SolarCity Corp. Dispute With Ariz. Utility Gets SCOTUS Review

The U.S. Supreme Court agreed Dec. 1 to hear a dispute over electricity rates between Tesla Inc. subsidiary SolarCity Corp. and Arizona’s largest utility that’s divided appeals courts on the rights of state entities sued for their official actions.

SolarCity attacked the Salt River Project Agricultural Improvement & Power District’s proposed rate increase only for Arizona customers that generate some of their own electricity from rooftop solar panels. Those customers would see a 65 percent increase in their electricity rate, but households that buy all their power from the grid would see no change.

SolarCity challenged the move under federal ...