Arizona Public Service (APS) is facing rapid peak demand growth and extreme temperatures, including a record of 113 days above 100 degrees Fahrenheit in Phoenix and a new peak energy demand of 8,212 Megawatts on August 4, 2024. Peak demand is expected to exceed 13,000 MW by 2038, marking a 60% increase in just 14 years. To manage rising demand, APS is expanding its Virtual Power Plant (VPP) program, one of the largest in North America, which connects customer-owned devices like smart thermostats and battery storage to reduce peak energy demand. With over 95,000 thermostats and 72,000 customers participating, APS achieved a 160 Megawatts load reduction and successfully reached new customer segments. APS’s Virtual Power Plant program enhances grid reliability, reduces energy costs, improves air quality, and provides a cost-effective energy solution for all customers