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Stable, Affordable Rates

UniSource Energy Services’ electric rates have been remarkably stable over the last two decades.

Residential electric rates essentially remain unchanged, on average, over the past 20 years.  If you adjust for inflation over that same length of time, our rates have actually fallen by nearly 2 percent per year.

The following table shows UniSource’s historic electric rates for residential and business customers. The figures reflect the average cents per kilowatt-hour (kWh) paid by different types of customers.  In both the chart above and the table below, the figures from 1999-2002 reflect rates charged by Citizens Utilities, previous owner and operator of our electric utility system.

Residential Commercial Industrial Total
1994 8.90 9.45 8.54 9.02
1995 8.75 9.46 8.25 8.85
1996 8.66 9.20 7.46 8.59
1997 9.09 9.25 7.49 8.85
1998 8.26 8.92 6.67 8.20
1999 9.07 9.49 5.84 8.75
2000 8.19 8.38 5.92 7.86
2001 8.33 8.54 5.69 8.01
2002 9.73 10.47 8.09 9.56
2003 10.01 10.06 7.64 9.82
2004 10.12 10.15 7.33 9.77
2005 10.08 10.09 7.31 9.77
2006 10.07 10.04 7.74 9.79
2007 10.04 10.14 7.77 9.82
2008 11.21 11.20 8.96 10.92
2009 10.13 10.47 8.45 9.80
2010 9.89 9.79 8.15 9.32
2011 9.86 10.03 8.05 9.46
2012 9.25 9.29 7.47 9.12
2013 9.62 9.64 7.69 9.45
2014 10.29 10.21 8.21 10.02
2015 10.38 10.52 8.20 10.22
2016 10.79 10.78 8.34 10.59
2017 9.89 9.76 6.80 9.65
2018 9.82 9.56 6.80 9.56
2019 9.12 8.95 6.13 8.89

Below is are the average annual rate increases per class at intervals ranging from 10 years to 25 years.from 1999 to 2019.

Annual Average Percent Change
Years Residential Commercial Industrial Total
10 -1.0% -1.6% -2.5% -1.0%
12 -0.8% -1.0% -2.0% -0.8%
15 -0.7% -0.8% -1.2% -0.6%
20 0.0% -0.3% 0.2% 0.1%
25 0.1% -0.2% -1.3% -0.1%
Annual Average Percent Change-Adjusted for Inflation
Years Residential Commercial Industrial Total
10 -2.8% -3.3% -4.2% -2.7%
12 -2.5% -2.7% -3.7% -2.5%
15 -2.7% -2.8% -3.2% -2.6%
20 -2.1% -2.1% -4.2% -2.0%
25 -2.1% -2.4% -3.4% -2.2%

Our rates are updated periodically to reflect changing energy prices and other factors reflected in surcharges approved by the Arizona Corporation Commission (ACC).  In some years, the ACC also approves rate increases that allow us to recover the cost of system upgrades and other investments that support safe, reliable service.

Thinking About Solar?

UniSource’s historic rate stability should be an important consideration for customers who are thinking about buying or leasing a solar power system to their home or business.

To calculate potential energy cost savings from a new photovoltaic (PV) array, sales representatives from solar energy providers usually assume that UES’ electric rates will increase a certain amount each year. If these assumptions are wrong, the estimated savings will not materialize.

Nobody knows for sure what electric service will cost in the future.  But anyone considering a long-term investment in a solar power system should closely examine any assumptions about future increases against UniSource’s long history of stable electric rates.