- Utilities provider Fortis (FTS) is removing coal from its energy generation portfolio, as part of a subsidiary’s green energy initiative
- The company’s US-based subsidiary, Tucson Electric Power recently committed to reducing its carbon emissions by 80 per cent before 2035, exiting its coal powered generation assets in the process
- TEP holds Fortis’s only remaining coal assets and, therefore, once the initiative is complete, Fortis will have left the coal-fired energy sector entirely
- Meanwhile, Fortis’s British Columbian arm, FortisBC, is targeting a 30 per cent cut to its customer-associated greenhouse gas emissions by 2030
- Fortis (FTS) is down 1.54 per cent and is trading at C$51.13 per share
Utilities provider Fortis (FTS) is removing coal from its energy generation portfolio, as part of a subsidiary’s greener energy initiative.
The company’s US-based subsidiary, Tucson Electric Power recently committed to reducing its carbon emissions by 80 per cent before 2035. In doing so, TEP is exiting the coal-fired generation sector, shifting instead to a 70 per cent renewable portfolio.
TEP holds Fortis’s only remaining coal assets and, therefore, once the initiative is complete, Fortis will have left the coal-fired energy sector entirely.
Despite these initiatives, power generation accounts for just seven per cent of Fortis’s business, with the remaining majority in electricity and natural gas delivery.
Fortis is not the first industry giant to move away from coal this year. In early January, the world’s largest fund manager BackRock, announced its intension to exit thermal coal investments over the next six months.
BlackRock stated it sees no long-term economic or investment benefits in continuing to operate or invest in thermal coal.
Meanwhile, Fortis’s British Columbian arm, FortisBC, is also reducing its greenhouse gas emissions associated with customer energy use by 30 per cent by 2030. Fortis claims this is one of the most ambitious targets among Canadian natural gas companies, further bolstering the company’s green energy credentials.
Barry Perry, President and CEO of Fortis believes these recent moves demonstrate the company’s commitment to delivering cleaner energy to its customers.
“Two of our largest utilities, Tucson Electric Power and FortisBC have recently established ambitious emission reduction goals. In addition, more than 70 per cent of the Fortis 2020 $4.3 billion capital plan is dedicated to asset resiliency, modernization and cleaner energy initiatives,” he said.
Fortis (FTS) is down 1.54 per cent and is trading at C$51.13 per share at 1:22pm EDT.