Arizona Public Service Seeks 14% Rate Hike Amidst Growing Opposition to Data Center Expansion
Arizona Public Service (APS), the state's largest power company, is seeking a 14% increase in electricity rates, a proposal that has met with significant public opposition. Protests against data centers, which are major electricity consumers, are becoming more common across the country, including in Phoenix. Nile Bunger, a protester, highlighted that the public would bear the brunt of ensuring corporations and shareholders receive profits. APS attributes the need for rate increases to rising costs and unprecedented demand, particularly from data centers. The company also plans to raise rates for large users, predominantly data centers, by 45%. In late July, APS experienced record demand, 400 megawatts higher than the previous year, with data centers accounting for half of this growth. Arizona's utility regulator is expected to decide on the rate hike by the end of the year. In June, Arizona lawmakers paused tax incentives for new data centers for three years, but 113 new applications were filed before the ...