Customers who do not sign a contract for electricity are served by the regulated rate option (RRO). The regulated rate reflects the current market price, which fluctuates up and down on a monthly basis making prices less predictable for consumers. The regulated rate will have higher price volatility, which can result in price spikes from one month to the next. This rate is based on the cost of energy as released by the Alberta Electric System Operator (AESO) and the Alberta Power Pool price that fluctuates on a monthly basis. Members on the RRO option will be advised of the cost per kWh on a monthly basis.
The Billing Rate is the difference between the RRO Rate and the Reimbursement Rate (which is zero unless the price cap is activated). The only time that the Billing Rate can be greater than the RRO Rate is if the Price Cap is activated AND the RRO Rate (as defined below) is greater than the Reference Rate.
The Reference Rate is the average of the AUC residential regulated rate option rates of plus 10 per cent (http://www.auc.ab.ca/Pages/regulated-rate-option-price-cap.aspx).
The RRO Rate is the rate calculated using the Board approved RRO price plan and methodology.
The RRO Charge is the Board approved charge for energy, set in alignment with the RRO Price Cap as prescribed by the Province of Alberta. This charge ensures that the members will be charged a rate equal to the regulated price cap (6.8 cents/kWh) when the Reference Rate and/or RRO Rate exceed the Price Cap.
The Reimbursement Rate (applicable to the REA per the Regulated Rate Option Regulation) is determined in accordance with the RATE CAP (BOARD OR COUNCIL APPROVED REGULATED RATE TARIFFS) REGULATION Section 3(2).
kWh Rate Month
9.75 August 2018
9.02 July 2018
6.61 June 2018
6.38 May 2018
6.8* April 2018
5.26 March 2018
5.61 February 2018
5.4 January 2018
4.1 December 2017
4.4 November 2017
6.8 October 2017
6.8 September 2017
6.8 August 2017
6.8 July 2017
6.8 June 2017
8.75 May 2017
8.75 April 2017
8.75 March 2017
8.75 February 2017
8.75 January 2017
8.75 December 2016
The RRO rate fluctuates monthly based on weather and market conditions.
*Due to regulatory changes with respect to the RRO, we have a changed in the way the rates are posted. For example - The RRO Rate for April 2018 is 9.54 cents/kWh with a billing rate of 7.31 cents/kWh.
The billing rate is determined by calculating the difference between the Regulated Price Cap (6.8¢/kWh) and the Provinces Reference Rate (9.030¢/kWh), plus the Board Approved RRO Rate (9.54¢/kWh). The Reference rate is the average of the AUC residential regulated rate option rates, plus 10 per cent (http://www.auc.ab.ca/Pages/regulated-rate-option-price-cap.aspx). The Board of Directors have approved, in accordance with the RRO Price Cap set by the Province of Alberta, that the members will be charged a rate equal to the regulated price cap (6.8 cents/kWh), which the REA’s Board considers to be reasonable for April 2018.
Many of our Members see the benefit of having an energy rate that is consistent from month to month at the lowest price possible. This allows you to plan and budget accordingly every month. NPP offers a STABLE rate which is regularly well below the RRO rate, which can fluctuate each month without warning.
As of June 1, 2017 this rate is @ 6.8 cents / kWh.
NPP’s STABLE rate guarantees you a fixed rate, at the lowest price we can offer, and still allows you the option of cancelling at anytime by simply providing us with notice. We can offer our members a low fixed Stable rate because we have purchased energy hedges for many years at a time in advance. This rate will be the same or lower for as long as we have purchased that specific rate, or until the energy hedges run out and new hedges at a different rate are purchased. Even then, we would provide our members with ample notice of the change and outline your options. This option is opened up to our members a few times a year.
On occasion your bill may appear to be higher due to a calculated estimate instead of an actual reading. Our meter reads are now performed through a digital reading done by air. If the airplane cannot fly due to bad weather conditions, we are unable to receive your actual reading. If this occurs, we calculate your usage based on a formula of averages during the same time of year. The actual reading will take place the following month and if there is a greater consumption than estimated, that amount is applied to the next invoice. To understand your consumption for the estimated month, add the estimated and actual invoices together then divide by two. You will usually see that it averages out to a typical month for that time of year.
For more details on reading your power bill and understanding the different fees, visit our FAQ section.
NPP AT A GLANCE
PO Box 509
Thorhild, AB T0A 3J0
600 – 2nd Avenue