Medicine Hat Hikes Natural Gas Rates, Keeps Electricity Prices Steady
The City of Medicine Hat has announced its August energy commodity rates, and natural gas customers will see an increase. The default natural gas rate is now $1.537 per gigajoule, up from $1.362 per gigajoule in July. This change reflects the city's weighted average cost of monthly gas purchases, plus a 7-cent-per-gigajoule fee to cover transaction costs and provide a small return, as outlined in the Gas Utility Bylaw.
The electricity rate remains unchanged for most customers, including residential, farm, small and medium commercial, unmetered services, and rental lighting. The default electricity rate is still 7 cents per kilowatt-hour.
The city says it bases its natural gas rates on the actual cost of purchasing gas each month, factoring in transaction costs and a small return. This approach aims to provide stable pricing for customers while also ensuring the financial sustainability of the city's energy services.