PHOENIX — As a new APS rate hike goes into effect Friday, schools and churches will pay more than twice the rate increase as "large companies." Rooftop solar customers will also pay a larger burden of the rate hike, thanks to a new “grid access” fee approved by the Arizona Corporation Commission.
APS projects the average impact to homeowners will be about 8%, or $10.50 per month. Many factors impact monthly bills including how much energy a customer uses and a customer’s “time-of-use” plan.
Here’s a look at other takeaways from the new rate plan:
-74% of residential customers will see a 7-9% bill increase
-10% of residential customers will see a 9-11% increase
-10% of residential customers will see a 5-7% increase
-Extra Large businesses will see a 3.4% increase
-Schools, churches and small businesses will see an 8-9% increase
-Rooftop Solar Customers will see an average $2.50 monthly increase in addition to the rate hike
Why large businesses are paying less
During last year’s hearings, APS said they believed larger businesses should pay a smaller rate increase than small businesses because they pay “a larger portion of the overall pie.” Small business owners alleged that politics and donor money played a role in the decision.
Ultimately, the Commission approved a plan drawn up by the administrative law judge overseeing the hearing. The judge’s plan was proposed after testimony from several parties.
Arizona Chamber of Commerce President Dany Seiden said he supported the rate structure because small businesses feed off larger ones.
Options for APS customers to save money and get help
Homeowners looking to save money on their bills can use the APS price comparison tool. Crisis bill assistance, payment arrangements, and nonprofits are available for customers concerned about paying their bills. The nonprofit Wildfireaz.org assists homeowners and offers a confidential screening.
Customer Advocacy Agency Wanted Smaller Revenue Increase
The state agency that represents APS customers proposed the monopoly utility be authorized to receive a revenue increase of $85 million. The plan approved by the commission granted APS three times that amount.
APS successfully argued that growing energy needs justify larger revenue increases.
Up to Speed
Catch up on the latest news and stories on the 12News YouTube channel. Subscribe today.