Western Resource Advocates says APS rate method shifts data center costs to households

Western Resource Advocates, a nonprofit renewable energy advocate and one of 23 intervenors in APS’s pending rate case, told 12News that the Arizona utility’s method for dividing power generation costs shifts about $136 million a year to residential customers, an amount the group says data centers would mostly cover under an alternative it proposes, called “Probability of Dispatch.” APS said the analysis does not fully account for the cost of a reliable grid and backup power, called it “a debate over differing methodologies” being examined in the rate case, and argued in an August brief that WRA’s method would be too complex to apply; APS executives and regulators have repeated a “growth pays for growth” motto since 2025, per 12News. APS is seeking a 15% average rate hike for homeowners, and the Arizona Corporation Commission is expected to vote on the case by the end of the year.