Salt River Project recently announced a rate hike for customers to help offset its costs.

The increase will be in addition to one that took effect in November.

SRP says the increase is necessary to help offset the cost of fuel.

The utility says its rates will still be among the lowest in the western U.S., and that it passes costs to customers without any markup.

Although SRP has added solar and wind to its energy portfolio, it is also expanding gas-powered plants to help meet demands of the Valley’s growing population.

"It confirms what we’ve been saying, which is if SRP continues to put many of its energy eggs in the gas basket, then that is going to mean higher rates," said Sandy Bahr, of the Grand Canyon chapter of the Sierra Club.

SRP recently announced it is working with a contractor to build a new battery storage facility, a critical piece in bringing more solar power into the energy mix.