Items on your bill gas

Items on your bill

The Alberta Utilities Commission’s mandate is to approve rates for regulated utilities that ensure safe reliable service at just and reasonable rates.

Items on your gas bill

 

The Alberta Utilities Commission’s mandate is to approve rates for regulated utilities that ensure safe reliable service at just and reasonable rates. Please see the following Commission calculated table showing the breakdown of items on a typical residential consumer’s gas bill during higher consumption months (or winter months):

​The monthly cost estimates shown in the graph are based on a typical natural gas utility bill in Alberta during January, with higher natural gas consumption. Costs will vary depending upon the transmission and distribution service area, the municipality where you live, your energy use and billing period.

 

This summer months graph shows how lower natural gas consumption changes the items on your bill based on a typical natural gas bill during July

 

  • Energy charge/Cost of gas - The per unit cost (price per gigajoule (GJ)) for the natural gas used during the billing period. This is the cost for the commodity itself and does not include the cost to deliver natural gas to homes and businesses. Prices are based on the competitive energy market. Energy charges vary between retailers, who purchase natural gas in the market through a combination of long term and short term contracts with suppliers. If you do not choose to sign a contract with a competitive retail service provider, your rate will fluctuate each month and your regulated rate is approved by the AUC. For more information please visit retail rates.

    Customers have a choice to sign a fixed or variable rate contract with a competitive retailer. For more information, please see https://ucahelps.alberta.ca/cost-comparison-tool.aspx for service providers in your area.

  • Administration fee - This charge covers the cost to your retailer to provide billing and customer services. It is a fixed charge based on the number of days in the billing period. For more information please visit retail rates.

  • Delivery charge (fixed) – The fixed delivery charge is designed to recover the costs to the distribution company that do not vary with consumption of gas. These include the design, installation and financing of pipelines and meters. The fixed charge is a daily charge based on the number of days in the billing period. For more information please visit distribution rates.

  • Delivery charge (variable) - The variable charge is designed to recover the costs to the distribution company that vary with consumption of gas. These are principally related to capital and operating costs, including labour, materials, and supplies. For more information please visit distribution rates.

  • Rate riders - A rate rider is a temporary, additional rate on a consumers bill, which is separate from the monthly rates that are charged for gas usage. A rate rider can be a credit or a charge. Riders are intended to recover costs or refund money to the utility for some previously forecasted costs and based their rates on. Any amount over forecasted is refunded to customers and under forecasted is charged to customers through various riders. For more information please visit rate riders.

  • Municipal franchise fee - Municipalities charge distribution companies for the right to exclusively serve its residents and to have utility infrastructure on municipal lands. These costs are then passed on to the customer. The municipality determines the level of the fees. For more information please visit other charges.

  • Carbon levy – As part of the Government of Alberta's Climate Leadership Plan to reduce greenhouse gas emissions, the government introduced a levy on the price of all fuels that emit greenhouse gases when combusted. The levy is applicable to natural gas provided to Alberta homes at a rate of $1.517 per gigajoule consumed in the billing period. The AUC does not approve the carbon levy. For more information please visit the government of Alberta’s website.      

Access all regulatory documents

Anyone can access applications and proceeding information through the eFiling System.

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