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Metro Vancouver gas prices: Where to find cheap gas – Richmond News

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Gasoline prices continued to fall across much of British Columbia going into the last travel weekend of the summer.

In Metro Vancouver, gas stations in Burnaby and Richmond saw a litre of gas drop to 182.9 at some stations, according to the website GasBuddy

The gasoline price prediction website, Gas Wizard, forecast average prices in Metro Vancouver to drop again Friday, Sept. 2.

That may be good news for the bank account in the short term. But the price drop also signals a looming economic downturn, says University of British Columbia energy economist Werner Antweiler. 

“There’s clearly a sign that we are not looking at an economic boom anymore,” he said. “We may be looking even at a recession.”

Global fuel prices spiked across the world following the Russian invasion of Ukraine in late February, adding to record inflation rates not seen in decades.

Raise the cost of energy and you raise the cost of almost everything.

Take food in the grocery store. The trip from a farm to your refrigerator requires an often vast network of ships and trucks — almost all of which need gasoline, diesel or oil to move. 

In June, the average price for a litre of gasoline in Vancouver topped out at over 225.4, according to Statistics Canada. That month, inflation soared to 8.1 per cent.

EV sales growing slower than expected

As gas prices climbed earlier this year, sales of new electric vehicles — while still growing — have been limited by a global demand shortage. 

In the first quarter of 2022, zero-emission vehicles (mostly electric) made up 17 per cent of all new vehicle sales in B.C., making it a per capita North American leader.

But by the end of the second quarter, the growth in electric vehicle sales levelled off, accounting for 16.4 per cent of market share in the first half of 2022, according to a recent S&P Global Mobility market report.

The trend toward softer than expected EV sales extends across Canada and into the United States

Meanwhile, a Glacier Media analysis showed a huge spike in new vehicle registrations in 2021 threatened to wipe out many of the gains made in moving people to public and active transportation. 

Because people who buy a car usually hang on to it for several years, the emissions from those new car purchases are expected to be locked in for at least a decade. 

The dipping cost of gas could influence B.C. drivers’ short-term buying habits.

Antweiler says he wouldn’t be surprised if an increasing number of car buyers look for a middle ground: plug-in hybrid vehicles that offer the flexibility of gas engines but the price savings of short trips on a battery. 

In B.C., the electricity used to drive a kilometre costs about a quarter the price to do it with gas, estimates the economist.

“Electrification is coming one way or the other because electricity is much cheaper than gasoline,” he said. 

Not there yet

In recent weeks, the average cost of a litre of gas in Metro Vancouver has hovered below $2. Elsewhere in the province, the price of gas remains significantly lower.

In Kelowna, prices hovered at 173.9 Thursday morning, and on Vancouver Island, a gas station in Langford saw prices drop to 179.9. 

Drivers in Salmon Arm found some of the cheapest gas in the province going into the long weekend, with the price for a litre of gas hitting 167.9, according to GasBuddy. 

Antweiler says the fall in gas prices is partly due to markets readjusting to the reality of the war in Ukraine. The cost of crude oil has also dropped due to signs Iran could soon start to add more supply to the world market, said the economist.

That all could be good news for inflation rates, which had already slightly cooled to 7.6 per cent in July after the Bank of Canada raised interest rates — part of a global push from central banks to tame rising prices. 

As the summer driving season comes to a close, fuel costs, and the inflation it helps to drive, are dipping.

“That is not to say that you cannot see high prices again,” warned Antweiler. 

“I think there is a sense that as European sanctions start binding at the end of the year, we could see another spike in oil prices.”

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Telus prioritizing ‘most important customers,’ avoiding ‘unprofitable’ offers: CFO

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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.

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TC Energy cuts cost estimate for Southeast Gateway pipeline project in Mexico

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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)

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BCE reports Q3 loss on asset impairment charge, cuts revenue guidance

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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)

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