APS Solar and Export Credit Rules in 2026

If you're thinking about APS solar in 2026, here's the most important thing to know. New rooftop solar with Arizona Public Service (APS) is not traditional one-for-one net metering. Instead, APS uses net billing, through a rule called the Resource Comparison Proxy (RCP).

Solar power your home uses right away cuts what you buy from APS. Extra solar you send to the grid is measured separately and earns a dollar credit at the RCP rate. For new systems in 2026, that rate is 5.554¢ per kWh. That's why using your own solar at home matters so much.

How APS Solar Works in 2026

APS calls the RCP a net-billing rider. A rider is an add-on rule to your rate plan. It tracks the solar power your home doesn't use and sends to the grid. APS then gives you a monthly bill credit in dollars for those exports.

Under old-style net metering, each exported kWh (kilowatt-hour, the unit on your bill) could cancel out a kWh you bought later. Under the RCP, exports become dollar credits at a separate, lower price. That one change shapes how a smart APS solar system is designed.

What Is the APS RCP Export Rate for 2026?

The RCP rate is the price APS pays for solar you export. For customers who connect their system on or after September 1, 2026, the rate is 5.554¢/kWh. Customers who connected under the 2025 rate get 6.171¢/kWh.

For comparison, APS's summer off-peak price on its main time-of-use plan is 12.345¢/kWh. So a kWh you export is worth much less than a kWh you avoid buying.

Your Interconnection Date Locks Your Rate

APS sets a new RCP rate each September 1. Whatever rate is in effect when your system is connected is locked for 10 years. The rate for new customers can't drop more than 10% from one year to the next.

That has two effects. Your export credit is predictable for a decade. But a quote should not assume that rate lasts the full 25-year life of the panels. After 10 years, plan for it to change.

What Happens to Unused APS Solar Credits?

Credits don't vanish at the end of the month. Unused credit rolls forward to your next bill. After your December bill, if the leftover credit is more than $25, APS sends you a check.

Still, a big pile of credit at year-end usually means the system is exporting a lot at the low RCP price. That may be a sign it's bigger than your home needs.

Does APS Still Have Net Metering?

Not for new customers. APS's legacy net metering rider (EPR-6) is closed to new customers. Homes that got in under the old rules can keep them for up to 20 years from when their system was connected. So two neighbors with solar can be billed very differently, based only on when each system went live.

That's also why many websites still talk about “APS net metering” today. An Arizona solar article from 2015 may describe rules that no longer apply to a new system in 2026. If you own an older system, know when your 20-year period ends and plan ahead.

Why Using Your Solar Beats Exporting It

Here's a hypothetical summer day. Your panels make 40 kWh. Your home uses 25 kWh of it directly, and you export the other 15 kWh.

If you used those 15 kWh at home instead of buying them at 12.345¢, you'd avoid about $1.85 in energy charges. Exporting them at 5.554¢ earns about $0.83 in credit. Same solar power, but less than half the value. That's why self-consumption, meaning using your own solar at home, is the heart of APS solar math.

Which APS Plan Should a Solar Home Use?

Your rate plan is part of your solar math. On APS's time-of-use plans, where the price depends on the time of day, the expensive hours are 4–7 p.m. on weekdays. Arizona solar peaks around midday and is fading by late afternoon. That creates a timing gap between when you make power and when power costs the most.

Rooftop solar customers on APS's current plans also pay a Grid Access Charge. In its pending rate case, APS has proposed raising that charge. That is a proposal only. The Arizona Corporation Commission (ACC) has not approved it.

Shift Flexible Loads Into Solar Hours

You don't need to waste power while the sun is up. But some loads can easily move into solar hours. Good candidates include the pool pump, laundry, the dishwasher, EV charging and water heating.

For Arizona homes, pre-cooling is a big one. Run the AC harder in the early afternoon on solar power. Then let the house coast through the 4–7 p.m. peak.

Why HVAC Comes Before Panels

Say your home uses 22,000 kWh a year, and an old AC wastes several thousand of those kWh. HVAC and attic upgrades bring usage down to 17,000 kWh. Now you may need fewer panels, less roof space and a smaller inverter. That means a lower project cost.

That's usually a better start than building a huge solar system around a home that leaks cool air.

Where Batteries Fit With APS Solar

Under net billing, a battery can do more than backup. It can:

1. Charge from extra solar that would otherwise export at the low RCP rate.
2. Power the home later, when you'd otherwise buy from APS.
3. Cut grid use during the 4–7 p.m. peak.
4. Keep key loads running during an outage.

Does a Battery Pay for Itself?

Not automatically. A battery adds real cost. Compare the extra savings and backup value with that added cost. Some homes gain more from HVAC upgrades, a better rate plan or solar without storage. Others, with big evening use, may get more from a battery.

Solar and APS Demand-Charge Plans

APS also offers a time-of-use plan with a demand charge. That's a fee based on your single highest hour of use during weekday peak hours each month. Running two AC units, the dryer, the oven and an EV charger at once can raise it fast.

A battery can help shave that peak. But the math has to be modeled on your actual home.

Does Solar Give You Backup Power by Itself?

Usually not. A standard grid-tied solar system shuts off when the grid goes down. That protects utility workers and equipment. For backup, you generally need a battery, an inverter that supports backup and equipment that safely separates your home from the grid. Don't assume panels alone mean power during an outage.

APS Must Approve Your Solar System

Any rooftop system tied to the APS grid has to go through APS's interconnection process. That's the review that lets your system connect to the grid. APS looks at your equipment, system size, electrical design and metering before the system can run. Treat approval as a real step, not paperwork after the panels go up.

Can Grid Limits Affect Your Project?

Yes. In neighborhoods with a lot of rooftop solar, the local grid can run into limits. Transformers, power lines or voltage levels may need a closer look. Some projects need extra review or utility upgrades. A good proposal says so up front instead of promising automatic approval.

Solar Tax Credits in 2026

This is a major change. The federal residential clean energy credit (25D) is not available for systems placed in service after December 31, 2025. A new 2026 APS solar quote should not include a 30% federal credit. Many older Arizona solar pages still assume it.

Arizona's own residential solar tax credit still exists. It covers 25% of the cost, up to $1,000, claimed on Arizona Form 310. It can lower your Arizona tax but won't be refunded as cash. Any unused amount can carry forward for up to five years.

Is APS Solar Still Worth It?

It can be. Arizona has excellent sun. But without full-retail net metering, design matters more than ever. APS solar value in 2026 depends on how much solar you use at home and your locked RCP rate. It also depends on your rate plan, your AC load, roof direction, system cost, financing and how long you plan to stay.

Which Homes Are Strong APS Solar Candidates?

Strong candidates often have:

• High yearly electricity use and real daytime load
• Good roof exposure with little shade
• Plans to stay in the home a long time
• Flexible loads they can shift into solar hours
• Efficient HVAC, or a plan to upgrade it

Weaker candidates may have low usage, heavy shade, poor financing terms or a roof that needs replacing soon. A system that would export far more than the home uses is another warning sign.

The Ashborn Approach

Before recommending a system, Ashborn Partners looks at your APS rate plan, yearly and hourly usage, HVAC and roof. Then we weigh solar and battery storage against your home's real needs. An Ashborn Advisor can connect you with participating providers in your area.

With APS, producing solar is only half the story. What you use, what you export and when you use power all matter.

APS’s Resource Comparison Proxy export rate for systems interconnecting from September 1, 2026 is 5.554¢/kWh, locked for 10 years. APS’s pending rate request, including proposed changes for solar customers, has not been approved. Verify current APS rules before signing a solar agreement.