February 8th, 2025

City’s gas rate drops about 10 cents for February

By Medicine Hat News on February 4, 2025.

Natural gas costs will fall for Hatters in February, while the rest of Alberta remains even, and power in the Gas City will remain at a 7-cent per kilowatt hour floor.--NEWS FILE PHOTO

@MedicineHatNews

Default gas rates will remain about even on average in the rest of Alberta in February, but fall in the City of Medicine Hat.

The fuel for home heating will be charged at $1.88 per gigagoule this month, about 10 cents, or five per cent, less than in January, according to new rates posted by the city’s utility department on Monday.

The city’s rate is set against the rolling cost of purchasing gas for resale, plus a 7-cent premium.

The comparable default rate in the rest of Alberta is $2.13 and $1.80, from Direct Energy and Apex, respectively, about even with January when the average is considered.

In terms of power, the first-quarter local rate sits at a 7-cents per kilowatt hour floor price adopted by city council in late 2023. The actual provincial wholesale average, on which the local price is set, is 4.9 cents.

In terms of default power rates, the provincial regulated rate program changed on Jan. 1, extending rates to full-year, rather than monthly adjustments, from major distributors.

Current “rates of last resort” sit at about 12 cents per kilowatt hour from Direct, Enmax and Epcor. Local power rates are next set to be updated on April 1 for the following three months.

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