With the energy market changing and evolving, and with energy retailers themselves exiting the market in certain areas, it can be unnerving and you can be uncertain on what to do if or when it happens again, and what to do if you’re affected by an energy retailer leaving the market in your province/city, etc. With our guide below, it should help ease the stress of trying to find information on what to do and what other energy retailers are doing to help consumers navigate the current market and any changes that may come in the future.
In summary, what will happen is this:
- Your current energy retailer will automatically transfer you to a new retailer, or it will be to a default option. There is typically no reason to act, and in provinces such as Alberta, the new retailer will handle the switch on your behalf with the current provider.
- No interruptions to supply while the changes are being made, so you won’t lose power or any other energy you’re using, regardless of any retailer changes.
- In Alberta specifically, if you don’t sign a contract with any energy retailers, you will be on the Rate of Last Resort for electricity, and the Default Tariff Rate is the default for natural gas. If there is any hiccup and you end up on either one of these, make sure to contact whichever energy retailer was supposed to be your new one and ensure that it is all smoothed over.
- If you have any overdue bills, be sure they are paid, as even in the event of energy retailers exiting the system and transferring over, they may have a difficult time in their systems that may prevent your account from being sent correctly, as a hold may have been placed.
What to do if my energy retailer leaves the market?
If your energy retailer leaves the market, most likely your current retailer will automatically switch their customer base over to another retailer, and all of that information will be conveyed to you before it happens. It is also likely that you will know of it before it happens, but if not, there are options as well to switch to other retailers under the same or under similar terms that you’re already used to having.
If customers don’t sign up for a new retailer first, the automatic transfer will be the most likely case. Much like when Rogers and Shaw had a merger, Shaw mobile customers were transferred over to Rogers automatically with the same or better plans, and everything was handled easily, including any troubleshooting that did occur.
Another possible positive for some consumers is that retailers may often make it easier for customers to leave a plan due to the circumstances, since they will have to change retailers after the exit anyway.
Different energy options to be considered
When a retailer exits the market, some consumers may be wondering if there are other energy options to be considered that don’t rely entirely on big market companies or if there are smaller retailers to switch to that act as a middle ground between consumers and the large corporations. Whether it’s solar, smaller retailers or other options, they are out there, and you as a consumer aren’t tied down to one specific energy option.
Alberta and Ontario have a deregulated energy market that allows energy consumers the option to choose who their energy retailers are, including natural gas. While Ontario does have some regulations when it comes to electricity transmission (the market is still deregulated), Alberta is fully deregulated for both electricity and natural gas. What this means is that customers are able to choose their providers and pricing plans from those providers.
Some offer incentives on solar panelling upgrades and moving into helping the electricity grid lessen its load, especially during peak times – with benefits to your bills or if you’re a large business/industrial energy consumer, there are also often rates and plans that greatly benefit energy bills each month that can help shave off some rather large numbers each year from typical payments.
There is also the fact that Alberta, Saskatchewan, Nova Scotia, and Nunavut primarily still use fossil fuels the most to generate electricity, such as natural gas, coal, or petroleum. There are, again, other options available that move towards natural renewable resources such as solar and hydro. While Alberta’s market has been deregulated for years, regulated rate providers offer alternatives to retail offerings. The majority of Alberta utility customers are served by:
That being said, there are also a number of smaller city-owned utilities that also provide regulated services to local residents, such as Lethbridge, Red Deer, Cardston, Fort Macleod, and Ponoka. These are municipal utilities that offer different options for Albertans, rather than having to fully rely on large energy retailers that could exit the market or merge in the future. Even though there are not a large number of major energy retailers, there are many regulated rate providers to choose from that all have similar but different plans to choose from.
For other provinces, switching to a different energy retailer may not have that many options available if your retailer leaves the market since it is regulated by the province. In those cases, most likely the retailer that is leaving will automatically transfer over customers, including large-scale businesses and residential customers.
And not even just within Canada – the same sort of planning can also work across other regions, including the United States, depending on the state energy settings. In most cases, all customers and consumers will be automatically transferred over to a new energy retailer, most likely a default energy retailer, with no interruption to your supply, and you will be notified by your retailer about the changes in your current rates, bills, and the new energy retailer.
More information and other guidance
For more up-to-date energy news and unbiased information, our experts on EnergyRates.ca can help you better understand the energy market, and can help with any questions and give guidance if you’re in a situation like energy retailers exiting markets. As we know, large industrial consumers have energy bills much higher than regular residential consumers or small businesses, and having to handle such high costs can be a serious issue that requires some unbiased help to better understand and learn which options are best for business, customers, consumers, and the best for wallets.
For businesses affected by these changes, EnergyRates.ca can help with new rates and remains available to assist with finding a new supplier with the best rates available on the market. However, choosing the plan that is right for your organization can be a difficult and challenging process. To learn more about how we can help large commercial organizations get a better energy plan, contact us by calling 1-844-368-3048 or via our contact form.
EnergyRates services are completely free of charge, there are no obligations, and the team understands industrial energy pricing and knows how to manage single or multiple-site large industrial contracts. Navigating through the complex energy market and changes can be made easier with our team, and being well-informed can get your business ahead.
