Skip to content
Learn · Arizona electric rates

The APS 2026 rate increase, explained

You have probably seen the headline number: APS wants about 14% more. Before you panic or shrug it off, here is what is actually true. It is a pending request, not a done deal, and knowing the timeline helps you decide whether to get ahead of it.

Short answer: APS has applied for a net 13.99% rate increase, filed June 13, 2025, that is still pending at the Arizona Corporation Commission. If approved as filed, APS estimates about $20 more per month for a typical home, taking effect in the second half of 2026. Nothing has changed on your bill from this case yet.

Updated May 2026. This covers a rate case that is still in front of regulators. We will update it as the Arizona Corporation Commission rules.

What APS actually filed

On June 13, 2025, APS filed for a net 13.99% rate increase with the Arizona Corporation Commission, the body that approves APS rates (APS). For a typical residential customer using 1,000 kWh a month, APS estimates that works out to about $20 more per month (KJZZ).

The key word is filed. This is a request, not a law. The ACC reviews these cases over many months, often changing the final number, and any approved change is expected to take effect in the second half of 2026, with the case concluding around late 2026. So if your bill jumped recently, this particular case is not the reason yet. Our APS rate increase page tracks the details.

SRP is on a separate track

If you are on SRP rather than APS, this case does not apply to you. SRP made its own rate changes effective November 2025, including a higher fixed monthly service charge for single-family homes. SRP sets rates through its elected board, not the ACC. We cover that on the SRP rate increase page.

Why the request, and who pays

APS ties the increase to the cost of serving fast-growing demand. Arizona's electricity use is climbing about four times the national rate, led by the data-center boom across metro Phoenix, and APS is spending billions on new generation and transmission. We unpack that in why your Arizona electric bill keeps going up.

There is a real fight about who should carry those costs. A 12News analysis argued residential customers have been paying a disproportionate share of growth costs; APS disputes that and has proposed a separate, higher-rate class for very large loads so homeowners are not subsidizing data centers (APS). That question is still open at the ACC. The full data-center cost fight is here.

How to get ahead of it

Whether or not this exact increase lands, the direction is clear: Arizona rates have been rising and the pressure on them is real. The move you control is reducing how much power you buy from the utility. Owning solar fixes the cost of the power you generate, so future increases land on a smaller remaining bill.

On the money: the federal 30% residential tax credit ended December 31, 2025, so a 2026 purchase does not earn it. The Arizona state credit, worth up to $1,000, still applies, and $0-down financing is common, which lets many homeowners trade a rising utility bill for a fixed payment. Run a quick estimate with the savings calculator, then read whether it makes sense on is solar worth it in Arizona.

Common questions

Did APS rates already go up 14%?

No. APS filed an application for a net 13.99% increase with the Arizona Corporation Commission on June 13, 2025. It has not been approved. Regulators are reviewing it, and the case is expected to conclude in late 2026, with any change taking effect in the second half of 2026. Until the ACC rules, nothing has changed on your bill from this case.

How much would the APS rate increase add to my bill?

APS estimates about $20 a month for a typical residential customer using 1,000 kWh, if the application is approved as filed. Your actual change would depend on your plan and usage, and the final number could shift during the ACC review, which often adjusts what a utility requests.

What about SRP rates?

SRP made rate changes effective in November 2025, separate from the APS case, including an increase in the fixed monthly service charge for single-family homes. SRP sets its own rates through its publicly elected board rather than the ACC, so the two utilities are on different tracks.

Why is APS asking for more money?

APS ties the request to the cost of serving fast-growing demand. Arizona load is rising about four times the national rate, led by data centers, and the utility is investing billions in new generation and transmission. Whether large loads like data centers are paying their fair share of that buildout is being argued at the ACC right now.

Can I lock in my electricity cost before rates rise?

You can reduce how exposed you are. When you own solar, the power it generates costs you the same every year, so future rate increases land on a smaller remaining utility bill. The honest answer for your specific home comes from running your actual bill, which is what the free savings review does.

Rate cases change as they move through review. Treat the figures here as the request on the table, not a final decision. Your own savings depend on your home, usage, utility, and financing.

Lock your power cost before the next hike.

Bring a recent APS or SRP bill. We will give you honest numbers for your home, not a pitch. No pressure.