Opposition mounts against APS’ rate hike proposal

Share on facebook
Share on twitter
Share on linkedin
Share on reddit
Share on 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.

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

September 21, 2021
India added 521MW of rooftop solar in Q2 2021, an increase of 517% compared to the 85MW added in the same quarter last year despite a slight increase in costs, according to a Mercom India report.
PV Tech Premium
September 17, 2021
PV Tech spoke to investors and analysts about why Brazil is fast becoming an attractive market for solar investment.
PV Tech Premium
September 13, 2021
Following the release of the US Department’s Solar Futures Study, Liam Stoker assesses the downstream and upstream trends that must be realised for US solar to fulfil its potential.
September 6, 2021
A coalition of 347 organisations has warned that potential changes to California's policy support for rooftop solar could set back climate change progress and harm low-income access to solar energy.
PV Tech Premium
September 3, 2021
For years California, Texas and Florida have dominated the US solar market, but backed by the investment tax credit, strong state-specific renewables standards and falling costs, new states are coming to the fore. Molly Lempriere takes a look at what is driving them, and the hurdles they face if they are to challenge the ‘Big Three’.
August 25, 2021
The US renewables sector has welcomed the House of Representatives’ approval of a budget resolution that provides the framework for a US$3.5 trillion spending package.

Subscribe to Newsletter

Upcoming Events

Solar Media Events
October 6, 2021
Solar Media Events
October 19, 2021
Solar Media Events
December 1, 2021