PNW · 10-Q · 2026Q3 · Full report
Rate Case Outcomes
PINNACLE WEST CAPITAL CORP · 2026-11-03 · Importance 74 · Surprise 58 · In source text
On June 13, 2025, APS requested a $579.5 million net base-rate increase, equal to 13.99%, to address a $662.4 million base-revenue deficiency before proposed adjustor transfers. In its May 11, 2026 rejoinder, APS reduced its requested net revenue-requirement increase to $608.7 million, while ACC Staff recommended a $506.5 million total base-revenue increase and RUCO had earlier recommended $200.2 million to $278.1 million. APS requested rates effective in the second half of 2026; the hearing concluded July 7, 2026, and post-hearing briefs were filed August 27 and September 11, 2026. APS anticipated a decision before year-end 2026 but stated it could not predict the outcome or timing.
Key facts
- APS filed its 2025 Rate Case on June 13, 2025, seeking a $579.5 million net base rate increase, or 13.99%. source
- APS’s 2025 Rate Case request addresses a $662.4 million total base revenue deficiency, offset by proposed adjustor transfers of cost recovery to base rates. source
- ACC Staff recommended a $525.2 million total base revenue increase and a 9.55%–9.80% return on equity in APS’s 2025 Rate Case, subject to approval of APS’s proposed FRAM. source
- RUCO recommended a $200.2 million–$278.1 million total base revenue increase and a 9.00%–9.20% return on equity in APS’s 2025 Rate Case, subject to approval of APS’s proposed FRAM. source
- In its April 3, 2026 rebuttal testimony, APS proposed a $694.2 million total revenue requirement increase, or $611.3 million net of adjustor transfers. source
- ACC Staff’s May 1, 2026 surrebuttal reduced its recommended total base revenue increase to $506.5 million and continued to recommend a ±50-basis-point FRAM earnings-test deadband. source
- In its May 11, 2026 rejoinder, APS reduced its total revenue requirement increase to $691.6 million, or $608.7 million net of adjustor transfers. source
- APS’s 2025 Rate Case application proposes an original-cost rate base of $12.5 billion. source
Impact estimates
| metric | direction | stage | expected | basis |
|---|---|---|---|---|
| revenue | positive | probable | +15.4% | In its May 11, 2026 rejoinder, APS reduced its total revenue requirement increase to $691.6 million, or $608.7 million net of adjustor… |
| revenue | positive | probable | +12.8% | ACC Staff’s May 1, 2026 surrebuttal reduced its recommended total base revenue increase to $506.5 million and continued to recommend a… |
| revenue | positive | probable | +6.1% | RUCO recommended a $200.2 million–$278.1 million total base revenue increase and a 9.00%–9.20% return on equity in APS’s 2025 Rate Case,… |