Alberta’s government has announced it will eliminate the early payment fee charged to cannabis producers, with the change taking effect April 1, 2026.
The 2% fee has applied when Alberta Gaming, Liquor & Cannabis (AGLC) paid producers within 15 days for products sold in the province, instead of the standard 60-day payment timeline. Beginning April 1, that deduction will no longer apply to new orders.
The move was revealed alongside the release of Alberta’s Budget 2026. In a memo to licensed producers, AGLC CEO Kandice Machado said the adjustment comes in response to concerns raised by industry participants. She added that the agency is also reviewing a separate 2% charge tied to potentially damaged or returned products, with further details expected at a later date.
According to the memo, the early payment change will apply to all orders placed on or after April 1. The regulator said it remains committed to maintaining a stable cannabis supply chain and supporting licensed producers operating in the province.
Alberta receives 75% of the federal excise tax collected on wholesale cannabis sales within its borders. The province also has one of the highest cannabis duty rates in Canada at 16.8%, second only to Nunavut’s 19.3%, in addition to other markups applied at the provincial level.
Budget projections estimate Alberta’s share of cannabis tax revenue will reach $229 million in fiscal year 2026-27, rising to $236 million by 2028-29, largely driven by population growth.
For the fiscal year ending March 31, 2025, AGLC reported $693 million in wholesale cannabis sales, generating $66.6 million in net revenue and just over $7 million in net income for the province.
