Metro Inc. Profile

Based out of Montreal, Metro Inc. is a leader in the food and pharmaceutical sectors in both Quebec and Ontario. They operate a network of more than 600 food stores under several banners including Metro, Metro Plus, Super C and Food Basics; and over 250 drugstores under the Brunet, The Pharmacy and Drug Basics banners. In 2005, Metro acquired A&P’s Canadian Division, the second largest food retailer in Ontario. This acquisition greatly enhanced Metro’s position in Canada’s two largest markets.

A New Business Challenge

Operating over 600 stores with high annual energy consumption, the volatility of energy prices constantly put pressure on Metro’s bottom line. In order for Metro to maintain its competitive edge in the retail grocery industry, Metro sought a comprehensive approach to managing its energy costs and consumption. Metro recognized the need to implement innovative solutions to reduce their energy costs and become more energy efficient.

A Collaborative Solution

Energy Advantage conducted a comprehensive assessment of Metro’s natural gas and electricity use profile and procurement processes. With this assessment in place, Energy Advantage designed and implemented an energy procurement strategy that was consistent with Metro’s consumption profile, risk tolerance and purchasing objectives. Metro also looked to Energy Advantage’s procurement expertise to help them avoid any unnecessary natural gas and transportation costs. Metro also recognized the need for an energy reporting solution that would track and analyze their energy costs. In response, Energy Advantage implemented its energy data management and reporting solution across Metro’s stores. The solution tracks, stores, monitors and analyzes Metro’s consumption and energy costs on a consistent basis. Energy Advantage’s energy data management solution ensures timely and accurate payment of Metro’s utility bills, and identifies and fully rectifies billing errors as they relate to energy costs, late payment charges and consumption behaviour. As part of this solution, Energy Advantage helps Metro prepare their yearly energy budgets. For the past 6 years, Energy Advantage has continued to work with Metro to maintain the integrity of their data while measuring and tracking their performance.

Measurable & Tangible Results

Since commencement of Metro’s procurement program, Metro has achieved substantial annual energy cost reductions from secure fixed energy pricing. This strategy allows Metro to manage the volatility of energy prices soundly. The roll out of Metro’s reporting initiative has provided them with significant energy cost reductions from improved budgeting and forecasting and the capability to make accurate decision based on reliable energy data. Today, Metro continues to actively manage its energy reporting and procurement initiatives to mitigate risk, reduce energy costs and enhance its reputation.