A subsidiary of Pinnacle West Capital Corporation

P.O. Box 53999 Phoenix, AZ 85072-3999 www.aps.com

August 13, 2007


Joe Liberty

Coldwell Banker Residential Brokerage 3050 W. Agua Fria Freeway, Suite 110 Phoenix, AZ 85027

Re:     Whispering Ranch Estates Dear Mr. Liberty:

APS and the Arizona Corporation Commission (ACC) have recently been contacted by various individuals interested in finding out about APS' requirements for extending new electric facilities to the Whispering Ranch area.

Although APS has yet to receive a formal application for service from any customer, organization or business, APS representatives did attend a community meeting at Whispering Ranch in March 2007 and also participated in a discussion with ACC Staff and Accipiter Communications in June 2007. During these meetings APS discussed and provided general information regarding our line extension requirements.

As a regulated utility, APS is required to abide by the provisions of its Schedule 3 (Conditions Governing Extensions of Electric Distribution Lines and Service) on file with the Arizona Corporation Commission when extending new electric facilities. A copy of the current Schedule 3 is enclosed for your review. These rules require APS to consider various factors such as customer location, load size and characteristics, the availability of adequate capacity, voltage, and the location of company facilities at the beginning point of the proposed extension. Schedule 3 also requires APS to consider the type and number of customers     ,, being served. For example, Schedule 3, Section 1.1 addresses how service is extended to single family homes (4 or less homes); section 1.2 addresses residential homebuilder subdivisions and section 1.3 describes how service is extended to master planned community developments. Non-residential line extensions are covered in Section 2.0. Additional information may be found on our Construction Corner web site at aps.com.

Any projects for this area will need to be evaluated when either you or someone else is ready to begin construction on a specific project. Until we know the type and size of project being considered, location, and the amount of electrical load needed to be served. It would not be possible for APS to give even a rough estimate of what it will take to provide service.




We appreciate the opportunity to answer your questions and we encourage interested property owners and developers in the Whispering Ranch community to contact us at 602-371-7171 with a formal request once they have detailed site plans and specific load serving information available. Questions regarding APS' Schedule 3 may be addressed to Angela Allison at 602-250-2280.


Angela Allison

APS Sr. Consumer Advocate