Arizona Electricity Information
Arizona’s electricity generation is dominated by natural gas and nuclear power, with the Palo Verde Nuclear Generating Station being the largest producer in the state. Solar energy also plays a significant and growing role, thanks to Arizona’s abundant sunshine, making it a leader in solar capacity. Coal, once a major source, has seen a decline as the state shifts toward cleaner energy options. Electricity consumption in Arizona is relatively high, driven by hot summers that increase demand for air conditioning, as well as a growing population and industrial activity.
Electricity prices in Arizona are close to the national average, with residential rates often influenced by seasonal demand spikes. The state has made strides in reducing emissions by investing in renewables and retiring coal plants, though transportation remains a larger contributor to overall emissions. Arizona’s commitment to solar energy and energy efficiency programs reflects its focus on a sustainable and resilient energy future, balancing growth with environmental responsibility.
Smart Rate Plans: Decoding “Time-of-Use” (TOU)
Arizona utilities use aggressive “Time-of-Use” plans where electricity costs significantly more during peak hours. Picking the wrong plan for your lifestyle can cost you hundreds of dollars.
- APS Customers:
- Peak Hours: 4:00 PM – 7:00 PM (Weekdays).
- Strategy: This is a short 3-hour window. If you can avoid running the dryer, dishwasher, and oven during this time, this plan is usually the cheapest option.
- SRP Customers:
- Peak Hours: Varies by plan, but popular options include 2:00 PM – 8:00 PM or the “Conserve” plan which targets 6:00 PM – 9:00 PM.
- Strategy: The 6–9 PM window is popular because it allows you to cool the house when you get home from work (before 6 PM), but the price per kilowatt-hour during those three hours is very high.
- Warning: The “Demand Charge” Some plans offer very cheap energy rates in exchange for a “Demand Charge.” This is a fee based on the single highest hour of energy you use all month.
- Risk: If you accidentally run the AC, oven, and dryer at the same time for just one hour, your bill could spike by $50+, even if you saved energy the rest of the month. Only choose these plans if you are diligent about managing your appliances.
Find Electricity Providers In Arizona
Ranks 12th Highest in the U.S.
Average Price: 15.28¢ /kWh
Ranks 31st Cheapest in the U.S.
Average Electric Bill: $147.16
Ranks 39th Cheapest in the U.S.
Electricity Production By Source
Emissions From Electricity Generation
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Renewable Electricity Generation
13.51% of Total Production
Energy Usage in Arizona
Arizona’s power use is defined by its hot, arid desert climate, long triple-digit summers in the Sonoran and Mojave deserts drive heavy air-conditioning loads and sharp late-afternoon peaks, while generally mild winters keep heating needs modest except in higher-elevation regions like Flagstaff. Rapid population growth around Phoenix and Tucson adds to year-round demand, and monsoon humidity can push cooling even higher. Time-of-use rates, demand-response programs, and fast adoption of rooftop solar (plus batteries) are reshaping when electricity is used, shaving some daytime demand but shifting more consumption into evening hours when the sun sets and homes stay cool.
Municipal Utilities in Arizona
While most cities, towns, and villages throughout the state of Arizona offer municipal essential services like providing clean water, sewage treatment and dealing with waste and storm water, some also offer other services like electricity, natural gas, sanitation or recycling. In Arizona, 34 cities offer municipal electricity utility services to their residents.
Largest Electric Companies in Arizona
The rest of Arizona receives electric utility service from one of many primary providers. Here’s a list of some of the larger providers that might be available to your home:
Arizona Natural Gas Information
Arizona’s reliance on natural gas grew alongside rapid population and load growth from the 1990s onward, as utilities shifted away from oil and coal toward quicker-ramping gas plants to backstop booming summer air-conditioning demand. Today, natural gas fuels a large share of the state’s electricity generation and is used directly in homes and businesses for space and water heating, cooking, and industry. The state’s climate is mostly hot and arid, triple-digit summers in the deserts push gas-fired power plants hard to meet peak loads, while cooler winters in higher-elevation regions (Flagstaff, the Mogollon Rim) bring a seasonal bump in direct gas heating.
On market structure, Arizona remains largely regulated for natural gas: residential customers generally don’t shop among competitive suppliers. Utilities like Southwest Gas (and municipal providers such as the City of Mesa) handle both procurement and delivery, though large commercial/industrial users may have limited transportation options in specific circumstances. The result is a system designed for reliability in extreme summer conditions, with natural gas serving as the fast, flexible backbone for both the grid and everyday end uses.
Largest Natural Gas Companies in Arizona
Many of the residents of Arizona receive their natural gas utility service from one of the larger companies that service the state.
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Arizona Internet Connectivity
Largest Internet Providers in Arizona
When it comes to high-speed internet, homes in Arizona have plenty of options to stay connected! From bustling cities to quiet rural areas, a variety of providers offer reliable service across the state. Here are some of the biggest names keeping Arizona homes online and in the loop:
Find Internet Providers In Arizona
"Know Your Rights": Summer Shut-Off Protections
Arizona has specific rules to protect residents from losing power during the dangerous summer heat, but they differ depending on who provides your electricity.
- Regulated Utilities (APS, TEP, UniSource): These companies operate under the "Summer Moratorium" set by the Arizona Corporation Commission. They are prohibited from disconnecting residential service for non-payment between June 1 and October 15.
- Salt River Project (SRP): Because SRP is not regulated by the state commission, they have their own policy. They typically suspend disconnections during July and August, or whenever the National Weather Service issues an "Extreme Heat Warning."
- The Important Catch: This is not free electricity. During these months, your bill will still arrive, and late fees will likely pile up. If you pay nothing all summer, you may face a massive debt and immediate disconnection once the moratorium ends in October. It is vital to pay whatever you can, even if it’s just a partial payment, to show "good faith" and keep your balance manageable.
New Resident Guide: Surviving Your First Summer
Moving to Arizona? The first summer electric bill can be a shock. Here are two tips locals use to survive:
1. The "Super-Cooling" Strategy Instead of keeping your AC at 75°F all day, try "super-cooling" (or pre-cooling).
- How it works: Blast your AC down to 72°F (or lower) during the cheaper "off-peak" morning hours (before 2 PM or 4 PM).
- The Benefit: This freezes the walls and furniture in your home. When "on-peak" hours hit and electricity becomes expensive, turn your thermostat up to 78°F or 80°F. Your home will "coast" on the trapped cold air for hours without the AC running hard during the most expensive time of day.
2. The Security Deposit Hack Most Arizona utilities require a security deposit of $150–$300 to start service. However, you can often waive this fee if you provide a "Letter of Credit" from your previous utility company showing 12 months of on-time payments. Request this letter before you cancel your old service to have it ready for your new application.
Going Solar: The 2025 "Net Billing" Reality
If you are buying a home with solar or planning to install it, you need to understand Net Billing. Arizona no longer offers "Net Metering" (where you trade 1-for-1 with the power company).
- How it Works: You buy power from the utility at the retail rate (e.g., ~14¢/kWh), but when you send extra solar power back to the grid, they buy it from you at a lower wholesale rate (the "RCP" rate).
- Current Export Rates (Approximate for 2025):
- APS: ~6.17 cents per kWh
- TEP: ~5.70 cents per kWh
- The "Lock-In": When you install solar, your export rate is typically locked in for 10 years. Because these rates tend to drop slightly every year (usually in September/October), there is often a rush to install before the annual adjustment.
Water Wisdom: "Cash for Grass"
As water becomes more precious in Arizona, cities are paying residents to remove their lawns.
- Chandler: Recently offered up to $2.00 per square foot for removing grass, though rates and caps change annually. (Check specifically for 2026 program updates as rates may decrease).
- Scottsdale & Mesa: frequently offer rebates for converting grass to "Xeriscape" (desert landscaping), but funds are limited and often run out quickly.
- Action Item: Before you dig up your lawn, visit your city's water conservation website. You usually must apply and get approved before you start removing the grass to qualify for the check.
Utility Costs in Arizona
The average monthly total utility bills in Arizona is $316.11, which is 14.06% higher than the national average.
Assistance for Paying Utility Bills in Arizona
If you are struggling to keep up with high cooling costs in the summer or heating bills in the winter, Arizona offers several programs to help. Assistance is available through federal grants, state funds, and direct discounts from major utility providers.
Statewide Government Assistance
Low Income Home Energy Assistance Program (LIHEAP) Operated by the Arizona Department of Economic Security (DES), LIHEAP helps eligible low-income households pay their heating and cooling bills. Priority is often given to households with elderly members, persons with disabilities, and young children.
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Benefits: You may receive up to $640 per year in benefits, plus up to $1,000 in crisis assistance if you are facing disconnection.
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How to Apply: Applications are typically processed through local Community Action Agencies (CAPs). You can apply online or find your local agency through the DES portal.
Weatherization Assistance Program (WAP) This program helps reduce energy costs by improving the energy efficiency of your home at no cost to you. Improvements may include sealing drafts, upgrading insulation, or repairing HVAC systems.
2-1-1 Arizona If you are in immediate need of resources, you can dial 2-1-1 or visit their website to be connected with local charities and agencies that offer emergency utility assistance.
Provider-Specific Discounts
Many utility companies in Arizona offer their own discount programs for low-income customers.
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Arizona Public Service (APS): The Energy Support Program offers a 25% to 60% monthly discount on electricity bills for eligible customers. They also offer a “Crisis Bill Assistance” program for up to $800/year.
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Salt River Project (SRP): The Economy Price Plan provides a $23 monthly discount to eligible households. They also partner with the Salvation Army for the SHARE program to help with emergency payments.
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Tucson Electric Power (TEP): The Lifeline Program offers a monthly discount (typically around $20) for low-income families.
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Southwest Gas: Offers the Low Income Ratepayer Assistance (LIRA) program, which provides a 30% reduction on the “per therm” rate and a discounted basic service charge.
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UniSource Energy Services: Offers the CARES program with monthly discounts for both electric and gas customers.
Resources for Special Groups
For Seniors
Seniors (60+) are often given priority status when applying for LIHEAP benefits (see above). Additionally, many local Community Action Programs (CAPs) have specific funds set aside for senior citizens.
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Maricopa County: The Senior & Adult Independent Living (SAIL) program may offer case management that connects seniors to utility aid.
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Medical Discounts: If you require electricity for life-sustaining medical equipment (common for seniors with respiratory issues), ask your provider about “Medical Care” or “Medical Support” programs. APS, for example, offers an enhanced discount for these medical needs.
For Veterans
Veterans in Arizona have access to specialized funds designed to prevent homelessness and ensure housing stability.
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Military Family Relief Fund (MFRF): Provides financial assistance to veterans and their families for hardships related to military service, which can include utility payments.
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Supportive Services for Veteran Families (SSVF): Organizations like Veterans Inc. and U.S. VETS receive funding to help veterans at risk of homelessness pay for utilities, rent, and moving costs.
For Students
While there are no statewide “student-only” utility discounts, students living off-campus who meet income eligibility requirements can still apply for LIHEAP and Provider-Specific Discounts (like the APS Energy Support Program or SRP Economy Price Plan).
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Tip: If you live with roommates, your collective household income is usually considered. However, if you are a single occupant with low income, you are highly likely to qualify for the provider discounts mentioned above.
Find Utility Providers In Arizona
Utility Providers by City in Arizona
| City Name | Population | Municipal Electricity |
|---|---|---|
| Ajo | 2,944 | No |
| Anthem | 22,750 | No |
| Apache Junction | 38,311 | No |
| Arizona City | 8,950 | No |
| Avenue B and C | 3,763 | No |
| Avondale | 254,537 | No |
| Avra Valley | 5,916 | No |
| Bagdad | 2,383 | No |
| Beaver Dam | 2,076 | No |
| Benson | 5,252 | No |
| Bisbee | 4,957 | No |
| Black Canyon City | 2,485 | No |
| Buckeye | 89,711 | Yes |
| Bullhead City | 41,064 | No |
| Camp Verde | 11,942 | No |
| Carefree | 3,642 | No |
| Casa Grande | 53,488 | No |
| Casas Adobes | 70,224 | No |
| Catalina | 6,472 | No |
| Catalina Foothills | 50,096 | No |
| Cave Creek | 4,933 | No |
| Central Heights-Midland City | 2,587 | No |
| Chandler | 272,439 | Yes |
| Chinle | 3,771 | No |
| Chino Valley | 12,854 | No |
| Citrus Park | 5,640 | No |
| Clarkdale | 4,419 | No |
| Clifton | 3,903 | No |
| Colorado City | 2,744 | No |
| Coolidge | 13,347 | Yes |
| Cordes Lakes | 2,862 | No |
| Cornville | 3,543 | No |
| Corona de Tucson | 9,627 | No |
| Cottonwood | 12,073 | No |
| Desert Hills | 2,564 | No |
| Dewey-Humboldt | 4,304 | No |
| Doney Park | 5,086 | No |
| Douglas | 16,470 | No |
| Drexel Heights | 30,599 | No |
| Eagar | 4,487 | No |
| El Mirage | 35,410 | No |
| Eloy | 15,171 | Yes |
| Flagstaff | 81,682 | No |
| Florence | 25,356 | No |
| Flowing Wells | 16,965 | No |
| Fort Defiance | 3,723 | Yes |
| Fort Mohave | 15,872 | No |
| Fortuna Foothills | 26,727 | No |
| Fountain Hills | 23,639 | No |
| Gilbert | 262,249 | No |
| Glendale | 245,685 | No |
| Globe | 7,185 | No |
| Gold Canyon | 11,233 | No |
| Golden Valley | 7,914 | No |
| Goodyear | 93,651 | No |
| Green Valley | 20,729 | No |
| Guadalupe | 5,334 | No |
| Heber-Overgaard | 2,339 | No |
| Holbrook | 4,826 | No |
| Joseph City | 2,021 | No |
| Kachina Village | 2,872 | No |
| Kayenta | 5,227 | No |
| Kearny | 2,198 | No |
| Kingman | 32,204 | No |
| Lake Havasu City | 56,510 | No |
| Lake Montezuma | 4,362 | No |
| Lake of the Woods | 3,897 | No |
| Linden | 2,523 | No |
| Litchfield Park | 6,656 | No |
| Marana | 50,834 | No |
| Maricopa | 57,075 | Yes |
| Mesa | 497,752 | Yes |
| Mohave Valley | 2,969 | Yes |
| New Kingman-Butler | 12,858 | No |
| New River | 17,731 | No |
| Nogales | 19,829 | No |
| Oracle | 3,335 | No |
| Oro Valley | 46,515 | No |
| Page | 7,466 | Yes |
| Paradise Valley | 12,666 | No |
| Parker | 3,324 | No |
| Paulden | 4,602 | No |
| Payson | 16,229 | No |
| Peoria | 187,733 | No |
| Phoenix | 4,047,095 | Yes |
| Picture Rocks | 9,084 | No |
| Pima | 2,777 | No |
| Pinetop-Lakeside | 4,049 | No |
| Prescott | 45,063 | No |
| Prescott Valley | 97,901 | No |
| Queen Creek | 57,728 | No |
| Red Rock | 3,403 | No |
| Rincon Valley | 5,304 | No |
| Rio Rico | 20,914 | No |
| Rio Verde | 2,404 | No |
| Sacaton | 2,506 | No |
| Saddlebrooke | 11,252 | No |
| Safford | 9,981 | Yes |
| Sahuarita | 33,524 | No |
| San Carlos | 4,461 | No |
| San Luis | 35,289 | No |
| San Manuel | 3,489 | No |
| San Tan Valley | 96,127 | No |
| Scottsdale | 238,685 | No |
| Sedona | 9,723 | No |
| Sells | 2,323 | Yes |
| Show Low | 11,623 | No |
| Sierra Vista | 44,944 | No |
| Sierra Vista Southeast | 14,822 | No |
| Snowflake | 6,086 | No |
| Somerton | 14,126 | No |
| South Tucson | 4,726 | No |
| Springerville | 2,082 | No |
| St. Johns | 3,416 | No |
| Star Valley | 2,474 | No |
| Summit | 4,969 | No |
| Sun City | 37,693 | No |
| Sun City West | 26,354 | No |
| Sun Lakes | 13,912 | No |
| Superior | 2,679 | No |
| Surprise | 141,875 | No |
| Swift Trail Junction | 2,668 | No |
| Tanque Verde | 14,946 | No |
| Taylor | 4,020 | No |
| Tempe | 178,862 | Yes |
| Thatcher | 5,172 | Yes |
| Three Points | 4,807 | No |
| Timberline-Fernwood | 2,637 | No |
| Tolleson | 7,180 | No |
| Tuba City | 8,748 | No |
| Tucson | 875,284 | No |
| Tucson Estates | 12,411 | No |
| Tucson Mountains | 11,451 | No |
| Vail | 14,715 | No |
| Valencia West | 12,887 | No |
| Valle Vista | 2,746 | No |
| Verde Village | 12,658 | No |
| Village of Oak Creek | 6,144 | No |
| Wellton | 2,734 | Yes |
| Whetstone | 2,734 | No |
| White Mountain Lake | 2,834 | No |
| Whiteriver | 4,114 | No |
| Wickenburg | 7,359 | Yes |
| Willcox | 3,240 | No |
| Williams | 3,235 | Yes |
| Williamson | 5,651 | No |
| Window Rock | 2,226 | No |
| Winslow | 8,961 | No |
| Youngtown | 6,908 | No |
| Yuma | 135,933 | No |
About the Author
David has been an integral part of some of the biggest utility sites on the internet, including InMyArea.com, HighSpeedInternet.com, BroadbandNow.com, and U.S. News. He brings over 15 years of experience writing about, compiling and analyzing utility data.




















