Despite no carbon tax on natural gas, Albertans only see slight year-over-year increase in gas bills

Albertans will see some relief on their natural gas bills this month as the federal carbon tax on residential and small business natural gas consumption has been eliminated, effective April 1. However, natural gas rates for April 2025 remain slightly higher than the same time last year.

Direct Energy Regulated Services (DERS) announced on Tuesday that the regulated natural gas rate for April will be $2.210 per gigajoule (GJ) for customers in both ATCO Gas North and South service territories. 

It marks an increase from April 2024’s rate of $1.933 per GJ, though it is a decrease from March 2025’s rate of $2.446 per GJ.

The April natural gas rate in the ATCO Gas North region is $2.210 per GJ, down from March’s $2.446 per GJ. The rate includes a market price of $1.993 per GJ, as reported by NGX, plus an adjustment of $0.218 per GJ for March and prior months.

A typical residential gas bill for April, based on 9 GJ of consumption, is estimated at $113. By comparison, a typical residential bill for April is expected to be $94.

While the removal of the carbon tax — previously set at $4.095 per GJ — will lower overall bills, any gas consumed in March but billed in April will still be subject to the tax. That appeared as a separate charge that would have amounted to $40 for a typical household.

In its own statement, Enmax said it remains “committed to our target to achieve net-zero scope 1 and 2 emissions by 2050.”

While natural gas rates have decreased from last month, they remain slightly higher than April 2024 levels. The difference in typical bill amounts between North and South regions is due to transmission and distribution charges set by ATCO Gas, Direct Energy said.

The carbon tax removal is expected to provide financial relief for Albertans as they transition into the spring months, it added.