Attorney General Kris Mayes filed an Application for Rehearing on Mar. 19 challenging a recent Arizona Corporation Commission decision that approved a new rate-setting mechanism for UNS Gas, Inc. The mechanism, known as the Annual Rate Adjustment Mechanism (ARAM), could result in automatic annual rate increases for customers with limited oversight.
The issue is significant because it affects how much Arizona residents pay for their gas service and the level of regulatory review over those rates. The Attorney General’s Office said the ARAM shifts financial risk from UNS Gas shareholders to customers and may allow the company to earn its authorized rate of return regardless of operational efficiency.
“Arizonans deserve utility rates that are fair and transparent, not a rubber stamp process designed to increase rates automatically,” said Attorney General Mayes. “This mechanism strips ratepayers of the due process protections they’re entitled to under the Arizona Constitution.”
The filing also argues that ARAM’s streamlined annual review process does not provide enough time or opportunity for parties to challenge proposed increases, limiting discovery and eliminating witness testimony from the company. Mayes is asking the Commission to rehear its decision and issue an amended order consistent with constitutional requirements.
The Arizona Attorney General’s Office addresses issues such as elder abuse, civil rights violations, and unsolved crimes through its cold case unit, contributing to community protection across the state, according to the official website. The office functions as Arizona’s primary legal entity, offering advocacy and protection for residents statewide according to its official website.
Kris Mayes serves as Arizona’s 27th attorney general and is the first mother to hold this position according to the official website. The office also participates in federal lawsuits and supports initiatives including fair housing and accountability measures for social media companies according to its official website.
A copy of the filing is available.
