Innovation Canada: A Call to Action

Innovation Canada: A Call to Actionprograms that support business-focussedR&D through federal granting councils andother departments and agencies, includingresearch performed in universities andcolleges that fosters support for businessR&D, such as the Centres of Excellence forCommercialization and Research program.We were given the latitude to consider otherfederal initiatives relevant to the review’s scope.However, the review was to exclude: (i) researchconducted in federal laboratories to fulfil theirregulatory mandates and (ii) basic researchconducted in institutions of higher educationand not intended to foster support for businessR&D.We were asked specifically to provide advicerelated to the following questions:What federal initiatives are most effective inincreasing business R&D and facilitatingcommercially relevant R&D partnerships?Is the current mix and design of tax incentivesand direct support for business R&D andbusiness-focussed R&D appropriate?What, if any, gaps are evident in the currentsuite of programming, and what might bedone to fill these gaps?Consistent with our mandate, we were asked toaddress any and all federal programs that havean impact on business or commercially orientedR&D, as well as how such programs fit withinthe larger innovation context. The mandatespecified furthermore that ourrecommendations should not result in anincrease or decrease in the overall level offunding required for federal R&D initiatives.Where we have recommended measures thatwould yield savings, we have also identifiedareas in need of the funds that would be freedup. Our primary objective has been to advise onhow the government’s existing outlays insupport of business and commercially orientedR&D can be deployed more effectively topromote innovation, productivity growth andincreased prosperity for Canadians. Therefore,while the immediate effect of ourrecommendations is meant to be budgetneutral, the ultimate impact will be a moreproductive economy and a stronger fiscalposition.The Panel’s ApproachIn fulfilment of our mandate, we have, with theaid of a secretariat seconded from the federalgovernment, overseen a thorough process ofresearch, program assessment and consultation.The research included expert briefings, anextensive literature review and other technicalbackground work by, or on behalf of, thesecretariat. The program assessment, which isdescribed more fully in Chapter 3, encompasseda set of 60 programs covering the gamut offederal initiatives to foster business R&D.Our consultation phase began with the issue ofa public consultation paper in December 2010.This elicited 228 submissions — 96 fromcompanies, 80 from organizations andassociations, 38 from academic institutions,seven from governments or governmentalorganizations, and seven from individuals. Tosupplement written submissions, face-to-faceconsultations were held in Vancouver, Calgary,Winnipeg, Waterloo, Toronto, Ottawa,Montréal, Québec and Halifax. We met a totalof 164 participants during the course of 32sessions, each of which focussed on a theme orsector of relevance to the host region. Meetingswere also held with senior officials from manyfederal departments and agencies and from allprovinces.We extended the scope of in-personconsultations beyond Canada to learn aboutinternational perspectives on issues germane to1-4