SECURITIES AND EXCHANGE COMMISSION

                              Washington, D.C.  20549

                                     Form 8-K

                                  CURRENT REPORT

                      Pursuant to Section 13 or 15(d) of the
                          Securities Exchange Act of 1934

   Date of Report (Date of earliest event reported)  December 15, 1993

                        ARIZONA PUBLIC SERVICE COMPANY
              (Exact name of registrant as specified in its charter)

       Arizona                  1-4473              86-0011170
   (State or other              (Commission         (IRS Employer
   jurisdiction of              File Number)        Identification
   incorporation)                                   Number)


   400 North Fifth Street, P.O. Box 53999, Phoenix, Az 85004
   (Address of principal executive offices)         (Zip code)


   Registrant's telephone number, including area code (602)250-1000





                              NONE
   (Former name or former address, if changed since last report)

   ITEM 5.  Other Events


      Palo Verde Nuclear Generating Station

      On December 26, 1993 Unit 3 of the  Palo Verde Nuclear Generating  Station
   ("Palo Verde") returned to service at 85% power following a mid-cycle outage
   during which Arizona  Public Service Company (the  "Company") inspected Unit
   3's steam generators.   See Note 9 of  Notes to Financial Statements  in the
   Company's Quarterly Report on Form 10-Q for the fiscal quarter ended Septem-
   ber 30, 1993  (the "September 10-Q").  The Company  has informed the Nuclear
   Regulatory Commission (the  "NRC") that  the inspection did  not reveal  the
   type of tube  degradation (axial  cracking in upper  bundle) experienced  in
   Unit 2's steam generators;  however, the inspection did reveal  another more
   common type of  tube degradation (circumferential cracking at  tubesheet) in
   the  unit's steam generators which  has occurred in similarly-designed steam
   generators at other plants.  The next regular refueling outage for Unit 3 is
   scheduled to begin in March 1994, at which time the Company plans to inspect
   and chemically clean that unit's steam generators.

      On January  8, 1994, the  Company removed Unit  2 from  service to inspect
   and chemically clean  its two  steam generators during  a mid-cycle  outage.
   The initial inspection and the cleaning  have been completed, and one of the
   steam generators is currently being reinspected.  To date the inspection has
   revealed  additional tube degradation of  the type (axial  cracking in upper
   bundle)  previously found in that  unit's steam generators.   The inspection
   has also  revealed  the common  type  of tube  degradation  (circumferential
   cracking at tubesheet) which has occurred in similarly-designed steam gener-
   ators at  other plants.  Based  on these findings, the  Company has expanded
   the scope of the inspection of  the Unit 2 steam generators and  the planned
   duration of  the outage  until  mid to  late March.    However, because  the
   Company's  analysis of  Unit 2's  steam generators  is ongoing,  the Company
   cannot  predict with  certainty the timing  of the  restart of Unit  2.  The
   Company  is currently evaluating the need for an additional mid-cycle outage
   for Unit 2 during 1994.

      Unit 1 continues  to operate at 85% power since it returned  to service in
   late November 1993 after its refueling  outage.  See Note 9 of Notes  to Fi-
   nancial Statements in the September 10-Q for more information.

      The Company has  performed, and is  continuing, certain corrective actions
   including  among other  things, chemical  cleaning,  operating the  units at
   reduced temperatures, and, for some period, operating the  units at 85% pow-
   er.   As a  result of  these corrective actions,  all three  units should be
   returned to 100% power  by mid 1995, and one  or more of the units  could be
   returned to  100% power during  the course of  1994.  So  long as  the three
   units are involved  in mid-cycle outages and are operated  at 85% power, the
   Company estimates that  it will  incur additional fuel  and purchased  power
   costs averaging approximately $2 million per month (before income taxes).

      As  previously disclosed, by  letter dated July  7, 1993,  the NRC advised
   the Company that, as a result  of a Recommended Decision and Order by  a De-
   partment of Labor Administrative Law Judge  (the "DOL ALJ") finding that the
   Company discriminated against a  former contract employee at Palo  Verde be-
   cause he engaged in "protected activities" (as defined under federal regula-
   tions), the NRC intended to schedule an enforcement conference with the Com-
   pany.  See "Palo Verde Nuclear Generating Station" in Part II, Item 5 of the
   September 10-Q, and in Part II, Item  5 of the Company's Quarterly Report on
   Form 10-Q for the fiscal quarter ended June 30, 1993.

      Following the  DOL ALJ's finding,  the Company  investigated various  ele-
   ments of both the substantive allegations and the manner in which the U.  S.
   Department of  Labor (the "DOL") proceedings were conducted.  As a result of
   that investigation, the  Company determined  that one of  its employees  had
   falsely testified during the proceedings, that there were inconsistencies in
   the testimony of another employee, and that certain documents were requested
   in, but not  provided during, discovery.  The two  employees in question are
   no longer with the Company.  The  Company provided the results of its inves-
   tigation to the DOL ALJ, who referred matters relating to the conduct of the
   two former employees  of the Company to the U.S.  Attorney's office in Phoe-
   nix,  Arizona.  On  December 15, 1993,  the Company and  the former contract
   employee who had raised the DOL claim entered into a settlement agreement, a
   part of which remains subject to approval by the Secretary of Labor.

      By letter dated August  10, 1993, the Company also provided the results of
   its  investigation to the NRC, and advised the  NRC that, as a result of the
   Company's investigation, the  Company had changed its position  opposing the
   finding of  discrimination.  The  NRC is investigating  this matter  and the
   Company is fully cooperating with the NRC in this regard.


                                    SIGNATURES


            Pursuant  to the requirements of the Securities and Exchange Act of

   1934, the Company has duly  caused this report to be signed on its behalf by

   the undersigned hereunto duly authorized.





                                   ARIZONA PUBLIC SERVICE COMPANY
                                           (Registrant)




   Dated:   February 17, 1994      By Nancy E. Newquist


                                      Nancy E. Newquist
                                      Treasurer