Arizona Public Service (APS) President and CEO Ted Geisler outlined APS’s Pledge for Responsible Energy Growth this week as part of broader remarks shared with Arizona community leaders gathered for the 2026 League of Arizona Cities & Towns Conference. The pledge reaffirms APS’s longstanding principles for protecting customers while serving new companies and industries investing in Arizona.

“Growth should pay for growth. It's that simple. When a data center or manufacturer comes to Arizona, they pay the cost of the infrastructure needed to serve them, and those investments help to cover shared grid costs that existing customers would otherwise carry,” said Ted Geisler. “Done right, new growth doesn't threaten affordability for Arizona families and businesses. It helps protect it.”

The APS Pledge for Responsible Energy Growth is grounded in three foundational principles:

• Safeguarding Reliability: APS will not connect new extra-large customers to the grid faster than it can reliably support. Every extra-large customer agreement is designed with built-in safeguards to protect other customers, including operational and contractual protections that support sufficient, reliable operation and help APS to manage the energy grid during periods of peak demand.

• Protecting Customer Rates: New extra-large energy users will pay the costs associated with serving their energy needs and growth, including investments and upgrades in generation, transmission, distribution and the grid. Those costs and financial risks will not be shifted to residential and business customers. Furthermore, as extra-large customers fund upgrades needed to serve their growth, their investments will also help to cover shared infrastructure costs that otherwise would be paid by existing customers.
• Preserving Capacity: Before committing to serve new extra-large customers, APS will preserve enough capacity to meet the needs of Arizona’s current and future homes, small and larger businesses, schools, hospitals, and communities. Connecting and serving residential and business customers will remain our company’s top priority.

“These three principles aren't aspirations. They're standards we build into our agreements with extra-large customers,” Geisler continued. “Arizonans should be able to welcome the jobs, investment and opportunity coming to our state with confidence that their energy needs come first and their rates are protected. That's our pledge.”

Get more information about the APS Pledge for Responsible Energy Growth.
 

As record setting heat impacted Arizona and surrounding states, APS customers set a new all-time peak energy demand record on Sunday, Aug. 2, 2026 using 9,164 megawatts (MW) between 6 and 7 p.m., according to preliminary figures. One MW of energy is enough to serve about 160 Arizona homes.

Peak demand is the period of time when customer energy use is at its highest. The new peak surpasses the previous record of 9,053 MW, set on July 24, 2026.

Despite the increased demand driven by continued extreme temperatures across Arizona, APS maintained reliable service for customers. APS’s balanced energy mix, regional market access, generating resources and operational preparedness enabled APS to meet customer needs while maintaining appropriate reserves. "Arizona's hottest summer days are when preparation matters most," said Tim Rusert, APS Director of Power Supply Resources. "Successfully serving this level of demand is the result of deliberate planning, ongoing investments and the year-round work of APS employees who maintain and operate APS's electric grid. Those preparations enabled us to successfully meet customer energy needs during this period of sustained high temperatures.”

Additional information about APS's preparation for periods of high energy demand is available in the July 27 news release.

As sustained high summer temperatures pushed energy use to a new high late last week, Arizona Public Service (APS) customers counted on reliable power to keep homes, businesses and air conditioners running. And APS delivered, as customers set a new all-time peak energy demand record on Friday, July 24, 2026, using 9,053 megawatts (MW) between 5:00 and 6:00 p.m., according to preliminary figures. The previous record was set Aug. 7, 2025, when APS customers’ energy use hit a peak of 8,648 MW. One MW of energy is enough to serve about 160 Arizona homes. 

As high temperatures impact many parts of the country, the U.S. Department of Energy issued an emergency order on July 26 directing the deployment of backup generation resources in a number of states to ensure grid reliability. The order does not apply to Arizona Public Service and does not impact APS customers. APS has sufficient generation and reserves to serve our customers throughout the state. 

APS provides top-tier reliable service to customers throughout the year, supported by investments, years of planning and year-round preparation to keep the lights on and air conditioners running during Arizona’s hottest days. Ensuring this level of reliability requires proactive infrastructure maintenance, grid upgrades, resource planning and power plant readiness that strengthen the reliability and resiliency of the electrical system. 

APS crews, supported by a team of meteorologists and other experts, regularly inspect, maintain and upgrade critical infrastructure, prepare equipment and generating resources for periods of high demand, and train year-round for storms and emergencies. Together, these efforts ensure customers have safe, reliable power when they need it most. 

Peak demand is the period of time when customer energy use is at its highest. This is the fourth consecutive year APS customers have set a peak energy use record, reflecting continued growth across Arizona as more people move here, new businesses open and the economy expands. This growth requires APS to invest more than $2.5 billion a year in upgrades, operations and maintenance of the electrical system to provide customers with top-tier reliability. 

APS is strengthening Arizona's energy future with a balanced mix of resources designed to support reliability while meeting growing energy demand. Flexible natural gas generation helps APS integrate more solar, wind and energy storage on the grid, ensuring energy is available when customers need it most, especially during Arizona's hottest days. Nuclear energy also remains a critical component of APS's portfolio, supported by ongoing investments in Palo Verde Generating Station and the continued evaluation of future nuclear generation opportunities.

PHOENIX – During this summer stretch of extreme heat, Arizona Public Service (APS) recognizes the skilled lineworkers who perform some of the most challenging and essential work in the energy industry. July 10 is National Lineworker Appreciation Day, a time to honor the people who safely build, maintain and restore the electric system that keeps power flowing across Arizona.

APS lineworkers are part of a 24/7 operation and are ready to respond when customers need them most, working in record heat, repairing damage after monsoon storms, traversing rugged terrain and through cold and snowy winter weather in Arizona’s high country. They help strengthen the energy grid before extreme weather arrives and respond quickly and safely to restore power when outages occur.

“Our lineworkers are built for the moment, whether it’s the test every Arizona summer presents or navigating winter storms in the northern region,” said Mackenzie Rodgers, Vice President of Transmission and Distribution Operations. “It is highly technical, physically demanding work that requires teamwork and steady judgment regardless of circumstance. They show up with skill, focus and a safety-first mindset to every job, both for each other and on behalf of every community APS serves.”

APS lineworkers and the teams who support them play a critical role in keeping Arizona safe and connected. Their efforts reflect APS’s commitment to serving customers and communities across the state.

“That work is grounded in a deep sense of responsibility to the people and places we serve,” said Tony Tewelis, Senior Vice President of Energy Delivery and Large Customer Projects. “Arizona is growing quickly and our crews are helping to ensure customers have the safe, reliable power they need today and well into the future.”

The evidentiary hearing in the Arizona Public Service (APS) rate case has concluded, marking an important milestone in the Arizona Corporation Commission's (ACC) review of APS's application to update rates. Similar to what you might picture in a court case or trial, during the months-long hearing, APS and other parties presented testimony, introduced evidence and responded to questions on the record regarding APS’s proposal and the investments made to continue providing reliable electric service for customers.

Even though the hearing has ended, the rate case is not finished, and customer rates are not changing now. The process includes several more steps before the Arizona Corporation Commission reaches a final decision.

What Happens Next?
Now that the hearing is over, the ACC's Administrative Law Judge (ALJ) will review the testimony, evidence and legal arguments submitted during the case and develop a recommendation for the Commission to consider. That recommendation is called a Recommended Opinion and Order, or ROO. It may take months for the ROO to be issued. After the ROO is issued:

• APS and other parties to the case will have an opportunity to respond and suggest changes to the ROO.
• The Arizona Corporation Commission will review the ROO and consider whether any changes, or amendments, are needed.
• The Commission will hold a public meeting, discuss the recommendation and vote on a final decision.

Understanding the Rate Case Process
It is important to understand that APS does not simply ask for a rate change and receive automatic approval. A rate case is a detailed public review process that takes well over a year. APS filed this case more than a year ago, and a final decision is expected later this year.

This process is designed to ensure a thorough, transparent and fact-based review of APS's rate adjustment application to give the Commission a complete picture before it decides whether to approve the request. A final decision from the ACC is expected later this year.

Why is APS requesting a rate increase?
Current APS rates are based on costs from five years ago. Inflation and rising expenses mean those rates no longer cover what it takes to operate and strengthen the electric grid today. By updating rates to reflect current costs, APS can continue to provide customers with the top-tier reliability they need and expect, especially during Arizona’s long, hot summers.

As a regulated utility, APS must look backward to adjust its rates based on the actual costs it paid to serve customers in 2024 and 2025. This ensures rates more accurately match the true costs of providing electric service to customers. For context, over the past five years, APS has experienced rapidly rising costs of equipment needed to deliver power to customers. One example is transformer costs which are, on average, 49-90% higher now than when our rates were last set. (See graphic on below.)

How does the rate proposal protect affordability and reliability for APS customers?
In addition to ensuring a reliable energy grid and upgrading equipment, the rate case introduces measures to further support customers. Amid rising costs for infrastructure, equipment and materials, APS is anticipating unprecedented growth within its service territory. To protect residential and small business customers, APS is making sure new large energy users, like data centers, continue to pay their full cost of service.

The plan proposes a rate increase of more than 45% increase for data centers and updated cost allocation for system investments, like power plants, so growth-related costs are assigned to the customer classes driving expansion. APS’s application also outlines a formula rate, under which future costs (e.g., infrastructure, fuel, etc.) are reviewed annually and allocated to the customer group responsible for those costs, such as data centers.

What about summer electric bills?
With the arrival of hotter weather, most customers naturally use more energy as air conditioners work harder to keep homes cool. That higher energy usage in the summer drives higher bills for most customers. APS’s rate proposal will have zero impact on customer bills this summer. It’s important for customers to know they have options to manage their bills and lower their costs. For example, customers can compare rate plans by using APS’s rate comparison tool at aps.com/compare. Customers can visit aps.com/save for tips to save energy.

Customer Support and Resources
APS helps connect customers facing financial hardship to programs and resources that can make a difference. The Crisis Bill Assistance program provides up to $1,000 for those in need. Eligible customers can also receive monthly discounts of up to 25% or 60% through the APS Energy Support program. Learn more at aps.com/assistance or by calling the 24/7 Customer Care Center. APS advisors are available in English and Spanish at 602-371-7171 or 800-253-9405.

Arizona Public Service (APS), Salt River Project (SRP) and Tucson Electric Power (TEP) continue to work together to explore adding nuclear generation in Arizona, including through a preliminary siting study now underway.

New nuclear generation will take time to develop, which is why it’s essential that Arizona’s leading energy providers begin these initial steps now. APS, SRP and TEP are utilizing industry guidance to evaluate locations throughout Arizona, including sites that have been used for coal-fired power generation. The study will use a phased screening methodology to narrow down areas in the state to a short list of leading candidates, culminating with the selection of a preferred site. 

As part of the site selection process, the energy providers will begin stakeholder engagement and community outreach, and plan to hold community meetings near potential nuclear generating sites in late 2026 to share information and seek feedback.

The siting study, which is expected to be completed within the next six months, is foundational to subsequent steps in the nuclear planning process. Once the study is complete, the energy providers will evaluate technical, financial and other factors before determining if they will develop an Early Site Permit (ESP) application. If an ESP application is pursued, the companies would then decide whether to submit the application to the U.S. Nuclear Regulatory Commission for approval.

APS, SRP and TEP recently received notice they were not awarded the U.S. Department of Energy grant they applied for in early 2025 to support this work. They will continue to work together to explore future funding opportunities to help mitigate the costs of evaluating potential new nuclear generation.

The joint nuclear exploration effort comes as Arizona’s electricity needs continue to rise, driven by population growth and economic expansion. APS, SRP and TEP all set peak-demand records in 2025, underscoring the need for continued long-term planning and reliable generation. The energy providers are working proactively to ensure the grid can keep pace with rising demand, while also ensuring safe, reliable and sustainable electricity for customers.

The companies have not made a final decision to build a new nuclear plant in Arizona, and no nuclear technology has been chosen for the potential project. Both small modular reactors and larger reactor designs remain under review. Any future project would depend on industry progress on cost and schedule predictability, supply chain development and financing considerations. In the long term, the companies will prioritize nuclear technologies that are commercially proven as reliable; have been safely and successfully deployed elsewhere; and are provided by suppliers with strong operational records and demonstrated commercial viability.

New nuclear generation opportunities will be discussed at an Arizona Corporation Commission workshop hosted by Commission Chairman Nick Myers and Commissioner René Lopez on Thursday, June 25, 2026. The workshop will bring together energy providers, policymakers and industry stakeholders to further discuss the role nuclear energy can play in resource planning.

General Information
Arizona Public Service: APS serves 1.5 million homes and businesses in 11 of Arizona’s 15 counties and is a leader in delivering reliable, affordable electricity in the Southwest. APS maintains a diverse range of energy resources, including nuclear from the Palo Verde Generating Station, natural gas, coal, solar, wind and energy storage – a mix that’s about 58% clean. With 140 years of experience serving Arizona, APS is the main subsidiary of Pinnacle West Capital Corp. (NYSE: PNW)

 Salt River Project: SRP is a community-based, not-for-profit public power utility and the largest electricity provider in the greater Phoenix metropolitan area, serving about 1.2 million customers. SRP provides water to about 2.5 million Valley residents, delivering 260 billion gallons of water (800,000 acre-feet) each year, and manages a 13,000-square-mile watershed that includes an extensive system of reservoirs, wells, irrigation laterals, and 131 miles of canals. 

Tucson Electric Power: TEP provides safe, reliable electric service to 457,000 customers in Southern Arizona and maintains one of the nation’s most reliable electric grids. For more than 130 years, TEP has invested in the energy infrastructure that powers homes, businesses, and community institutions while advancing toward a cleaner, more resilient energy future. Learn more at tep.com. TEP and its parent company, UNS Energy, are subsidiaries of Fortis Inc., a leader in the North American regulated electric and gas utility industry. For more information visit fortisinc.com.

As summer approaches and dry conditions persist, wildfire risk is heightened across parts of the state. Arizona Public Service (APS) fire mitigation specialists, foresters and meteorologists are working to support customers in rural and forested communities by tracking weather patterns and preparing the energy grid to maintain reliable power. 

“Reducing wildfire risk is a daily priority,” said Scott Bordenkircher, APS Director of Forestry and Fire Mitigation. “Our teams forecast weather and environmental factors, and we work closely with firefighters and emergency managers to make safety-focused and data-driven decisions. Our goal is to help protect you and keep the electricity you count on flowing, especially during extreme weather.”

For more than 10 years, APS has invested in efforts to reduce wildfire risk as part of a comprehensive wildfire mitigation program. Here is how customers benefit from our proactive planning:

• Detection: APS artificial intelligence (AI) smoke detection cameras are deployed to spot early signs of wildfires. APS AI cameras have detected smoke within minutes of initial burning, supporting firefighters in their efforts to contain fires quickly before getting close to homes, businesses and APS equipment.
• Monitoring: Meteorologists use advanced weather stations, high-definition cameras and modeling software to track and predict wildfire behavior.
• Maintenance: Certified arborists and foresters clear dry brush and grass from about 80,000 power poles and maintain roughly 80,000 trees each year — pruning branches and removing dead or dying trees near power lines to help keep power safe and reliable.
• Response: Fire mitigation experts with hotshot crew experience collaborate with fire authorities and first responders on emergency plans to support safety. 

Public Safety Power Shutoffs (PSPS): what to know and how to prepare

To help prevent wildfires and protect communities during extreme weather, APS may temporarily turn off power in certain limited, high fire-risk areas through a Public Safety Power Shutoff (PSPS). While this tool has not been used since its introduction in 2024, customers are encouraged to stay prepared, especially during hot and extremely dry conditions.

APS recently mailed and emailed PSPS information to customers served by power lines in potentially impacted areas. Please watch for these materials. If a PSPS is necessary, we plan to provide advance notice so affected customers have time to prepare. Targeted PSPS areas include communities in Coconino, Gila, Navajo, Pinal and Yavapai counties. Search addresses by visiting aps.com/psps and using the online map.

Get ready now:

• Create an online APS account at aps.com/login with a current cell phone number and email address to receive outage alerts or sign in to be sure your contact information is updated.
• If you rely on life-sustaining medical equipment requiring electricity, register for the APS Medical Care program at 602-371-7171 or 800-253-9405. This notifies APS of your needs in the event of an outage.
• Build an emergency supply kit that includes items such as non-perishable food, a can opener, water, flashlights, batteries, a radio, a first aid kit and a portable cell phone charger.
• Form a support circle and develop a plan that includes emergency contacts. If you need to leave your home, identify a safe, comfortable and cool place to go.
• Remove weeds and overgrown plants or shrubs, trash and debris around your home.
• Learn how to manually open your electric garage door or security gates.
• If you have livestock, know your local resources and make an emergency plan for their care.

Collaboration with emergency managers

APS is partnering closely with emergency managers to support preparedness efforts. Customers are encouraged to sign up for their local county emergency notification system to receive timely alerts and information — an important step underscored by public safety officials:

City of Flagstaff

“Preparedness really comes down to working together as a community. In Flagstaff, we coordinate closely with APS and our regional partners, so when wildfire risk increases, people have clear information about what to expect,” said Daniel Kelly, City of Flagstaff Emergency Manager. “Taking a little time now to prepare for potential outages and staying connected to local alerts can make a big difference if conditions lead to a Public Safety Power Shutoff (PSPS).”

For City of Flagstaff disaster preparedness information, visit: connect.flagstaffaz.gov/be-ready.

Coconino County

“The mission of Coconino County Emergency Management is to protect lives, safeguard property and strengthen community resilience against disasters,” said Tim Carter, Coconino County Emergency Manager. “Through collaboration with partners such as APS, we support proactive measures — including comprehensive vegetation management and Public Safety Power Shutoff programs — that help reduce the risk of catastrophic wildfires in our communities.”

To register for Coconino County emergency alerts, visit: coconino.az.gov/ready.  

Gila County 

“As we head into wildfire season and periods of extreme heat, I urge every resident to take simple steps now. Know your risks, have a plan and be ready to act when conditions change,” said Carl Melford, Gila County Emergency Manager. “Power outages and fast-moving incidents can happen with little warning, but a prepared community is a resilient community.”

For emergency preparedness tips and to sign up for Gila County’s emergency alerts, visit: readygila.com. 
 
Navajo County

“As the Navajo County Emergency Manager, I encourage our residents and visitors to be prepared for any emergency including wildfires. The first step is staying informed — sign up for the Ready Navajo County Alert System,” said Catrina Jenkins, Navajo County Emergency Manager. 

Register for Navajo County emergency alerts by visiting: navajocountyaz.gov/ready.

Pinal County

“Our role is to help keep the community safe when wildfire risk is high,” said Kore Redden, Pinal County Emergency Manager. “We work closely with APS to ensure resources are ready and encourage residents in the Top of the World community within targeted Public Safety Power Shutoff areas to have a plan and essential items prepared. Keeping our community safe is a shared responsibility.”

Sign up for Pinal County emergency alerts by visiting: pinal.gov/pens.

Yavapai County

"True emergency management transcends agency boundaries; it is built on the strength of our private sector partnerships,” said Ashley Ahlquist, Yavapai County Emergency Manager. “Preparedness is a 'whole community' mission, and working alongside APS ensures that our local expertise is backed by their unique resources and reach. When we bridge the gap between public safety and private enterprise, we don’t just plan for disasters — we build a more resilient Arizona.”

To register for Yavapai County emergency alerts, visit: yavapaiready.gov.

By staying connected with both APS and local emergency management, customers can be better prepared and informed during potential power shutoffs and other emergency situations. Learn more about APS’s wildfire mitigation efforts at aps.com/wildfires or more about PSPS at aps.com/psps.

Balloons are a staple of celebrations, from birthdays and graduations to holidays and backyard parties. But when it comes to Mylar (foil) balloons, a little caution can go a long way. These shiny party favorites can cause serious safety hazards and knock out power when they drift into overhead power lines.

In three days, three separate Mylar balloon incidents disrupted electricity for nearly 10,000 homes and businesses in the Valley.

• Balloons tangled in a power line knocked out power for approximately 6,000 customers in Chandler. APS crews safely restored service within an hour.
• A similar incident occurred in Peoria, impacting about 2,700 customers. APS restored power in just under a minute.
• A third outage impacted nearly 1,000 homes and businesses in Globe. APS crews found a Mylar balloon in a nearby tree and believe it hit a power line before landing there.

While any balloon can create a hazard when it comes in contact with power lines, the metallic coating on Mylar balloons conducts electricity and has the potential to trigger widespread outages, melt electrical equipment, cause fires, and even injure people, pets, and wildlife. Bottom line, what floats away from a celebration can create very real risks for entire neighborhoods.

While these outages were resolved quickly, each incident underscores how preventable these situations can be. APS encourages customers to keep the fun going by taking a few simple, proactive steps to use balloons safely, especially as beautiful Arizona weather lends itself to more outdoor celebrations this time of year.

 APS urges folks to follow these safety tips when using balloons:

• Only use balloons indoors and away from power lines. Even non metallic balloons can become tangled in lines and cause outages.
• Secure metallic balloons with a weight, tie them down, or keep them tethered.
• Never attempt to retrieve a balloon, kite, or any object caught in a power line. If you notice balloons or other objects tangled in APS power lines, do not touch them. Report the situation by calling the APS Outage Hotline at (602) 371 3680 or by visiting aps.com/outage.
• Properly dispose of balloons by puncturing and deflating them when the celebration ends.
• Always assume power lines are energized. Stay at least 100 feet away and keep all objects a safe distance from overhead lines.

Celebrations should end with memories, not unexpected power outages. Taking simple steps to safely handle balloons can help keep communities safe and ensure the lights shine bright for every special occasion.

Ahead of forecasted winter storms, Arizona Public Service (APS) encourages customers to take steps to stay safe, warm and informed. While Arizona winters are generally mild, sudden storms, freezing temperatures and strong winds can disrupt power and create hazardous conditions.

APS maintains over 38,000 miles of power lines statewide – more than what it would take to wrap around the earth – and uses advanced tools like drones and robots to inspect equipment and reduce outages. Crews perform upgrades, clear vegetation year-round and position specialized vehicles to access electrical equipment in rugged terrain during storms. Our team of meteorologists plays a vital role in APS’s storm preparation and response efforts by closely monitoring weather patterns. While their expertise helps us anticipate and respond to changing conditions, weather can be unpredictable, and safe power restoration may still require time depending on the severity of the event. WATCH THIS VIDEO to learn more about how lineworkers restore power.

Even as APS crews work around-the-clock to keep energy flowing, preparation at home is key to staying safe.

Be informed and prepare a plan

• Make sure APS can reach you quickly with outage alerts. Download the APS mobile app or visit aps.com/outagecenter and create an online account to receive text or email notifications. If you have a current email or phone number on file, you are automatically enrolled.
• Customers who depend on electricity for life-sustaining medical equipment should register for the APS Medical Care Program by calling 602-371-7171 or 800-253-9405. This program helps APS prioritize communications to participating customers during outages.
• Know the location of community warming centers in case of an outage.
• Charge mobile devices and keep a portable power bank ready.
• Build an emergency kit that includes flashlights, extra batteries, bottled water and non-perishable food for several days.
• Store essential phone numbers – medical providers, family, friends and APS – in your phone and on paper.
• If you have an electric garage door, learn how to open it manually in case power is lost.

Stay safe during an outage

• If your power goes out, report it immediately through the APS mobile app, online at aps.com or by calling 602-371-3680 or 855-688-2437. Monitor the APS Outage Map for real-time updates.
• Keep refrigerator and freezer doors closed to preserve food and unplug major appliances to prevent damage from electrical surges when power returns. Wait five to ten minutes after restoration before plugging devices back in.
• Safety around downed power lines is critical. Stay at least 100 feet away, call 911, and then notify APS. Never attempt to move or touch a fallen line.

Additional winter safety tips

• Dress in layers and keep extra blankets on hand.
• Use space heaters safely – keep them at least three feet from flammable materials and never leave them unattended.
• If you use a generator, operate it outdoors and away from windows to prevent carbon monoxide poisoning.

For more winter safety guidance, visit the Arizona Emergency Information Network (AzEIN).

Energy savings during the holidays

APS customers on Time-of-Use 4pm-7pm Weekdays or Time-of-Use 4pm-7pm Weekdays with Demand Charge rate plan can enjoy lower rates all day on major holidays, including Thanksgiving, Christmas Eve, Christmas Day, New Year’s Eve and New Year’s Day. Learn more about rate options at aps.com/plans. For more tips on preparedness and energy savings, visit aps.com/safety and aps.com/save.

Arizona Public Service (APS) announced plans today to develop a site west of Gila Bend, Ariz., capable of adding up to 2,000 megawatts (MW) of reliable, flexible generation to the state’s energy portfolio. The Desert Sun Power Plant will be a state-of-the-art natural gas facility designed to meet Arizona’s rapidly growing needs, support unprecedented demand from extra-large energy users and enhance integration of renewable energy resources – all while protecting affordability for residential and small business customers.

This two-phase project will support current customer growth through our competitive procurement process in Phase 1 and enable new extra-large customer investments via an innovative subscription model in Phase 2.

“Arizona’s energy needs are growing faster than at any time in our history,” said Jacob Tetlow, APS Executive Vice President and Chief Operating Officer. “Additional natural gas generation is essential to support our existing customers and to begin addressing unprecedented requests from extra-large energy users, such as data centers. By pursuing a ‘growth pays for growth’ strategy, this project protects customers while supporting data centers needed for the U.S. to compete globally.”

The proposed subscription model ensures that Phase 2 would be paid for by the extra-large customers who would use it – not by existing residential or business customers. Extra-large users would sign long-term contracts covering the capital costs and assuming development risks.

How residential and small business customers benefit from this plan

By having extra-large energy users fund a portion of the plant’s capacity through long-term subscription agreements, APS can accelerate infrastructure development without shifting costs to existing customers.

This approach:

• Helps protect and maintain fair prices for all customers.
• Safeguards reliable service around-the-clock, even when energy use is highest.
• Strengthens Arizona’s energy grid and transmission infrastructure.
• Supports a balanced energy portfolio that includes nuclear, solar, wind, battery storage, natural gas and coal.

“Phase 1 will support all customers, helping to meet spikes in demand – such as those on hot summer afternoons – and keeping electricity flowing when renewable power from solar and wind isn’t available,” Tetlow said. “Phase 2 ensures that as Arizona continues to grow, we are relying on innovative solutions to help protect existing customers from the costs associated with expansion. Partnering with our extra-high load customers to maintain cost fairness is a part of our plan.”

Why a balanced energy mix is important

APS’s balanced energy portfolio is designed to ensure strong reliability and affordability for customers. By 2028, APS plans to add nearly 7,300 MW of new resources to support our state’s rapid growth and maintain service during high-demand conditions. Natural gas continues to play a vital role in providing flexibility and ensuring consistent power around the clock.

“Natural gas is an important partner to the large quantity of renewable resources we’re adding to our portfolio and provides flexible, on-demand energy to ensure reliability for customers, especially on our hottest summer days,” Tetlow said.

Nuclear energy and coal add important base-load components that make the system resilient.

Energy grid projects benefit Arizona’s workers and future

 “Natural gas generation is a critical component of a reliable and affordable grid,” said Representative Gail Griffin, Chairwoman of the Arizona House of Representatives Natural Resources, Energy and Water Committee. “I applaud APS for its investment in Desert Sun Power Plant which will provide firm, dispatchable energy to support quality service for existing and future customers in Arizona.”

“The strength and reliability of Arizona’s energy grid serves as a competitive advantage in the global competition for 21st century jobs and economic development,” said Christine Mackay, Greater Phoenix Economic Council (GPEC) President and CEO. “APS’s Desert Sun natural gas facility will play an important role in supporting our state’s growth and help ensure Arizona remains an attractive destination for leading businesses, advanced manufacturers and cutting-edge start-ups to invest in.”

“Reliable energy infrastructure is the foundation of a prosperous economy,” said David Martin, President of the Arizona Chapter of the Associated General Contractors. “APS’s investment in Desert Sun will not only ensure Arizona has a strong power supply, but it will also support good paying contractor jobs for skilled men and women in our community.”

Economic and community impact

 The Desert Sun Power Plant is expected to be a significant driver of economic growth in Arizona:

• Job creation: Hundreds of construction jobs along with a smaller number of long-term operational positions.
• Business partnerships: Collaboration with local suppliers, contractors and service providers.
• Tax revenue: Increased contributions to local and state tax bases.

APS will host public open houses, maintain a project website at aps.com/desertsun and gather community feedback as part of its proposal. The new plant will feature advanced emissions controls to meet federal and county air quality standards and will operate with higher efficiency to limit emissions output.

APS intends to supply the plant with natural gas via the proposed Transwestern Pipeline’s Desert Southwest expansion project. To deliver electricity to customers, APS expects to build transmission infrastructure to connect Desert Sun to the grid. Phase 1 of the power plant is scheduled to begin serving customers by late 2030; Phase 2’s operation date will be determined through a collaborative process with participating extra-large customers.

Meeting Arizona’s growth head on

Arizona is one of the fastest growing states in the nation, with Maricopa County leading U.S. population gains since 2016. In 2024 alone, APS installed more than 32,000 new residential meters – the highest in more than a decade. At the same time, demand from extra-large energy users has surged, with requests exceeding 19,000 MW – more than double APS’s 2025 peak energy demand record of 8,631 MW.

Monsoon season is officially over and for a second straight summer, record heat outshined stormy weather. As air conditioners hummed along, Arizona Public Service (APS) customers again broke peak energy demand records, while temperatures stayed in the triple-digits for almost four months straight. And while the calendar says it’s autumn, it still feels like summer, as extremely high temperatures remain across Arizona.

"Arizonans often say ‘we’re used to the heat’ but this summer was especially tough. APS employees take to heart the importance of keeping people cool and safe, delivering the power our 1.4 million customers need on our hottest days and all year long," said Jacob Tetlow, APS Executive Vice President of Operations. “As more people and businesses move to our great state, we continue to be one of the most reliable energy providers in the nation and our rates are below the national average. We invest in the electrical system and maintain a diverse mix of resources, including wind and solar power, energy storage, flexible natural gas and carbon-free nuclear power.”

Providing reliable power during historic 113-day run of 100+ degrees

This summer’s long stretch of 113 days above 100 degrees in Phoenix is the longest streak in Arizona history. The hot days, high nighttime temperatures and the Valley’s heat island effect meant air conditioners were running around the clock to keep homes and businesses cool. As a result:

• APS customers set a new peak energy demand record of 8,210 megawatts (MW) on Sunday, Aug. 4. (A preliminary number was shared in an earlier news release.) Peak demand is the highest amount of energy consumed at one time by customers. The previous record of 8,162 MW was set on Saturday, July 15, 2023.
• APS customer energy demand exceeded 8,000 MW on four different days. For perspective, during winter, APS customer peak energy demand ranges between 4,000 and 5,200 MW.

APS customers had reliable power when they needed it most to keep cool and stay comfortable, thanks to long-term resource planning, a robust power supply, regular maintenance and frequent upgrades to power lines and equipment.

Monsoon storm response

For many Arizonans, it may have felt like a ”nonsoon” summer. It was one of the driest monsoon seasons on record; however, there were storms that produced extreme weather, including hurricane-force winds. When storms affected our customers’ power, APS crews were ready to respond quickly to safely restore service.

• APS crews replaced 290 storm-damaged power poles across APS service territory.
• By comparison, 2023’s monsoon season brought down 125 power poles. During 2022’s active monsoon season, APS replaced a record 811 damaged poles.

In the sweltering heat of July, APS repair crews worked one of the Valley’s strongest storms that snapped power poles and broke electrical equipment. Severe winds of up to 75 mph, fueled by multiple downbursts, caused such extensive damage in one southwest Phoenix neighborhood that APS crews had to first rebuild the grid serving that area in order to restore power.

To protect nearby neighborhoods, APS partnered with customers enrolled in its Cool Rewards smart thermostat program  in a unique and historic way. APS customer technology experts worked with a specific, targeted portion of its network of thermostats, located in participating customers’ homes, to help voluntarily conserve power. This effort, along with operational back-ups, including rerouting electricity, helped relieve strain on the electric system caused by the severe storm damage.

This was the first time in APS history a smart thermostat program was utilized in such a targeted manner. APS Cool Rewards acts like a virtual power plant during times when energy usage is at its highest. Typically, all 95,000 enrolled thermostats work together, capable of conserving nearly 160MW of energy, similar to the amount a small power plant would produce.

Tracking wildfire activity and maintaining a strong grid

So far in 2024, APS fire mitigation experts have tracked nearly 1,500 wildfires in Arizona, focusing on 450 fires that came within 10 miles of APS infrastructure. Most of these incidents were caused by human activity or lightning. APS employees worked in collaboration with fire agencies to ensure no major impacts to electrical equipment or service to customers. APS fire prevention, detection and mitigation efforts this year included:

• Clearing hazardous brush, dry grass and other vegetation from about 40,000 power poles.
• Activating new fire cameras and weather stations to aid in fire detection.
• Tracking wind speeds and humidity levels, by APS meteorologists, near extreme fire risk areas.
• Installing fire mesh on power poles in higher-risk fire areas to shield equipment from fire damage.

This summer’s weather conditions did not result in the need for APS to perform any Public Safety Power Shutoffs (PSPS).

Support for summer energy bills

Higher summer temperatures have led to increased electricity use by APS customers, which can mean higher energy bills. For example, residential energy usage on customers' July bills was 25% higher than last July. APS is here to help customers with support ranging from flexible payment options to crisis bill assistance. Budget Billing  evens out the seasonal highs and lows for a more consistent monthly payment. Additionally, earlier this year, APS introduced new tiered energy support discounts for qualifying customers approved by the Arizona Corporation Commission. Customers can contact the APS Customer Care Center to speak with an advisor 24/7 in English or Spanish at 602-371-7171 (800-253-9405) or visit aps.com/assistance.

APS customers set a new peak energy demand record by using 8,212 megawatts (MW) of power on Sunday, Aug. 4, according to preliminary figures. Peak demand is the period of time when customer energy use is at its highest.

Last Sunday’s demand for electricity beat last year’s record of 8,162 MW, set on Saturday, July 15, 2023, demonstrating the resilience and value of the APS grid to customers.

“We are committed to providing our customers with reliable energy – especially during the heat of summer,” said Ted Geisler, APS President. “I’m proud of our employees who work hard to maintain a reliable power grid and respond to the impact of monsoon storms. These team members dedicate their efforts year-round to expanding and maintaining the grid so power is there when customers need it most. We are grateful for the opportunity to serve our customers during yet another record-breaking summer.”

Why is energy demand increasing?

Many factors contribute to Arizona’s increased electricity use, including temperatures, humidity and the state’s growing business community and residential population.

By 2031, APS anticipates its customers will require more than 13,000 MW of energy, and that peak demand will grow by approximately 40%. Today, APS maintains a supply of more than 9,740 MW of energy to meet customer needs adequately.

How does APS provide reliable power?

The strength of Arizona’s power grid comes from a balanced and diverse energy mix. APS plans years in advance to secure and maintain a variety of resources like solar and wind power, battery energy storage and flexible natural gas generation that can ramp up quickly to keep customers cool and comfortable during hot summer days when energy demand is highest. APS customers also benefit from the Palo Verde Generating Station, one of the nation’s largest producers of clean, carbon-free electricity.

APS crews regularly maintain more than 38,000 miles of power lines, upgrade equipment and use advanced technology, including drones and robots to identify potential issues before they result in power outages. This proactive, year-round approach to maintaining APS’s smart grid across Arizona’s diverse geography provides customers with some of the most reliable power in the country.

How can customers save money on summer energy bills?

While APS is well prepared to serve customers all summer, conserving power can help customers reduce energy bills while supporting grid reliability.

• For those on APS time-of-use plans, (“Time-of-Use 4pm-7pm Weekdays” and “Time-of-Use 4pm-7pm Weekdays with Demand Charge”), try pre-cooling your home. Set your thermostat a few degrees lower than normal before 4 p.m. and then set it a few degrees higher than normal during the on-peak period of 4 p.m. to 7 p.m.
• Think 1, 2, 3 and turn your thermostat up a few degrees. For every one degree you raise your thermostat, you can save 2-3% on energy cooling costs. (When on vacation, turn it up more.)
• Use a smart thermostat to “set it and forget it.” We offer special rebates and discounts on the APS Marketplace.
• Close curtains and blinds during the day to block out the sun and hot temperature, especially in rooms that get a lot of sun or if your windows are older and less energy efficient.
• Use fans to feel up to 5 degrees cooler. Set ceiling fans to run counterclockwise and remember fans cool people, not rooms, so turn them off when you leave.
• Earn bill credits. Join APS Cool Rewards (residential) or APS Peak Solutions (business) – programs that reward customers for conserving energy during times when usage is highest.
• Switch to LED lighting. LED bulbs emit 90% less heat and use at least 75% less energy than traditional incandescent bulbs.
• Limit oven use. When possible, use the microwave, toaster oven or outdoor grill instead. Using the oven heats your home, which makes your air conditioner work harder.
• Stay informed. Use the APS mobile app and aps.com to monitor and manage your energy use and to learn more energy-saving tips customized to your service plan.

Visit aps.com/tips for more ways to save and learn more about assistance programs and heat relief resources at aps.com/assistance.

As Arizonans experience the first heat wave of 2024, meteorologists are predicting a normal to below normal monsoon season with increased wildfire risk this summer. No matter what Mother Nature brings, crews are ready to respond, and APS has adequate power supply to reliably serve customers.

“APS crews prepare for summer year-round, performing maintenance and upgrades to keep the electrical system running strong. Being ready takes a team of employees utilizing bucket trucks and helicopters, deploying technology like drones and robots, analyzing data and engineering solutions. And when outages occur crews are ready to respond in often challenging conditions,” said Mackenzie Rodgers, APS Senior Director of Operations and Maintenance. “Just as we focus on safety with our employees, we encourage everyone to be safe this summer, whether that’s preparing in advance for summer emergencies, staying hydrated or checking on vulnerable family members and neighbors.”

Arizona’s official monsoon season is June 15 - Sept. 30. With 2024 monsoon predictions, summer heat and wildfire risk coupled with the wet winter causing overgrowth in vegetation, APS employees have taken proactive measures and are ready to respond:

Monsoon Preparedness and Storm Response

• Meteorologists will track conditions that may trigger extreme winds, lightning, rain and flooding.
• Field crews will stage resources and equipment ahead of a storm and, once safe to do so, clean up debris and make repairs.
• Grid operators will reroute power around issues to restore as many customers as possible.

Wildfire Prevention and Response

• Field crews cleared dry brush and grass from about 40,000 power poles this year.
• Meteorologists are utilizing resources like new weather stations, fire monitoring cameras and innovative modeling technology to monitor wildfires.
• Fire mitigation experts with forestry and hotshot crew experience are collaborating with fire authorities and first responder agencies on emergency response plans. 

Heat Waves and Power Supply

• Resource planners look years ahead to predict customers’ electricity needs and plan for adequate resources to maintain affordable and reliable service.
• Energy market traders and the long-term procurement team secure diverse energy resources from solar, wind and nuclear power to flexible natural gas and energy storage.
• APS keeps a backup power supply as an added layer of protection for unforeseen events.

Safety and Energy-Saving Tips for APS Customers

Before an emergency, APS customers can take steps at home to protect people and property:

• Remove overgrown vegetation, trash or debris around your property to prevent them from blowing into electrical equipment or fueling fires.
• Pack an emergency supply kit. Include non-perishable foods, a can-opener, water, a first-aid kit, a battery-operated radio, flashlights, extra batteries, a portable phone charger and medication.
• Make a family emergency plan. Write down important phone numbers for medical providers, family, friends and APS. Identify a cool location you can visit during an outage to stay comfortable and safe, such as a family member’s home outside of your neighborhood.
• Alert APS if you use life-supporting medical equipment that requires electricity, call 602-371-7171 to register for our Medical Care Program.
• Ensure your contact information with APS is up to date. Sign in to your aps.com account or call the APS Customer Care Center at (602) 371-7171 to update your email, text and phone numbers so APS can reach you in the event of an outage.
• Secure outdoor objects that could blow away or cause damage. Objects found in backyards, like umbrellas, kiddie pools, tarps and trampolines, can end up in power lines, causing outages.
• Stay at least 100 feet away from a downed power line, call 911 and then call APS.

During these hot summer months, customers can manage electricity bills with these simple tips:

• Pre-cool your home during off peak hours and stay comfortable while saving money if you are on a Time-of-Use 4-7pm Weekdays or Time-of-Use 4-7 pm Weekdays with Demand Charge plan.
• Think 1, 2, 3. Turn thermostats up a few degrees. For every one degree you raise your thermostat, you can save 2-3 percent on energy cooling costs.
• Keep the heat out. Close curtains and blinds. Outside your windows, use shade screens or plants and trees to stop heat from getting inside.
• Use ceiling fans. Ensure ceiling fans are set counter-clockwise in summer. While fans can make people feel up to five degrees cooler, they don’t cool rooms. Turn them off when you leave. 

Qualifying APS customers can access a range of support programs such as crisis bill assistance, flexible energy-use plans, monthly bill discounts, Budget Billing and extended payment options. APS will not disconnect residential customers because of past due bills, or charge late fees, from June 1 through Oct. 15, 2024. Customers will continue to receive monthly energy bills and are encouraged to reach out if they need additional assistance to prevent balances from building. Visit aps.com/assistance.

Across a sprawling network of more than 38,000 miles of power lines, APS crews are on the front lines year-round conducting patrols – on foot, by vehicle and in the air – to protect and maintain a strong and resilient energy system. With Arizona’s hot summers, low rainfall and dry vegetation, APS is taking more action to support wildfire-prone communities by installing innovative fire and weather tracking technology on its grid and enhancing its robust wildfire mitigation program.

“We’ve developed industry-leading best practices over the past decade to help safeguard the communities we serve and our infrastructure from Arizona’s changing climate,” said Scott Bordenkircher, APS Forestry and Fire Mitigation Director. “As a hometown energy provider, we have a responsibility to do what we can to prevent wildfires and we are thoughtfully investing in resources to include greater protection for the public, firefighters, our employees and the electric grid.”

How does APS help reduce wildfire risk?

APS takes steps year-round to help prevent, reduce and respond to wildfires including:

Innovative Technology

• Installing new weather stations on power lines to track weather patterns that could cause a fire;
• Using new advanced cameras on electrical equipment to monitor potential signs of a fire from a command center;
• Modeling data and utilizing advanced software to inform predictions about fire probability and which direction a particular wildfire is likely to travel; and
• Incorporating drone technology to assess areas where vegetation may grow into power lines.

Preventative Maintenance

• Strengthening power poles in higher-risk fire areas with fire mesh to shield equipment from fire damage;
• Clearing at least 10 feet of space of potentially hazardous vegetation, like weeds, brush, branches and trees from power poles, substations and other electrical equipment; and
• Inspecting on average 40,000 power poles per year to ensure they are clear of hazards.

Collaboration and Expertise

• Creating a meteorological team to track hazardous weather conditions and wildfires and provide guidance about emergency response;
• Collaborating with fire authorities and emergency response agencies on emergency preparedness and response plans to keep Arizonans, their pets, livestock and property safe;
• Ongoing training and education for specialized APS fire mitigation experts who have experience working on hot shot crews and respond to wildfires in partnership with firefighters; and
• Under extreme weather conditions and in a limited approach, utilizing Public Safety Power Shutoffs to maintain the safety of people, communities and firefighters.

How can Arizonans prepare?

While APS crews prepare year-round, customers can take the following steps to be ready:

• Remove overgrown vegetation, trash or debris around your property.
• Build an emergency supplies kit that includes items such as non-perishable food, water, flashlights, batteries and a portable cell phone charger. Have a plan and emergency contact list ready.
• Download the APS app or visit aps.com/outagecenter and create an online account to receive text or email alerts and safety tips in case of a power outage.
• Update your contact information with APS to ensure you receive important information.
• Sign up for your county’s emergency alert system.

For more information on APS’s wildfire prevention programs, visit aps.com/wildfires.

Palo Verde Generating Station joins with people across the globe celebrating World Nuclear Energy Day, December 2. This day highlights the benefits of nuclear energy, raising awareness of the many contributions it makes to our society.

Here in Arizona, we’ll have a high-profile guest joining us in celebrating the day. Miss America 2023 Grace Stanke is the grand marshal of this year’s APS Electric Light Parade, which will move through the streets of downtown Phoenix in front of thousands of families celebrating the season on December 2. Stanke is a nuclear engineering student, and in April she took a tour of Palo Verde Generating Station.

Support for nuclear energy continues to grow. A Pew survey found 57% of Americans favor more nuclear power plants to generate electricity. That’s a 12% increase from just three years ago. Gallup also found that more than half of Americans – 55% in its new poll – favor the use of nuclear energy. There are many reasons support for nuclear is growing rapidly.

• Energy availability: While experts predict increasing demand for electricity, energy supply is constrained in the U.S. and abroad, with Gallup reporting that 73% of Americans are worried about the availability and affordability of energy. Nuclear is a source of plentiful power, and American leadership in nuclear energy is a pathway to reliable energy globally.
  
   
• Climate concerns: Nuclear energy is a clean source of power, so its popularity has grown as Americans become more concerned about climate change. (Gallup found that 61% of respondents are worried a “great deal” or “fair amount” about climate.) Nuclear energy provides abundant carbon-free power.  
  
   
• Government support: The nuclear industry is thriving, with many exciting achievements for the current fleet and new reactors. The federal government has taken major policy steps to support current and next-generation nuclear technologies.

Palo Verde Generating Station has been the nation’s largest power producer for nearly 30 years – all of it clean and carbon-free. As the heart of the APS generation fleet, it provides the foundation for the reliable service our customers know they can count on. The plant is a critical asset to the Southwest, generating more than 32 million megawatt-hours annually – enough power for more than 4 million homes and businesses.

Palo Verde has three of the nation’s 93 nuclear reactors. These reactors, located in 28 states, generate nearly 20% of the nation’s electricity, all without carbon emissions. These plants are supporting the grid 24/7, year-round.

Please join us on December 2 to celebrate the people who design, build, operate and support the broad range of technologies that are part of nuclear energy. Learn more about World Nuclear Energy Day.

APS filed the 2023 APS Integrated Resource Plan (IRP) at the Arizona Corporation Commission today. It includes strategic years-ahead planning to continue to provide customers a reliable power supply well into the future. The 2023 IRP provides a 15-year outlook on how much electricity APS customers will need and what investments are necessary to address those needs with around-the-clock energy amid unprecedented growth of people and businesses moving to Arizona.

APS worked with its Resource Planning Advisory Council (RPAC), a stakeholder group that includes local consumer advocates, university researchers, resource developers and environmental and public interest organizations. This group participated in meetings and workshops over the last year to incorporate transparency, diverse perspectives and extensive dialogue into the integrated resource planning process.

 “Our state is growing rapidly and when we think about how important reliable power is for customers, and especially considering the unique challenges Arizona’s summers bring, it’s critical we plan years in advance,” said Jacob Tetlow, APS Executive Vice President of Operations. “Our team has worked collaboratively with a diverse group of stakeholders to develop the 2023 IRP and find pathways to continue to provide top-tier reliability, while maintaining affordable rates, for our customers well into the future.”

How much power will APS customers need in the future?

APS resource planners used extensive modeling and data analysis to develop forecast projections for energy demand. For perspective, today, APS customers benefit from almost 9,400 megawatts (MW) of available electricity, an amount the energy company reached over the span of nearly 140 years since it began serving customers. Thanks to previous planning, that supply was available and served around-the-clock use of air conditioning by homes and businesses during the record-breaking 2023 summer heat wave. 

 Looking ahead, the modeling shows:

• By the end of 2027, APS customers will need about 11,350 MW, an amount equivalent to what it takes to serve about 1.8 million Arizona homes.
• By 2031, APS customers will require a total of more than 13,000 MW and peak demand will grow by about 40%. Peak demand is a period of time when customer energy use is at its highest.
• By 2038, APS customers will need more than 14,820 MW of electricity.

What’s driving the need for more energy?

Arizona is experiencing a boom in growth and development and the state’s population is expected to increase an average of more than 1.3% annually. That translates to about 23,000 new APS customers each year. Individual customers are using more electricity, too, not only with their air conditioners to keep cool in the summer heat but also as they utilize more devices and products that are powered by electricity. As drivers continue to make the switch from gas-powered cars and trucks to electric, charging those vehicles will also contribute to increased energy use. By 2037, APS forecasts more than one million EVs in its service territory. In addition to residential customer growth, large businesses like manufacturing companies and data centers are moving to and expanding in APS’s service territory – a trend taking place in other parts of the country as well.

Where will additional reliable power come from to serve APS customers?

To keep up with this level of energy demand, APS will make necessary investments so customers can continue to benefit from a strong and reliable power supply that is transitioning to 100% clean and carbon-free by 2050. Over the next several years, APS customers will benefit from careful planning that ensures reliability, maintains affordability and secures increasing amounts of cost-effective renewable energy. By 2027, APS will seek to add more than 6,000 MW of solar and wind power, coupled with battery storage, which will provide the greatest long-term value and affordability to customers. With this technology, APS can capture that clean renewable energy and store it for customers to use later, when the sun isn’t shining and the wind isn’t blowing.

Maintaining a balanced energy mix will be critical to keeping the lights on as APS plans to exit from coal-fired electricity generation in 2031. During our transition from legacy coal facilities, APS will utilize flexible natural gas resources that can ramp up quickly during times of the day when customers need electricity the most and make use of existing infrastructure to maintain customer affordability.

As owner and operator of Palo Verde Generating Station, the nation’s largest producer of carbon-free electricity, and with one of the country’s most substantial renewable energy portfolios, APS’s current energy mix is already 51% clean and includes renewable energy technologies and traditional energy resources that keep power flowing to customers 24/7.

To learn more about the IRP and Arizona’s energy future, visit aps.com/resources. 

APS hosts the Key Supplier Forum and Awards to recognize outstanding supplier partners that provide exceptional service and help us deliver on our mission to provide reliable, affordable and clean energy to our customers. This event was held in person for the first time since 2019 at the Great Arizona Puppet Theater.

“Our suppliers play a critical role in supporting our mission to serve clean, reliable and affordable energy to our customers. We value their partnership,” said Lisa Carrington, director, Procurement, during her opening remarks.

Supplier Excellence Awards

Award winners were nominated by APS business units for outstanding contributions in six key focus areas: performance, safety, customer service, environmental stewardship, value-add relationship and community/diversity. The following suppliers were selected as the 2023 Supplier Excellence Award winners:

• Dooley Construction Solutions (community/diversity) for their delivery of a first-of-its-kind census of unelectrified buildings on the Navajo Nation and Hopi Reservation within APS service territory.
• HPI (safety) for performing turbine maintenance on every legacy turbine not covered by a long-term service agreement with no safety incidences.
• Bunney’s (value-add relationship) for their support on key projects at Palo Verde Generating Station to improve site performance and safety.
• Valmont (customer service) for providing a critical supply line for poles during the summer of 2022 when utility crews worked to replace more than 800 damaged power poles, nearly a 3X increase in pole replacements over an average storm season.
• McCarthy (performance) for delivering a critical construction project that integrates four key APS sites into one. They did this on time, on budget, and in an environment of inflationary pressure and highly unpredictable supply chain breakdowns.
• Tierney Technical Services (environmental sustainability) for maintaining and monitoring all Continuous Emission Monitoring (CEMS ) equipment at Cholla Power Plant, while also supporting all required environmental reporting requirements for air permitting.

During the hottest July in Arizona history, APS customers were served with reliable energy that allowed them to keep their air conditioners running when they needed it most. In fact, the brutal July heat led to APS customers setting a new all-time record for energy demand.

“APS customers count on a reliable electric grid year-round, especially during the summer,” said Jacob Tetlow, APS Executive Vice President of Operations. “This summer's heat wave served as a reminder that our energy system can stand up to not just one hot summer day, but long stretches of extreme heat. This is all thanks to the proactive and careful planning by our skilled crews, resource planners and operators who work every day to keep the power on for our customers."

Highlights from 2023’s record-breaking summer:

 18 days of record peak energy use during 110+ temperatures

APS customers made history by reaching a new all-time record for most electricity used in a single hour and sustaining high demand for energy through the latter half of summer. Customers previously set a record on July 30, 2020 with 7,660 megawatts (MW) of energy used at the same time. This year, APS customers:

• Shattered the 2020 record by reaching a new all-time peak on Saturday, July 15 with 8,162 MW. (A preliminary number was shared in an earlier news release.)
• Exceeded the 2020 peak of 7,660 MW on 18 different days in July and August 2023.
• Used more energy than the 2020 peak record over a streak of nine days straight.

To put this amount of energy into perspective, those megawatts are equivalent to more than 1.4 million customers running their air conditioners around-the-clock to keep homes and businesses comfortable, and hundreds of thousands of swimming pool pumps and chillers keeping pools cool. As Arizona continues to grow, the things that make everyday life in the desert convenient and comfortable will require more electricity.

 “We have prepared years in advance for this increased volume of energy demand, so it did not come as a surprise. Our resource planning team monitors customer growth and weather patterns and utilizes a diverse mix of energy sources from renewables and nuclear to flexible natural gas and as expected, our employees and our power grid delivered for our customers,” said Tetlow.

Customers participating in APS Cool Rewards helped maintain grid reliability, while earning bill credits for voluntarily reducing their energy use. A community of more than 58,000 customers and about 80,000 smart thermostats act like a virtual power plant to save energy. This summer, participating customers conserved a record 135 MW of power – the equivalent of what a small power plant produces. For comparison, customers in the program decreased energy use by about 110 MW last summer.

Looking ahead, APS resource planners are already crunching the numbers on what energy use will look like next summer and those that follow. As more people and businesses call Arizona home, energy use will grow too, and over the next eight years that growth is predicted to be approximately 40%. With that in mind, the APS team is working to ensure service continues to be reliable and affordable for customers, with a focus on thoughtful power generation. APS’s current energy portfolio is 51% clean and includes Palo Verde Generating Station, the largest producer of carbon-free energy in the country, solar and wind power, along with traditional resources that ramp up quickly during hot summers.

 Emergency response efforts

After a wet winter, monsoon storms were sparse but packed a punch with damaging wind speeds up to 80 mph. Across Arizona, APS crews were staged and ready to respond to downed power poles and lines in neighborhoods and rural, rugged areas. During the months of May through September, crews typically replace about 290 poles damaged by storms. With storms arriving late this year, crews replaced about 125 poles, a number much lower than average and stark in comparison to last year’s historic season in which APS replaced a record 811 damaged poles.

Wildfire activity had less impact to APS infrastructure this year compared to years past. As a result of APS’s fire mitigation efforts and where fires occurred, there was less risk to power lines. Each year, crews maintain more than 38,000 miles of APS power lines, clear vegetation and use advanced smart technology like drones and robots to detect issues with equipment before they cause problems. APS’s team of experts in fire behavior, forestry, and meteorology monitors fire outlooks and weather patterns, partners with first responders and strengthens plans to continue to provide the safest and most reliable service to customers.

On top of annual maintenance to keep the electric system resilient against extreme weather, being prepared and ready also meant APS crews quickly responded when other issues arose. Especially with the increased temperatures, they worked to keep power outages to a minimum when objects like tarps and trampolines blew into lines, vehicles crashed into poles or construction workers unintentionally dug up power lines.

When you think of Winslow, Arizona, you might start singing “Standing on a corner…” – that famous lyric from the Eagles’ hit song “Take It Easy.”

Approximately 20 miles south of that corner is Chevelon Butte Ranch, one of Arizona’s oldest working cattle ranches – and now, Arizona’s newest operating site for clean, renewable energy.

The Chevelon Butte wind farm is a project that shows the power of partnerships.

The first new large-scale wind facility to be built in Northern Arizona in a decade, it’s a project that resulted from our competitive procurement process, which enables us to evaluate diverse and affordable resource options to best serve customers and meet the energy needs of our growing state. The AES Corporation (AES) developed and owns and operates the Chevelon Butte wind farm, and APS purchases the power generated through a 20-year power purchase agreement.

While operating on a working cattle ranch, the Chevelon Butte wind farm helps preserve century-old ranching traditions, generates economic benefits for the residents and local communities of Coconino and Navajo counties, and supplies energy to power Arizona homes.

“The energy from this wind farm can power APS customers when we need it most – after the sun goes down but customer need is high,” said Justin Joiner, APS Vice President of Resource Management. “Keeping the lights on for our customers is what we strategize years in advance and plan for year-round. With abundant solar power on our system during the day, the Chevelon Butte wind farm will support reliable service with its flexibility and increased production during the evening and overnight hours.”

“The Chevelon Butte wind project is a significant investment in the state’s economy and will be Arizona’s largest utility-scale wind farm,” said Trupti Kalbag, Vice President of Origination and Commercial Execution for AES. “APS customers will receive reliable, clean power from the innovative project alongside the economic benefit it is bringing to communities across the state.”

When the second phase is completed in 2024, the Chevelon Butte project will more than double APS’s existing wind power supply – helping advance our 51% clean resource portfolio on the road to achieving our goal to deliver 100% clean energy to our customers by 2050.

The same land that’s fed Arizona’s ranching economy for more than a century now powers Arizona and fuels progress toward a clean energy future for generations to come.

With more than 1.3 million homes and businesses using electricity to keep cool during Arizona’s record heat wave, APS customers have again made history, setting a new peak for the most energy used. Customer energy use reached 8,193 megawatts (MW) Thursday, July 20. One megawatt powers roughly 160 homes.

Thursday’s energy use surpassed the all-time peak set just five days earlier on Saturday, July 15. Starting Friday, July 14, APS customers recorded the seven highest peak days ever. The previous peak demand was 7,660 MW set on July 30, 2020.

“Despite historic levels of energy usage, APS and its customers experienced no issues related to power supply; and that does not happen by accident. It takes years of planning, maintaining a diverse energy mix, investing in and strengthening the electric system, and most importantly teams of people who are dedicated to keeping the lights on for customers when they need us most,” said Ted Geisler, APS President. “Arizona summers can be brutal, and APS is here to serve and ready to respond every day whether we’re faced with heat, monsoon storms, wildfires or all of the above.”

Ready to respond

Being prepared and ready also means APS crews are on standby, strategically staged across APS service territory, to quickly respond when issues arise. Objects that make contact with electric equipment are a common cause of power outages – often, it’s when drivers hit equipment, a tree falls onto a power line or wind blows unsecured items like tarps, or even trampolines into power lines. Just this week, several outages were caused by construction workers who unintentionally dug into APS power lines underground. APS crews dispatched quickly; and safely restored power.

The combination of extremely high temperatures and customers using more electricity than ever before to crank up their ACs, also puts extra pressure on the grid. With monsoon storms in the forecast, Mother Nature may throw high winds and lightning into the mix, which have the potential to knock out power.

Safety first

The safety of APS employees, customers and the public is paramount. APS field crews are prepared to work in challenging conditions, stay hydrated and perform regular health and safety check-ins. We encourage customers to be ready too, stay hydrated and look out for one another, checking in on the elderly, children and pets.

For tips on how to be ready in case of a power outage, what to do during an outage or view the APS outage map, visit the APS app or aps.com/outagecenter.

APS is here to help with ways to save and bill assistance

APS customers consume the most energy from 4-7 p.m. so if customers can conserve energy, that’s the best time to do it. In fact, each day’s peak this week was reached between 5 p.m. and 6 p.m. Being more efficient with energy during that time not only saves money, it helps the environment, and supports a reliable energy grid. In fact, the APS Time-of Use 4pm-7pm Weekdays and Time of Use 4pm-7pm Weekdays with Demand Charge rate plans are designed to reward customers who shift energy use to the 21 hours outside of the on-peak window and all weekend long. Customers on the demand charge plan should also stagger the use of energy, especially major appliances like clothes washers and dryers, dishwashers and pool pumps during higher cost on-peak hours of 4pm-7pm weekdays.

Visit aps.com/plans to learn more about residential rate plans, aps.com/tips for ways to save money and aps.com/assistance  for assistance programs and heat relief resources.

Tens of thousands of people traveled to Arizona to experience the excitement around Super Bowl LVII and discovered what we already know: how special our state is.

As Arizona’s hometown energy service provider, we take great pride - and responsibility - in delivering reliable power to our 1.3 million customers. It’s what happened behind the glitz, glamour and game day that helped create a winning experience for our customers and visitors alike.

Key moves in our playbook include:

• Partnering with 150 government, public safety and other agencies, from emergency management and aviation to cybersecurity and neighboring utilities, to staff and monitor events to keep our electrical system safe, secure and reliable for fans and festivities. 
• Planning months in advance with proactive measures like inspecting substations and power lines. Through long-term planning and preventative maintenance, our crews work year-round to strengthen the power grid and keep the lights on for our customers. This work doesn’t just happen for a big event – it happens every day.
• Delivering on our commitment to build a sustainable future for Arizona by partnering with the Phoenix Convention Center to power the Super Bowl Fan Experience with 100% renewable energy. 
• Powering local entertainment and hospitality businesses that provided unique and vibrant experiences for thousands of visitors from across the country and those who call our community home. 
• And, supporting the communities we serve through impactful partnerships, such as community cleanups with the Super Bowl Host Committee, and filling backpacks for students in need with NFL players and Treasures for Teachers.

Delivering reliable energy has been the cornerstone of APS since we were founded in 1886 and will continue to be long after the championship confetti settles. Together with our customers and our communities, we power Arizona forward – on game day and every day. 

Arizona’s 2022 monsoon officially ended Sept. 30 and it’s one for the record books. The season’s record rain and high winds created widespread damage and power outages.

According to the National Weather Service, many areas of Arizona experienced up to 200% of normal monsoon rainfall amounts. Both Phoenix and Flagstaff saw above normal lightning strikes and wind gusts surpassed 70 and 80 MPH in various parts of the state, blowing down poles, power lines and even large transmission lattice towers that help carry electricity across the state.  

From May through September, Arizona Public Service (APS) crews replaced a record 811 damaged power poles. Picture this, if those poles were arranged end to end on the ground, they would measure seven miles long! APS crews typically replace approximately 290 poles during this four-month period. 

“We appreciate our customers’ patience during what was an unusually active monsoon season as many parts of our service territory experienced strong storms over an extended period of time,” said Tony Tewelis, Vice President of Transmission & Distribution for APS. “While extreme weather challenged the APS electric grid in a significant way, our extensive planning and investment to strengthen the system helped minimize disruptions to our customers during even the most powerful storms. When severe weather did knock out power, our dedicated crews worked day and night in rainy, hot, humid, muddy conditions to repair damage from high winds and lightning.”

In one week alone in mid-July, APS crews worked around the clock to replace more than 400 damaged power poles following a string of unusually strong storms across Arizona that hit the communities of Eloy, Arizona City and Douglas especially hard. 

“We understand all too well that monsoon storms can adversely impact customer service,” Tewelis said. “It’s our responsibility to do all that we can to prevent disruptions by developing innovative approaches to preventative maintenance, as well as careful planning and exhaustive training to prepare for the summer storm season.”

According to Tewelis, “Spot the Dog,” a robot equipped with an infrared camera to detect hot spots and perform inspections, and the use of drones to proactively inspect APS power lines and equipment in hard-to-reach places, are just two examples of many efforts to ensure customer reliability.

Watch Spot the robot inspector and see how APS uses drones.

This year, APS added a meteorologist to the team whose expertise helps forecast weather and wildfire conditions, events and potential impacts to electrical equipment. After every storm season, employees utilize lessons learned to improve strategies and operational plans in order to be ready for the next storm seaso

Arizona’s 2022 monsoon season is already breaking records - and it’s not over yet. Due to several severe storms that have rolled through communities across the state in the span of one week, APS crews have been working to replace well over 400 power poles. In comparison, APS crews typically replace approximately 290 poles every monsoon season. 

The National Weather Service on Saturday through Sunday issued severe thunderstorm warnings in multiple portions of NW Pinal and Maricopa counties, identifying wind speeds of up to 60 mph into Sunday night. In addition to poles, the winds blew down large transmission towers and power lines that transmit electricity from our power plants and distribute it to homes and businesses. At the height of the storms, 32,000 APS customers were without power. While most customers saw their power restored within hours, Eloy and Arizona City sustained the worst of the damage and approximately 7,000 customers experienced extended outages through Wednesday morning. In addition, a powerful storm Tuesday night blew through the Douglas area toppling more than 70 power poles, and crews are working to restore the 330 customers impacted. 

“We know it has been a challenging week for customers impacted by the severe storms, and we thank them for their patience, as our crews work safely around the clock to assess and repair the damage in order to get the lights back on.” said Tony Tewelis, Vice President of Transmission & Distribution for APS. “While we monitor the weather daily in order to prepare our crews for possible outage response, exactly where and how severe the monsoon storms hit, can be unpredictable. As we prepare for what could be another active weekend of monsoon storms, rest-assured that our crews will be ready to respond as quickly and safely as they can.”

Monsoon season officially lasts through the end of September, so we encourage customers to prepare ahead of storms:

• Create an emergency supply kit in case of a prolonged outage. The pack should contain non-perishable food items, water, a first-aid kit, a battery-operated radio, flashlights, extra batteries, important phone numbers, portable phone charger and any necessary medication.
• If you have an automatic garage door, check the instructions to learn how to open it manually.
• Ensure your contact information with APS is up to date. Sign in to your aps.com account or call the APS Customer Care Center at (602) 371-7171 to update your email, text and phone numbers so APS can reach you in the event of an outage.
• Secure outdoor objects that could blow away or cause damage. Objects found in a typical backyard -- such as umbrellas, kiddie pools and even trampolines -- can be swept up by high monsoon winds and end up in power lines, causing outages.

After a storm hits, be safe around electricity. Always assume electrical equipment is energized and if you see a downed power line, stay at least 100 feet away, call 911 and then call APS. 

If you use life-support medical equipment that requires electricity, call 602-371-7171 to register for our Medical Preparedness Program. This alerts us of your needs in the event of a disruption in service. For more safety tips you can use year-round, visit aps.com/safety.

Nearly 6 million people visit the Grand Canyon every year to see beauty that has been labeled one of the seven natural wonders of the world. Generally, they also expect other modern conveniences - like running water and power - during their visit.

Many of those conveniences rely on electricity – pumps to operate water and sewer, HVAC units to heat and cool, and appliances for food.

So when the Grand Canyon National Park Service (GCNPS) completed an inspection of its inner-canyon power system, the team identified several locations in need of repair. Originally put in place in the 1960s, the lines had degraded significantly.

Repairing power lines is challenging under normal circumstances, but the locations identified by the Grand Canyon survey took challenging to a whole new level. Many were in hard-to-reach areas in remote locations, deep within the canyon walls.

Some of the work required APS crews to camp for a week along the canyon to have access to the site. They even had to rappel down the canyon walls to access a few of the lines.

Thanks to a coordinated effort between APS, multiple vendors, GCNPS and the surrounding communities, this complex project was executed successfully and safely.

Watch this video to get a behind-the-scenes look at how APS crews navigated this beautiful but rugged terrain to keep power flowing at this national treasure.

Nearly 1.3 million homes and businesses rely on us for safe, reliable power. And we deliver – ranking within the top 25% of electric utilities across the nation for frequency of outages in 11 of the past 12 years and within the top 25% for duration of outages in 10 of the past 12 years. In other words, outages are few and far between, and we get power on quickly for customers.

To keep our service reliability strong as our state grows, we deploy programs to monitor the health of our system and prioritize investments on behalf of customers. We invest more than $1 billion each year to upgrade and expand the infrastructure of the energy grid covering our vast service territory, which spans 34,646 square miles through 11 of Arizona’s 15 counties. That is part of how we are partners in Arizona’s prosperity – forecasting and meeting the state’s energy needs as it grows and brings new developments of all kinds.

Our investments in infrastructure for 2021 are projected to be $1.6 billion, up from $1.3 billion in 2020. Of that, $645 million have been budgeted for 2021 projects related to transmission and distribution (T&D), the avenues by which we deliver our power into the communities and neighborhoods we serve.

"We have quite a network of infrastructure across the state to deliver power when Arizonans need it most,” said Adolfo Maldonado, T&D System Health Engineering Supervisor for APS. “In order to maintain the reliability our customers deserve, we have to invest, and we absolutely do that.”

Our transmission and distribution expenditures can be categorized into three groups:

• System Maintenance: Monitoring the health of our system for indications of failure, proactively replacing equipment that has potential for failure and replacing equipment that has become aged-out, faulty or damaged.
• System Improvements: Adding new technology/equipment to make our grid more resilient and flexible, including projects adding capacity to accommodate areas of high distributed energy resources, and integrating technology that allows us to remotely and more quickly detect and restore outages.
• System Growth: Building new facilities to serve new customers. This can be additional customers within an already developed area or new customers where there was no previous infrastructure.

In addition to our focus on reliability, we partner with our communities to integrate system improvements as seamlessly as possible. Consider the maintenance, improvements and growth we’re bringing to substations in downtown Phoenix. To meet the energy needs of our current customers and the ongoing development bringing more customers, we are working on seven substation projects in the area. Among them is the Midtown Substation, which features innovative new designs and newer compact technology known as Gas Insulated Switchgear (GIS) to fit an entire substation into a small footprint. Construction, which began in June 2018, is expected to be completed by March 2021.

Designed to fit within the motif of the neighborhood, the revamped Midtown Substation will feature 16-foot surrounding walls that will veil most of the equipment. And that’s not all. Engaging the community in the project, we’ve asked students from the nearby BASIS Phoenix Charter School to help beautify parts of the external-facing walls to help capture the community’s vibrant art culture.

Sidewalks, lighting and landscaping will add to the substation’s curb appeal. It’s likely passersby won’t realize it’s a substation at all based on its appearance.

And, coming soon nearby, look for dramatic expansion at the Evans Churchill North Substation, which will incorporate community and artistic space into its state-of-the-art design.

The expansion plans include a welcome plaza, a performance plaza, benches, colored concrete sidewalks, murals and local art display cases.

While a lot of maintenance work takes place on overhead lines and above-ground equipment like these substations, more than $27 million annually is spent on replacing and maintaining underground infrastructure, which helps enhance reliability and the customer experience.

Since 1988, APS has installed approximately 2,700 trench miles of distribution cable at a cost of $520 million. But the work is far from done as we are committed to replacing another 1,000 trench miles of cable to better serve our customers.

These are just a few examples of the projects we’ve committed to completing as we upgrade and expand the infrastructure of our energy grid across Arizona.