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Fair Value Measurements (Tables)
 12 Months Ended
Dec. 31, 2025
Fair Value Disclosures [Abstract]  
Schedule of Fair Value of Assets and Liabilities Measured at Fair Value on a Recurring Basis
The following table presents the fair value as of December 31, 2025 of our assets and liabilities that are measured at fair value on a recurring basis (dollars in thousands):

Level 1Level 2Level 3OtherTotal
ASSETS
Risk management activities — derivative instruments:
Commodity contracts$— $19,347 $— $(10,960)(a)$8,387 
Nuclear decommissioning trusts:
Equity securities18,970 — — (3,799)(b)15,171 
U.S. commingled equity funds— — — 500,592 (c)500,592 
U.S. Treasury debt364,943 — — — 364,943 
Corporate debt— 242,176 — — 242,176 
Mortgage-backed securities— 230,695 — — 230,695 
Municipal bonds— 37,572 — — 37,572 
Other fixed income— 23,017 — — 23,017 
Subtotal nuclear decommissioning trusts383,913 533,460 — 496,793 1,414,166 
Other special use funds:
Equity securities62,573 — — 3,199 (b)65,772 
U.S. Treasury debt369,055 — — — 369,055 
Subtotal other special use funds (d)431,628 — — 3,199 434,827 
Total assets$815,541 $552,807 $— $489,032 $1,857,380 
LIABILITIES
Risk management activities — derivative instruments:
Commodity contracts$— $(21,325)$(23,710)$8,399 (a)$(36,636)
(a)Represents counterparty netting, margin, and collateral. See Note 13.
(b)Represents net pending securities sales and purchases.
(c)Valued using NAV as a practical expedient and, therefore, are not classified in the fair value hierarchy.
(d)All amounts relate to APS, with the exception of $40.3 million related to Pinnacle West’s Captive investments that are classified within Level 1 equity securities. See Note 12.
 The following table presents the fair value at December 31, 2024 of our assets and liabilities that are measured at fair value on a recurring basis (dollars in thousands):
 
Level 1Level 2Level 3OtherTotal
ASSETS
Cash equivalents$23 $— $— $— $23 
Risk management activities — derivative instruments:
Commodity contracts— 13,152 7,176 (3,770)(a)16,558 
Nuclear decommissioning trusts:
Equity securities11,859 542 — 3,335 (b)15,736 
U.S. commingled equity funds— — — 423,069 (c)423,069 
U.S. Treasury debt367,396 — — — 367,396 
Corporate debt— 203,180 — — 203,180 
Mortgage-backed securities— 208,533 — — 208,533 
Municipal bonds— 37,429 — — 37,429 
Other fixed income— 27,502 — — 27,502 
Subtotal nuclear decommissioning trusts379,255 477,186 — 426,404 1,282,845 
Other special use funds:
Cash equivalents25,000 — — — (d)25,000 
Equity securities24,962 — — 2,851 (b) (d)27,813 
U.S. Treasury debt355,544 — — — 355,544 
Subtotal other special use funds (d)405,506 — — 2,851 408,357 
Total assets$784,784 $490,338 $7,176 $425,485 $1,707,783 
LIABILITIES
Risk management activities — derivative instruments:
Commodity contracts$— $(40,388)$(22,215)$817 (a)$(61,786)
(a)Represents counterparty netting, margin, and collateral. See Note 13.
(b)Represents net pending securities sales and purchases.
(c)Valued using NAV as a practical expedient and, therefore, are not classified in the fair value hierarchy.
(d)All amounts relate to APS, with the exception of $34.2 million related to Pinnacle West’s Captive investments that are classified within Level 1, $25.0 million in cash equivalents and $9.2 million related to equity securities. See Note 12.
The following table shows the changes in fair value for our risk management activities’ assets and liabilities that are measured at fair value on a recurring basis using Level 3 inputs (dollars in thousands):
 Year Ended December 31,
Commodity Contracts20252024
Balance at beginning of period$(15,039)$4,921 
Total net losses realized/unrealized:
Deferred as a regulatory asset or liability(30,006)(60,965)
Settlements21,907 44,156 
Transfers into Level 3 from Level 2(1,240)(4,635)
Transfers from Level 3 into Level 2668 1,484 
Balance at end of period$(23,710)$(15,039)
Net unrealized gains/losses included in earnings related to instruments still held at end of period$— $— 
Schedule of Fair Value Measurement Inputs and Valuation Techniques
The following tables provide information regarding our significant unobservable inputs used to value our risk management derivative Level 3 instruments as of December 31, 2025 and December 31, 2024 (dollars in thousands):

December 31, 2025
 Fair Value 		ValuationSignificantWeighted-Average
Commodity ContractsAssetsLiabilitiesTechniqueUnobservable InputRange (b)
Electricity Forward Contracts (a)$— $21,913 Discounted cash flowsElectricity forward price (per MWh)
$41.51
-
$149.37
$80.20
Natural Gas Forward Contracts (a)— 1,797 Discounted cash flowsNatural gas forward price (per Million British Thermal Units (“MMBtu”))
$(0.07)
-
$0.36
$0.04
Total$— $23,710 
(a)Includes swaps and physical and financial contracts.
(b)Unobservable inputs were weighted by the relative fair value of the instrument.

December 31, 2024
 Fair Value 		ValuationSignificantWeighted-Average
Commodity ContractsAssetsLiabilitiesTechniqueUnobservable InputRange(b)
Electricity Forward Contracts (a)$708 $21,890 Discounted cash flowsElectricity forward price (per MWh)$25.25 -$151.11$106.06
Natural Gas Forward Contracts (a)6,468 325 Discounted cash flowsNatural gas forward price (per MMBtu)$(0.89)-$1.47$0.71
Total$7,176 $22,215 
(a)Includes swaps and physical and financial contracts.
(b)Unobservable inputs were weighted by the relative fair value of the instrument.