Appeals Court strikes down Arizona’s ‘grid access charge’ for residential solar customers

After years in the courts, the Arizona Court of Appeals ruled in favor of Vote Solar, striking down the Arizona Corporation Commission’s (ACC) approval of discriminatory charges for customers of Arizona Public Service (APS) who have rooftop solar. In its decision, the Arizona Court of Appeals vacated the solar fees, ruling that they were imposed in an unfair manner that violated due process requirements.

APS, a regulated utility powering 1.4 million households and businesses in Arizona, first created the solar fees in its 2022 rate case, and they currently amount to roughly $2 to $3 in additional monthly charges for households with rooftop solar. Vote Solar filed an appeal in 2025 against the “grid access charge.”

APS has proposed to increase the fees to roughly $6 per month in its current rate case, which is under consideration at the ACC. Vote Solar, the Arizona Center for Law in the Public Interest (ACLPI) and Earthjustice are opposing the fee in that case as well.

“As Arizonans brace themselves for another hot summer, and yet another rate hike by APS, today’s decision marks an important step forward toward a fairer and more affordable energy system. Monopoly utilities should not be allowed to impose unjustified charges on households that choose to lower their utility bills by installing solar,” said Kate Bowman, Vote Solar’s West Senior Regulatory Director. “Investments in rooftop solar help families lower their monthly energy costs while also providing benefits to the grid. Solar electricity sends power to the grid on hot, sunny days when it is most needed, helping to reduce costs for everyone, even those without solar panels themselves. Now, it is up to the Arizona Corporation Commission to side with communities and officially eliminate APS’s attempts to impose discriminatory solar fees.”