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 19, 2026
Independent power producer (IPP) Swift Current Energy has filed a lawsuit against thin-film cadmium telluride (CdTe) solar module manufacturer First Solar in the New York County Supreme Court.
October 19, 2026
Solar PV manufacturer Qcells has unveiled new, US-produced versions of two residential AC solar panels, Q.TRON AC and Q.PEAK DUO AC, by the end of 2026.
October 19, 2026
The skilled worker shortage was one of the key discussions from solar manufacturers at last week's PV CellTech USA Conference.
Premium
October 16, 2026
Markus Beck of RCT Solutions discusses how the US PV manufacturing can be sustained beyond the current boom.
Premium
October 16, 2026
Industry experts from all fields of the solar PV industry gathered this week at PV CellTech USA to discuss the US solar manufacturing sector.
October 16, 2026
Concord New Energy (CNE) has closed US$400 million in financing for its US clean energy and digital infrastructure portfolio.

Upcoming Events

Solar Media Events, Upcoming Webinars
October 21, 2026
2pm AEDT
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