Fixed Contract

On November 20, 2023, City Council passed a new gas utility bylaw (Bylaw 4798) to provide consumers with a single Market Reference Price based on wholesale market commodity prices (the weighted average cost of the natural gas purchased for that particular month of consumption) plus $0.07/GJ to recover transactional costs and a small rate of return. This new rate will take effect January 1, 2024.

Consumers may still enter Fixed or Variable natural gas contracts up until December 31, 2023, at which time all contracts will expire in favour of the new rate. You may choose to return to your contract that was in effect prior to January 1, 2024 by contacting by email by February 1, 2024 and will be subject to the terms of that contract for the duration of the initial contract.

On October 16, 2023, City Council voted to pass a new electricity bylaw (Bylaw 4796) to provide consumers with a single best of market interim electricity rate. This new rate automatically took effect on November 1, 2023.

Click here to learn more.

'Lock in' a specific price per gigajoule (GJ) of natural gas.

You will pay this fixed price for all of your utility usage for the duration of your contract (12-months).

Note: all contracts will expire on December 31, 2023 in favour of a single Market Reference Price established by the gas utility bylaw #2489. Those wishing to contine their contract for the original term must contact by February 1, 2024.

The fixed contract is not available for electricity as of November 1, 2023.

For natural gas, choose the fixed contract plan if you:

graphic outline of a woman's head and shoulders

  • want to avoid changes in the rate you pay every month
  • favour predictability, stability and dependability
  • want to more closely budget for your bill every month

Pay the same ratefor 12 months

New rates offeredevery quarter

12-month contract

Fixed contract rate
ElectricityNatural Gas
November 2023: n/a (see default price) Current: $3.950/GJ
Historical offers below   
October 2023: $0.11686/kWh October 2023: $3.950/GJ
July 2023: $0.16944/kWh July 2023: $4.226/GJ
April 2023: $0.15793/kWh April 2023: $4.866/GJ
January 2023: $0.17653/kWh January 2023: $6.607/GJ

The City of Medicine Hat will update the fixed rate offering for natural gas each quarter on January 1, April 1, July 1 and October 1. When you sign a contract, you are committed to paying the rate that is in effect on that day for the next 12 months.

Request a fixed rate contract

Benefits of a fixed contract

  • It can protect against short-term price increases due to things like natural disasters and geopolitical events
  • You can have certainty on what rate you are paying for each month of your contract (utility bill will still fluctuate based on energy consumption)
  • During some months, the fixed rate may be lower than the default rate

A fixed contract is not the same as Budget Billing. Learn about the difference.

Potential risks

  • During some months, the fixed rate may be higher than the default rate
  • If the default rates drop below your locked in fixed rate, you are still bound to the terms of your 12-month contract

Request a fixed rate contract


See the example below illustrating four different customers who sign up at different times of the year and how their pricing continues.


Chart showing example of fixed rate contracts 

The fixed rate does not mean that your utility bill will be the same each month. Your monthly utility bill will be higher or lower depending on the amount of energy you have used.

Request a fixed rate contract


Who is eligible?

All customers in the Medicine Hat service area are eligible for the natural gas contract rate options.

Are there any fees or charges?

There are no fees or charges associated with signing up for any of the energy plans.

All contracts expire at the end of the 12-month term - there is no need to opt out of the program. If you wish to stay on a contract rate option, you will need to sign a new contract. Once you are in a contract, you cannot opt out and will be billed as per the contract for the entire 12-month period.

Note: The contract terminates if you change your service location (i.e. move) and you have the choice to enter a new contract or remain on the default rate. 

How do I know if I am on the fixed rate?

Your utility statement will indicate the words (Fixed Rate) beside the service that is on the rate. It is also indicated on the front of your utility bill, as well as in your email notification.

Once I apply, do I have to renew the contract once it expires?

As of January 1, 2024, fixed contracts are no longer offered. Those who elected to remain on a fixed contract before February 1, 2024 by contacting will be subject to the default Market Reference Price when the term of the contract expires.

How do I cancel?

On January 1, 2024, all residential, commercial and industrial customers will be transferred to the  default Market Reference Price. Those who elected to remain on a fixed contract before February 1, 2024 by contacting will be subject to the default rate when the term of the contract expires.

What if I move?

Contracts will automatically terminate when you move or sign off utility services at the service location. When you sign on to utility service at a new location, you will automatically receive the default option. You will stay at the default option at the new location unless you choose to sign up for a new fixed or variable contract option.

Do I have to sign up for both gas and electric? 

As of November 1, 2023, fixed and variable contracts are no longer available for electricity. You currently have full control of your pricing choices for natural gas. Fixed and variable contracts will no longer be available after January 1, 2024. 

What’s the difference between the fixed contract and budget billing?

Budget Billing is a program where your monthly payments of the total bill are the same amount each month, (based on a projection of how much electricity and gas you will consume). Then, once a year, your account is reviewed to determine your actual usage and settled-up to bring your account to zero. On Budget Billing, you can still choose to be on a contract rate or the default rate. This program allows for more predictable monthly budgeting. Learn more on our Budget Billing page.

Fixed contract pricing is where you opt to have the same energy and/or commodity rate each month, for the full year, instead of the monthly market rates. There is no settle-up with the fixed contract. 


The Fixed Contract is only one of three choices you have for natural gas pricing in Medicine Hat.

View all options