Public Utility Ratemaking

Public Utility Ratemaking

The public utility ratemaking process is complex and requires a detailed analysis of a utility’s finances, property valuation, and future operational needs and challenges. The Arizona Corporation Commission is a constitutionally created entity charged with, among other duties, the task of setting rates for Arizona’s utilities. Obtaining rate relief, which can be a contentious and highly publicized procedure, is a critical element of a utility’s ability to conduct business in the state.

The public utility attorneys at Gallagher & Kennedy have successfully represented a number of utilities in rate cases throughout the years. Our attorneys have also intervened in numerous rate cases on behalf of affiliated organizations to assist in the rate-making process.

Representative Experience:

• Represented not-for-profit electric cooperatives in successive rate cases and obtained revised rates as well as approvals to modify the utilities’ rate structure and implement new adjustor mechanisms
• Intervened on behalf of utility investors to assist in rate case settlements such as recent rate cases filed by Arizona Public Service Company, Southwest Gas Corporation and Tucson Electric Power Company
• Advised clients regarding ratemaking procedures and strategy, including timing issues and possible tariff revisions