Grand Canyon Times

At the Arizona Corporation Commission's Open Meeting on March 12, 2025, Vice Chairman Nick Myers participated in a unanimous vote to approve Tucson Electric Power Company's (TEP) application to adjust its Purchased Power and Fuel Adjustment Clause (PPFAC) rate. This adjustment increases the credit back to customers.

The new PPFAC rate will decrease average residential bills by approximately $4.38 per month for those with an average monthly usage of 767 kWh. The updated rate provides a credit of ($0.007150) per kWh through March 31, 2026. Previously, the PPFAC rate effective in June 2024 offered a credit of ($0.001446), which resulted in an approximate decrease of $11.91 per month for similar usage levels (Decision No. 79363).

Vice Chair Myers expressed satisfaction with the decision, stating, "I am so pleased that for a second year in a row the Commission has been able to approve a credit back to customers through TEP’s PPFAC for a total reduction of over $16 per month." He further noted that "the PPFAC continues to work as it should with its true-up component and taking into account lower forecasted cost of procuring fuel and power."

The new PPFAC rate is set to take effect on April 1, 2025.

For additional details, refer to Docket No. E-01933A-22-0107 or contact Vice Chairman Myers at myers-web@azcc.gov.