Rate riders are a special credit or charge on a customer's bill in addition to the tariff distribution rates approved by the Alberta Utilities Commission. The rate rider is a mechanism used to flow through costs that are incurred by a distribution utility or refunds provided to the distribution utility, that were not included in its tariff distribution rates at the time those rates were approved by the AUC. All rate riders must be approved by the AUC before they are applied to customer bills.
When a rate rider is determined to be needed by a utility, it applies to the AUC. Upon approval, the rate rider is applied on utility customer bills for a determined amount of time. Below are the current riders in effect for each regulated utility.
Franchise fees are paid to municipalities in consideration of the exclusive grant of a franchise and for the ability to put gas distribution facilities on land owned by the municipalities.
Property taxes are levied by municipalities against AltaGas’ land and buildings, linear property, machinery and equipment.
Rider E is used in calculating AltaGas' monthly natural gas commodity rate, Rider G and in determining the amount of gas to be delivered to AltaGas by retailers. Rider E is designed to allow AltaGas to recover from producer transportation customers its share of annual line losses.
Rider G is the cost per gigajoule for third-party transportation costs incurred by AltaGas for transporting gas to customers on a third-party’s pipeline (e.g., TransCanada Pipelines, ATCO Pipelines, municipal systems).
Rider H is used to facilitate gas settlement and balancing calculations and ensure the associated terms and conditions of service are consistent with
Rule 028. This rider is necessary to calculate the retailers’ and the default gas supply providers’ share of UFG required under Rule 028.
Property taxes are levied by municipalities against ATCO Gas’ land and buildings, linear property, machinery and equipment.
Designed to allow ATCO Gas to recover gas losses on the distribution system.