SRP proposes price hike that would raise average residential bill by over $5 a month
Dec 2, 2024, 2:00 PM | Updated: 5:26 pm
SRP has proposed a price hike that would go into effect November 2025. (SRP Photo)
(SRP Photo)
PHOENIX — Salt River Project (SRP) is seeking a price hike that would raise the average residential bill by over $5 a month, the utility announced Monday.
SRP is seeking to increase its revenue base by $168.8 million to pay for power system upgrades and address an anticipated $67.7 million decline in fuel and purchased power revenues.
If the rate hike goes through, residential bills will go up by an average of 3.5%, or a $5.64 per household. SRP, the largest electricity provider in metro Phoenix, serves about 1.1 million customers.
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“SRP is committed to delivering exceptional service as we work to provide reliable and sustainable power,” Jim Pratt, SRP general manager and CEO, said. “As a not-for-profit, community-based utility, we make decisions based on what is best for our customers, not investors.”
What are other elements of proposed SRP price hike?
SRP wants to make several adjustments as part of the proposal.
First, the utility wants to increase the limited-income Economy Price Plan bill credit to $25 a month and expand its eligibility.
SRP also plans to have tiered residential monthly service charges and new price plans with super-off-peak daytime time-of-use hours.
Finally, SRP wants to freeze new participation in some current time-of-use price plans.
“Our grid is undergoing a transformation in how energy is generated and the ways our customers are using it,” Pratt said. “This proposal seeks to provide plans and options that meet our customers’ needs while ensuring we maintain the reliability and affordability that are critical to our communities.”
A pair of open house events will occur in January. The first will be held at Glendale Community College’s student union (6000 W. Olive Ave.) from 6:30 p.m. to 9:30 p.m on Jan. 7. The second will be hosted at ASU Polytechnic Campus’ student union (5999 S. Backus Mall) in Mesa from 6:30 p.m. to 9:30 p.m. on Jan. 9.
A final vote on the proposed changes is expected on Feb. 27.
KTAR News 92.3 FM’s Heidi Hommel contributed to this report.
