AB / CANADIAN BUSINESS ELECTRICITY
Commercial electricity in Alberta
The default Rate of Last Resort, retail contracts and regulated delivery are three different decisions.
In Alberta, a small business that has not signed a retail contract is on the Rate of Last Resort, a fixed two-year energy rate approved through the Alberta Utilities Commission. Delivery charges, the retailer’s administration fee and tax are separate. The table below names the official source for each fact and the date it was checked.
Source: Alberta Utilities Commission and Utilities Consumer Advocate · 2026-10-29
What the official sources say
Checked 2026-10-29. Each row names its source. The publication and your account’s terms control what applies to you.
- The default option
- The Rate of Last Resort (RoLR) is Alberta’s default electricity rate. It replaced the Regulated Rate Option (RRO) on January 1, 2025. Consumers who have not signed a competitive retail plan are on it, including new customers who do not choose one.Source: Utilities Consumer Advocate: Rate of Last Resort · Utilities Consumer Advocate: Retailers and distributors
- Who is eligible
- EPCOR describes the rule as a small business or commercial operation that uses less than 250,000 kWh of electricity per year. Residential and farm or irrigation customers are also eligible.Source: EPCOR: Understanding the Rate of Last Resort
- The energy rate
- 12.06¢ per kWh in Calgary, Cardston, Ponoka and Red Deer (ENMAX). The Utilities Consumer Advocate’s table for January 1, 2025 to December 31, 2026 shows 12.01¢ to 12.06¢ per kWh, depending on the default retailer. These are energy rates only: they do not include billing and delivery costs.Through 2026-12-31Source: ENMAX: Understanding the Rate of Last Resort · Utilities Consumer Advocate: Default rates
- How it is set
- The RoLR is approved by the Alberta Utilities Commission and stays in place for two years. Every two years it is re-evaluated, and a proposed adjustment cannot normally exceed 10% of the existing rate.Source: Utilities Consumer Advocate: Rate of Last Resort · ENMAX: Understanding the Rate of Last Resort
- After December 31, 2026
- On October 29, 2026 the pages we read publish default rates only through December 31, 2026. The Utilities Consumer Advocate’s default rates page is where current default rates are published.Through 2026-12-31Source: Utilities Consumer Advocate: Default rates
- Leaving the default
- Consumers can leave the RoLR at any point without penalty. A competitive retail contract can run one to five years, and setting up service with a retailer can take 10 to 15 days, or up to 90 days depending on the situation.Source: Utilities Consumer Advocate: Rate of Last Resort · Utilities Consumer Advocate: Retailers and distributors
- How many businesses use it
- The Utilities Consumer Advocate says approximately 29 per cent of commercial consumers purchase electricity through the RoLR. The figure varies monthly.Source: Utilities Consumer Advocate: Rate of Last Resort
- Delivery is separate
- A distribution company delivers the power. It is set by location, it does not change when you change retailer, and the Alberta Utilities Commission approves its rates. The delivery part of the bill shows distribution and transmission charges, any municipal franchise fees or local access fees, and rate riders.Source: Utilities Consumer Advocate: Retailers and distributors · Alberta Utilities Commission: Electricity rates
How to Read an Alberta Business Electricity Bill →
What matters for a business account
An Alberta business account has three separate pieces: the energy you buy, the delivery of that energy, and the retailer’s own administration fee. The energy comes from a retailer, either on a competitive contract or on the default Rate of Last Resort. Delivery comes from the distribution company for your location, which does not change when you change retailer, and its rates are approved by the Alberta Utilities Commission.
A small business that has never signed a retail contract is probably on the Rate of Last Resort. Check the bill for the label “Rate of Last Resort” or “RoLR”. The rate does not fluctuate within its two-year period, so a bill that moves from one month to the next is moving because of consumption, delivery charges or riders, not because the default energy rate changed.
Staying on the default or signing a contract is a decision for the business, and this page does not make it. The default is stable and can be left at any time without penalty. A contract can be fixed or variable, runs one to five years, and carries its own terms and administration fee. Compare any offer with the default on the same consumption and period, with delivery shown separately, and keep the contract’s end date.
Your Alberta bill-review checklist
- Read the bill label: “Rate of Last Resort” or “RoLR” means you are on the default.
- Note the retailer and the distributor named on the bill; they are different companies.
- If you have a retail contract, write down its end date, early-exit terms and administration fee.
- Compare any plan with the default on the same consumption and period, with delivery shown separately. The Utilities Consumer Advocate’s Cost Comparison Tool is the official starting point.
- Check the business’s annual consumption against the 250,000 kWh small-business limit EPCOR describes before relying on the default.
Turn the statement into a useful calculation
Record the billing period and electricity consumption in kWh. Use the billed demand from the statement where a demand charge applies; do not assume average consumption identifies the peak. Enter the fixed and variable components in their published units, and identify which adjustments are already included.
The Canadian calculator lets you declare energy blocks, billed demand, any included demand allowance, fixed charges and a tax assumption. Its subtotal is a model of those entries. It does not select your tariff, decide whether a business qualifies, reproduce every rider or certify a billing error.
When comparing two periods, record changes in operating hours, production, occupancy, heating and equipment. Those observations help explain a movement in consumption without inventing a market price or assuming an error. Keep the actual account and source documents privately with your business records.
Open the Canadian bill calculator →Read the original sources
- Utilities Consumer Advocate: Rate of Last Resort ↗
- Utilities Consumer Advocate: Default rates ↗
- Utilities Consumer Advocate: Retailers and distributors ↗
- Alberta Utilities Commission: Electricity rates ↗
- ENMAX: Understanding the Rate of Last Resort ↗
- EPCOR: Understanding the Rate of Last Resort ↗
The publication and the account’s terms control applicability. A provider directory is not a province-wide offer or a guarantee that the same tariff applies to another meter.
Questions business owners ask
Will switching retailers remove my delivery charges?
No. A retailer change concerns the supply arrangement; the distributor and applicable regulated delivery charges remain a separate part of the bill.
What is the Rate of Last Resort, and how is it different from the old Regulated Rate Option?
The Rate of Last Resort replaced the Regulated Rate Option on January 1, 2025. It is set for a two-year period and does not fluctuate, while the Regulated Rate Option changed month to month with market conditions, as EPCOR describes it.
Is my business eligible for the Rate of Last Resort?
EPCOR describes the rule as a small business or commercial operation that uses less than 250,000 kWh of electricity per year. Confirm your account with your retailer or the Utilities Consumer Advocate before relying on it.
What happens to the rate after December 31, 2026?
The rate is re-evaluated every two years, and a proposed adjustment cannot normally exceed 10% of the existing rate. On October 29, 2026 the pages we read publish default rates only through December 31, 2026, so check the Utilities Consumer Advocate’s default rates page for the current rate.
Can I leave the Rate of Last Resort without a penalty?
Yes. The Utilities Consumer Advocate says consumers can leave the Rate of Last Resort at any point without penalty. A new contract has its own terms, so read its length, exit conditions and fees first.
Are these business tariffs or residential examples?
This guide is written for commercial bill review. Actual eligibility and charge inputs must come from the account’s business schedule. Residential examples and U.S. state averages are not substituted for it.