How to Avoid APS Rate Hikes in 2026

A massive APS electric rate hike is on the way, and the best way to protect your home or business is to generate your own power with a high‑performance solar and battery system before those new rates hit. As Arizona electricity demand and prices surge, locking in low-cost, reliable energy with solar simply makes sense in 2026.
How Much Is APS Raising Rates?
APS has applied for a nearly 14% rate increase that would start in the second half of 2026, adding about $20 a month for a typical residential customer using 1,000 kWh. The power company says the higher rates are needed to pay for grid upgrades, inflation, and rising costs to serve booming electricity demand across its territory.
What’s Driving Up Your Power Bill?
The need for expensive grid upgrades and new infrastructure is one of many forces working together to push electricity costs higher in Arizona and put strain on grid reliability. Key factors increasing power bills include:
- Explosive data center growth that adds massive, 24/7 demand to the grid
- Record‑breaking extreme heat driving air‑conditioning use to new highs
- Declining hydropower output as the Colorado River basin dries up
How Solar Helps Combat Rising Electricity Rates
Solar gives you a way to take control of your power costs instead of waiting for the next APS rate increase to hit your bill. By generating your own electricity on‑site, you buy less power from the utility each month. As rates and grid pressures continue to climb, each kilowatt‑hour you generate from your own system reduces what you pay now and in the future.
Residential solar power provides several benefits, allowing you to:
- Offset a large share of your daytime usage with low‑cost solar power instead of higher‑priced grid energy
- Pair solar with battery backup to use stored solar power at night and during expensive peak utility hours
- Use predictable solar production to stabilize your energy costs over 20–25+ years
Why Arizona Homeowners Choose SouthFace Solar & Electric
SouthFace Solar & Electric is built around the idea that your solar system should be as individual as your home or business. Instead of a one‑and‑done installation, we focus on being your Arizona solar experts for life. Our team will guide you through everything, from the initial site evaluation and incentive guidance to design, permitting, installation, and ongoing maintenance. You’ll always know who is working on your project and have a direct line to a local team that stands behind its workmanship for the long term.
Our team has a combined 35 years of solar experience and offers high-performance solar services, including:
- Residential solar
- Ground-mounted solar
- Off-grid solar
- Solar canopies
- Solar maintenance
- Commercial solar installation
- Generators