UCP scraps electricity price cap, some will see $7 bill increase this month
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Edmonton Electricity Rate Increase signals Alberta RRO changes as the UCP ends the NDP price cap; kilowatt-hour rises to 7.5 cents, raising energy bills for typical households by 3.9 percent in December.
A Closer Look
The end of Alberta’s RRO cap lifts kWh to 7.5 cents, raising an average Edmonton home’s bill about 3.9% in December.
RRO cap scrapped Nov 30 after stakeholder feedback.
December RRO set at 7.5 cents/kWh; cap was 6.8 cents.
600 kWh home pays about $7.37 more, up 3.9% vs November.
Experts urge fixed-rate contracts amid Alberta price spikes.
Electricity will be more expensive for some Edmontonians in December after the UCP government scrapped a program that capped rates amid prices spiking in Alberta this year.
Effective Nov. 30, the province got rid of the consumer price cap program for Regulated Rate Option customers.
In 2017, the NDP government capped the kilowatt per hour price at 6.8 cents under a consumer price cap policy, meaning Edmontonians would pay the market rate and not more than the capped price.
In December, kWh will cost 7.5 cents amid expert warnings to lock in rates across Alberta. Typical Edmonton homes use an average of 600 kWh, increasing bills by $7.37, or 3.9 per cent, compared to November.
In Calgary, electricity bills have been rising as well, reflecting similar market pressures.
The NDP created the capacity system to bring price stability to Albertans, though a Calgary retailer urged scrapping the market overhaul at the time.
Energy Minister Sonya Savage said the UCP decided to scrap it after "overwhelming" feedback from consumers and industry stakeholders, as the province introduced new electricity rules earlier this year.
