The Federal Fuel Charge (sometimes referred to as the Federal Carbon Tax by retailers on utility bills) was implemented in Alberta as of January 1, 2020.
The Federal Fuel Charge appears as a separate line item on natural gas bills and consumers must pay it just like any other federal charge, such as the GST. Rates are scheduled to increase annually until April 1, 2030. To see the planned rate increases, head to the Government of Canada website.
The Federal Fuel Charge puts a price per tonne of carbon dioxide equivalent (CO2e) emissions for home heating fuels. This equates to:
Year |
Carbon price ($/GJ) |
|
April 1, 2024 – March 31, 2025 |
4.0950825 |
|
April 1, 2023 – March 31, 2024 |
3.3267150 |
|
April 1, 2022 – March 31, 2023 |
2.6289087 |
|
April 1, 2021 – March 31, 2022 |
2.1025899 |
|
April 1, 2020 – March 31, 2021 |
1.5762711 |
|
January-March 31, 2020 |
1.0499523 |
Some consumers may be exempt from paying the Federal Fuel Charge. For more information, visit the Canada Revenue Agency (CRA) website.
Eligible individuals and families may receive a Canada Carbon Rebate (formally known as the Climate Action Incentive Payment) from the Federal Government. To learn more, head here.