“Starting out from a position like that is not the way to enter a discussion in good faith,” said Alberta’s minister of environment and protected areas
EDMONTON — Ottawa is threatening the provinces by suggesting it will withhold federal funding from electricity projects that don’t reduce greenhouse-gas emissions, says Alberta’s minister of environment and protected areas.
“We see (Federal Energy and Natural Resources Minister Jonathan) Wilkinson saying it isn’t his style to have fights and wanting to work with the provinces and have a national conversation,” Rebecca Schulz said Tuesday.
Advertisement 2
“Announcing in a press conference a threat to withhold funding isn’t really the right way to start a conversation.”
Earlier Tuesday in Vancouver, Wilkinson said billions of dollars in tax credits and grants will be tied to progress toward Ottawa’s target for a net-zero electricity grid by 2035.
“To access the tax credit will require that we are moving in the direction of a non-emitting grid,” he said.
That’s an ultimatum, said Schulz.
“Starting out from a position like that is not the way to enter a discussion in good faith.”
Saskatchewan’s minister for SaskPower, Don Morgan, said the federal position will increase electricity costs.
“By withholding the very funding meant to help provinces reach the Trudeau government’s net-zero targets, Saskatchewan’s customers will see a dramatic impact on their rates,” he said in a statement.
Neither Saskatchewan nor Alberta say they can meet the 2035 goal, preferring to set it off until 2050.
Wilkinson said provinces will be afforded flexibility in how they achieve the earlier target.
“We are cognizant of the need for the regulations to provide sufficient flexibility,” he said. “Every province and territory has different needs.”
Advertisement 3
He said talks between Ottawa and the provinces have already begun, including with Alberta Premier Danielle Smith.
Blake Schaffer, an energy economist at the University of Calgary, said much will depend on exemptions granted within the regulations, which are expected to be released this month. He said Canada’s rules are expected to be similar to those in the United States.
“Both Canada and the U.S., when they talk about clean power, both have in their plans very significant carve-outs and exemptions to recognize the need for flexibility,” he said.
The U.S., for example, contains provisions to allow old power plants to run out their life as well as for fossil fuel generation that only runs occasionally.
“From everything I’m hearing, (Canada’s) similarly contains much-needed flexibility.”
Schaffer said Canada’s rules could contain carve-outs for industrial facilities that generate their own power from waste heat _ a big slice of Alberta’s power generation.
Advertisement 4
Meeting the federal 2035 target will be a stiff challenge, said Schaffer. But not necessarily impossible.
“You haven’t even heard what the final terms are yet,” he said.
Provinces, especially those with emissions-heavy grids, have much at stake. An analysis from Clean Energy Canada, a clean energy think tank at Simon Fraser University, has calculated that those jurisdictions are in line for a third more funding than those provinces that have cleaner power.
The group also said provinces with non-fossil-fuel-powered grids tend to have lower and more stable power prices.
This report by The Canadian Press was first published Aug. 8, 2023.
Telus Corp. says it is avoiding offering “unprofitable” discounts as fierce competition in the Canadian telecommunications sector shows no sign of slowing down.
The company said Friday it had fewer net new customers during its third quarter compared with the same time last year, as it copes with increasingly “aggressive marketing and promotional pricing” that is prompting more customers to switch providers.
Telus said it added 347,000 net new customers, down around 14.5 per cent compared with last year. The figure includes 130,000 mobile phone subscribers and 34,000 internet customers, down 30,000 and 3,000, respectively, year-over-year.
The company reported its mobile phone churn rate — a metric measuring subscribers who cancelled their services — was 1.09 per cent in the third quarter, up from 1.03 per cent in the third quarter of 2023. That included a postpaid mobile phone churn rate of 0.90 per cent in its latest quarter.
Telus said its focus is on customer retention through its “industry-leading service and network quality, along with successful promotions and bundled offerings.”
“The customers we have are the most important customers we can get,” said chief financial officer Doug French in an interview.
“We’ve, again, just continued to focus on what matters most to our customers, from a product and customer service perspective, while not loading unprofitable customers.”
Meanwhile, Telus reported its net income attributable to common shares more than doubled during its third quarter.
The telecommunications company said it earned $280 million, up 105.9 per cent from the same three-month period in 2023. Earnings per diluted share for the quarter ended Sept. 30 was 19 cents compared with nine cents a year earlier.
It reported adjusted net income was $413 million, up 10.7 per cent year-over-year from $373 million in the same quarter last year. Operating revenue and other income for the quarter was $5.1 billion, up 1.8 per cent from the previous year.
Mobile phone average revenue per user was $58.85 in the third quarter, a decrease of $2.09 or 3.4 per cent from a year ago. Telus said the drop was attributable to customers signing up for base rate plans with lower prices, along with a decline in overage and roaming revenues.
It said customers are increasingly adopting unlimited data and Canada-U.S. plans which provide higher and more stable ARPU on a monthly basis.
“In a tough operating environment and relative to peers, we view Q3 results that were in line to slightly better than forecast as the best of the bunch,” said RBC analyst Drew McReynolds in a note.
Scotiabank analyst Maher Yaghi added that “the telecom industry in Canada remains very challenging for all players, however, Telus has been able to face these pressures” and still deliver growth.
The Big 3 telecom providers — which also include Rogers Communications Inc. and BCE Inc. — have frequently stressed that the market has grown more competitive in recent years, especially after the closing of Quebecor Inc.’s purchase of Freedom Mobile in April 2023.
Hailed as a fourth national carrier, Quebecor has invested in enhancements to Freedom’s network while offering more affordable plans as part of a set of commitments it was mandated by Ottawa to agree to.
The cost of telephone services in September was down eight per cent compared with a year earlier, according to Statistics Canada’s most recent inflation report last month.
“I think competition has been and continues to be, I’d say, quite intense in Canada, and we’ve obviously had to just manage our business the way we see fit,” said French.
Asked how long that environment could last, he said that’s out of Telus’ hands.
“What I can control, though, is how we go to market and how we lead with our products,” he said.
“I think the conditions within the market will have to adjust accordingly over time. We’ve continued to focus on digitization, continued to bring our cost structure down to compete, irrespective of the price and the current market conditions.”
Still, Canada’s telecom regulator continues to warn providers about customers facing more charges on their cellphone and internet bills.
On Tuesday, CRTC vice-president of consumer, analytics and strategy Scott Hutton called on providers to ensure they clearly inform their customers of charges such as early cancellation fees.
That followed statements from the regulator in recent weeks cautioning against rising international roaming fees and “surprise” price increases being found on their bills.
Hutton said the CRTC plans to launch public consultations in the coming weeks that will focus “on ensuring that information is clear and consistent, making it easier to compare offers and switch services or providers.”
“The CRTC is concerned with recent trends, which suggest that Canadians may not be benefiting from the full protections of our codes,” he said.
“We will continue to monitor developments and will take further action if our codes are not being followed.”
French said any initiative to boost transparency is a step in the right direction.
“I can’t say we are perfect across the board, but what I can say is we are absolutely taking it under consideration and trying to be the best at communicating with our customers,” he said.
“I think everyone looking in the mirror would say there’s room for improvement.”
This report by The Canadian Press was first published Nov. 8, 2024.
Companies in this story: (TSX:T)
CALGARY – TC Energy Corp. has lowered the estimated cost of its Southeast Gateway pipeline project in Mexico.
It says it now expects the project to cost between US$3.9 billion and US$4.1 billion compared with its original estimate of US$4.5 billion.
The change came as the company reported a third-quarter profit attributable to common shareholders of C$1.46 billion or $1.40 per share compared with a loss of C$197 million or 19 cents per share in the same quarter last year.
Revenue for the quarter ended Sept. 30 totalled C$4.08 billion, up from C$3.94 billion in the third quarter of 2023.
TC Energy says its comparable earnings for its latest quarter amounted to C$1.03 per share compared with C$1.00 per share a year earlier.
The average analyst estimate had been for a profit of 95 cents per share, according to LSEG Data & Analytics.
This report by The Canadian Press was first published Nov. 7, 2024.
Companies in this story: (TSX:TRP)
The Canadian Press. All rights reserved.
BCE Inc. reported a loss in its latest quarter as it recorded $2.11 billion in asset impairment charges, mainly related to Bell Media’s TV and radio properties.
The company says its net loss attributable to common shareholders amounted to $1.24 billion or $1.36 per share for the quarter ended Sept. 30 compared with a profit of $640 million or 70 cents per share a year earlier.
On an adjusted basis, BCE says it earned 75 cents per share in its latest quarter compared with an adjusted profit of 81 cents per share in the same quarter last year.
“Bell’s results for the third quarter demonstrate that we are disciplined in our pursuit of profitable growth in an intensely competitive environment,” BCE chief executive Mirko Bibic said in a statement.
“Our focus this quarter, and throughout 2024, has been to attract higher-margin subscribers and reduce costs to help offset short-term revenue impacts from sustained competitive pricing pressures, slow economic growth and a media advertising market that is in transition.”
Operating revenue for the quarter totalled $5.97 billion, down from $6.08 billion in its third quarter of 2023.
BCE also said it now expects its revenue for 2024 to fall about 1.5 per cent compared with earlier guidance for an increase of zero to four per cent.
The company says the change comes as it faces lower-than-anticipated wireless product revenue and sustained pressure on wireless prices.
BCE added 33,111 net postpaid mobile phone subscribers, down 76.8 per cent from the same period last year, which was the company’s second-best performance on the metric since 2010.
It says the drop was driven by higher customer churn — a measure of subscribers who cancelled their service — amid greater competitive activity and promotional offer intensity. BCE’s monthly churn rate for the category was 1.28 per cent, up from 1.1 per cent during its previous third quarter.
The company also saw 11.6 per cent fewer gross subscriber activations “due to more targeted promotional offers and mobile device discounting compared to last year.”
Bell’s wireless mobile phone average revenue per user was $58.26, down 3.4 per cent from $60.28 in the third quarter of the prior year.
This report by The Canadian Press was first published Nov. 7, 2024.
Companies in this story: (TSX:BCE)
The Canadian Press. All rights reserved.
Affordability or bust: Nova Scotia election campaign all about cost of living
Canada’s Denis Shapovalov wins Belgrade Open for his second ATP Tour title
11 new cases of measles confirmed in New Brunswick, bringing total cases to 25
First World War airmen from New Brunswick were pioneers of air warfare
Talks to resume in B.C. port dispute in bid to end multi-day lockout
Museum to honour Chinese Canadian troops who fought in war and for citizenship rights
The Royal Canadian Legion turns to Amazon for annual poppy campaign boost
Comments
Postmedia is committed to maintaining a lively but civil forum for discussion and encourage all readers to share their views on our articles. Comments may take up to an hour for moderation before appearing on the site. We ask you to keep your comments relevant and respectful. We have enabled email notifications—you will now receive an email if you receive a reply to your comment, there is an update to a comment thread you follow or if a user you follow comments. Visit our Community Guidelines for more information and details on how to adjust your email settings.
Join the Conversation