Q: I thought I saw that Loblaw is buying some green energy assets in Alberta from TRP. How bizarre is that? Is this an attempt to appear more ESG compliant? Your thoughts please.
5i Research Answer:
Loblaw says the deal will reduce its emissions by 17%. We have no problem with that, the company is a big user of power. But its press release does not indicate if there are any cost savings from the deal. Note it is buying power and is not the owner operator of the assets.