Alberta generated more electricity from natural gas in 2025 even after completing its transition away from coal-fired generation. Newly released Statistics Canada figures show that natural-gas-fired generation in Alberta increased 1.9%, or about 1.3 million megawatt-hours, in 2025. Yet this change alone cannot tell residents whether their next electricity bill will rise or fall.

Quick answer: Natural gas increasingly supports Alberta’s electricity supply. But a residential bill combines the price of electricity with regulated transmission and distribution charges, retailer fees and other items. The generation mix and the price on a household bill are connected indirectly, not by a simple one-for-one formula.

What did the latest electricity figures reveal?

Statistics Canada’s October 16, 2026 release on thermal power generation reported preliminary results for the 2025 calendar year. The reporting year matters: these are not real-time October 2026 electricity prices.

Indicator	2025 result	Change from 2024
Alberta natural-gas electricity generation	Approximately 1.3 million MWh more than 2024	+1.9%
Alberta coal-fired electricity generation	Coal fully phased out	−2.0 million MWh
Canada natural-gas electricity generation	118.3 million MWh	+6.0%
Canada total thermal electricity generation	230.5 million MWh	+2.6%
Canada total electricity generation, all sources	639.5 million MWh	+2.9%

The national all-sources figure comes from a companion Statistics Canada electricity supply report. “Thermal” in this statistical series is not a synonym for gas alone; it includes several generating technologies and fuels.

Why is natural gas central to Alberta’s electricity system?

Alberta has a competitive market for electricity generation. Power plants offer supply to meet demand, while transmission and distribution remain regulated parts of the system. Natural-gas-fired generation has become a major source of dispatchable power during Alberta’s coal transition.

Statistics Canada reported that Alberta’s remaining coal generation declined by 2.0 million MWh in 2025, completing the coal phase-out that took place by mid-2024. Gas generation increased by 1.3 million MWh. Those movements are not a direct one-for-one replacement calculation: overall demand, renewables, plant operations and exchanges with neighbouring grids also affect how electricity is supplied.

The Government of Alberta’s electricity system overview explains why the wholesale market and the regulated wire networks need to be analyzed separately.

How does Alberta compare with Canada’s electricity mix?

Across Canada, total electricity generation increased 2.9% in 2025 to 639.5 million MWh. Renewable sources—hydro, wind and solar—provided 64.1% of national output. Hydroelectricity alone accounted for 54.5%, while wind supplied 8.2% and solar 1.4%.

Those national percentages are strongly influenced by hydro-rich provinces such as Quebec and British Columbia. They should not be treated as the electricity-generation mix of Alberta. The province’s resource base, generating plants and network requirements are different.

The national figures also show that a province can reduce coal generation while natural gas output rises and renewable electricity develops. The changes can coexist, and no single year’s output figures determine future emissions or household prices.

Does more natural-gas generation mean higher electricity bills?

Not necessarily. Natural gas fuel costs can influence wholesale power prices because many gas plants must recover their fuel and operating costs. But Alberta’s residential electricity bills depend on several additional factors, including contract choice, consumption, location, regulated delivery charges and retailer fees.

The Alberta Utilities Consumer Advocate identifies two broad bill components: the energy itself and the delivery of that energy. Consumers can generally choose a retail electricity plan, but they cannot choose which distribution utility serves their address.

Bill component	What it pays for	Can choosing a retailer change it?
Energy charge	Electricity consumed, generally measured in kWh	Retail plan terms can change the rate
Transmission	Moving power over high-voltage lines	Regulated delivery rates depend on service area and usage
Distribution	Local wires, transformers and meters	Distributor is determined by location
Administration and other charges	Retail billing, approved riders and local fees	Some fees differ; others are regulated or location-based

Source: Alberta Utilities Consumer Advocate, Understanding utility bills.

Why do Edmonton and rural Alberta residents see different delivery charges?

The Utilities Consumer Advocate reports that, for residential customers using 600 kWh a month in 2025, average monthly transmission charges ranged from $23.93 in ENMAX’s service area to $26.32 in ATCO Electric’s service area. Distribution charges for the same usage benchmark ranged from $31.55 in EPCOR’s service area to $97.89 in ATCO’s service area.

These figures come from the Advocate’s electricity delivery-charge analysis; they are 2025 benchmark comparisons across territories, not current quotes or a complete monthly bill. Rural and sparsely populated networks can have different costs from dense urban networks. Actual charges also depend on the applicable rate schedules and usage.

That distinction is useful when comparing rental properties. An apartment advertising “utilities included” transfers certain bill-payment arrangements to the landlord, but it does not make the underlying supply and delivery costs disappear.

A simple calculation for reviewing your bill

Suppose a household uses 600 kWh in one month. If the energy rate on an otherwise identical contract changes by one cent per kWh, the energy component changes by $6 before taxes or other applicable terms (600 × $0.01).

That does not mean the total bill will change by only $6. Delivery charges can include both usage-dependent and fixed amounts, and other fees may change independently. Comparing only advertised cents-per-kWh rates can therefore mislead consumers.

How to compare electricity plans responsibly

• Find your current energy rate and whether the plan is fixed or variable.
• Check usage in kWh for several months, especially during heating or cooling seasons.
• Compare administration fees and contract terms as well as the advertised energy rate.
• Review the distribution territory for your address; a different retailer generally does not change the local wire company.
• Use official comparisons: the Alberta Utilities Consumer Advocate provides billing guidance and a comparison tool.

For households concerned about missed payments or winter protections, our Alberta winter electricity and gas disconnection rules guide explains separate consumer-protection rules. They do not eliminate outstanding bills.

What should businesses and policymakers watch next?

Electricity demand and supply can be affected by population growth, industrial activity, plant maintenance, renewable generation and fuel markets. New infrastructure and interconnections also affect long-run system costs. It is therefore important to distinguish how much power Alberta generated in a year from the hourly wholesale price and the regulated delivery charges on bills.

Large natural-gas infrastructure projects may support industrial energy supply, but they are not automatically equivalent to new electricity generation capacity. Our Yellowhead Pipeline project overview covers a separate natural-gas transportation investment.

Frequently asked questions

Did Alberta generate 1.9% more electricity overall in 2025?

The 1.9% figure refers specifically to electricity generated from natural gas in Alberta, not all electricity generated in the province.

Is Alberta still generating electricity from coal?

Statistics Canada’s preliminary 2025 thermal-generation figures describe Alberta’s complete phase-out of coal-fired generation, with a 2.0 million MWh decrease from 2024.

Will natural gas make my next power bill cheaper?

The 2025 generating mix cannot predict an individual 2026 bill. Your usage, retailer contract, delivery area and charges are needed for a meaningful comparison.

Sources and data notes

Primary data: Statistics Canada, thermal power generation, 2025 (preliminary) and Electricity supply and disposition, 2025 (preliminary), both published October 16, 2026. Consumer-bill definitions: Utilities Consumer Advocate and delivery-charge comparisons. All annual generation results are historical and preliminary; bill examples are illustrative rather than live retailer quotations.