APS vs SRP Solar Rates in 2026: Which Utility Pays More When You Export Power?

What do APS vs SRP rates pay for solar exports in 2026?

APS pays 6.17 cents per kilowatt-hour for solar power you export to the grid. SRP pays 3.45 cents per kilowatt-hour under its Time-of-Use Export Price Plan. Both figures are current for 2026, and the gap between them is one of the most consequential differences in residential solar Arizona homeowners face depending on which utility serves their neighborhood.

These are not the retail rates you pay per kilowatt-hour on your bill. These are the credits you earn for surplus solar your system sends back to the grid. Given that APS charges 25 to 28 cents per kilowatt-hour during summer on-peak hours, and SRP charges as much as 23.38 cents per kilowatt-hour in July and August, the math on exporting versus self-consuming cuts very differently than it did even a few years ago.

This post is a follow-up to our earlier look at how APS vs SRP rates compare overall for solar homes. Here we focus specifically on what each utility pays when your panels produce more power than your home uses, and what that means for sizing and storage decisions.

How does APS pay for the solar power your system sends to the grid?

APS credits exported solar at 6.17 cents per kilowatt-hour through a program called the Resource Comparison Proxy, or RCP, export rider. This is what most people mean when they talk about the APS NET plan, though technically it operates as net billing rather than net metering. APS tracks your exported kilowatt-hours in real time and credits your bill at the RCP rate each month rather than offsetting usage one-for-one.

That 6.17-cent rate locks in for 10 years from the date your system interconnects with the APS grid. Unused credits accumulate month to month without expiration. If your balance at the annual true-up date exceeds $25, APS sends you a check for the overage.

The catch is the annual decline. The Arizona Corporation Commission authorized a 10% decrease in the APS export rate every September 1, continuing through 2032. A system that locked in at 12.9 cents back in 2017 is still earning that rate through its 10-year window. A system interconnected after September 2025 earns 6.17 cents for its first decade. A system connected after September 2026 will earn around 5.55 cents. The scheduled path is clear, which is why save on APS bill with solar strategies are increasingly focused on self-consumption rather than export.

APS also has a pending rate case before the Arizona Corporation Commission, filed in June 2025, requesting roughly a 14 to 16 percent overall rate increase for residential customers. As of June 2026, that case is in its evidentiary hearing phase. No new rates have been approved yet. If the case results in higher retail rates, the gap between what you pay for power and what you earn for exports grows even wider, which makes the case for solar energy savings Phoenix homeowners can bank on through reduced consumption rather than export credits.

How does SRP pay for solar exports, and why is the rate lower than APS?

SRP's Time-of-Use Export Price Plan pays a flat 3.45 cents per kilowatt-hour for all the solar power you export, regardless of when you export it. The rate applies across every hour of every day, with no time-of-use variation on the export side. SRP tracks delivered kilowatt-hours and exported kilowatt-hours separately, applies the 3.45-cent credit to your exported total at the end of each billing cycle, and resets annually.

That reset is worth noting. Unlike the APS RCP rate, which locks for 10 years, SRP's export credit is not guaranteed at the rate you joined. SRP is a quasi-governmental entity not regulated by the Arizona Corporation Commission. Rate decisions go through its elected board rather than a state approval process, so the 3.45-cent rate could change without the same regulatory procedure APS rate changes require.

SRP does offer an alternative called the Customer Generation Plan, which provides true net metering on a kilowatt-for-kilowatt basis. The problem is demand charges. The Customer Generation Plan adds a $9.16 charge per kilowatt based on your single highest on-peak consumption hour each month. One afternoon in August when the air conditioning runs hard while your panels are partially shaded can push $50 to $80 onto that month's bill, wiping out savings accumulated over weeks. For most homes, the TOU Export plan is the more predictable option.

For SRP customers trying to reduce electric bill Arizona heat drives up, the low export rate reinforces one lesson: the kilowatt-hours that stay in the home are worth more than the ones that leave it.

Does battery storage change what APS vs SRP rates pay for your solar?

Neither APS nor SRP pays a different export rate based on whether energy comes directly from your panels or from a battery that charged off those panels. The 6.17-cent APS rate and the 3.45-cent SRP rate apply the same way to all exported kilowatt-hours.

But that framing misses the point of storage. The value of a battery is not in earning more for exports. It is in replacing expensive grid power you would otherwise have to buy back.

For APS customers, storing solar midday and discharging during the 4 to 7 p.m. on-peak window turns a 6.17-cent export credit into 25 to 28 cents of avoided retail cost. That stored kilowatt-hour is worth roughly four times more than an exported one. For SRP customers, the arithmetic is starker. Summer on-peak rates reach 23.38 cents in July and August, against an export credit of 3.45 cents. A kilowatt-hour stored and self-consumed during that window is worth nearly seven times what it earns on the export program.

This is why battery storage has become a serious part of the solar conversation in both utility territories, not just for backup power during outages but as a way to make the solar investment actually compete with retail electric rates. See our breakdown on whether battery storage is worth it for Arizona homes.

Phoenix sits at 6.5 to 7.2 peak sun hours per day on an annual average, with June through August reaching 7.2 to 7.5 hours. That solar resource is not the bottleneck. The question is whether the power your system generates during those hours displaces the most expensive kilowatt-hours on your bill, or gets exported at a fraction of retail value.

Which Phoenix Valley addresses fall under APS vs SRP rates?

APS and SRP divide the Phoenix metro by neighborhood, not by city. Trying to predict your utility from city name alone is a mistake. Both utilities serve portions of most major Phoenix Valley cities, and the boundary runs down specific streets rather than along city or zip code lines.

In general, much of central and west Phoenix, along with Goodyear, Buckeye, and Avondale, falls under APS. Large portions of Mesa, Tempe, Gilbert, and Queen Creek tend to be SRP territory. But Scottsdale is split. So is Chandler. Parts of Glendale and Peoria are divided between the two. Even within a single subdivision, one side of a street can be APS while the other is SRP.

For homeowners in Scottsdale, the utility serving your address changes what the best solar company in Arizona recommends for system design and whether a battery is essential from day one. In Gilbert and Queen Creek, where SRP's lower export rate means every exported kilowatt earns less than three and a half cents, the financial case for pairing panels with storage is harder to ignore. In Goodyear and Buckeye, where APS serves most residents, you lock in a higher export rate but still face a scheduled decline each September.

The one rule that holds regardless of city is this: the best solar installer in your area will pull your address and confirm your utility before designing anything. If they do not, that is a red flag worth noting.

How do you find out which utility serves your address?

The fastest way is your electric bill. The utility name and logo are on the first page along with your account number. If you are moving into a home and the seller still occupies it, ask for a copy of a recent bill or request a utility disclosure as part of the purchase agreement.

If you want to check without a bill in hand, both utilities have online tools. SRP's address-level lookup is at srpnet.com under its service area section. APS publishes service area maps at aps.com. Enter your full street address rather than a zip code. The service boundary runs at the street level in some parts of the metro, and a zip code lookup will not give you a reliable answer.

Your address determines not just your export rate but your rate plan options, permit requirements, and interconnection timeline. Getting that confirmed before soliciting quotes is the first practical step for anyone comparing solar proposals across different systems or installers. If you want help comparing vetted bids from local installers, Phoenix Valley Solar operates as a solar broker in the Phoenix metro, gathering competing quotes on your behalf without the pressure of a sales call.

Is the prepaid solar lease still worth considering given these export rates?

For both APS and SRP customers, the lower export rates in 2026 shift the financial case for residential solar toward self-consumption and storage rather than exporting to the grid. That changes the economics of how solar is financed as well.

The federal residential solar tax credit under Section 25D expired for owned systems after December 31, 2025. Homeowners who purchase a solar system outright in 2026 or later do not receive that credit. That is not tax advice, and your specific situation may differ. You should consult a tax professional before making any decisions based on federal incentives.

The prepaid solar lease operates differently. The leasing company owns the system and can still claim the 48E commercial clean energy credit through at least 2027, then pass that benefit to homeowners as a roughly 30% reduction off the full system cost. This is the same 30% savings that owner-buyers received through the Section 25D credit, now available through the lease structure. Save 30% on solar is still achievable in 2026 for homeowners who use the prepaid lease route rather than purchasing outright.

For APS and SRP customers where adding a battery makes financial sense given their on-peak rates, the prepaid lease makes the battery-inclusive system more accessible without taking on a large loan. Learn how the Arizona prepaid solar lease works and what it covers.

Arizona ranks fifth nationally for total solar generation, with roughly 400,000 rooftop systems already installed across the state. The solar resource here is real. What varies is the financial return, and in 2026 that return depends more on which utility serves your address, what you pay per kilowatt-hour during peak hours, and whether your system design prioritizes self-consumption over exports.

Run our Solar Calculator to see what the numbers look like for your home. Or contact us to get competing quotes from vetted local installers. Bring your last utility bill so we know which utility, which rate plan, and what your current monthly spend actually looks like.

Frequently Asked Questions

Which is better for solar, APS or SRP in Arizona?

APS generally offers a higher export credit at 6.17 cents per kilowatt-hour versus SRP's 3.45 cents, making it better for systems that export surplus power. For homes that store solar in a battery and use it on-site, both utilities charge enough during peak hours to make storage valuable regardless of which utility you're on.

How much does APS pay for solar power I export in 2026?

APS pays 6.17 cents per kilowatt-hour for exported solar under its Resource Comparison Proxy rate. This rate locks in for 10 years from your installation date. Unused credits roll over each month, and annual credits above $25 are paid out as a check. The rate drops 10% each September for new customers.

How much does SRP pay for solar power I export to the grid?

SRP pays 3.45 cents per kilowatt-hour under its Time-of-Use Export Price Plan. This is a flat credit applied to all your exported solar each billing cycle. Unlike APS, SRP's export rate is not locked for 10 years and can be adjusted annually through its board process.

Does adding a home battery change my APS or SRP export credit?

No. Neither APS nor SRP pays a premium for battery-dispatched exports versus direct panel exports. The export rate is the same either way. A battery's real value comes from avoiding high retail rates during evening peak hours rather than earning more per kilowatt-hour exported.

How do I find out if my house is on APS or SRP?

Check your electric bill. The utility name is on the first page. If you do not have a bill, use the address lookup at srpnet.com for SRP or the service area maps at aps.com for APS. Do not guess based on city name since both utilities serve portions of most Phoenix Valley cities.

Can I still get 30% off solar in 2026 without the federal tax credit?

Yes, through a prepaid solar lease. The federal residential tax credit expired for owned systems after 2025. But a prepaid lease lets the leasing company claim the 48E commercial credit and pass the 30% savings to you as a lower price. This is not tax advice; consult a tax professional for your situation.