charge would help fund grid modernisation, the Arizona Corporation Commission (ACC) has not sided with the utility, stating that no increase is warranted. In addition, staff at the Residential Utility Consumer Office (RUCO) has also recommended against the increase, which would raise monthly electricity bills by around US$11 for the average customer.

This article requires Premium SubscriptionBasic (FREE) Subscription

Try Premium for just $1

  • Full premium access for the first month at only $1
  • Converts to an annual rate after 30 days unless cancelled
  • Cancel anytime during the trial period

Premium Benefits

  • Expert industry analysis and interviews
  • Digital access to PV Tech Power journal
  • Exclusive event discounts

Or get the full Premium subscription right away

Or continue reading this article for free

The utility also defends its proposal for a demand charge, arguing that if demand during peak time is reduced, this would result in less money spent on infrastructure.

APS is set to formally respond to the recommendations by utility regulators and the RUCO on 17 February.

“We hope we can find common ground with others who care about Arizona’s energy future,” the company said in a statement.

After embarking on a valuation of solar investigation, state regulators voted to end retail net metering at the end of last month. This is currently being challenged by The Alliance for Solar Choice (TASC) and other solar advocates. The decision whether to alter the grandfathering provision to include pending applications is still postponed. 

Read Next

October 30, 2026
US solar manufacturer First Solar reported net sales of US$1.23 billion for the third quarter of 2026, down 23% year-on-year.
October 30, 2026
US CBP has released solar cell shipments from Japanese manufacturer TOYO’s Ethiopian facility after reviewing its supply chain documentation.
October 30, 2026
Michigan utility DTE Energy has announced the operational status of its 132MW Fish Creek Solar Park near Sheridan, Michigan.
October 30, 2026
SEG Solar has signed a land agreement for a planned US$950 million heterojunction (HJT) solar cell manufacturing facility at its Tomball Industrial Campus near Houston, Texas.
October 29, 2026
Nextpower has reported net income of US$165 million and revenue of over US$1.1 billion in its results for the quarter ending 2 October.
October 29, 2026
First Solar has inaugurated the first 1.7GW phase of its US$330 million manufacturing facility in Gaffney, Cherokee County, South Carolina.

Upcoming Events

Solar Media Events
November 3, 2026
Málaga, Spain
Solar Media Events
November 24, 2026
Warsaw, Poland
Solar Media Events
February 2, 2027
London, UK
Solar Media Events
April 20, 2027
Istanbul, Türkiye