SRP to raise rate, AGAIN!

The Salt River Project, SRP, expects to raise its rates by 5 to 7 percent in November to help pay or higher fuel costs.

Chief financial executive Mike Bonsall says the higher rates are needed even though fuel prices have dropped in recent months. Dropping prices will keep the rate boost in check but not eliminate it entirely. Bonsall says fuel cost overruns totaled 80 million dollars through July. The average monthly bill is expected to rise by $5.40 to $7.45 depending on the size of the rate hike. The utility board will meet in October to decide how high to raise prices. Because S-R-P is a quasi-public agency, it isn't regulated by the Arizona Corporation Commission. That means it can raise it rates without approval by regulators. But Bonsall says the utility won't make a profit from the rate increase. It's just passing on its costs. S-R-P serves 935,000 customers, primarily in Maricopa and Pinal counties.

This comes after SRP raised rate nearly 20% only a few months ago. This comes at the worst time possible.Gas prices are outrageous, people are losing their jobs left and right, and the housing market is horrible. To top it all off, this rate hike comes just before Christmas!