The Arizona Corporation Commission might vote on Tuesday about a new way to set utility rates that could lead to yearly increases in electric and gas bills.
Currently, utilities ask for rate hikes based on expenses from the previous year. The new proposal would update rates every year instead. Consumer groups are against this change, arguing that it would make it harder to challenge rate hikes and give consumers less influence.
Commission Chairman Jim O’Connor has said this proposal is a “major change” in how rate cases are usually handled in the state. The agenda item for Tuesday’s meeting is called a “policy statement on formula ratemaking.”
Supporters, including big utility companies, believe this change would help prevent large, unexpected price hikes for consumers.
The five-member Arizona Corporation Commission is in charge of setting rates for many public utilities, like Arizona Public Service, Southwest Gas, and Tucson Electric Power.
Arizona Attorney General Kris Mayes has asked the commission to delay the vote for at least two weeks, saying the change could significantly alter how utilities are regulated in the state.
Residents can join Tuesday’s meeting in person, by phone, or by video conference. To speak during the meeting, they need to submit a request by 9 a.m. on Tuesday. You can find the meeting agenda online.