tl,dr: Today’s advice: go with floating power and floating natural gas.
If you’re trying to decide between fixed and floating for electricity and natural gas, this is where I lay out my (professionally informed) opinion on the matter. This is as of the end of September 2024, and I expect to change as time goes by.
When I first laid out my advise in Febuary of last year, I did expect to have to write updates more often, but in truth the market has been fairly quiet and consistent for a surprisingly long time.
For power, the wholesale floating prices have come down considerably (to ~4 ½ ¢/kWh), however the contracts for fixed prices are taking longer to fall. There is also some uncertainty in long term markets are the impact of the opening of the Cascade plant is considered, and the implications of the Province’s upcoming changes to the Regulated Rate Option remain unconfirmed. For electricity, go with a floating rate. I would consider switching if fixed prices drop below ~7 ¢s;/kWh.
For natural gas, floating prices are remarkably low, at ~$1.65/GJ, including our margin. For this reason, for natural gas, go with a floating rate. As winter sets in, I expect spot prices to rise with demand, but fixed prices are about double that, although relatively low by historical standards. I would consider going with a fixed natural gas rate if concerns about rising winter natural gas rates will keep you up at night.
If you have a particular situation you would like more help with, please no not hesitate to reach out, email (william@strathconapower.ca) is probably best.
Thank you for being a Strathcona Power customer!