Rate of Last Resort vs fixed rate in Alberta: how the default rates differ from a fixed plan

Default rates and fixed plans differ

Default rates and fixed plans differ in price rules and contract terms, says the UCA. Default electricity has a two-year price with no contract. Default gas changes each month. A fixed plan sets a price for a contract term. Leaving that contract early may cost an exit fee.

The UCA explains the choice: Albertans can buy electricity and natural gas from a competitive retailer or stay on a default rate. Which retailers are available depends on where you live. (read 5 October 2026) [source] Compare the price schedules in our fixed and floating rate guide.

Each price follows its own rules

Each price follows its own rules, says the UCA. The AUC approves default electricity for a two-year term and default gas each month. A retailer sets its fixed price for the contract term. Your bill can still change with use and delivery charges, even when the energy price stays fixed.

The default rate is fixed for two years starting 1 January 2025; changes between terms cannot normally exceed 10 per cent. (from 1 January 2025) [source] The normal limit has an exception: Changes between terms normally have a 10 per cent limit. A rate reopener proceeding can lead to a change beyond that cap. (read 30 October 2026) [source]

The AUC approved a settlement between the default companies and the Utilities Consumer Advocate in Decision 29204-D01-2024. Delivery and administration charges are extra. (read 30 October 2026) [source]

The default rate for natural gas is called the Default Rate Tariff. It changes every month, once the Alberta Utilities Commission approves it. (read 5 October 2026) [source]

Competitive rates are set by the retailer. A fixed rate stays the same for the contract term. Bills still vary with use. (read 30 October 2026) [source] Competitive retailers do not need approval for their rates. (read 30 October 2026) [source]

Contract, notice, fees and deposits side by side

Contract terms, fees and deposits differ between default rates and fixed plans, says the UCA. The rows below cover both fuels, and notice too. Default service needs no contract and has no exit penalty. Fixed plans have a term and may have an exit fee. Read the written terms before you sign.

The UCA says both kinds of retailer may require a deposit. Default rates let consumers with limited or poor credit history access utility services. (read 30 October 2026) [source]

Contract

Default electricity: Month-to-month commitment. No contract required. (read 30 October 2026) [source]

Default gas: Month-to-month commitment. No contract required. (read 30 October 2026) [source]

Fixed plan: A set contract term, typically 1 to 5 years. (read 30 October 2026) [source] A contract with an energy company cannot have a term longer than 5 years. It can be renewed for further terms within that limit. (read 30 October 2026) [source]

Leaving

Default electricity: Consumers can leave default retailers at any point without penalty. (read 30 October 2026) [source]

Default gas: Consumers can leave default retailers at any point without penalty. (read 30 October 2026) [source]

Fixed plan: An exit fee may apply when a contract ends early. (read 30 October 2026) [source]

Notice

Default electricity: A provider must not charge fees to enter or leave the Rate of Last Resort. It must not require more than 30 days of notice to enter or leave. (read 30 October 2026) [source]

Default gas: Ask your gas company how much notice it needs.

Fixed plan: Read the notice rule in your contract.

Deposit

Default electricity: Default retailers may require a deposit. (read 30 October 2026) [source]

Default gas: Default retailers may require a deposit. (read 30 October 2026) [source]

Fixed plan: Competitive retailers may require a deposit. (read 30 October 2026) [source]

Incentives

Default electricity: No incentives. (read 30 October 2026) [source]

Default gas: No incentives. (read 30 October 2026) [source]

Fixed plan: Competitive retailers may give incentives for signing contracts and short term discounts on some plans. (read 30 October 2026) [source]

Dated default prices

Default prices are dated energy charges, rather than whole bills, says the AUC. Electricity prices cover the current two-year term. Each gas price applies to the month beside it. Delivery and administration add to these charges. Read the dates beside each price before you compare it with the energy line on your bill.

EPCOR Energy Alberta, EPCOR Distribution (Edmonton) and FortisAlberta: 12.01¢ per kWh (1 January 2025 to 31 December 2026) [source]

ENMAX Energy, ENMAX Power (Calgary): 12.06¢ per kWh (1 January 2025 to 31 December 2026) [source]

Direct Energy Regulated Services, ATCO Electric: 12.02¢ per kWh (1 January 2025 to 31 December 2026) [source]

EPCOR also charges a daily administration fee. Each price above excludes delivery and administration.

Direct Energy Regulated Services, ATCO Gas North: the month shown is October 2026. C$1.458 per GJ (1 October 2026 to 31 October 2026) [source]

Direct Energy Regulated Services, ATCO Gas South: the month shown is October 2026. C$1.458 per GJ (1 October 2026 to 31 October 2026) [source]

Apex Utilities: the month shown is October 2026. C$1.602 per GJ (1 October 2026 to 31 October 2026) [source]

For eligible ATCO Gas North low and mid use customers, the net daily administration charge is C$0.330 per day (1 July 2026 to 31 December 2026) [source]. Other areas have their own charges.

Follow the default electricity price tracker and default gas price tracker for dated prices.

The next default electricity term starts on 1 January 2027

The next default electricity term starts after the current term ends, says the AUC. The normal cap limits price changes between terms. A rate reopener can exceed that cap. The cap does not tell us the next price.

The current term ends on 31 December 2026. The next term starts on 1 January 2027.

The rates for 1 January 2027 to 31 December 2028 must be filed with the Alberta Utilities Commission at least 30 days before 1 January 2027. (from 1 January 2025) [source]

The providers said the valuation date for the 2027 to 2028 rates will be on or before 2 December 2026. (from 1 January 2025) [source]

Changes between terms normally have a 10 per cent limit. A rate reopener proceeding can lead to a change beyond that cap. (read 30 October 2026) [source]

This guide does not state the next price. Read the guide to next year’s electricity and gas prices for updates.

Moving between default service and a fixed plan

Moving between default service and a fixed plan means checking the terms, says the UCA. Leaving a default rate carries no penalty. A fixed contract may have a fee for leaving early. Read its notice rule and right to cancel. Ask the new company when service on the chosen plan starts.

You can cancel without cost or penalty within 10 days after the marketer receives your signed contract copy. (read 30 October 2026) [source] The start of that period depends on how you sign. Read our guide to cancelling an energy contract.

ENMAX says its Rate of Last Resort customers are never locked in and can leave at any time without penalty. (read 30 October 2026) [source]

ENMAX lists fixed Easymax terms of 1, 2, 3 and 5 years. (read 30 October 2026) [source] ENMAX says Easymax has no cancellation penalty with 10 days' notice. (read 30 October 2026) [source]

These are ENMAX’s stated terms. Other retailers have their own contracts.

Use our guide to finding the Rate of Last Resort on your bill and steps for switching energy companies. Check the notice rule and any exit fee in your own contract.

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