New rules affecting Calgarians' electricity, natural gas bills coming in 2025
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New rules affecting how much you pay for electricity and natural gas are coming into effect sooner than planned.
The City of Calgary will be implementing a quantity-only model for the collection of franchise fees – or local access fees – for electricity and natural gas.
The changes are set to come into effect on Jan. 1, 2025 – two years earlier than originally planned.
Local access fees are paid by companies instead of property taxes. In return, they get access to infrastructure and right of way for power and gas lines.
Those fees are then passed onto taxpayers as part of their monthly power bills.
For years, Calgary based its calculation for the fees on the regulated rate option, which has more than tripled recently.
Now, the city is moving to a simple flat rate that isn’t directly tied to energy prices.
The city says the new “quantity only model” will provide customers with more clarity and predictability on their bills and financially incentivize consumers to reduce their electricity and natural gas usage.
The timeline was accelerated to make sure the city is in compliance with the Utilities Affordability Statutes Amendment Act, which was passed by the Government of Alberta in June.
The City of Calgary says it is working with ENMAX and ATCO to negotiate agreements that incorporate the new model.
Following those negotiations, the proposal will be submitted to the Alberta Utilities Commission (AUC) for review and approval.
Then, the city will work with ENMAX and ATCO to get the billing changes implemented and notify customers, ahead of the change.
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