APS Passes Tax Reform Savings on to Customers

Customers will see bill decrease of more than $5 per month on average

PHOENIX–(BUSINESS WIRE)–Starting tomorrow, APS customers will see an average reduction of $5.40
on their monthly bill as a result of $119 million in federal corporate
tax cuts. Anticipating federal tax reform, APS included a new adjustor
in the company’s most recent rate review to pass savings directly back
to customers. These savings exceed the $95 million revenue increase from
APS’s 2017 rate settlement.

Last week, the Arizona Corporation Commission approved this refund of
$0.004912 per kWh beginning with March bills. The refund will appear as
a line item on customer bills called the Tax Expense Adjustor Mechanism
(TEAM). The calculation is based on energy usage (kilowatt-hour) and
will vary month to month and customer to customer. APS expects to refund
customers additional savings from federal tax reform later this year,
subject to the full impact of the new law and approval by the Arizona
Corporation Commission.

Information about how to reduce energy and the service plan that best
meets the unique needs of each customer is available at aps.com.

APS
serves about 2.7 million people in 11 of Arizona’s 15 counties, and is
the Southwest’s foremost producer of clean, safe and reliable
electricity. Using a balanced energy mix that is nearly 50 percent
carbon-free, APS has one of the country’s cleanest energy portfolios,
including both Palo Verde Generating Station and renewable energy. The
company is also a proven leader in introducing technology and services
that offer customers choice and control over their energy consumption.
With headquarters in Phoenix, APS is the principal subsidiary of Pinnacle
West Capital Corp. (NYSE: PNW).

Contacts

APS
Media Contact:
Jill Hanks, 602-250-3040
Analyst
Contact:
Stefanie Layton, 602-250-4541
Website: aps.com/newsroom