Alberta Natural Gas Prices
Researching different options for natural gas can be a very time-consuming process. Often consumers feel overwhelmed with the number of options available. Should I go fixed or variable? What about choosing the regulated rate provider? Are natural gas prices going to rise in the future? These are all questions that consumers often consider as they think through their various options. Thankfully, we are here to make that decision a little easier.
Learn About Natural Gas
Consumers who select a fixed natural gas rate will know their price per gigajoule (GJ) on each bill. Knowing the natural gas price in advance may sound attractive. However, what many don’t realize is how high these fixed rates actually are. Natural gas prices are near all-time lows within Alberta, but consumers who are on a fixed rate still pay the same high price every month. Fixed rates for natural gas are not a wise choice. For example, the most expensive month for natural gas with Regional Energy (on our floating rate) will still be less than any fixed rate.
Regulated Rates and Alberta Energy
In each part of the province there is a designated provider for natural gas and they are called the regulated provider. Many people also refer to them as the default provider. It means that if you do not choose a provider for natural gas at your residence you will start getting billed by the default provider. The rates the default provider charges are often set by the government. Unfortunately, a large part of Alberta is serviced by a large multi-national corporation that has their head office in another country. We hear countless reports of poor customer service and of people having their gas shut off over small billing mistakes. Getting the natural gas service reinstated comes at the cost of the customer. Additionally, the default provider for natural gas rarely provides electricity, so consumers then have to choose another company for electricity.
Variable rates (floating rates) are a popular option for natural gas within Alberta. Regional Energy offers natural gas on a variable rate which means it is based on the monthly market price (which fluctuates). Since our rates are not dictated by the government we can set our rates as low as we wish. The natural gas prices that competitive rate retailers charge are based on the cost of gas plus the retailers margin.
At Regional Energy our margin is low, so this keeps our prices low. It’s also one of the reasons why we are growing so quickly. We base our cost of natural gas on the prices published by NGX (Natural Gas Exchange) to ensure consumers receive fair prices. Although there are other competitive rate retailers in the province Regional Energy offers natural gas service without cancellation fees along with low rates and local customer care. There aren’t many other natural gas companies that can make these same claims.
Visit our natural gas page to see how our rates compare with competitor rates.