APS Adjustor Mechanisms

The Commission’s Decision No. 61973, approving a Settlement Agreement regarding APS’s stranded costs, included a provision that the Commission approve by December 31, 2002 an adjustment clause or clauses for recovery beginning July 1, 2004 of the reasonable and prudent costs of certain expenses.  APS’s application pursuant to that provision sought approval of four specific adjustor mechanisms: 1) A purchased power and fuel adjustor for standard offer customers; 2) A power supply cost adjustor for large customers who have left and then returned to standard offer service; 3) An adjustor to recover the accrued cost of transitioning to a competitive electric industry; and 4) An adjustor to recover Commission-approved System Benefit costs.

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