Chapter 2. Fixed Utilities (Public Service Corporations)

A. Except as provided in R14-2-2518 and R14-2-2519, on June 1 of each odd year, or annually at the election of each affected utility, each affected utility shall file with Docket Control, for Commission review and approval, an implementation plan describing how the affected utili…

A. An affected utility’s DSM tariff filing shall include the following: 1. A detailed description of each method proposed by the affected utility to recover the reasonable and prudent costs associated with implementing the affected utility’s intended DSM and RET programs; 2. Fina…

and RET Programs A. An affected utility shall obtain Commission approval before implementing a new DSM program or measure or a new RET program or RET. B. An affected utility may apply for Commission approval of a DSM program or measure or an RET program or RET by submitting a pro…

A. An affected utility shall develop and propose DSM programs for residential, non-residential, and low-income customers. B. An affected utility shall allocate DSM funds collected from residential customers and from non-residential customers proportionately to those customer clas…

A. By April 1 of each year, an affected utility shall submit to the Commission, in a Commission-established docket for that year, a DSM progress report providing information for each of the affected utility’s Commission-approved DSM and RET programs including at least the followi…

A. An affected utility may recover the costs that it incurs in planning, designing, implementing, and evaluating a DSM program or measure or RET program or RET if the DSM program or measure or RET program or RET is all of the following: 1. Approved by the Commission before it is …

The Commission shall review and address financial or other disincentives, recovery of fixed costs, and recovery of net lost income/ revenue, including, but not limited to, implementation of a revenue decoupling mechanism, due to Commission-approved DSM and RET programs, if an aff…

A. An affected utility shall ensure that the incremental benefits to society of the affected utility’s overall group of DSM programs exceed the incremental costs to society of the overall group of DSM programs. B. The Societal Test shall be used to determine cost-effectiveness. C…

A. To determine the baseline, an affected utility shall estimate the level of gas demand and consumption and the associated costs that would have occurred in the absence of a DSM program. B. For installations or applications that have multiple fuel choices, an affected utility sh…

A. Ratepayer-funded DSM shall be developed and implemented in a fuel-neutral manner. B. An affected utility shall use DSM funds collected from gas customers for gas DSM programs, unless otherwise ordered by the Commission. C. An affected utility may use DSM funds collected from g…

A. An affected utility shall monitor and evaluate each DSM program and measure and each RET program and RET to: 1. Ensure compliance with the cost-effectiveness requirements for DSM programs in R14-2-2512; 2. Determine participation rates, energy savings, and demand reductions; 3…

A. An affected utility may use an energy service company or other external resource to implement a DSM program or measure or RET program or RET. B. The Commission may, at its discretion, establish independent program administrators who would be subject to the relevant requirement…

A. An affected utility shall, to the extent practicable, participate in cost sharing, leveraging, or other lawful arrangements with customers, vendors, manufacturers, government agencies, other gas utilities, or other entities if doing so will increase the effectiveness of a DSM …

A. A gas distribution cooperative that is an affected utility shall comply with the requirements of this Section instead of meeting the requirements of R14-2-2504(A) and (B) and R14-2- 2505(A). B. A gas distribution cooperative shall, on June 1 of each odd year, or annually at it…

A. A propane company that is an affected utility shall comply with the requirements of this Section instead of meeting the requirements of R14-2-2504(A) and (B) and R14-2-2505(A). B. Apropane company shall, on June 1 of each odd year, or annually at its election: 1. File with Doc…

A. The Commission may waive compliance with any provision of thisArticle for good cause. B. An affected utility may petition the Commission to waive its compliance with any provision of thisArticle for good cause. Historical Note New Section made by final rulemaking at 17A.A.R. 7…

In thisArticle, unless otherwise specified: 1. “AC” means alternating current. 2. “Applicant” means a Customer or Representative who submits an Interconnection Application pursuant to this Article. 3. “Application” means the standard form or format for an Applicant to apply to a …

These rules apply to a Generating Facility operating (or to be operated) in parallel with a Distribution System of a Utility, subject to Commission jurisdiction after the effective date of thisArticle. Historical Note New Section made by final rulemaking at 26A.A.R. 473, with an …

A. ACustomer may operate a Generating Facility as an Exporting System, a Non-Exporting System, or an Inadvertent Export System. B. AnApplicant shall declare the Maximum Capacity of a Generating Facility in itsApplication. C. If an Applicant claims a Generating Facility is a Non-E…

A. ACustomer has the following rights: 1. To designate a Representative to act on the Customer’s behalf; 2. To submit an Application to interconnect a Generating Facility with a Distribution System; 3. To expect prompt and professional responses from a Utility during the Intercon…

A. A Utility shall interconnect a Generating Facility to the Distribution System, subject to the requirements of this Article and of the Utility’s Interconnection Manual. B. A Utility has the right to expect prompt, reasonable, and professional responses from a Customer during th…

A. Where an easement or right-of-way does not exist, but is required by a Utility to accommodate Interconnection, a Customer shall provide a suitable easement or right-of-way, in the Utility’s name, on the premises owned, leased, or otherwise controlled by the Customer. If the re…

A. Except as provided in subsection (D), a Utility shall not require a Customer to maintain general liability insurance coverage as a condition for Interconnection. B. A Utility shall not require a Customer to negotiate any policy or renewal of any policy covering any liability t…

A. A Utility shall not directly or through an affiliate use knowledge of proposed Distributed Generation projects submitted to the Utility for Interconnection or study to initiate competing proposals to the Customer that offer discounted rates in return for not installing the Dis…

A. Each Utility shall: 1. Designate a person or persons who will serve as the Utility’s contact for all matters related to Distributed Generation Interconnection; 2. Identify to the Commission in its Interconnection Manual each designated Distributed Generation Interconnection co…

A Utility shall not reject or declare incomplete and require resubmission of a submitted Application if minor modifications must be made to the design of the Generating Facility or to other information on the Application (including ownership of Generating Facility) while the Appl…

A. To qualify as Certified Equipment, Generating Facility equipment proposed for use separately or packaged with other equipment in an Interconnection system shall: 14 A.A.C. 2 Arizona Administrative Code TITLE 14. PUBLIC SERVICE CORPORATIONS; CORPORATIONS AND ASSOCIATIONS; SECUR…

If a Generating Facility complies with all applicable requirements of R14-2-2611, complies with the screens listed in R14-2-2615, and complies with the Utility’s Interconnection Manual, a Utility shall not require the Customer to install additional controls, or to perform or pay …

Distribution System A. A Utility may disconnect a Generating Facility from the Distribution System under the following conditions: 1. Upon expiration or termination of the Interconnection Agreement with a Customer, in accordance with the terms of the InterconnectionAgreement; 2. …

Requirements A. A Customer desiring to interconnect to the Distribution System a Generating Facility that is not a Non-Exporting inverter- December 31, 2025 Supp. 25-4 Page 215 Arizona Administrative Code 14 A.A.C. 2 TITLE 14. PUBLIC SERVICE CORPORATIONS; CORPORATIONS AND ASSOCIA…

A. For Interconnection of a proposed Generating Facility to a distribution circuit, the aggregated generation on the circuit, including the proposed Generating Facility, shall not exceed 15% of the total circuit annual peak load as most recently measured at the substation or on t…

A. An Applicant requesting a Pre-Application Report shall submit to a Utility: 1. The Applicant’s contact information (name, address, phone, and email); 2. A proposed Point of Interconnection, sufficiently identified by latitude and longitude, site map, street address, meter numb…

A. A Customer interconnecting an inverter-based Generating Facility with a Maximum Capacity of 20 kW or less, which only uses Certified Equipment, shall apply for Interconnection under the Level 1 Super Fast TrackApplication process. B. To qualify for Level 1 Super Fast Track, th…

A. ACustomer interconnecting a Generating Facility with a Maximum Capacity of less than 2 MW, excluding a Generating Facility processed in accordance with R14-2-2617, shall apply for Interconnection under the Level 2 Fast Track Application process. B. To qualify for the Level 2 F…

A. ACustomer interconnecting a Generating Facility with a Maximum Capacity of 2 MW or greater, or a Generating Facility that does not meet the screening requirements for Level 1 Super Fast Track, Level 2 Fast Track, or Supplemental Review, shall apply for Interconnection under th…

A. If a Utility determines that an Application for Interconnection cannot be approved without conducting a Supplemental Review, or if requested by theApplicant: 1. The Utility shall, within seven calendar days of making the determination or receiving the request, provide the Appl…

Operation A. Once anApplication is approved for Interconnection: 1. If the Utility has not received an executed Interconnection Agreement, the Utility shall send to the Customer, within seven calendar days after the notice of Application approval, the appropriate Interconnection …

System A. ASecondary Spot Network System is a system that: 1. Simultaneously serves a Customer from three-phase, four-wire, low-voltage (typically 480V) circuits supplied by two or more network transformers which have lowvoltage terminals that are connected to the low-voltage cir…

A. A Customer interconnecting a Non-Exporting inverter-based energy storage Generating Facility or an Inadvertent Export Generating Facility with a Maximum Capacity of 20 kW or less may apply for Interconnection under the Expedited Interconnection Process. In order to qualify for…

A. If required by a Utility, a Customer shall install and maintain a visual-open, manually operated, load break Disconnect Switch that completely opens and isolates all ungrounded conductors of the Generating Facility from the Distribution System. For multi-phase systems, the Dis…

A. If interconnected after the effective date of this Article, a Generating Facility utilizing inverter-based technology shall be interconnected via advanced inverter(s) that are capable of, at minimum, the advanced grid support features specified in subsection (B). B. At a minim…

A. Each Utility shall maintain records concerning each received Application for Interconnection and shall include in its records: 1. The date theApplication was received; 2. Any documents generated in the course of processing the Application; 3. Any correspondence regarding theAp…

A. Upon Commission approval of an Electric Cooperative’s Interconnection Manual, its provisions shall substitute for the timeline requirements set forth in R14-2-2614 and R14-2-2616 through R14-2-2623 for the Electric Cooperative and its Customers. B. Each Electric Cooperative sh…

A. No later than 90 calendar days after the effective date of this Article, each Utility shall file with Docket Control, for Commission review and approval, an Interconnection Manual that: 1. Contains detailed technical, safety, and protection requirements necessary to interconne…

In this Article, unless the context otherwise requires, the following definitions shall apply: 1. “Advance in aid of construction.” Funds provided to the utility by the applicant under the terms of a main extension agreement the value of which may be refundable. December 31, 2025…

gas utilities; additions/extensions; abandonments A. Application for new Certificate of Convenience and Necessity. Six copies of each application for a new Certificate of Convenience and Necessity shall be submitted in a form prescribed by the Commission and shall include, at a m…

A. Information from new applicants 1. A utility may obtain the following minimum information from each new applicant for service: a. Name or names of applicant(s). b. Service address or location and telephone number. c. Billing address or location and telephone number, if differe…

A. Information for residential customers 1. Each utility shall make available upon customer request not later than 60 days from the date of request a concise summary of the rate schedule applied for by such customer. The summary shall include the following: a. Monthly minimum or …

Mobile home parks -- new construction/expansion 1. A utility shall refuse service to all new construction and/ or expansion of existing permanent residential mobile home parks unless the construction and/or expansion is individually metered by the utility. Main extensions and ser…

A. Priority and timing of service establishments 1. After an applicant has complied with the utility’s application and deposit requirements and has been accepted for service by the utility, the utility shall schedule that customer for service establishment. 2. Service establishme…