Exhibit 12.3

Pinnacle West Capital Corporation
Computation of Earnings to Fixed Charges
and Preferred Stock Dividend Requirements
($000’s)

	2006		2005		2004		2003		2002		2001
Earnings:
Income From Continuing Operations	$	317,143	$	223,163	$	246,590	$	225,384	$	236,563	$	327,367
Income Taxes		156,418		126,892		136,142		102,202		152,145		213,535
Fixed Charges		225,119		214,430		214,803		225,041		219,178		211,958
Total Earnings	$	698,680	$	564,485	$	597,535	$	552,627	$	607,886	$	752,860
Fixed Charges:
Interest Expense	$	196,826	$	185,087	$	183,527	$	193,973	$	187,039	$	175,822
Estimated Interest Portion of Annual Rents		28,293		29,343		31,276		31,068		32,139		36,136
Total Fixed Charges	$	225,119	$	214,430	$	214,803	$	225,041	$	219,178	$	211,958
Preferred Stock Dividend Requirements:
Income Before Income Taxes	$	473,561	$	350,055	$	382,732	$	327,586	$	388,708	$	540,902
Net Income From Continuing Operations		317,143		223,163		246,590		225,384		236,563		327,367
Ratio of Income Before Income Taxes to Net Income		1.493		1.569		1.552		1.453		1.643		1.652
Preferred Stock Dividends		—		—		—		—		—		—
Preferred Stock Dividend Requriments — Ratio (above) Times Preferred Stock Dividends	$	—	$	—	$	—	$	—	$	—	$	—
Fixed Charges and Preferred Stock Dividend Requirements:
Fixed Charges	$	225,119	$	214,430	$	214,803	$	225,041	$	219,178	$	211,958
Preferred Stock Dividend Requirements		—		—		—		—		—		—
Total	$	225,119	$	214,430	$	214,803	$	225,041	$	219,178	$	211,958
Ratio of Earnings to Combined Fixed Charges and Preferred Stock Dividend Requirements (rounded down)		3.10		2.63		2.78		2.45		2.77		3.55