If you’ve lived in Alberta for any length of time, you’ve probably noticed something different about your energy bills compared to other provinces: you get to choose your electricity and natural gas provider. That’s because Alberta has one of the most open, competitive energy markets in Canada.
But how does it actually work? And more importantly — how do you make it work for you?
This guide breaks down Alberta’s deregulated energy market in plain language, explains your options, and shows you how to find the best rates without the headaches.
What Does “Deregulated” Actually Mean?
In most Canadian provinces, a single government-owned utility controls the electricity supply from generation to your meter. You don’t get a say in the matter — you pay what they charge.
Alberta took a different approach. Starting in 2001 for electricity and shortly after for natural gas, the province opened up its energy market to competition. This means:
- Multiple retailers compete for your business (there are over 20 licensed electricity retailers in Alberta)
- You choose who supplies your energy and what kind of plan you want
- Rates vary between providers, creating real opportunities to save
Think of it like choosing a cell phone provider. The infrastructure (power lines, gas pipelines) is still managed by your local distribution company — like ATCO, ENMAX, EPCOR, or FortisAlberta — but the actual energy commodity? That’s where your choice comes in.
The Three Players in Alberta’s Energy Market
Understanding who does what helps clarify your bill and your options:
1. Generators
These are the companies that produce electricity — from natural gas plants, wind farms, coal (being phased out), and solar installations. Alberta’s generation mix has shifted significantly: as of 2025, renewable sources now account for roughly 20% of installed capacity, up from just 10% a few years ago. Major generators include TransAlta, Capital Power, and Heartland Generation.
2. Distributors (Wires Companies)
Your local distribution company owns and maintains the poles, wires, and pipelines that deliver energy to your home. In Alberta, the main distributors are:
- ENMAX — Calgary and surrounding areas
- EPCOR — Edmonton and surrounding areas
- FortisAlberta — Rural Alberta and smaller cities
- ATCO Electric — Northern Alberta and rural areas
You can’t choose your distributor — they’re assigned by geography. But you can choose your retailer.
3. Retailers
Retailers like Get Energy buy electricity and natural gas from the wholesale market and sell it to you at either a fixed or variable rate. This is where competition happens and where you have the most power as a consumer.
Your Two Main Options: RRO vs. Competitive Rates
Every Alberta energy consumer falls into one of two categories:
The Regulated Rate Option (RRO)
If you haven’t actively chosen a retailer, you’re on the Regulated Rate Option (RRO). Here’s what that means:
- Your rate is set monthly by the Alberta Utilities Commission (AUC) based on wholesale market prices
- It can fluctuate significantly — in 2022, some months saw RRO rates spike above 20¢/kWh, while other months dropped below 8¢/kWh
- There’s no contract, but also no price protection
- Your distributor acts as your default retailer
The RRO works fine when wholesale prices are low and stable. But when the market gets volatile — as it does during cold snaps, heat waves, or supply disruptions — your bill can jump unpredictably.
Competitive Retail Plans
When you choose a competitive retailer, you get access to plan types that give you more control:
- Fixed-rate plans — Lock in a per-kWh price for 1, 3, or even 5 years. Your energy rate stays the same regardless of what the wholesale market does. This is popular for budgeting certainty, especially with rate comparisons showing when fixed plans beat variable ones.
- Variable/floating-rate plans — Your rate tracks the wholesale market but is often offered at a slight discount or with a smaller markup than the RRO. You benefit when prices are low but face the same volatility risk.
- Green energy plans — Some retailers offer plans backed by renewable energy credits, so your consumption is offset by clean power generation.
How Switching Providers Works (It’s Easier Than You Think)
One of the biggest misconceptions about Alberta’s energy market is that switching providers is complicated. In reality, the process is straightforward:
- Compare rates — Check what different retailers offer. The Alberta Utilities Commission maintains a rate comparison tool, or you can go directly to Get Energy’s rates page to see current options.
- Sign up with your new retailer — This usually takes 5 minutes online. You’ll need your site ID (found on your current bill).
- Your new retailer handles the transfer — They notify your old provider and coordinate the switch. You don’t need to call anyone or cancel anything.
- No service interruption — The same wires deliver the same electricity. The only thing that changes is who bills you for the energy commodity portion.
The entire process typically takes one to two billing cycles. And with retailers like Get Energy, there are no contracts and no cancellation fees — so you’re never locked in.
Understanding Your Alberta Energy Bill
Whether you’re on the RRO or a competitive plan, your bill has two main components:
1. Energy Charges (What Your Retailer Controls)
This is the cost of the electricity or natural gas commodity itself — measured in cents per kilowatt-hour (¢/kWh) for electricity or dollars per gigajoule ($/GJ) for natural gas. This is the part you can shop around for.
2. Delivery & Transmission Charges (Regulated, Same for Everyone)
These cover the cost of maintaining and operating the grid — the poles, wires, meters, and pipelines that deliver energy to your home. These charges are set by the AUC and are the same regardless of which retailer you choose.
Many Albertans don’t realize that delivery charges often make up 50-60% of their total bill. So while switching retailers can save you money on the energy portion, the total bill reduction depends on your usage. For a deeper breakdown of every line item, check out our guide on understanding your Alberta electricity bill.
How to Get the Best Energy Rates in Alberta
Here are practical strategies that savvy Alberta energy consumers use:
1. Compare Before You Default
Don’t stay on the RRO out of inertia. Even spending 10 minutes comparing rates once a year can save you $200-$400 annually, depending on your household’s consumption.
2. Consider Your Risk Tolerance
If you value predictability and want to know exactly what your energy will cost each month, a fixed-rate plan is your best bet. If you’re comfortable with some month-to-month variation and want to potentially pay less when the market is soft, a variable rate can work — but be prepared for spikes.
3. Lock In When Rates Are Low
If you’re watching the market and competitive fixed rates are historically low, that’s a good time to lock in a multi-year plan. Alberta electricity rates tend to be cyclical — influenced by natural gas prices, weather, and new generation coming online.
4. Look at the Full Package
The cheapest rate isn’t always the best deal. Consider:
- Are there cancellation fees or contracts?
- Is billing straightforward (email invoicing, pre-authorized payments)?
- Is customer service responsive and local?
- Does the retailer offer other services you use (like energy bundles)?
5. Reduce Usage to Amplify Savings
Switching to a cheaper rate is step one. Step two is reducing your energy consumption. Simple changes — like using a smart thermostat, sealing drafts, or shifting laundry to off-peak hours — compound with a better rate to produce meaningful savings.
Solar and Alberta’s Energy Market
Alberta’s deregulated market also makes it one of the best provinces for rooftop solar. Through the micro-generation framework, homeowners with solar panels can:
- Generate their own electricity and reduce their grid consumption
- Export surplus energy back to the grid and receive credits on their bill
- Pair solar with a competitive retail plan for maximum savings
Get Energy’s Solar Club offers electricity rates specifically designed for solar homes — combining net metering benefits with competitive pricing. With Alberta averaging over 300 days of sunshine per year and solar panel costs dropping 40% in the last five years, the ROI on solar in this province is hard to ignore. Learn more in our complete guide to solar panels in Alberta.
Common Myths About Alberta’s Energy Market
Myth: “Switching providers means my power might go out”
False. Your distributor maintains the physical infrastructure regardless of your retailer. Switching providers is a billing change, not a service change.
Myth: “The RRO is always the safest option”
Not necessarily. While the RRO has no contract, it also has no price ceiling. In volatile months, you could pay significantly more than a locked-in fixed rate. The RRO is the default option, not necessarily the optimal one.
Myth: “All retailers offer the same rates”
Not true. Rates vary meaningfully between retailers. Differences of 1-2¢/kWh might sound small, but for a household using 7,200 kWh per year (the Alberta average), that’s $72-$144 in annual savings — just from choosing a different provider.
Myth: “Smaller retailers are less reliable”
False. All licensed retailers in Alberta are regulated by the AUC and must meet the same financial and operational standards. Local retailers like Get Energy often provide more responsive customer service than the large incumbents, because you’re not just a number in a call centre queue.
Why a Local Alberta Energy Retailer Matters
When you choose a local provider like Get Energy — headquartered right here in Alberta — you get:
- Real people answering the phone, based in Calgary, not an overseas call centre
- No contracts and no cancellation fees — because we believe you should stay because you want to, not because you have to
- Competitive rates on both electricity and natural gas
- Simple billing with email invoices and pre-authorized debit
- Support for Alberta’s energy transition through solar programs and green energy options
Frequently Asked Questions
Is Alberta’s energy market deregulated?
Yes. Alberta fully deregulated its electricity market in 2001 and natural gas shortly after. Consumers can freely choose their own energy retailer from over 20 licensed providers.
What is the Regulated Rate Option (RRO) in Alberta?
The RRO is a default monthly rate set by the Alberta Utilities Commission. It fluctuates with wholesale market prices and applies automatically to consumers who haven’t selected a competitive retailer. Read our full guide to the RRO for more details.
Can I switch energy providers without penalty?
With many providers, yes. Get Energy offers no contracts and no cancellation fees. The switch is handled by your new retailer and takes one to two billing cycles with no service interruption.
What’s the difference between fixed and variable rates?
A fixed rate locks your per-kWh price for a set term (1-5 years), giving you budget certainty. A variable rate changes monthly based on the wholesale market — potentially cheaper in soft markets, but riskier during price spikes. Compare the two in our detailed breakdown.
The Bottom Line
Alberta’s deregulated energy market is designed to give you the power — literally. You don’t have to accept the default. By understanding how the market works and comparing your options, you can choose a plan that fits your budget, your values, and your lifestyle.
Ready to see what you could save? Check Get Energy’s current rates — no contracts, no cancellation fees, just straightforward Alberta energy.
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