Gas, electric, wind energy rates set for March

Medicine Hat - The City of Medicine Hat has set its March energy commodity rates.

Natural Gas – all customers

The March natural gas default rate is $2.0239 per gigajoule (GJ), down from the previous month of $2.494 per GJ. On Nov. 20, 2023, City Council passed bylaw 4798 that amends the gas utility bylaw in order to provide consumers with a single natural gas rate starting Jan. 1, 2024. The rate is based on the weighted average cost of the City’s natural gas purchases for the month of consumption, plus $0.07/GJ to recover transactional costs and a small rate of return.

Electricity

Residential, Farm, Small and Medium Commercial, Unmetered Services and Rental Lighting

On Oct. 16, 2023, City Council passed an amendment to the Electric Utility Bylaw 2244 to establish a single best-of-market electricity rate for Residential, Farm, Small and Medium Commercial, Unmetered Services and Rental Lighting customers, not to exceed a maximum of 11 cents per kWh or go below a minimum rate of seven cents per kWh. The rate is based on a twelve-month, volume weighted forecast as per the ICE-NGX wholesale electricity energy market and will be recalculated on the first business day of January, April, July, and October.

Under the new formula, the March electricity default rate for Residential, Farm, Small and Medium Commercial, Unmetered Services and Rental Lighting customers is $0.09302 per kilowatt hour (kWh), up from the previous month of $0.09234/kWh for January.

On December 15, 2022, the Government of Alberta passed The Regulated Rate Option Stability Act through Bill 2: Inflation Relief Statutes Amendment Act which placed a temporary price ceiling of $0.13500 per kilowatt hour in January, February and March 2023 for Albertans who purchase power on the Regulated Rate Option (RRO). As of April 1, 2023, the cost difference between the RRO electricity rate from January – March 2023 and the temporary price ceiling will be added to the current default rate to recover costs until December 2024. The March recovery rate of $0.00882 per kWh will be added to the current default rate of $0.0842 per kWh for a total billable rate of $0.09302 For more details about the recovery rate, visit medicinehat.ca/EnergyPlans.

Large Commercial, Industrial and Street Lighting Customers

The March default electricity rate for Large Commercial, Industrial and Street Lighting customers is $0.10339 per kilowatt hour. The rate is based on the average of the rates for owners whose regulated rate tariffs are approved by the Alberta Utilities Commission under section 103(2) of the Electric Utilities Act for that calendar month as posted by the Alberta Utilities Commission on its internet page under Regulated Rate Option Regulation.

Going Green Charge

Customers also have a “Going Green” surcharge on their bill. This surcharge is for renewable energy purchased for residential, farm, small and medium commercial customers.

The Going Green surcharge is calculated monthly to recover costs incurred to purchase renewable energy.

The Going Green surcharge for March is $0.0024 per kilowatt hour.

Media inquiries:media@medicinehat.ca