Arizona Public Service submits rate case reflecting investments in additional equipment, customer programs

Arizona Public Service (APS) recently submitted a rate case with the Arizona Corporation Commission (ACC) that requests a rate increase, reflects investments in additional equipment, and proposes new customer programs.

“We prepared this filing with a focus on customers and to meet the energy needs of one of the fastest-growing states in the country,” APS President Jeff Guldner said. “Our efforts center on achieving cleaner air and integrating more renewables, important advances that require investment. We prioritized delivering these benefits while reducing our operating costs and minimizing the impact on customer bills.”

In the rate case, APS is requesting a $184 million increase. APS expects the average monthly bill impact for its residential customers to be 5.4 percent, with the impact for 95 percent of its residential customers at between 3 and 6 percent. The rate increase is proposed to take effect on Dec. 1, 2020.

The increase would support cost recovery of emission control equipment at the Four Corners Power Plant as well as additional equipment for serving new customers, integration of new renewables, and investments in customer programs.

The filing also proposes a simplified bill option for customers and eliminating various fees. It also includes a pilot program to offer customers a subscription rate, which would enable customers to know their fixed costs for two years. Increased funding for Crisis Bill Assistance and a simpler process for enrolling in limited-income programs are also included in the proposal.

The next steps in the ratemaking process include the ACC setting a procedural schedule and hearing dates. APS noted that the ratemaking process typically lasts for at least one year.