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There are three APS plans that are offered for customers that do not have a solar panel system at their home. To view the details of these plans on APS’ website, click here.
- Fixed Energy Charge Plan (Previously named Lite Choice, Premier Choice and Premier Choice Large. Now combined into one plan.)
- Time-of-Use 4pm-7pm Weekdays (Previously named Saver Choice)
- Time-of-Use 4pm-7pm Weekdays with Demand Charge (Previously named Saver Choice Max)
It is important for homeowners to understand the standard APS plans before upgrading to solar power. This is because going solar may or may not require behavior change to save the most amount of money. Fortunately, the two standard Time-of-Use plans are identical before and after going solar, so homeowners will not have to learn a new APS plan if they are already on a Time-of-Use plan.
Homeowners that are on the Fixed Energy Charge Plan before solar must understand that, instead of having a flat price per kilowatt-hour (kWh), they will have different usage charges depending on the time of day and day of the week. On-Peak times are 4PM to 7PM Monday through Friday. Off-Peak times are on weekends and certain holidays. Super Off-Peak times are 10AM to 3PM Monday through Friday during the “Winter” months of November through April. For a detailed explanation of the APS Plans that are Time-of-Use, see our page on APS Solar Rate Plans.
APS Plans Comparison (Per kWh)
Fixed Energy Charge
- All Times: 13.478 ¢
Time-of-Use
- Summer On-Peak: 29.78 ¢
- Summer Off-Peak: 10.789 ¢
- Winter On-Peak: 28.185 ¢
- Winter Off-Peak: 10.79 ¢
- Super Off-Peak: 3.166 ¢
Time-of-Use Demand Charge
- Summer On-Peak: 12.414 ¢
- Summer Off-Peak: 5.276 ¢
- Winter On-Peak: 8.711 ¢
- Winter Off-Peak: 5.267 ¢
- Super Off-Peak: 3.166 ¢
- Summer Demand Charge: $ 16.875
- Winter Demand Charge: $ 11.845
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Consumers Must Understand the APS Plans
Homeowners must first understand that purchasing a solar system at your home does not guarantee savings. Unfortunately, most solar salespeople are uneducated about the nuances and details of the APS Plans and how they change after going solar. With their objective being “getting the sale” instead of educating their customers, they present an overly simplified sales pitch that sounds something like this: “You put solar on your roof in APS and you save money!”
Fortunately, most solar customers in APS will save some amount of money regardless of whether their solar salesperson educated them on the APS Plans. However, to maximize your savings, you need to have a detailed understanding of the APS Plans before and after solar.
How to Save Money with Solar with APS Plans
To save money in APS with solar, you must have lower monthly bills for your total electricity cost after solar than you did before solar.
Step 1: Calculate Average Monthly APS Bill Before Solar
Your APS Plan has three components before going solar:
- Usage Charges: Charged per kWh of energy used;
- Demand Charges: Only applies for the “Time-of-Use with Demand Charge” plan;
- Other Charges, Fees, and Taxes: APS Plans charge a combination of 33 charges, fees, and taxes depending on the plan.
The numbers above depend on which one of the APS Plans you have chosen.
Calculate your total by adding together the total of the last 12 months of APS bills and dividing that number by 12. This is your Average Monthly APS Bill Before Solar.
Step 2: Calculate Average Monthly APS Bill After Solar
We will assume that you are utilizing a solar loan or lease to go solar, as those are the most popular options. Your loan/lease payment and APS Plan has five components after going solar:
- Loan/Lease Monthly Payment: Loans have fixed payments while lease payments sometimes increase each year;
- Usage Charges: Charged per kWh of energy used;
- Demand Charges: Only applies for the “Time-of-Use with Demand Charge” plan;
- Other Charges, Fees, and Taxes: APS Plans charge a combination of 33 charges, fees, and taxes depending on the plan;
- Solar Export Credit: Also known as the “Buy Back Rate“
Calculate your total by adding together the five components above for all months you have had solar and dividing it by the amount of months. This is your Average Monthly Electricity Cost After Solar.
Step 3: Calculate Your Monthly Savings
Calculate your total by subtracting your Average Monthly Electricity Cost After Solar from your Average Monthly APS Bill Before Solar. This is your Average Monthly Electricity Savings. Also keep in mind that APS will continue to raise their rates from time-to-time after you go solar, which increases your savings. So adjust your equation accordingly based upon the APS Plans’ increasing rates in the future.
Work with An Experienced, Educated Solar Salesperson
You must work with an experienced, educated solar salesperson that understands all of the components of your electricity costs before and after going solar. However, coming to this level of education is not easy, as it requires years of experience selling solar. Further, it requires a large amount of self-education time studying the APS plans, the solar industry, and the financing options available with solar loans and leases. Also, the solar companies do not teach their solar salespeople these things, and solar salespeople typically do the job for a very short period of time. Thus, most solar salespeople do not have the requisite level of experience and education, and they should not be selling solar.
Novice solar salespeople will exaggerate the amount of savings their customers will receive after going solar. They do this for two reasons:
- They intentionally deceive customers on savings to makes sales and commissions; and/or
- They are uneducated on all the components of electricity costs before and after solar.
The solar industry is unregulated, so it is your job as a homeowner and consumer to ensure that you are working with a professional solar salesperson.