APS has proposed the largest rate increase in the last few decades. The most common rate plans could see an increase of 13.6%. Solar can help you alleviate the impact of the proposed increase and protect you from future increases in electricity cost. The new rate change is expected to be approved by April of this year. While time is running short, there is still an opportunity to protect yourself from the impending financial impact.
Here’s an excerpt from the Rate Case plan:
“The actual impact of the proposed revenue increase on any customer’s bill depends on the customer’s rate plan and usage.
For example, a residential customer on the “Time-of-Use 4PM to 7PM Weekdays” plan would see a 25% increase in basic service charge, approximately a 24% increase in on-peak energy charges per kWh (summer and winter), approximately a 22.4% increase in off-peak energy charges per kWh, and a 16.1% increase in super off-peak energy charge per kWh.
A residential customer on the “Fixed Energy Charge Plan” would see an increase in basic service charge by 24.4–25% (depending on tier) and an increase in energy charge per kWh of 22.6–22.7% (depending on tier).”
(source: https://www.aps.com/en/Utility/Regulatory-and-Legal/Public-notice)
Impacts to your Southwestern Lifestyle:
Make sure to check into your current APS rate plan to see how this may affect your upcoming bills. To put this into perspective, a 13.6% increase to a current household monthly average bill of $140 would make this new monthly average bill $168. That’s a loss of over $200 dollars in a year. Some customers we talk to could see nearly a $700 increase annually presuming that APS’s estimates are not understated.
This might also be one of the many increases we will continue to see over the next few decades from APS. Not only does APS have a pretty good track record of getting the rate increases they request from the ACC, with the record heat, demand and usage has reached new levels, breaking peak demand usage twice in one week. (https://www.aps.com/en/About/
Solar buy-back credits are issued to APS customers for energy exported to the grid. Any energy your home doesn’t use from solar generation is sold back to APS at a “buy-back” rate. APS has been granted the authority to shrink the “buy-back” by 10% nearly every year since 2017 until market parity is achieved.
By going solar with Rooftop Solar, our customers get grandfathered into their current rate plan for the next 10 years, protecting them from any immediate changes to their utility rates. This is a huge step toward protecting your current utility rate before this proposed increase occurs.
New Incentives Make Solar More Affordable Than Ever:
Fortunately, there is a silver lining amidst these upcoming utility rate increase challenges. In August of 2022, Congress passed the Inflation Reduction Act, which not only reinstated but also extended the 30% solar tax credit.
This extension applies not only to solar panels but also to home battery storage systems. It provides a wide range of homeowners with the opportunity to purchase solar at an affordable price. This is a great opportunity for anyone who still hasn’t purchased solar yet. Plus, Arizona homeowners can claim a $1,000 state income tax credit to add to their purchase. All of these current incentives effectively cover more than one-third of the total system cost!
Some things to remember. These immediate bonuses only highlight the short-term gains from solar. Solar really shines bright in the long-haul. That’s why it is so important to have one of our Rooftop Solar Specialists highlight how much you could be saving in the next 10, 20, and even 30 years from now!
Our experts will help explain how you can offset the constant worry of utility increases while allowing you to meet and exceed your personal financial goals. The longer you wait to get answers, the more likely you will be wasting money unnecessarily on expensive electricity in 2024.
Solar is a sound investment for your home:
Solar has been around for decades and the equipment has become more efficient and advanced than ever. Home buyers are becoming more interested in homes that are pre-wired for solar or that have pre-existing solar panels already installed. It’s estimated that adding solar to your home boosts your home’s value by 3-5% based on the current market.
Rooftop Solar offers no hassle phone, online, or in-person consultations as well as, free quotes at a time that fits your schedule. We want to make sure solar is a good fit for your needs and lifestyle as well as your home or property.
Let’s make sure your new solar system meets your needs and is cared for accordingly throughout the life of the system. We’ve been in business for over a dozen years, offer a 30-year comprehensive warranty, and have a proven track record of excellence. We want to be YOUR local sunshine source!
To learn more and see if solar is right for you, Schedule an Appointment Today
Tell us a little about yourself and we’ll reach out to set you up you with one of our amazing Project Specialists at a time that fits your schedule. It’s that easy.
