Electricity Rate Increases Concern Consumers Nationwide
Across the country, electricity costs for consumers are rising steadily, making many feel worried about their monthly bills. If last year’s price spikes were alarming, they’ll be even more shocked to learn that utility companies have proposed a staggering $29 billion rate increase for 2025, which is more than double what was approved last year.
Arizona is no exception to this trend.
The state’s Attorney General, Chris Mays, has positioned herself as a defender of consumers. Recently, she voiced her strong opposition to rate hikes proposed during a meeting at the Arizona Corporation Commission (ACC). These include a significant 14% increase from both Arizona Public Service (APS) and Tucson Electric Power (TEP). Mays issued a press release stressing her commitment to opposing the hikes, stating that “Arizona residents are struggling to keep up with their ever-growing electricity bills.”
While she may not have much experience with ACC matters, Mays seems to believe her previous work on the committee in the 2000s qualifies her to fight against what seems to be an ongoing series of steep rate increases from utilities. Unfortunately for the consumers, her involvement could be seen as exacerbating the already intense debate over zero-emission policies within the Public Corporation Commission.
It’s interesting to note that Mays’ history with green initiatives has likely contributed to the current electricity hikes that Arizona residents are facing. Indeed, her recent foray into the battle against rate hikes sheds light on the surprising similarities between the committee she worked with back in 2006 and the current one.
Mays, appointed as a Republican—though she’s often aligned with Democratic principles—was a significant proponent of the original Green New Deal mandate, which aimed for 15% of all energy generation to come from renewable sources by 2025. Funding for these renewable energy standards ultimately led to increased costs for consumers, with utility companies recovering expenses from ratepayers for projects amounting to hundreds of millions.
By 2012, additional rate hikes from APS were necessary to cover various costs related to solar facilities and battery storage. Fast forward to 2019, and the price tag for Mays’ initiatives soared to over $1 billion, again resulting in fixed fee increases for consumers.
After leaving the ACC, Mays continued her involvement in green energy as a lobbyist and even led a campaign for clean energy initiatives backed by California billionaire Tom Steyer. One might think she would be pleased to see both APS and TEP embracing this green agenda, aiming for net-zero emissions by 2050—something she had long championed.
However, the current ACC under Republican control seems to be accelerating Mays’ ambitious energy plans. Last year, they approved Integrated Resource Plans from APS and TEP, paving the way for Arizona to phase out all coal production by 2031 while shifting towards renewable sources for 90% of future energy. Yet, now that the costs of these green policies are becoming apparent, Mays appears to feign outrage at the necessary rate hikes to support them.
Predictions estimate that the shift to these radical energy policies could cost consumers an additional $42 billion, while the green energy initiatives she had a hand in implementing have not come at a reduced price. It’s quite the irony to see someone who played a role in shaping this costly framework now expressing disbelief at the financial impact.
