PHOENIX – Arizona’s largest utility company, Arizona Public Service (APS), has made a significant change in its policy regarding electricity disconnections due to nonpayment. This decision comes after a tragic incident in 2024, where an 82-year-old woman lost her life shortly after her power was cut off during dangerously high temperatures. The settlement reached, worth $7 million, is part of a lawsuit that aims to protect vulnerable customers in extreme heat conditions.
Under the new agreement, APS will not disconnect power to customers if temperatures reach 95 degrees Fahrenheit (35 degrees Celsius) or higher. This is a crucial step for ensuring safety and well-being, especially during the scorching Arizona summers. Previously, APS had a policy preventing shutoffs only between June 1 and October 15. Now, the new settlement expands these protections significantly.
The lawsuit was brought to light by Arizona Attorney General Kris Mayes, who emphasized that “no Arizonan should be at risk because they cannot afford their electric bill.” The case was sparked by the unfortunate death of Katherine Korman, whose power was shut off in mid-May 2024 when temperatures soared to about 99 degrees Fahrenheit (37 degrees Celsius). Six days later, she was found dead in her home.
In response to the lawsuit, APS will also contribute $2.7 million to a state consumer protection fund and allocate another $3.4 million to improve a program that allows customers to designate emergency contacts, ensuring that important notices about bills and potential disconnections are communicated effectively. The utility has stated that it made numerous attempts to reach Korman through calls, emails, and door hangers, claiming that it followed all necessary protocols prior to the disconnection.
Despite not admitting wrongdoing, APS has committed to enhancing its policies to prioritize customer safety. The company remarked that its team “cares deeply about the well-being of our customers and community.” The terms of the settlement specify that the funds will come from APS shareholders and won’t be passed on to customers in future rate increases.
As a stark reminder of the impact of extreme heat, Maricopa County reported 430 heat-related deaths last year, a slight decrease from the previous years. The county continues to monitor heat-related incidents closely, emphasizing the ongoing need for protective measures in such perilous weather conditions.
