Is APS More Expensive Than SRP for a Phoenix Home That Runs Solar in Summer 2026?

Is APS More Expensive Than SRP for a Solar Home? The Direct Answer

Neither APS nor SRP is automatically cheaper for a Phoenix home running solar. Both utilities updated their rate schedules in 2026, and which one costs less comes down to two factors: the rate plan you land on and when your panels send power back to the grid.

If your system exports power mid-day without battery storage, APS's flat export credit of $0.0747 per kWh (confirmed at aps.com) works consistently in your favor regardless of the hour. SRP pays around $0.135 per kWh for on-peak exports under its E-27 Customer Generation Plan, but only about $0.036 per kWh for the mid-day hours when most panels produce the most power. Most solar exports happen mid-morning through early afternoon, which is off-peak under SRP.

Add a home battery, and SRP's picture changes considerably. Storage lets you shift that mid-day surplus into the evening on-peak window, where the higher export credit kicks in. Without storage, SRP's off-peak credit for daytime exports underperforms APS's flat rate by a meaningful margin.

What APS Charges a Solar Home in Summer 2026

APS went through a rate case that resulted in a settlement approved by the Arizona Corporation Commission in January 2026, with updated schedules taking effect in February. For solar customers, the primary plan is the E-26 Solar Time-of-Use rate.

On E-26, summer on-peak electricity covers 3 to 8 p.m. weekdays from May through October. The post-settlement on-peak rate runs approximately $0.30 per kWh. Off-peak hours, which include every other time slot and all weekends, drop to roughly $0.095 per kWh. Arizona panels hit their peak output between 10 a.m. and 2 p.m., well outside the on-peak window. That timing means your system is primarily generating while you draw at the lower off-peak rate, which shrinks the consumption charges that drive summer bills.

The other commonly seen APS option is the E-12 Plus plan. It is a general time-of-use plan available to all residential customers, not specifically designed for solar. Both plans share the same 3-to-8 p.m. on-peak window, but E-12 Plus runs higher on both tiers than E-26. Most solar homeowners do better on E-26. APS offers a rate plan selector on its website where customers can model their bill against actual usage data before switching.

For exported energy, APS credits everything your system sends back at the Resource Comparison Proxy rate. The APS Rooftop Solar page confirms the current RCP at $0.0747 per kWh. This rate is set independently of the time of day, so a kilowatt-hour exported at noon earns the same credit as one exported at 4 p.m. Following the 2026 ACC settlement, some third-party sources have reported a slightly higher RCP figure, so it is worth verifying the current number directly at aps.com/rooftopsolar or by calling APS at 602-371-7171 before modeling any savings projection around it.

How SRP's E-27 Plan Works and What Changed in 2026

SRP's Customer Generation Plan, the E-27, is the only rate option available to solar customers in SRP territory. There is no plan selection to make. What you can control is how the household manages consumption during on-peak hours and whether a battery shifts your export timing.

Summer on-peak hours under E-27 run from 5 to 9 p.m. weekdays. SRP raised rates by approximately 5 percent in May 2026. After that adjustment, the on-peak export credit runs around $0.135 per kWh. Outside that window, the off-peak credit falls to approximately $0.036 per kWh.

The structural tension is timing. Panels in Phoenix wind down production as the afternoon progresses. By the time the on-peak window opens at 5 p.m. in June, July, and August, production is dropping sharply. Without a battery capturing mid-day generation, the bulk of a system's exports fall into the off-peak window and earn that lower credit. That is why the export credit headline number for SRP can look more attractive than it performs in practice for a solar-only installation.

E-27 also carries a demand charge based on the household's highest 30-minute interval of electricity draw during on-peak hours in the billing period. One afternoon where the air conditioner, oven, and EV charger all run together can set a demand charge that holds for the rest of the month. APS's E-26 plan has no demand charge structure, which simplifies the bill and removes that spike risk.

Always verify current E-27 figures at srpnet.com/price-plans/home/customer-generation/plan-details before using them in any savings estimate, as SRP adjusts rates on an annual cycle.

Which Street Is Actually in APS or SRP Territory?

The answer to which utility serves a given address is determined street by street, not by city name. This matters most for homeowners in Mesa, Chandler, Gilbert, and portions of the West Valley, where both utilities serve different blocks within the same city.

Mesa and Gilbert are predominantly SRP territory. Chandler straddles the line, with western and central areas generally in SRP and portions of eastern Chandler in APS. Most of Scottsdale is SRP. Within Phoenix itself, the south end including Ahwatukee and parts of east Phoenix are SRP, while the central, north, and west sides of the city are generally APS. The West Valley cities of Glendale, Peoria, Surprise, Goodyear, and Avondale are largely APS, though exceptions exist.

The fastest check is your electric bill, where the utility name appears at the top. For a direct address lookup, APS offers a service confirmation tool at aps.com and SRP has a service availability checker at srpnet.com. We covered the block-by-block split in Chandler in Going Solar in Chandler AZ: Is Your Street on APS or SRP, and that same principle of checking before assuming applies to any East Valley city.

Does Rate Plan Selection Matter as Much as the Utility Itself?

For APS customers, rate plan selection matters a great deal. The difference between E-26 and E-12 Plus can swing a summer bill meaningfully even with identical consumption, because E-26 carries a lower off-peak rate. Both plans share the same on-peak window, so the primary difference is the cost of electricity drawn during nights, mornings, and weekends. A household that runs dishwashers and laundry in the early morning or late evening benefits from the lower E-26 off-peak rate rather than the higher E-12 Plus tier.

SRP solar customers do not face that choice. E-27 is the only plan. The only lever available is behavioral: shift heavy consumption out of the 5-to-9 p.m. window to reduce on-peak draw, and consider whether battery storage makes the export credit math work in your favor.

The APS vs SRP side-by-side rate plan comparison walks through what those bill differences look like month by month. And the APS rate plan guide for solar homes that export goes deeper on how the E-26 export math plays out at different system sizes.

What Battery Storage Changes About This Comparison

For a solar-only home without storage, APS typically performs more predictably. The flat RCP credit removes timing risk. A system that produces well mid-day earns the same credit rate whether it exports at 11 a.m. or 3 p.m.

Battery storage flips that calculus for SRP customers. A system paired with a home battery can charge from mid-day solar, stop exporting to the grid during the low-credit off-peak hours, and then either discharge into the home during the on-peak window or export at the higher on-peak credit rate. Capturing that $0.135-per-kWh on-peak credit instead of the $0.036-per-kWh off-peak rate is the primary financial argument for adding storage in SRP territory.

For APS customers with E-26, battery storage still reduces on-peak consumption charges, which at $0.30 per kWh during summer afternoons are significant. But the motivation is bill reduction through self-consumption rather than maximizing an export credit differential.

How to Compare Solar Installers in Phoenix and Get the Right Advice for Your Utility

The rate plan question is one reason it matters to get a comparison before committing to any single installer or product. An installer focused on moving inventory has limited incentive to walk you through how your utility territory, export ratio, and rate plan interact. That analysis tends to happen either not at all, or only late in a conversation after a number has already been floated.

Phoenix Valley Solar works as an independent solar broker, which means we look at offers from multiple installers before making a recommendation. That comparison starts with your utility territory, your current rate plan, your actual summer usage pattern, and whether storage makes sense given your export profile. From there, competing bids arrive so you are comparing like terms rather than taking the first figure offered.

The best solar companies in Phoenix comparison post explains what that broker process looks like and how to read quotes that use different financing assumptions. You can also model your usage at the Solar Calculator or start a conversation from the Contact page.

The Financing Structure That Works in Either Territory

Regardless of whether your address falls in APS or SRP service area, the financing structure you choose affects the economics alongside the rate plan.

The Section 25D residential credit ended after December 31, 2025, for homeowners who pay for their system with cash or a loan. Leased and prepaid systems can pass through the 48E corporate-level credit, and that pass-through is how Phoenix Valley Solar's 30-percent prepaid pricing holds even now. This is not tax advice, and the right step is to confirm the current rules with a qualified tax professional.

The prepaid lease option is worth understanding before signing anything, in part because it changes how you calculate payback under either utility's export credit structure. The About page explains how the broker model and prepaid option work together for Phoenix homeowners weighing their choices.

Frequently Asked Questions

Does APS or SRP pay more for solar energy sent back to the grid?

It depends on timing. APS pays a flat $0.0747 per kWh regardless of hour. SRP's on-peak export credit runs around $0.135 per kWh (5 to 9 p.m. weekdays) but only $0.036 per kWh at other times. Without battery storage, most solar exports happen mid-day under SRP's lower off-peak rate, making APS's flat credit more valuable in practice.

What are SRP's on-peak hours for solar customers in summer 2026?

SRP's summer on-peak hours under the E-27 Customer Generation Plan run from 5 p.m. to 9 p.m., Monday through Friday, excluding holidays. That window is when SRP's higher export credit and higher consumption rate both apply. Verify the current schedule at srpnet.com/price-plans/home/customer-generation/plan-details.

Can I choose between APS and SRP for my Phoenix home?

No. Which utility serves your address is fixed by your location. The boundary runs street by street, not city by city. Residents in Mesa, Chandler, Gilbert, and parts of the West Valley should confirm their specific address using the lookup tools on aps.com or srpnet.com before making any solar comparison.

Does adding a home battery make SRP cheaper than APS for solar?

Often yes, for the right home. A battery can capture mid-day solar production and discharge it during SRP's on-peak window (5 to 9 p.m.), earning the higher $0.135-per-kWh export credit. Without storage, most solar exports land in SRP's low off-peak credit window, making APS's flat rate more competitive.

Is the 30% solar tax credit still available in Arizona in 2026?

The Section 25D residential credit ended after 2025 for cash or loan-financed solar. Leased and prepaid systems can pass through the 48E corporate-level credit, and that is how Phoenix Valley Solar's prepaid pricing holds 30% off. Confirm your specific situation with a qualified tax professional before deciding.

How do I compare solar installers in Phoenix without sitting through a sales call?

Work with an independent solar broker who gathers competing bids from multiple installers on your behalf. Phoenix Valley Solar does this without locking you into a single brand or lender. Start by using the Solar Calculator at phoenixvalleysolar.com to model your bill, then reach out for a no-pressure comparison.