Stand in honor of veterans. Sign the Wall of Valor with Wish of a Lifetime from AARP.

Content starts here

AARP and Arizona Utilities Regulation 101

Gain clear insight into rate decisions, protections and ways to speak up so your voice is heard in Arizona’s complex utility system

AARP

Published March 26, 2026

AARP is committed to keeping Arizonans aged 50+ and their families up to date on issues impacting utility rates across the state. We monitor proceedings at the Arizona Corporation Commission (ACC), bills in the state legislature, and rate cases in those utilities not regulated by the ACC. The setting of utility rates is often confusing and technical. At AARP Arizona, we aim to drill down the issues to make them understandable to the consumer.

What does the ACC do?

The Arizona Corporation Commission has several functions in our state government. Created by Article 15 of the Arizona Constitution, the Commission is charged with regulating securities, the incorporation of businesses, railroads and pipelines, and acting as Arizona’s public utilities commission. Arizona is one of just seven states that have a constitutionally mandated Commissions.

Who serves on the ACC?

In most states, commissioners on a public utility commission are appointed by the Governor. In Arizona, however, we elect our commissioners. There are five commissioners and their terms of office are staggered so there is not a full turnover in any given election year. In 2024, three seats on the ACC were elected. One sitting commissioner was re-elected and in January 2025 two new commissioners will be sworn in. In 2026, two of the seats will be up for election. The ACC meets at least monthly in Phoenix.

Does the ACC regulate all utilities?

The ACC regulates investor-owned gas, electric, telephone and water utilities. It also regulates utility cooperatives – where a utility is owned by its customers. The ACC does NOT regulate utilities owned by municipalities or those that provide service for cell phones, cable or satellite TV, solar companies, or long-distance rates. Utilities owned by municipalities are regulated by the elected officials in that municipality. Utilities that are quasi-governmental (like SRP) are regulated by a board of directors.

What role does the state legislature play?

Every year AARP Arizona follows bills in the legislature that are related to utilities. In recent years, those bills have focused on adequate water supply, the impact of growth on utility infrastructure, fire mitigation, and electric vehicle charging stations. AARP watches these bills to see how/if they might impact consumers 50+. The legislature also uses non-binding resolutions to indicate their thoughts about certain utility policy issues. While these resolutions don’t carry the weight of law, they do provide guidance to the ACC Commissioners.

How can I find out more?

AARP Arizona has a robust e-advocate program. We reach out to our e-advocates when something important happens in one of our priority issue areas. To become an e-advocate, visit Sign Up! AARP. Please also bookmark this page. We will update it regularly.

Getty Images

Arizona Electric Utility Rate Cases: What you Need to Know

Stay informed on how upcoming commission decisions may influence monthly energy costs and see how AARP Arizona, a nonprofit, stands up for people 50-plus

In 2025, both Tucson Electric Power Company (TEP) and Arizona Public Service Company (APS) filed new rate cases with the Arizona Corporation Commission (ACC). These filings mark the beginning of a process that will directly impact what Arizonans pay for electricity in the coming years.

What Is a Rate Case?

A rate case is the legal and regulatory procedure through which a utility company requests permission to adjust the rates it charges customers. Unlike most businesses that can freely set prices, regulated utilities (also known as monopolies) must justify their rates to the ACC.

This process is designed to balance:

Consumer interests – ensuring affordable and reliable service
Utility needs – allowing companies to recover costs and earn a fair return
Public policy goals – supporting infrastructure investment, renewable energy, and conservation

AARP Arizona’s Role

AARP Arizona is closely monitoring both the TEP and APS rate cases. As these proceedings ramp up in January, AARP will:

Provide updates to members
Host seminars and workshops to help residents understand the process
Offer guidance on how to get involved and be heard

Most Popular

Importantly, AARP Arizona has formally intervened in the APS case. Intervention is a legal process that makes AARP a party to the case. This means AARP can present expert testimony, participate in discovery and analyze utility finances, and examine witnesses put forward by APS. Through this role, AARP Arizona serves as the voice of residential consumers across our state.

Why It Matters

Utility rate cases affect every household and business in Arizona. They determine:

How much residents pay for electricity, water, and gas
How utilities invest in infrastructure and renewable energy
The balance between corporate profits and consumer protection

By staying informed and participating in hearings, residents can play a meaningful role in ensuring fair and transparent utility pricing.

AARP Arizona’s intervention underscores the importance of consumer advocacy in these proceedings. As the cases unfold, the voices of everyday Arizonans will be critical in striking the right balance between affordability, reliability, and utility investment.

Getty Images

Arizona Electric Utility Rate Cases: Comment Opportunities

Share viewpoints on proposed utility changes, understand how rate decisions are made and see ways people 50-plus can impact future Arizona energy costs

The Arizona Corporation Commission has set formal sessions to receive comment from the public on both the APS and TEP rate cases.

For APS: Docket No. E-01933A-25-0105

January 20, 2026 (1:00pm – 4:00pm) Telephonic and In-Person
January 26, 2026 (6:00pm – 8:30pm) Telephonic
February 18, 2026 (10:00am – 1:00pm) Telephonic and In-Person
February 18, 2026 (6:00pm – 8:30pm) Telephonic
May 18, 2026 (10:00am – 1:00pm) Telephonic and In-Person

For TEP: Docket No. E-01933A-25-0103

March 18, 2026 (5:30pm – 8:00pm) Telephonic
March 23, 2026 (10:00am – 12:00pm) Telephonic and In-Person
April 1, 2026 (5:30pm – 8:00pm) Telephonic and In-Person
April 7, 2026 (5:30pm – 8:00pm) Telephonic
April 22, 2026 (10:00 am until hearing begins) Telephonic and In-Person

In addition, written public comments may be submitted by mailing a letter that includes the docket number to:

Arizona Corporation Commission
Consumer Services Section
1200 West Washington
Phoenix, AZ 85007

Comments may also be filed online through the (www.azcc.gov) by clicking on "Divisions" and then "Hearing," scrolling down to "eFiling Services," and clicking on "Make a Public Comment in a Docket."

Getty Images

AARP Arizona Intervention in APS Rate Case Approved

Arizonans 50-plus can see how advocates are challenging higher electric bills and working to keep power service reliable and affordable

This week, an administrative law judge with the Arizona Corporation Commission approved AARP Arizona’s intervention in the 2025 APS rate case. (Docket No. A-25-0105). As an advocate for the nearly 2.5 million Arizonans age 50 and older, AARP is deeply concerned about the impact of APS’s proposal on residential customers—particularly those living on fixed or limited incomes.

APS’s application seeks to increase electricity rates for residential customers by double digits %, with nearly 90% of customers expected to see a minimum 12% increase in their monthly bills. This increase comes on the heels of a 2022 rate case, approved in February 2024, which also resulted in a double-digit increase in residential rates.

The utility’s application also seeks to gut traditional regulatory review, replacing it with a formula rate scheme that would fast-track annual rate increases.

AARP has hired an expert witness, Paul Alvarez of the Wired Group, who will file testimony in the proceeding.

AARP Arizona looks forward to participating in this proceeding to keep utility service affordable and reliable for the customers of the Grand Canyon state’s largest utility.

Getty Images

How To Follow a Rate Case at the Arizona Corporation Commission

Stay on top of case filings, email alerts and public input so you can follow Arizona power bill decisions and share how changes affect your budget

Utility rate cases can feel dense and technical, but keeping up with them is much simpler than it looks. In fact, anyone can follow the process step-by-step—and your voice as a consumer truly matters.

Finding the Docket

Start by visiting the Arizona Corporation Commission’s eDocket system at https://edocket.azcc.gov/. Once there:

1. Click the search icon in the center of the page.

2. Enter the docket number for the case you want to follow:

APS: E-01345A-25-0105
TEP: E-01933A-25-0103

Each docket page includes everything you need to stay informed:

A case overview
All filings, including consumer comments
The official schedule
Final decisions and vote records

You can also sign up to receive email notifications whenever something new is filed. Just be prepared—rate cases generate a lot of activity, so your inbox may fill up quickly. If you prefer a quieter approach, bookmarking the docket page works just as well.

If you’d like to create an account to follow cases more closely, click the eFiling icon on the homepage and follow the setup instructions.

Why Your Participation Matters

Rate cases are formal, quasi-judicial proceedings overseen by an Administrative Law Judge. Even so, consumers are encouraged to follow along and share how proposed rate changes would affect their household budgets. The Commission values public input, and your comments become part of the official record.

(For details on how to submit comments, see Arizona Electric Utility Rate Cases: Comment Opportunities. https://bit.ly/4pbUw3F)

Getty Images

Utilities: Watt Does It All Mean

Untangle energy jargon with easy tips to read charges, compare rate plans and spot ways people 50-plus can better manage monthly home costs

If you follow electricity regulation, you’ll hear a lot about megawatts (MW). Most of us have a vague idea of what those are…even if we are thinking *way* back to our high school days! We might hear, for example, an electric company say they have requests to bring 10 MW online by 2035. We know that sounds like a lot, but what does that really mean in terms of generation capability and grid management?

First, let’s talk about the difference between megawatts (MW) and watt hours (Wh) since both are important to the residential consumer. A mega watt is one million watts. In our homes, we simply measure in watts, kilowatts (one thousand watts) and watt hours. Think back to the old lightbulbs. We might buy 100 W or 60 W depending on how bright we want the room to be. But those watt designations also help to determine our electricity usage. A 100 W bulb takes (you guessed it!) 100 W of power to turn the lightbulb on. The amount of electricity used to keep that bulb running for one hour is called 100 watt hours (Wh).

Our electric companies monitor the electric grid and predict our usage based on historic data. That’s why we sometimes receive alerts asking us to conserve electricity at certain times of the day. It is also why many utilities offer a time-of-use plan which penalizes customers by charging higher rates during high demand hours. In 2022, the US used approximately 4 trillion kWh. A little over one-third of that was for residential customers.

Electricity generation is measured in megawatts. How many customers can a megawatt serve? The answer depends on where and when the electricity is being delivered. In Phoenix, summer temperatures are brutal and electricity usage for air conditioning is very high. The number of customers a megawatt can serve is reduced in the summer. But in the winter, when Phoenix residents don’t require air conditioning, a megawatt in Phoenix stretches much further. This is why grid management is a priority for the utilities.

Each individual power-generating station has a capacity. The capacity is the maximum amount of energy that can be produced, not how much is regularly produced. Wind and solar farms, coal and nuclear plants, and natural gas are all forms of electricity generation. If a utility tells us they are bringing online a 100 MW wind farm it means, in the most favorable conditions, the farm could produce 100 MW. The number of homes and businesses the wind farm serves depends on its actual production and those customers' consumption.

So, can you control your electricity bill by just reducing your watt hours? Unfortunately, only in a limited sense. By reducing your usage, you can directly impact the portion of your bill related to consumption. However, your bill includes a long list of surcharges, fees, and taxes. These “extras” make it difficult to reduce your bill significantly by reducing your usage. AARP Arizona advocates for utility billing that provides full and clear descriptions of all charges, and we oppose the inclusion of separate line-item billing charges that are not expressly mandated by law.

AARP Arizona is always looking for folks to engage with policymakers on utility issues. To become an e-advocate, visit our site here: Sign Up! AARP