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Third year of federal carbon charge on natural gas starts April 1

This article was published in March 2021 and may be outdated.

As part of the federal government’s carbon pollution pricing system, the carbon charge applied to fossil fuels increases April 1, 2021 from $30 per tonne of greenhouse gas emissions to $40 per tonne or 7.83¢ per cubic metre of natural gas.

The increase is expected to result in an average increase of approximately $44 per year to natural gas bills for the typical residential customer.

The federal government’s carbon charge is on fossil fuels that produce carbon dioxide emissions or other greenhouse gases with an equivalent global warming potential. Since burning natural gas produces greenhouse gas, the carbon charge applies to the natural gas sold to our customers.

The carbon charge started at $20 per tonne April 1, 2019 and increases by $10 per tonne each year until it reaches $50 per tonne in 2022. This will be the third year of the carbon charge. Effective April 1, 2021, the rate per cubic metre of natural gas consumed increases by 1.96¢ from 5.87¢ to 7.83¢ on each cubic metre of natural gas consumed.

Customers who know their previous gas consumption can use a calculator on our website to estimate the potential cost impact of this year’s increase. The federal carbon charge can be found on your energy bill in the natural gas section.

To reduce energy use and your bill, make small changes around your home.