If you are a member of the media, please email ngarcia@azcc.gov or call (602) 542-0728.
If you are a member of the media, please email ngarcia@azcc.gov or call (602) 542-0728.
Phoenix, Ariz. — The Arizona Corporation Commission voted to authorize the Office of General Counsel to explore future actions to uphold its exclusive, constitutionally-granted authority to set rates for public utility companies. During a Staff Open meeting on Thursday, May 28, 2026 the Commission discussed the status of the repeals of both the Renewable Energy Standard and Tariff (REST) rules and the Gas Utility Energy Efficiency Standard (Gas EE) rules, which had been delivered to the Office of the Attorney General for review.
Pursuant to A.R.S. §41-1044, the Attorney General’s Office is tasked with a ministerial review over the form, format and general legal authority to enact or repeal a rule. The Attorney General is prohibited from conducting a substantive review or a policy review of the Commission’s exclusive constitutional ratemaking rules authority. Once the ministerial review is complete, the Attorney General is to transmit to the Secretary of State’s Office for publication and codification. Following the Commission Staff Meeting, the Attorney General’s Office approved and transmitted the repeal of the Gas EE rules - more than 90 days past the statutory deadline. Additionally, the Commission recently received notice of the Attorney General’s disapproval of the REST rules repeal alleging that the Commission violated its own rulemaking process.
“The Commission had to take action to force the Attorney General to do her job,” said Chair Nick Myers. “She was unlawfully pocket vetoing our Commission ratemaking authority by delaying the process pertaining to the repeal of the natural gas subsidies. Additionally, the Attorney General continues to play politics with the ratepayers with her disapproval of the REST Rules repeal. These costly mandates forced Arizona ratepayers to pay almost $4 billion more than they should have over the last 20 years. The Commission will continue to protect the ratepayers and will not allow the Attorney General to arbitrarily increase rates against the decision of the Commission.”
“This Commission has taken an active approach to ending unnecessary subsidies,” said Commissioner Kevin Thompson. “As a commissioner, Kris Mayes voted for these expensive subsidies that have cost ratepayers billions of dollars. It is an abuse of her position as Attorney General to use the ministerial rule approval process to substantively veto our lawfully enacted ratemaking rule repeal. Every day that goes by, she is responsible for increasing costs on ratepayers.”
“The Commission will be exploring its next steps,” said General Counsel Thomas Van Flein. "The Arizona Supreme Court established over 30 years ago that the Attorney General cannot reject the Commission’s ratemaking rules. “
Article 15 of the Arizona Constitution grants the Commission sweeping power to prescribe classifications, fix reasonable and just rates and charges, and make rules regarding the service and operations of public service corporations.