OPINION — In response to Mel Meter’s editorial comments supporting the proposed 14% rate increase in one year by for-profit monopoly, APS, I offer my comments and observations.
Meter suggests that the proposed massive increase is warranted due to operational and capital costs. I disagree! These costs have been well known for years and in some cases decades.
Given the long life of most capital assets, replacement can and should be funded with nominal increases in rates over time to capitalize a “sinking fund” reserved specifically for future spending on asset replacement.
