News Release

Phoenix, Ariz. –  The Arizona Corporation Commission approved a rate increase for Arizona Public Service Company during the February 22, 2024, special open meeting. 

APS requested a Return on Equity (ROE) of 10.25 percent. The Commission voted to adopt the recommendation of Assistant Chief Administrative Law Judge Sarah N. Harpring and established a ROE of 9.55 percent with a return on the fair value increment (FVI) of 0.25 percent. The recommendation passed by a 4-1 vote.

The estimated bill impact will be approximately 8 percent effective March 1, 2024.   The average monthly bill increase for a typical residential customer will be $10 - $12 a month.

To further reduce subsidization among APS’s residential customers, the Commission approved a revenue allocation that includes a small additional fee for residential customers who have solar systems connected to the grid. Assuming a 10KW system, it would range between$2.29/month and $2.56/month depending on the customer’s rate plan. Customers with smaller systems will pay less.

“APS and the 28 parties in the case were thoughtful, vigorous advocates for their respective interests,” said Chairman Jim O’Connor.  “Our constitutional obligation is to protect the interest of all ratepayers and ensure the grid is reliable. I believe today’s decision fulfills our duties.  It means that rates are equitable and fair among customers.  Arizona’s population and economy is growing at a rapid pace, and that means utilities must expand their infrastructure and service, as well.  While Thursday’s decision was not easy, it is a necessary one to make sure utilities continue to meet the demand of our growing economy and maintain reliable service,” said Chairman O’Connor.

All documents relating to the case can be found in the Corporation Commission’s online docket at edocket.azcc.gov and entering docket number E-01345A-22-0144