Canada's largest dollar store is introducing a new $5 price tag as it looks to recoup higher costs and bring in new products.
Dollarama Inc. said Wednesday the roll out of additional price points up to $5 will help the retail chain maintain and enhance its product assortment and value.
"There will be a gradual ramp up starting mid-year and becoming more noticeable through the second half of the year," Neil Rossy, Dollarama president and CEO, said during a call with analysts.
"This brings additional flexibility to manage cost pressures in a heightened inflationary environment."
But the store is "extremely sensitive to this not simply being a markup tool," he added.
"It enables us to deepen our broad and compelling product assortment," Rossy said. "It allows us to bring in goods that we've never been able to buy because they weren't in our price range."
His comments came as the retailer raised its dividend and reported its fourth-quarter profit and sales rose compared with a year ago.
Dollarama hiked its quarterly dividend by 10 per cent to 5.53 cents per share, up from 5.03 cents per share.
The company reported a profit of $220 million or 74 cents per diluted share for the quarter ended Jan. 30 compared with a profit of $173.9 million or 56 cents per diluted share a year earlier.
Sales totalled $1.22 billion, up from $1.1 billion in the same quarter last year, helped by an increase in the number of stores and a 5.7 per cent uptick in comparable store sales.
Looking forward, Dollarama said it expects to benefit from a more upbeat sales environment in the coming months compared with the same period last year when pandemic restrictions limited non-essential shopping.
However, the company cautioned that supply chain and other inflationary pressures are expected to be felt more this year.
"Our procurement and logistics teams have been working relentlessly to ensure that stores are well-stocked, especially from a seasonal perspective," Rossy said.
The challenge isn't supply but rather getting goods into Dollarama's warehouses and on store shelves, he said.
"The supply is really very stable," Rossy said. "It's more a question of logistics challenges between the supply and the store and that involves mostly overseas challenges and port challenges (and) a little bit of trucking challenges."
Still, Dollarama has an ample buffer built into its business model, which means even if seasonal products arrive at the company's warehouses later than usual they will still hit store shelves on time, he said.
"We can cover these issues and mitigate those risks better than most," Rossy said.
Meanwhile, Dollarama said it expects its new warehouse in Laval, Que., to open by the end of its current fiscal year, increasing its storage capacity and supporting its long-term target of 2,000 stores in Canada by 2031.
Dollarama opened 24 net new stores in the quarter, for a total of 1,421 stores at the end of January.
This report by The Canadian Press was first published March 30, 2022.
Brett Bundale, The Canadian Press
Published Thursday, March 31, 2022 2:02PM EDT
Last Updated Thursday, March 31, 2022 2:02PM EDT
Meat, dairy, fruit: Canadian market prices are climbing across the board, pushing up grocery bills and forcing some households to find new ways to make ends meet.
Food prices rose 7.4 per cent in February from the same month a year earlier, the biggest jump in more than a decade. Beef increased a staggering 16.8 per cent, chicken was up 10.4 per cent and dairy products and eggs rose nearly seven per cent.
Soaring food prices have shone a light on rising food insecurity, prompting social justice advocates to call for stronger income supports and changes to food production and access to ensure all Canadians can afford to eat.
Yet even those with more disposable income are starting to feel the pinch from rising food costs. While some can afford higher prices, others may be struggling and looking for ways to cut costs.
Here are some tips from experts on how to save money on groceries:
Make a list: “The No. 1 way to save money is to go shopping with a list,” said Jennifer Ferguson, a registered dietitian based in Truro, N.S. “It keeps you focused and on budget,” since it minimizes impulse purchases or unnecessarily buying something you already have at home.
Cook at home: Eating out, ordering takeout or buying prepared foods adds up quickly. Experts say the best way to save money is to cook at home. It isn't always easy: not everyone has the time, ability or space to prepare food. “There's a systemic change that needs to happen around food access and availability,” Ferguson said. “But I also see is a loss of food mentors and the skills to cook.” She said greater income support and education around food preparation is needed.
Meal plan: Planning ahead can help save money and reduce food waste. “People think that saving money on food starts when they walk into the grocery store,” Ferguson said. “It starts in your own house.” Before going to the supermarket, check what food is already in your cupboard and come up with a meal plan for the week, she said.
Eat before you shop: Don't go to the supermarket on an empty stomach. “Going into a grocery store hungry is never a good idea unless you have an iron willpower,” Ferguson said. “When you're hungry, you will make impulse purchases.”
Consider online shopping: If you have trouble sticking to a list or tend to be an impulse shopper, experts say placing your grocery order online might be a good option.
Check the unit price: Grocery store price labels often include a unit price for the product. Food experts say it helps shoppers easily compare and contrast prices, regardless of the product size or how it's packaged. A cereal price label, for example, includes a unit price for each 100 grams. This helps customers quickly compare the cost difference between brands.
Choose fewer processed foods: Processed foods are convenient but usually cost more than unprocessed foods, experts say. For example, a can of beans is more expensive than a bag of dried beans and shredded cheese is pricier than a block of cheese. Yet unprocessed foods require more time and know-how to prepare. “Dried beans may be cheaper but if they sit in your cupboard and you never use them, it's a waste of money,” Ferguson said.
Increase plant-based protein: With the cost of meat on the rise, experts say one way to save money is to eat more plant-based protein like tofu, lentils and beans. “There are multiple benefits to increasing your plant protein - whether you mix it with animal protein or have it by itself,” Ferguson said. “There's a cost savings but there's also a health benefit to decreasing saturated fat and increasing fibre in your diet.”
Consider frozen or canned produce: With the cost of fresh fruits and vegetables on the rise, experts say shoppers should consider frozen or canned produce. Not only can it be more affordable, frozen and canned produce has a longer shelf life and thus helps prevent food waste. Still, local produce can also sometimes be less expensive when in season and helps support local farmers.
Choose generic brands: Name brands tend to cost more, and many companies are currently limiting promotions and sales due to inflation. Experts suggest now is a good time to “trade down” and try a store brand. “Some people tend to be very brand loyal, like they'll only use Tide detergent,” said Lisa Thompson with Coupons.com. “This is a good time to try something new.”
Consider buying in bulk: Shopping at a wholesale or bulk-food store or buying larger-sized formats is one way to save money. But this usually comes with a higher upfront cost and requires more storage space. One idea is to team up with a friend, Thompson said. “I have a friend I shop with at Costco and if we both need avocados this week we'll split a bag,” she said. “It's cheaper than buying them at the grocery store and also reduces food waste.”
Flyers, coupons, sales and apps: Checking weekly flyers, using coupons and keeping an eye out for sales and discounts are all good ways to save money at the grocery store. Also, apps like Flashfood allow shoppers to browse discounted groceries at nearby stores.
Reduce food waste: One of the best ways to save money on groceries is to reduce waste. Experts suggest monitoring household food waste to see what regularly gets tossed out. “We get into the habit of buying the same stuff all the time,” Thompson said. “Now is a good time to pay attention to what you throw out.”
This report by The Canadian Press was first published March 31, 2022.
President Joe Biden speaks about status of the country's fight against COVID-19 in the South Court Auditorium on the White House campus, Wednesday, March 30, 2022, in Washington. (AP Photo/Patrick Semansky)
President Joe Biden is preparing to order the release of up to 1 million barrels of oil per day from the nation's strategic petroleum reserve, according to two people familiar with the decision, in a bid to control energy prices that have spiked as the U.S. and allies have imposed steep sanctions on Russia over its invasion of Ukraine
The announcement could come as soon as Thursday, when the White House says Biden is planning to deliver remarks on his administration's plans to combat rising gas prices. The duration of the release hasn't been finalized but could last for several months. The people spoke on the condition of anonymity to preview the decision.
High oil prices have not coaxed more production, creating a challenge for Biden. The president has seen his popularity sink as inflation reached a 40-year high in February and the cost of petroleum and gasoline climbed after Russia invaded Ukraine. Crude oil on Wednesday traded at nearly $105 a barrel, up from about $60 a year ago.
Still, oil producers have been more focused on meeting the needs of investors, according to a survey released last week by the Dallas Federal Reserve. About 59% of the executives surveyed said investor pressure to preserve “capital discipline” amid high prices was the reason they weren’t pumping more, while fewer than 10% blamed government regulation.
The steady release from the reserves would be a meaningful sum and come near to closing the domestic production gap relative to February 2020, before the coronavirus caused a steep decline in oil output.
The Biden administration in November announced the release of 50 million barrels from the strategic reserve in coordination with other countries. And after the Ukrainian war began, the U.S. and 30 other countries agreed to an additional release of 60 million barrels from reserves, with half of the total coming from the U.S.
According to the Department of Energy, which manages it, more than 568 million barrels of oil were held in the reserve as of Mar. 25.
News of the administration’s planning was first reported by Bloomberg.
Oil prices rebounded on Wednesday as Russia signaled it would want rubles not only for gas but also for oil, metals, and grains.
Markets aren't buying the optimism about the Russia-Ukraine peace talks.
Putin has set the deadline for accepting Ruble payments on the 31 March for Gazprom and Russia's Central Bank.
Oil prices rebounded from Tuesday’s losses to rise by more than 3% early on Wednesday, as Russia signaled it would want rubles not only for gas but also for oil, metals, and grains.
As of 9:34 a.m. ET on Wednesday, ahead of the weekly U.S. oil inventory report from the Energy Information Administration, WTI Crude was up 3.63% at $108.00, and Brent Crude was trading up 3.45% at $114.03.
Volatility continued in the oil market this week. Oil slumped early yesterday, with the U.S. benchmark dipping briefly below $100 a barrel after signs emerged that the resumption of the Russia-Ukraine peace talks after two weeks may have been constructive. During the talks in Istanbul on Tuesday, Russia promised to significantly scale back its military operations and activity around Kyiv and in the northern city of Chernihiv. Ukraine, for its part, proposed it would keep a neutral status and would not join alliances or host troops of other countries on its territory.
The U.S., however, sounded skeptical about Russia’s promises to scale back its campaign, and on Wednesday, the market appeared not to be buying Moscow’s promises, either. Prices were also rising after the American Petroleum Institute (API) estimated late on Tuesday that there was a draw this week for crude oil of 3.0 million barrels, compared to analyst predictions of a 1.558 million barrel draw.
On Wednesday, the energy markets in Europe were bracing for a potential disruption to Russian natural gas supply ahead of a March 31 deadline Vladimir Putin had given to Gazprom and the central bank to arrange for ruble payments for gas.
In addition, Moscow signaled today that it could soon demand rubles for other exports, including those of oil, metals, and grains.
“Given the level of uncertainty in the market at the moment combined with the tight supply/demand balance, we expect that oil prices will remain extremely volatile. Falling market liquidity will also add further volatility,” ING strategists Warren Patterson and Wenyu Yao said on Wednesday.
Russia's promise to scale back attacks around Kyiv and Chernihiv is seen as a positive signal in the peace negotiations.
Ukraine has proposed it would keep a neutral status and would not join alliances or host troops of other countries on its territory.
Oil prices dipped by more than 5% early on Tuesday, with the U.S. benchmark WTI slumping to just below $100 a barrel after signs emerged that the resumption of the Russia-Ukraine peace talks after two weeks may have been constructive.
As of 9:34 a.m. ET, WTI Crude was down 5.71% at $99.91, and Brent Crude was down 5.64% at $106.10.
Oil extended the losses from Monday, when prices tumbled after China, the world’s largest oil importer, imposed a lockdown in Shanghai due to the high number of COVID infections, rekindling concern about the loss of oil demand in the top crude importing market.
The Monday drop in oil prices was another huge day-to-day swing in Brent crude prices, which plunged by nearly $11 a barrel on the day, or around 9 percent, Javier Blas, energy and commodities columnist at Bloomberg, noted on Monday. In absolute dollar terms, Monday’s oil price slide was the third-largest one-day fall, but in percentage terms, it was only the 27th largest one-day drop, Blas added.
Following a volatile start to trade early in the day on Tuesday, oil prices tumbled in the a.m. ET after signs emerged about a potentially positive outcome of the peace talks between Russia and Ukraine, the first such talks in more than two weeks.
During the talks in Istanbul on Tuesday, Russia promised to scale back significantly its military operations and activity around Ukraine’s capital city of Kyiv and in the northern city of Chernihiv. Ukraine, for its part, proposed it would keep a neutral status and would not join alliances or host troops of other countries on its territory. Ukraine, however, wants international security guarantees to keep it from attacks.
According to Reuters, the leading Russian negotiator Vladimir Medinsky said he would review Ukraine’s proposals and report on them to Russian President Vladimir Putin.
Hopes of peace sent oil prices plummeting early on Tuesday, although it’s unclear whether sanctions against Russia could be removed anytime soon.
Oil fell as China issued more lockdowns, raising fresh concerns about demand slowing in the world’s biggest crude importer.
Futures in New York fell almost US$8 to settle just shy of US$106 a barrel on Monday. Markets sold off after authorities in Shanghai said they will lock down half of the city in turns for mass Covid-19 testing. Prices remained lower even after OPEC+ signaled it’s likely to stick to plans for a modest supply increase when they meet Thursday.
“China oil demand is approximately 15 million barrels per day,” said Andy Lipow, president of Lipow Oil Associates LLC in Houston. “The magnitude of the selloff reflects fears that Covid lockdowns in China could spread, significantly impacting demand at a time when the oil market is trying to find alternatives to Russian oil supplies.”
Traders added that in the wake of historic volatility many market participants are just covering their positions, keeping liquidity at the lowest level in years and leading to outsized moves on any news. With hedges becoming more time consuming and expensive, it could disrupt real-world deliveries of crude oil if the situation doesn’t improve.
Russia’s invasion of Ukraine continues to disrupt availability of key commodities, adding to inflationary pressures on the global economy. Despite the day’s selloff, oil is still heading for a fourth month of gains as a tight market is exacerbated by the shunning of Russian supplies by buyers. The country’s exports from March 17-23 fell by more than a quarter from the previous week, according to industry data.
On Monday, United Arab Emirates Energy Minister Suhail Al-Mazrouei said additional crude supplies won’t be added if the market is balanced and resources are in the market. If no alterations are made, the cartel will ratify an increase of 430,000 barrels a day for the month of May as previously announced.
Prices
WTI for May delivery fell US$7.94 to settle at US$105.96 a barrel in New York
Brent for May settlement lost US$8.17 to settle at US$112.48 a barrel
Demand concerns are starting to emerge with the spread of the virus in China. Shanghai -- a city of 25 million people -- will first lock down areas east of the Huangpu River, which includes its financial district and industrial parks, for four days starting Monday. Then the restrictions will shift to the city’s west for another four days, according to a statement from the local government.
A temporary pause in hostilities by Yemen’s Houthis against Saudi Arabia was also contributing to lower oil prices on Monday. The group’s rebel leader announced a three-day truce on Saturday after an escalation of attacks on key Saudi infrastructure over the past week, according to a TV report.
The U.S., meanwhile, said reviving a nuclear deal with Iran is not imminent after recent requests from Tehran that included Washington removes the Islamic Revolutionary Guard Corps from its list of terrorist organizations. Iran is an ally of Russia, and its war in Ukraine is also complicating negotiations.
Related coverage:
Canada’s oil sands would play the biggest role in the government’s pledge to boost crude and natural gas exports by 300,000 barrels a day this year to compensate for Russian supplies, according to the lead trade organization for the industry.
It’s getting both costlier and more time consuming to hedge oil as liquidity shrinks in the futures market, slowing transactions and threatening to ultimately disrupt real-world deliveries if the situation doesn’t improve.
Shell Plc is restricting deliveries of a regular type of gasoline to filling stations in the Hamburg area, according to a person familiar with the matter.
Four provincial governments are pushing ahead with a plan to develop nuclear power in Canada.
Saskatchewan, Ontario, New Brunswick and Alberta have released their strategic plan to expand the nuclear industry through the development of small modular reactors (SMR).
SMRs are, as their name implies, much smaller than a traditional nuclear reactor. They can be built in a factory and transported by truck, train or ship.
While a conventional nuclear reactor generates about 1,000 megawatts of energy, SMRs generate between 200 and 300 megawatts — enough to power about 300,000 homes.
The provinces say the reactors provide a source of safe, clean power to residents.
Don Morgan, minister responsible for SaskPower in Saskatchewan, said the utility's collaboration with Ontario Power Generation "has laid a strong foundation for nuclear power … to support deep reductions in Canada's GHG emissions to ultimately achieve net zero by 2050."
According to the initial report, the first SMR would be built in Ontario, with four to follow in Saskatchewan between 2034 and 2042.
"A small reactor would cost in the range of $5 billion," Morgan said. "So they're certainly not inexpensive."
Morgan and his provincial counterparts said the small-scale reactors are a good solution to providing clean power in remote communities and to Alberta's oilsands.
The provinces' strategic plan aims to position Canada as a global exporter of SMR technology for use in both on-grid and off-grid applications.
The report highlights the need for a "robust" nuclear waste management program and a strong regulatory framework.
Morgan said Saskatchewan is also uniquely positioned to provide uranium to fuel the SMRs.
"Energy security has never been more important, and nuclear power, fuelled by uranium from Saskatchewan, has the potential to ensure that our country has the power to guide us into the future."
The plan follows an earlier feasibility study into using SMR technology for Canada's energy while curbing GHG emissions.
New York (CNN Business)The House Oversight Committee launched a probe Monday into Credit Suisse, demanding documents linked to the bank's compliance with sanctions on Russian oligarchs.
In a letter to Credit Suisse CEO Thomas Gottstein, US lawmakers asked the bank to turn over information and documents about a portfolio of loans backed by yachts and private jets owned by clients, potentially including sanctioned Russian individuals.
In particular, House Oversight Chair Carolyn Maloney and Rep. Stephen Lynch, chair of the Subcommittee on National Security, expressed alarm over Credit Suisse asking hedge funds and other investors to "destroy documents" related to yachts and private jets owned by the bank's clients.
"Giving the timing of this request and its subject matter," the House Democrats wrote, "Credit Suisse's action raises significant concerns that it may be concealing information" about whether participants in the deal may be "evading sanctions" imposed by the West after Russia's invasion of Ukraine.
The letter, first reported by The Wall Street Journal, asks Credit Suisse to produce a series of documents by April 11.
Credit Suisse declined to comment on the letter, referring inquiries to previous statements from the bank.
The focus on Credit Suisse began after a recent Financial Times report, which said the bank had trimmed some of its exposure to $2 billion of loans made to wealthy clients to finance private planes and yachts. The FT later reported Credit Suisse asked investors to destroy deal documents linked to oligarch and tycoon yacht loans.
Credit Suisse confirmed in a March 3 statement that it did ask non-participating investors in a November 2021 transaction to "destroy documents," but that this was "in no way linked to the recent implementation of additional sanctions, with which we are fully compliant."
The bank said the documents shared with investors did not contain any client names and/or asset identifiers and "no data, client-related or otherwise, has been erased within Credit Suisse."
"Reminding parties to destroy confidential information is good housekeeping and good data hygiene," Credit Suisse said in the statement. "The transaction and the request to non-participating investors to destroy confidential data are entirely unrelated to the ongoing conflict in Eastern Europe."
British Columbia’s public auto insurer has issued a warning about scammers trying to cash in on the province’s recently announced gasoline rebate.
On Friday, the province announced drivers would get a $110 rebate through ICBC to help cover the surging cost of fuel.
That plan apparently caught the attention of scam artists, who have begun sending bogus text messages about the rebates urging them to click a likely malicious link.
“ICBC will not issue any rebates to customers via text message or email,” the insurer said in a public bulletin.
“If you receive a text message asking you to click a link to receive your relief rebate, please delete the message –this is a scam.”
One such message forwarded to Global News appeared to be coming from a phone number with a B.C. area code and presenting itself as an “ICBC alert.”
An example of a scam text received in British Columbia claiming to be from ICBC. The insurer is warning people to immediately delete such texts and never to click the link in them.
Submitted
“We have officially announced a gas relief rebate for all BC drivers, so here is your rebate of $110.00 CAD,” the states the fraudulent text, before urging the recipient to click a suspicious link.
ICBC stressed that vehicle owners will not need to take any actions to receive their rebate, which will be processed automatically.
ICBC gas rebate panned by economists
ICBC gas rebate panned by economists
People who have signed up for direct deposit with the insurer will receive the money directly to their bank account, while customers who paid via credit card will have a credit applied to that card between May and June.
People who used other forms of payment will get a cheque in the mail starting in June.
The fraudulent texts are likely what is known as a “phishing” scam, in which a malicious actor often poses as an official agency, and targets their victim through text, social media or email. The scammer then persuades them to divulge personal information or download an attachment with malicious software.
The Better Business Bureau warns anyone who is suspicious of a potential phishing message never to click associated links and to call the company or agency the potential scammer is presenting themselves as directly.
The BBB also says people should be suspicious of generic texts or emails from official-looking sources that contain no specific details in them, such as a person’s name, account number or other identifying information.
Have a car with a push-to-start ignition? Here's why it may end up stolen and overseas
If you're driving a car you bought new in the past couple years, there's a good chance you have a push-to-start ignition.
The technology is deceptively simple. Instead of turning the key, you just push the start button.
But while it's a breeze for drivers, that convenience has a downside.
Experts say push-to-start ignitions are easy prey for car thieves, who are leveraging the technology to steal vehicles to ship overseas.
A Marketplace investigation tracked stolen vehicles from Ontario and Quebec all the way to Ghana and Nigeria, where there's a booming market for Canadian cars because of their reliability and the availability of parts.
"It's low risk, high reward," said Det. Greg O'Connor of the Peel police auto crime unit, who told Marketplace this type of car theft has a low overhead cost and takes little time. Cars can be loaded onto shipping containers and be en route within hours, he said. Read more
Watch Marketplace's full investigation tonight to find out how to protect your vehicle and get the inside scoop on what car tops the list of the most stolen vehicles in Ontario. That's at 8 p.m. (8:30 NT) on CBC-TV and CBC Gem.
Hamilton locksmith Mustafa Jafar demonstrates a device used to reprogram blank keys that can aid thieves in stealing cars. (Jenny Cowley/CBC)
'Disheartening:' Why one animal rescue group refuses to allow families with autistic children to adopt
Mike and Erin Doan of Listowel, Ont., began inquiring about adopting a dog after their nine-year-old son Henry communicated to them that he wanted one.
But when Erin contacted Kismutt Rescue to ask about a dog the group had up for adoption, she was shocked to be told they don't allow families with autistic children to adopt.
On Facebook, Kismutt Rescue released a statement explaining its policy and wrote that after two bad experiences, "No dog will be adopted into homes with autistic children."
But Erin said she doesn't understand why an organization would ban all autistic people from adopting dogs.
"For sure, there are some that have more behavioural issues than others, but to put a blanket policy in place without even meeting the kiddo and the family — it's just really disheartening," she said.
Billie Wessel of London, Ont., who also has a child with autism, agrees.
"It's honestly disgusting to read that, because autism is a spectrum," Wessel said.
"I don't think there should ever be a case where a child is discriminated against. A regular-functioning, 'normal' child could have aggression issues with a dog as well, the same way an autistic child could have a meltdown." Read more
Erin and Mike Doan of Listowel, Ont., say they were disheartened to hear that their nine-year-old son Henry wasn't going to get the pet he had asked for, after a rescue group said it doesn't adopt out dogs to families with autism. (Submitted by Erin Doan)
These women filed complaints about their gynecologist over a year ago. But they're still waiting for a resolution
Three Ontario women are speaking out after making complaints regarding their former gynecologist to the College of Physicians and Surgeons of Ontario (CPSO).
Navi, who asked CBC News not to publish her last name for fear of online harassment, Elizabeth Adamou and Candice Jones each complained to the CSPO about Dr. David Gerber more than a year ago, but they're still waiting for their complaints to be resolved.
They say that long delays, intimidating legal demands, mischaracterization of complaints, and a lack of communication have left them wondering if the college is acting to protect patients, or the doctors it's supposed to regulate.
In late December 2021, the CPSO disclosed that Gerber, of Meridia Medical in midtown Toronto, would face complaints from 10 patients at a disciplinary hearing, up from the six previously announced in 2020.
The college alleges that Gerber "engaged in disgraceful, dishonourable or unprofessional conduct," including but not limited to his communication, failing to explain what an examination would involve, failing to obtain informed consent and failing to demonstrate adequate sensitivity.
Howard Winkler, Gerber's lawyer, said "two leading independent medical experts have carefully reviewed each complaint and the related medical records. Both experts agree that the care Dr. Gerber provided met or exceeded every clinical standard and did not deviate from the usual and expected practice."
The CPSO will not comment on any specific complaint or hearing, but CBC News previously reported that the college had expected to hold the hearing in 2021. A date has not yet been set. Read more
WATCH | Women frustrated by response to complaints about doctor:
Women who complained about gynecologist frustrated with Ontario regulatory body
6 days ago
Duration 5:33
Three women who filed complaints against a Toronto gynecologist say they’re frustrated with the lengthy delays, legal demands and mischaracterization of their concerns by the College of Physicians and Surgeons of Ontario. 5:33
Hello, Atlantic Canada! Marketplace is coming to the East Coast, and if you're a big fan of the program, we want to meet with you! Tell us why you love the show and how it makes a difference with your family, in the community, and in the classroom. You could be featured in our upcoming 50th anniversary special this fall. Email us with your phone number at marketplace@cbc.ca.
Catch up on past episodes of Marketplace on CBC Gem.
Cryptocurrency has been described by some observers as a "Wild West," so it's no surprise that of all Canadian provinces, Alberta is the one that has set its sights on becoming a North American hub for the maverick industry.
The oil-and-gas producing province that prides itself on its entrepreneurial history is now touting its ambition to become a North American hub for companies trading in and offering services related to Bitcoin, Ethereum, Dogecoin and other digital assets.
In the province's throne speech last month, Alberta's UCP government declared its intention to table legislation aimed at "promoting innovation" in the financial services sector by allowing companies to test new products and services.
The throne speech also mentioned future legislation that will solidify Alberta's reputation as a "modern electricity powerhouse and a magnet for investment in emerging technology like data storage and cryptocurrency."
An established industry
While the details of any forthcoming legislation have yet to be revealed, Jobs Minister Doug Schweitzer said in a recent interview that companies operating in the crypto space have demonstrated "immense interest" in the province in recent months.
"It's still very much in its infancy in Alberta," Schweitzer said. "But I think there's an opportunity for Alberta to play a leadership role in Canada by creating a home for these venture companies."
Alberta has already established itself as an attractive destination for cryptocurrency miners, who have set up a number of operations at various locations throughout the province.
The supercomputers used to mine for Bitcoin and other crypto tokens require vast amounts of low-priced power to be economical, so miners are often attracted to Alberta's deregulated electricity system and abundant supply of natural gas.
Beyond mining, the province is also increasingly home to a wide range of other cryptocurrency-related firms, from those that specialize in the custody and storage of digital assets, to manufacturers of crypto mining equipment like immersion cooler containers. An Edmonton-based company, Bitcoin Well, is working to make it easier for regular consumers to use cryptocurrency, with a variety of services including a network of more than 200 Bitcoin ATMs in Canada.
Rolled out the welcome mat
"I would say Alberta is close to unique, from what we've seen, in terms of how focused they are on attracting innovative financial technology companies," said Emile Scheffel, vice-president of Brane Inc., which recently chose Calgary as the headquarters for its new subsidiary, Brane Trust.
Brane Trust will provide secure custody of digital assets such as Bitcoin and Ethereum for institutional clients like banks and asset managers that either manage cryptocurrencies, or are seeking to expand their services to cryptocurrency services.
But setting up the business in Brane's home base of Ontario proved difficult from a regulatory perspective. Getting the necessary regulatory approvals would have taken up to two years, whereas Alberta rolled out the welcome mat, Scheffel said.
"When we first reached out to regulators in Alberta about our ambitions, they were knowledgeable about cryptocurrency already — they had the necessary expertise to be able to do this," he said.
Defying definition
Brian Mosoff — CEO of Toronto-based Ether Capital, which helped to launch the world's first Bitcoin ETF last year alongside Purpose Investments — said cryptocurrency companies face many challenges from a regulatory perspective. In Canada, there isn't even clarity yet about what type of assets digital currencies really are.
"Are they commodities? Are they securities?" Mosoff said. "We don't even have an exchange that can compete on an international level."
What is cryptocurrency?
3 years ago
Duration 2:31
Cryptocurrency is big business, but for many not in the tech sphere, it's still a big unknown. Here are answers to some questions you might have. 2:31
Globally, cryptocurrency is already a multi-trillion asset class, Mosoff said, so any jurisdiction that can think outside of the box and create a regulatory framework that doesn't push these types of businesses away stands to benefit.
Schweitzer has indicated Alberta's desire to develop a "regulatory sandbox" for crypto companies interested in setting up in the province.
"It's about creating a culture and environment for all of those groups of people who are inspired by (cryptocurrency) to migrate into that jurisdiction," Mosoff said. "Either because they think it's favourable in terms of tax or regulation, or because they feel they can experiment with things without having the book thrown at them."
Modern Mining is an Alberta-headquartered Bitcoin mining company that is currently building its first mining facility near the city of Medicine Hat, in the southeast corner of the province.
Sebastian Elawny, Modern Mining's chief legal officer, acknowledged that there has been an uptick in interest in the province by crypto companies in the last year, but said that's largely because of China's crackdown on the industry.
Modern Mining's CFO Ryan Chernesky, right, and CLO Sebastian Elawny with some of the company's bitcoin mining equipment in Calgary. (Jeff McIntosh/The Canadian Press)
"All of a sudden, there were hundreds of thousands of mining rigs that needed to find new homes," he said.
But Elawny said U.S. destinations like Miami and Texas remain far more attractive to the industry. While he said Alberta's electricity market is an asset, the province has a long way to go if it truly wants to be a leader in the crypto space.
He names the carbon pricing system in Alberta as one disincentive for the electricity-guzzling crypto industry, as well as the challenges cryptocurrency companies can face securing financing.
"It's even very difficult to get a bank account if you're a crypto company in Alberta," Elawny said.
"We currently face a lot of challenges as a business trying to operate in Alberta, and we as a group are actually exploring our options outside of Alberta, because we're falling behind already."
Thirteen cents worth of electricity turned into a big headache and even bigger bill for a Surrey man who was slapped with an $80 fine for charging his electric vehicle at a wall outlet in the Central City mall parking lot.
Brett Favaro was hoping to add a few kilometres of range to his Chevy Volt when he and his daughter went shopping on Wednesday.
After finding all the charging stations either occupied or out of commission, he spied an open wall socket. So he parked, plugged in, and went into the mall.
When he returned an hour later, the $80 ticket on his windshield described the violation as "using outlet to charge vehicle not allowed."
"There was no signage anywhere that said you couldn't do it, so I was genuinely surprised because it doesn't seem all that far-fetched to plug your car into a wall outlet," said Favaro. "It's a parking lot. It's an outlet facing the lot. I didn't have any reason to believe it wouldn't be allowed, especially because it's allowed at a lot of other places."
After posting about the ticket on social media, the company that runs the lot on behalf of the mall, Concord Parking, rescinded the fine as a "one-time courtesy" and reduced the ticket to a "warning."
The general manager of Central City said the mall is very supportive of electric vehicles and plans to enhance signage in the area.
"We have 40 EV charging stations at our site designed for properly charging electric vehicles," said Daniella Leck. "The electrical wall outlets are for use by our maintenance team for things like power washers to keep our parkade clean. They are not intended or designed for electric vehicle charging."
Most EVs can "trickle" or slow charge at a standard three pin outlet, gaining around 15 kilometres of battery range every hour.
Favaro, who is a conservation scientist and dean of the faculty of science and horticulture at Kwantlen Polytechnic University, argues making regular outlets available for charging — like those provided for block heater plug-ins in colder parts of Canada — makes sense for businesses, customers and the environment.
"It's not unusual to shop for an hour or two," he said. "That might be enough power to get you home without having to use fossil fuels."
The president of the Vancouver Electric Vehicle Association said the case highlights how the supply of EV charging isn't meeting the growing demand.
"I do see it being a point of tension," said Harry Constantine. "I always [ask] why bother putting in a power outlet if you're not wanting people to use it? I think the better way is for people to get out in front of this and install more charging."
A electric vehicle charging sign in Squamish, B.C. Over 10 per cent of new light-duty vehicles purchased in B.C. in 2021 were zero emission, the higest rate in North America. (Jonathan Hayward/The Canadian Press)
Constantine said as of January 2022, businesses and multi-unit residences of five or more units can cash in on B.C.'s low carbon fuel standard by installing chargers and earning carbon credits.
"If you monitor your power usage, you can report that to the government and sell those carbon credits. And those carbon credits are then bought by oil and gas companies to offset their carbon footprint," he said.
B.C.'s recent history of disastrous wildfires, flooding and extreme heat has put climate change front of mind and become a factor in the rapid rate of EV adoption by B.C. drivers.
According to the province, zero emission vehicles accounted for over 10 per cent of all new light-duty vehicle sales in 2021, the highest rate in North America.
And with the trend only accelerating it follows that the growing number of EV drivers will be in the market for charging options.
"I think a lot of property owners maybe just don't understand the opportunity," said Favaro.
"We're in a climate crisis and we want people to adopt zero emission vehicles — whether it's electric cars, bikes, anything else. And if you have a wall outlet in your parking lot, you have EV infrastructure, and that is actually a positive."
