Important News about the Power Supply Adjustor

Power Supply Adjustor

The Power Supply Adjustor (PSA) is a mechanism that adjusts the revenue the company collects from its customers for changes in its fuel and purchased power costs. These costs have experienced significant volatility in recent history. The PSA allows the company to have a closer match between the company's fuel and purchased power costs and the revenue it collects from its customers to pay these costs. This is done primarily through an adjustment to the PSA Rate each February. PSA charges are subject to ongoing review and approval by the Arizona Corporation Commission (ACC).

The following PSA charges are in effect:

2011 PSA Rate consists of two components:

Forward Component  Rate        -$0.003016/kWh

Historical Component Rate        -$0.002642/kWh

Total Current PSA Charges:    -$0.005658/kWh

The PSA charges are intended to reduce the company’s balance of uncollected fuel and purchased power costs. All of these charges are combined on the "Power supply adjustor" line of the bill.

None of the PSA charges apply to the company's customers who are on either of the APS Energy Support (E-3 or E-4) programs, E-36 (Station Use Service rate), or Solar-2 rate.

More details and answers to frequently asked questions about the Power Supply Adjustment (PSA)

Revised February 1, 2011