The Default Rate Most Albertans Don’t Know They’re On
If you’ve never actively chosen an energy provider in Alberta, you’re almost certainly on the Regulated Rate Option — commonly called the RRO. It’s the default electricity and natural gas rate set by your local utility, and it’s designed as a safety net. But for most households, it’s also the most expensive option.
How the RRO Works
The RRO is a variable rate that changes every month. It’s set by your local regulated rate provider — typically your distribution utility:
- ENMAX — Calgary area
- EPCOR — Edmonton area
- ATCO — rural and smaller communities
Each month, these providers calculate the RRO based on wholesale market prices, plus a margin to cover their costs and risk. The rate is approved by the Alberta Utilities Commission (AUC).
Why Is the RRO Usually More Expensive?
The RRO includes a built-in risk premium. Because the utility has to offer this rate to anyone who wants it — without a contract — they price in the risk of market volatility. Competitive retailers, on the other hand, can offer lower rates because they manage their energy purchasing differently and because you’re actively choosing them.
Over the past several years, the RRO has consistently averaged higher than competitive fixed rates available on the open market.
Who Should Use the RRO?
The RRO exists as a consumer protection measure — if competitive retailers went out of business or if you moved to a new home, you’d still have electricity. It’s a reasonable short-term option while you shop for a competitive plan.
But staying on the RRO long-term is like renting a car at the airport without checking prices — you’ll always pay more than you need to.
How to Check If You’re on the RRO
Look at your electricity bill. If your retailer is listed as ENMAX, EPCOR, or ATCO (rather than a competitive retailer), you’re on the RRO. You can also check by looking for “Regulated Rate Option” in the charges section.
How to Switch Off the RRO
Switching is free and easy. You can move to a competitive fixed or variable rate in under 5 minutes — no need to call your current utility. Your new provider handles the transfer automatically.
View Get Energy’s current rates and compare them to your RRO rate. Most households save immediately.
The Bottom Line
The RRO is a safety net, not a savings plan. If you’ve been on it for more than a month or two, you’re almost certainly paying more than you need to. Take 5 minutes to compare rates and switch — your future self (and your wallet) will thank you.
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