News Summary
Thousands of Arizonans gathered at the Capitol to protest a proposed 14% rate increase by Arizona Public Service (APS). Organized by various grassroots groups, the rally aimed to highlight the financial strain of rising energy prices on vulnerable populations. Public hearings on the proposal start in January, with calls for consumer participation to influence decision-making. Attorney General Kris Mayes opposes the hike and is holding a town hall meeting to discuss its implications. Rising energy demands and inflation add urgency to Arizona’s energy crisis.
Arizona witnessed a significant protest at the Capitol on Wednesday, as a coalition of grassroots organizations rallied against the proposed 14 percent residential rate hike by the Arizona Public Service (APS), the state’s largest utility. The rally primarily aimed to advocate for lower energy prices amidst rising operational costs attributed to Arizona’s energy grid challenges.
The Arizona Corporation Commission has scheduled public hearings to discuss the APS proposal, commencing in January. This rate increase comes at a time when many residents are already grappling with elevated energy costs, which have significantly impacted their budgets.
The coalition includes various organizations such as the Arizona Youth Climate Coalition, Arizonans for a Clean Economy, Climate Power, Mountain Mamas, Opportunity Arizona, and Vets Forward. Members of these groups expressed their frustrations, particularly highlighting the burden of high energy bills on vulnerable populations, including seniors on fixed incomes.
Dora Vasquez, executive director of the Arizona Alliance for Retired Americans, voiced strong concerns about the financial strain caused by climbing energy prices. Vasquez criticized state regulators for failing to manage the situation effectively and warned of possible consequences at the ballot box should they remain inactive.
Among the protestors was Vick Petersen, a retired U.S. Air Force veteran, who reported a staggering increase of about $150 in his monthly APS bill compared to the previous year, which now totals nearly $600 a month. Similarly, Anna Cicero, a retired educator, noticed her SRP bill had jumped by around $150 since last summer, a burden so heavy that her adult grandchildren now contribute to her expenses as they struggle with their own housing costs.
Diane Brown, executive director of Arizona PIRG, acknowledged the challenges posed by rising energy costs but pointed out that there are available programs designed to assist customers. APS has announced plans to allocate an additional $2 million for crisis assistance programs, targeting roughly 3,200 individuals in need. This initiative will provide grants of up to $1,000 per person through partner organizations like Wildfire and Chicanos Por La Causa.
Public hearings regarding the proposed rate hike are set for January 20, February 18, and May 18, 2025. Brown emphasized the importance of consumer participation in these hearings, highlighting that past public feedback has substantially influenced APS’s decisions on rate increases.
As a counter to the proposed rate raise, Arizona Attorney General Kris Mayes, an opponent of the hike, is organizing a town hall meeting on October 21 in Sun City West. The town hall aims to discuss the implications of rising energy costs with local residents.
On a national level, electricity prices are on the rise due to increased demand from data centers and overall inflation affecting consumer goods. However, Arizona experienced one of the smallest electricity cost increases in the country from May 2024 to May 2025, with prices moving from 15.49 cents to 15.76 cents per kilowatt-hour, indicating only a 1.7% increase.
As plans for new data centers are announced—including a substantial $33 billion project for a data corridor in Eloy—the strain on Arizona’s energy grid is expected to increase significantly. The need for utility companies to adapt to these changing demands while balancing customer costs remains a pressing issue.
In light of these developments, residents are encouraged to reach out to utility companies and community programs for support regarding their energy bills. The upcoming public hearings will serve as an opportunity for consumer voices to be heard in the decision-making process that will shape Arizona’s energy future.
Deeper Dive: News & Info About This Topic
- Phoenix New Times: Protesters Slam APS Rate Hike
- KTAR: Peak Energy Demand Record
- SF Examiner: Review of Phoenix Energy Bonds
- Moneywise: Dave Ramsey Warns Phoenix Homeowners
- GlobeNewswire: PHX Energy Record Revenue
- Wikipedia: Electricity Pricing
- Encyclopedia Britannica: Electricity
- Google Search: Arizona Energy Costs
- Google Scholar: Energy Efficiency Arizona
- Google News: Arizona Energy Protest
Author: STAFF HERE PHOENIX WRITER
The PHOENIX STAFF WRITER represents the experienced team at HEREPhoenix.com, your go-to source for actionable local news and information in Phoenix, Maricopa County, and beyond. Specializing in "news you can use," we cover essential topics like product reviews for personal and business needs, local business directories, politics, real estate trends, neighborhood insights, and state news affecting the area—with deep expertise drawn from years of dedicated reporting and strong community input, including local press releases and business updates. We deliver top reporting on high-value events such as the Waste Management Phoenix Open, Cactus League Spring Training, and Arizona State Fair. Our coverage extends to key organizations like the Greater Phoenix Chamber of Commerce and Visit Phoenix, plus leading businesses in technology and healthcare that power the local economy such as Intel and Banner Health. As part of the broader HERE network, including HERETucson.com, we provide comprehensive, credible insights into Arizona's dynamic landscape.
