Opposition mounts against APS’ rate hike proposal

January 30, 2017
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. 

16 June 2026
Napa, USA
PV Tech has been running PV ModuleTech Conferences since 2017. PV ModuleTech USA, on 16-17 June 2026, will be our fifth PV ModulelTech conference dedicated to the U.S. utility scale solar sector. The event will gather the key stakeholders from solar developers, solar asset owners and investors, PV manufacturing, policy-making and and all interested downstream channels and third-party entities. The goal is simple: to map out the PV module supply channels to the U.S. out to 2028 and beyond.
13 October 2026
San Francisco Bay Area, USA
PV Tech has been running an annual PV CellTech Conference since 2016. PV CellTech USA, on 13-14 October 2026 is our third PV CellTech conference dedicated to the U.S. manufacturing sector. The events in 2023, 2024 and 2025 were a sell out success and 2026 will once again gather the key stakeholders from PV manufacturing, equipment/materials, policy-making and strategy, capital equipment investment and all interested downstream channels and third-party entities. The goal is simple: to map out PV manufacturing in the U.S. out to 2030 and beyond.

Read Next

February 26, 2026
US engineering and manufacturing company MacLean-Fogg has acquired solar PV tracker and fixed-tilt solutions manufacturer OMCO Solar.
February 26, 2026
Developers are forecast to add a record 43.4GW of new solar PV capacity to the US power system in 2026, according to the EIA.
February 26, 2026
Power loss at solar PV projects has more than doubled in the last five years despite maturing markets and advancing technology, according to new data from US-based  solar asset analysis firm Raptor Maps.
February 26, 2026
A round-up of several project stories in the US that have been announced this week, including OCI Energy, Arava Power, Arevon Energy and MN8.
February 25, 2026
Clean energy investment in the US remained resilient in 2025 despite political volatility and accelerated tax credit deadlines, reports Crux.
February 25, 2026
First Solar has signed a patent licensing agreement with UK-based perovskite solar firm Oxford PV to use its technology in the US.

Upcoming Events

Solar Media Events
March 24, 2026
Dallas, Texas
Solar Media Events
April 15, 2026
Milan, Italy
Solar Media Events
June 16, 2026
Napa, USA
Solar Media Events
October 13, 2026
San Francisco Bay Area, USA
Solar Media Events
November 3, 2026
Málaga, Spain