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 held a workshop on “2026 Winter Preparedness Workshop” on Thursday, October 29, 2026, which included presentations by Southwest Gas, UNS Gas, Inc., Alliant Gas, Kinder Morgan, and Transwestern Pipeline Company. Each year, the Commission asks Arizona's gas utilities and interstate natural gas pipelines to explain how they have prepared to meet the needs of consumers for quality and reliability of service during the winter months.
Local natural gas distribution companies expect prices to remain steady or decline this winter as production activity is expected to increase. Natural gas storage levels are currently above average, while demand of LNG exports is increasing. Local natural gas distribution companies expect to see an increase in demand from large customers and data centers.
Southwest Gas customers can expect to see the purchased gas cost adjustment to increase from November 2026 to April 2027 by about $2.00. The average residential customer monthly bill this winter is expected to decrease slightly, from $72.75 in 2025-26 to $70.87 in 2026-27.
UNS Gas, Inc., presented a similar outlook for this winter. The utility provides service to about 171,500 customers in northern Arizona. The natural gas market is poised to enter the heating season from a fundamentally strong position, supported by ample supply and growing demand.
Southwest Gas provided an update on the El Paso Maricopa Lateral Expansion Project, which will go into service this year. The Expansion Project will significantly increase capacity to Southwest Gas’ Phoenix service area. The Project also includes the construction of the Haystack Compressor Station.
Transwestern Pipeline operates around 2,600 miles of interstate natural gas pipeline and provides supply for several utilities, including Salt River Project (SRP), Arizona Public Service (APS), Southwest Gas Company, Tucson Electric Power (TEP)/UNS, and SoCal Gas. Maintenance on the Mainline West and Phoenix Laterals were completed in September. Transwestern Pipeline reports that the Mainline West is fully contracted year-round with 85% annual utilization. The Phoenix Lateral averages 80% utilization in the summer months and about 50% utilization during the winter. The Desert Southwest Pipeline Extension Project will increase natural gas capacity from the Permian Basin, and will help ensure Arizona and New Mexico utilities have the supply needed to meet future demand. The new pipeline is expected to be completed and go into service in 2029.
All documents and presentations related to this workshop can be found in the Commission’s eDocket at https://edocket.azcc.gov/ Docket no. AU-99999A-26-0010.