More than 1.6 million homes, farms, and businesses with high heating bills are expected to be supported by the natural gas rebate this winter.
In the 2022 budget, the provincial government ensured natural gas consumers were protected from price spikes next fall and winter, a provincial government media release said.
The government of Alberta is now providing more information on the rebates, such as clarity for natural gas customers who aren’t connected to the distribution system, and the customers who use other heating fuels including propane, and heating oils.
The rebates will provide support and cost certainty to 1.6 million homes, farms, and businesses in rural and remote areas from Oct. 1 until March 31, 2023.
“We are stepping up to provide more and more relief for Albertans as prices remain high. This rebate will provide price protection for millions of Albertans using natural gas, kerosene, propane and other fuels next winter. It will help families, farms and businesses manage high heating costs in the upcoming winter to keep life affordable in Alberta,” Associate Minister of Natural Gas and Electricity Dale Nally said.
Beginning on Oct. 1, all consumers who are connected to the natural gas distribution system and are paying a bill directly to a natural gas retailer with less than 2,500 gigajoules (GJ) of annual natural gas consumption will be eligible for rebates, the release said.
The rebate will appear on bills. An application is not necessary to receive the rebates if the consumer is connected to the natural gas distribution system.
If the monthly natural gas rate from a regulated utility provider increases above $6.50GJ, the provincial government will provide rebates to all consumers covering the difference between the regulated rate, based on consumption.
The rebates will appear directly on eligible bills to protect consumers on both regulated and competitive plans, and fixed-rate contracts, the release said.
Consumers not on the natural gas distribution system, or consumers using other heating fuels can apply for the rebates through a separate rebate application process.
The rebate of the heating fuels will be calculated using a standardized equation to determine the consumption equivalency for the alternative fuel, the release said.
The default regulated rates will be set for the entire month and will not fluctuate throughout the month. If a regulated rate in Alberta is set above $6.50 per GJ, the rebates will go into effect for all eligible consumers, the release said.
“This rebate is another component of the Alberta government’s work to help support consumers dealing with high costs of living. It follows an electricity rebate program implemented this summer and a gas tax repeal that will be in place until at least September,” the release said.