Hearing - E-01345A-25-0105 - Arizona Public Service Company - Jul 01, 2026
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What procedural matters and witness introductions are covered at the beginning of the hearing?
All right, good morning, everyone, and welcome this Wednesday, July 1st, day 27, in the matter of the application of Arizona Public Service for an increase in its rates and charges. I think before we start with staff's presentation of witnesses, I'll ask, are there any procedural matters we need to address? Your Honor, just one that we discussed yesterday regarding for those in attendance tomorrow and the dress. Yes. So there not being a Friday this week, we'll be doing casual Thursday this week. So nobody feel obligated to suit up or wear ties or anything of that sort. Business casual is acceptable for tomorrow. So having made that now official, so that being the case, anything else that we need to address?
Okay. All right. Mr. Bodkin, are you ready to call staff's next witness? I am, Your Honor. Staff calls Alex Abramson to the stand. All right. Mr. Abramson, hang on a second, and we'll have the court reporter swear you in.
I do.
I do.
Check.
Test. Good morning. If you could move the mic a little closer.
All right, take it away. Thank you. Good morning, Mr. Abramson. Good
morning.
Welcome to what I think is day 28 of our exciting APS rate case. Could you please state your full name and business address for the record?
Of course. My name is Alexander Abramson, and I work here at 1200 West Washington Street in Phoenix, Arizona.
And by whom are you employed, and what is your role in this case?
I am employed by the Arizona Corporation Commission, and I am a public utilities analyst employed by the commission.
Great. Can you please take a look at Exhibit S15 and S16, which should be in front of you? Yes, I see it right here. Are those your direct and surrebuttal testimony? I believe so,
yes.
Was this testimony prepared by you or under your direction or supervision? Yes, it was. If I asked you the questions contained in your testimony, would your answers be substantially the same? They would be substantially the same. Are there any changes you would like to make to your testimony?
I would not provide any different statements,
no. Your Honor, I'd like to admit Exhibits Staff 15 and Staff 16. All right. Are there any objections to the admission of either Exhibits S15 or S16? No objections, Your Honor. All right. There being no objections, S-15 and S-16 are hereby admitted. Thank you, Your Honor. Mr. Abramson, could you please provide us just a high-level summary of the issues you cover in your testimony?
I cover the following topics in my testimony. Recommendations regarding ABS regulations. changes to service schedules, one in three, as well as the proposed elimination of some compliance requirements and some, a few programs.
Great. Um, at this point, your honor, uh, Ms. Chambers was available for cross. All right. Uh, Ms. Lee, any questions for this witness? Yes, Your Honor. Good morning, Mr. Abramson. I just have a few questions for you. I'd like to ask you a few questions about staff's recommendation regarding APS's E32L storage pilot program. And I'll be referring to your testimony at S15, as well as Aracia 01, which is the direct testimony of Kevin Lucas. AZLCG09, which is a decision in APS' last rate case, decision 79293, and APS59, and that's a staff data request, 6.16, and APS18, which is Ms. Hobbik's rebuttal testimony. So,
So just starting with your direct testimony, Mr. Abramson, you recommend eliminating the E32L storage pilot. Is that correct?
That is correct.
And to your knowledge, the pilot has been available since APS's 2016 Ray case. Is that correct? I believe that is the case. So in APS's 2019 case, in decision number 78317, the commission directed revisions to the pilot. Is that correct?
I am not certain, but I have no reason to state otherwise.
All right. I'd like to direct your attention to Mr. Lucas's direct testimony, and that's at exhibit. Oops.
My
apologies. That's Exhibit Ericea 01. And I'm looking at page 77.
I BELIEVE THAT'S BAIT STAMPED 0090?
YES. OKAY. AND SPECIFICALLY LINES 18 THROUGH 24. LET ME KNOW WHEN YOU'RE THERE.
I believe I am there. Great.
So Mr. Lucas states in his direct testimony, in its order in the 2019 rate case, the commission agreed with several of my recommendations and ordered APS to redesign the tariff to remove the 20% peak demand reduction to set the peak period from 4 p.m.
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Agenda
8 items
1
What procedural matters and witness introductions are covered at the beginning of the hearing?
0:01–20:19
2
How do the staff and witnesses discuss the history, revisions, and performance of the E32L storage pilot program?
20:19–1:11:52
3
What alternative programs and broader reliability issues are examined after the E32L discussion?
1:11:52–2:21:18
4
What is the status of APS's IRP filing and Four Corners retirement modeling?
2:21:18–3:12:10
5
How does the conversation address reclamation costs and the coal contract for Four Corners?
3:12:10–4:26:34
6
What are the expert’s recommendations on the subscription model and demand‑flexibility for large loads?
4:26:34–4:55:20
7
What are the protective agreements and how might they affect cost transparency for APS customers?
4:55:20–6:06:48
8
How does the discussion shift to the Formula Rate Adjustment Mechanism (FRAM) and its impact on cost recovery and review timelines?
6:06:48–7:37:29
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