Tucson Electric announces new power rates
Tucson Electric Power (TEP) announced new rates will take effect for its customers on Sept. 1.
The increase, approved by the Arizona Corporation Commission on August 8, will help pay for rising costs as well as investments into its service, the company said. The average residential bill with typical usage on the company’s basic pricing plan will rise about $11 a month, officials said.
“We’re doing everything possible to keep our service affordable as we build the resources we need to maintain top-tier reliability while working toward a cleaner energy future,” Susan Gray, TEP’s president and CEO, said. “These new rates support investments that promote efficient, effective operations, helping us control our long-term costs and reduce our community’s carbon footprint.”
The increase reflects an investment of nearly $1.8 billion in grid updates, including new poles, transformers, power lines and other equipment, the company said. Other improvements include security enhancements, technology upgrades and new wind and solar power resources. TEP said its current rates took effect in January of 2021 and do not reflect investments made by the company since 2018.
TEP said the new rates will help serve the community it serves as peak energy demands have increased nearly 6 percent since 2019 due to hotter summer weather and 14,000 new customers.
The company said the new rates also provide increased assistance to low-income customers through its Lifeline program that provides discounts to families with household income up to 200 percent of the federal poverty level.
