Quote:
Originally Posted by Zary's-Mustache
Yes but then why have it this way? I think it's purposely made like this so people pick one, forget about it and pay more. Why else would it be like this? I'm honestly curious because I don't know if other provinces or countries do it like this.
I just don't see why we can't just have one rate.
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It's this way because the Ralph Klein government decided we should have an energy only electricity market.
The fixed rate is utility companies giving you the option to lock in your rate if you don't like the idea of your cost swinging unpredictably.
For reference in 2022 we saw average prices as high as $0.30/kwh, and last month it was $0.063/kWh.
It's not purposely made this way by utility companies so you forget and end up paying more, it's the law that the floating rate exists, and utility providers are giving you an option that provides certainty (may also be legislated, I don't know that part of the retail biz).
Like Bill said, it's a risk tolerance thing. If you want to know what your bill will be, lock in.
If you are okay with it going up and down and think you'll save money that way, you can pick that option.
I've been on a fixed rate for some time and absolutely killed it, savings wise for the last few years. The last 2 months I've been paying slightly more.
Now with the fixed rate at (I think) ~$0.115, I may go floating when my fixed rate expires later this year.