Show Me The Money (Helping Canadians Access Funding
Show Me The Money (Helping Canadians Access Funding For Environmental Technologies) Ray Klicius Innovative Solutions Division Environment Canada Energy & Environment Innovations Opportunities to Save Money & the Environment Kleinberg, Ontario November 2004 Outline SFT/Budget Drivers Whats Hot Funding Spectrum Funding in Action Summary Contacts Speech-from-the-Throne (SFT) & Budget 2004 The Feb. 2004 SFT committed to making Canada a
world leader in developing & applying path-breaking environmental technologies The Oct. 04 SFT reiterated Canadas commitment with an increased focus on energy efficiency and energy R&D, and commercialization Budget 2004, supports this commitment through the following new initiatives: $1Billion over the next 7 years for environmental technologies $39M/yr to NSERC towards increasing resources for research, development and demonstration of innovative ETs, $250M for Venture Capital, via BDC, to create access to capital for the commercialization of Canadian Environment Industry Where are we now? Employment: 7967 Companies, 93% SMEs
BC 16% TERR 1% ATLAN 10% QC 21% ALTA 14% ONT MB
ALTA ONT 31% Industry Make-up: QC SK SK 4% MB 3% ATLAN BC TERR *source: Environment Industry Survey Business Sector, 2000, Statistics Canada 160,000 High Level (Eng/Sc) Goods:
42% Services: 44% Construction: 14% ($M) ~1000 550 63 170 110 430 * Hot Funds Program Budget 04Support for dev & comm of new ETs* Sustainable Development Technology Canada Duration
2004-2011 2002-2009 2004-2008 Technology Early Action Measures (new funds) 2002-2006 CBRN Research and Technology Initiative 1975- Cdn. Fdn. For Climate & Atmospheric Sciences Venture Capital Funding via Business Development Bank of Canada * As of March, 2003 2000-2010 Other Key Funds ($M) Program
100 * Industrial Research Assistance Program (IRAP) Technology Partnerships Canada (TPC) (2.4B) TPC - IRAP ** Green Municipal Enabling Fund 30 Green Municipal Investment Fund * Natural Sciences & Eng. Research Council of 50 Can. 200 Canada Foundation for Innovation 850 * Wind Power Production Incentive (2.7B) Sci. Research & Experimental Dev. Program 700MRenewable Energy/Conservation Tax 1B Incentives N/A N/A * = $ for 2004 / 2005 ** = as of Mar.,
270 Individual Canadians 131 Industry & Business o Energy Efficient Buildings $Million 129 154 o Energy Efficient Transportation Governments & Communities Total 1005 321 Sustainable Development Technology Canada (SDTC) Established in 2001 as a response to Kyoto o Total of $550 M o $350 M + $200 M (Budget 2004) o $72 M Allocated as of Sept 04
Climate Change & Clean Air, Water & Soil Techs o Development & demonstration o Emphasis on strong partnerships Funding Specifics: o o o o 33% on average, up to 50% for any one project No specific min/max amounts Max 5 years of Funding per project Funds allocated from 2002 to 2009 SDTC - Eligible Technologies Hydrogen economy fuel cells, hydrogen infrastructures, transition fuels Cleaner Fossil Fuels
CO2 capture and sequestration, oil sands production Air Quality improvement toxics recovery, particulate control, acid rain Energy end-use technologies transportation, buildings, ground level ozone reduction Renewable energy technologies biomass, solar, wind, wave, tidal Budget 2004 expanded mandate to incl. Clean Water & Soil o Water quality and quantity improvement o Waste management o Soil quality improvement Technology Early Action Measures (TEAM) Technology demonstration and late stage development in support of early action to reduce GHG emissions Initial Investment of $60M (1998-2001, 1st Round of CCAF) o Renewed at $35M for 3 years (2001-2004, 2 nd Round of
CCAF) o Renewed at $63M for period 2004-2008, from Budget 2003 Co-chaired by NRCan, EC and IC. Technology Focus Areas: o o o o o Cleaner Fossil Fuels Advanced Energy Efficiency Biotechnologies Hydrogen Economy Decentralized Energy Production Project delivery through existing Federal departments & programs (incremental funding) CBRN* Research & Technology Initiative (CRTI) (* Chemical, Biological, Radiological, Nuclear)
5 year, $170M interdepartmental initiative Purpose: strengthening preparedness, prevention & response to CBRN threats & attacks Environmental Investment Priorities (EIP): Immediate Reaction & Near-Term Consequence Management: Surveillance, early detection & analysis Containment, countermeasures & decontamination Longer-term: Assessment, remediation & recovery (environmental, human, agro-systems) Decontamination in urban settings An additional EIP may be announced in the 4 th Call for Proposals (Nov. 2005) Industrial Research Assistance Program (IRAP) Established in 1947 to stimulate wealth-creation through technological innovation. Supports more than 12,000 SMEs/year $100M budget for client contributions in 2004-05 Delivered through national network of Industrial Technology Advisors Cost-shared contributions possible for projects in:
o R&D, 30-50% of costs, up to $500K non-repayable o Precommercial activities like manufacturing engineering, pilot plant trials, 1/3 of eligible costs up to $1M repayable o Youth Employment, up to $12K to support salary of hiring a recent graduate Technology Partnerships Canada (TPC) Contributes to GoCs objectives: o Economic growth, job creation, sustainable development Shares the cost of industrial R&D projects 3 Funding Areas o Enabling, 15-20% environmental, aerospace & defence No upper limit; SME projects<$3M by IRAP-TPC 25 - 30% of eligible R&D costs Repayments only if commercially successful TPC Level of repayment depends on extent of commercial success TPC shares in risks and rewards!
TPC-IRAP $30M per year, funded 50-50 by TPC and IRAP Targets Canadas 2 Million SMEs o Pre-commercial development of new products/processes, demonstration or pilots Funding: o Same funding areas as TPC, including Environmental o Total eligible project costs must not exceed $3 million o Available to SMEs with less than 500 employees IRAP- ITAs offer knowledge-based assistance Upfront repayment plans negotiated Panel for Energy Research and Development (PERD) Ensures a sustainable energy future for Canada Annual budget of approximately $58M
Forwards many Policy Agendas Program Strengths: o Collaborative approach to R&D o Encourages partnerships o Emphasizes peer-review & assessments o Responds to new policies o PERD MOU signed with 12 participating federal departments & agencies (e.g., CMHC) Operating for almost 30 years Federation of Canadian Municipalities Green Municipal Funds Purpose: To help municipal governments and their partners improve air, water or soil quality, protect the climate and promote the use of renewable resources. Green Municipal Investment Fund (GMIF) (Loan) $200M for innovative environmental projects Green Municipal Enabling Fund (GMEF) (Grant) $50M for feasibility studies & field tests Max $350,000/project: Up to half of eligible costs
NSERC (Natural Science and Engineering Research Council of Canada) Invests in university and company R&D o $850M in investments in 2004-2005 o Includes additional $39M/yr in 2004 Budget Students (over 10000/yr.) Researchers (over 10000/yr.) Companies (1000/yr) o Jointly fund collaborative R&D between companies and universities o Many Programs: Industrial Research Fellowships (IRF) Program. Industrial Postgraduate Scholarships (IPS) Program
Collaborative Research and Development (CRD) Program Strategic Projects Program (SPP) Industrial Research Chairs (IRC) Program Idea to Innovation (I2I) Canada Foundation for Innovation (CFI) Established in 1997 o Funds research infrastructure at universities, colleges, research hospitals and non-profit research institutions o $2.7 billion committed to date Funding Programs: o Many different funding programs (See notes) o Innovation Fund: funds up to 40% of infrastructure costs o Promotes collaboration with the federal granting agencies, provincial and municipal governments, and the private and volunteer sectors Renewable and Electrical Energy (NRCan)
Renewable Energy Deployment Initiative (REDI) o 9 year, $51 M renewable energy incentive program o Qualified systems: Active solar air & water heating systems; high efficiency/low emissions biomass combustion systems and ground-source heat pumps o Refund of 25%, up to $80K ($250,000 per corporation) Wind Power Production Incentive (WPPI) o Provides financial support to electricity producers o Incentive on production o 5 year program, $260M, incentive lasts 10 years Market Incentive Program (MIP) o Encourages experimentation in renewable electricity o Provides incentives to distributors for sales to residential & small business markets o Available until March 2006 Federal Economic Development Initiative for Northern Ontario (FedNor) $40 M/year
Mission: increasing the overall competitive position of the North and to accelerate its movement to a knowledgebased economy Works with stakeholders & community partners * to improve access to capital, information & markets Innovation Fund supports R, D & D projects o Eligible Recipients : Northern SMEs (repayment required) Northern Municipalities & First Nations Community Economic Development Corps. Contributions up to 50% of elig. costs to max. $500K All assistance normally repayable - contributions to nonprofit organizations will be deemed non-repayable unless revenue streams may be generated Scientific Research & Experimental Development (SR&ED) Program Federal tax incentive program for R&D Two levels:
o 35% on the first $2M in qualifying expenditures for SMEs with less than $300K in income (for post 2003 taxation years) o 20% for publicly traded companies o Refundable (i.e., Cash-back) for Canadian-controlled, private corporations that are SMEs Non-refundable * 40% cash back on qualified capital expenditures ** Eligible Project Areas o
Experimental Development; Basic Research; Applied Research Complementary programs in 7 of 10 provinces *** o From 10% (e.g., ON) to 40% (e.g., QC) Renewable Energy / Conservation Tax Incentives Accelerated Capital Cost Allowance (Class 43.1) Tax incentive for renewable energy and energy conservation equipment Canadian Renewable & Conservation Expenses (CRCE) For the non-capital costs associated with the start-up of renewable energy & energy
conservation projects Funding In Action Brokering Partnerships Report on technology innovation Overview of Environment Canada success stories. Highlights Partnerships: o Private sector, academia, research centres, etc. Summary Billions available over the next 5 years Emphasis on strong proposals & partnerships Available Programs: Larger National Funding Programs o SDTC, TEAM, IRAP, TPC, TPC-IRAP, GMF, NSERC
Smaller National Funding Programs o REDI, IERD, ETP, RETP Regional Funding Programs o AIF, CED/DEC, WD Tax Incentive Programs o SR&ED; Renewable Energy / Conservation Tax Incentives Innovative Solutions Division, Environment Canada 351 St. Joseph Blvd. Hull, Quebec, Canada, K1A 0H3 E-mail: [email protected] Web: http://www.ec.gc.ca/ Contact Information Sustainable Development Technology Canada (SDTC) 230 Queen St, Ottawa ON K1P 5E4; (613) 234-6313; www.sdtc.ca; applications @sdtc.ca Industrial Research Assistance Program (IRAP) Bldg M55, Montreal Rd, Ottawa ON K1A OR6; 1-877-994-4727; [email protected];
www.nrc.ca/irap Technology Partnerships Canada (TPC) 300 Slater Street, 10th Floor, Ottawa ON K1A 0C8; 1-800-266-7531; http://tpc.ic.gc.ca Federation of Canadian Municipalities (FCM) 24, Clarence St, Ottawa, ON K1N 5P3; (613) 241-5221; [email protected] ; www.fcm.ca Canada Foundation for Innovation (CFI) 230 Queen St, Suite 450, Ottawa ON K1P 5E4; (613) 947-6496; [email protected]; www.innovation.ca Technology Early Action Measures (TEAM): Suite 230 - 55 Murray Street, Ottawa ON K1A 0E4, Tel: (613) 996-6220, Email: [email protected], www.climatechange.gc.ca/english/team/ CBRN Research and Technology Initiative (CRTI) 305 Rideau St., Ottawa, ON K1A 0K2; (613) 996-2350; [email protected] http://www.crti.drdc-rddc.gc.ca/ Natural Science and Engineering Council of Canada (NSERC) 350 Albert St; Ottawa ON K1A 1H5 (613) 995-5992; [email protected]; www.nserc.ca Scientific Research and Experimental Development (SR&ED) www.ccra-adrc.gc.ca/sred
Renewable Energy Tax Incentives Administered by NR Can, Mr. Tom Jewett, Industrial Applications Officer, CANMET Energy Technology Centre, NRCan, (613) 996-0890, [email protected] ; www2.nrcan.gc.ca/es/erb/ Contact Information Environment Canada o Funding Program Guide: http://www.ec.gc.ca/fund_e.html o C2T2 contact: Tony Kosteltz, (613) 953-2844, [email protected] o ISD email: [email protected] Industry Canada o Guide to Programs: http://www.ic.gc.ca/cmb/welcomeic.nsf/icPages/Programs o Atlantic Canada Opportunities Agency: http://www.acoa.ca/ o Federal Economic Development Initiative for Northern Ontario: http://www.fednor.ic. gc.ca o Assistance for S&T Research: http://strategis.ic.gc.ca/epic/internet/inrti-rti.nsf/en/h_te02568e.html o Guide to Government Services and Support for Small Business: http://strategis.ic.gc.ca/sc_mangb/smeguide/ Natural Resources Canada o Contact: Rudy Lubin, Technical Info Officer, NRCan, (613) 996-6220, rudy. [email protected] o Programs: Renewable Energy Deployment Initiative (REDI):
www2.nrcan.gc.ca/es/erb/english/View.asp?x=469&oid=111 Wind Power Production Incentive (WPPI): http://www.canren.gc.ca/wppi Industry Energy R&D Program (IERD): www.nrcan.gc.ca/es/etb/cetc/cetc01/htmldocs/funding_programs_ierd_e.html Emerging Technologies Program (ETP): www.nrcan.gc.ca/es/etb/cetc/cetc01/htmldocs/funding_programs_etp_e.html Renewable Energy Technologies Program (RETP): www.nrcan.gc.ca/es/etb/cetc/ cetc01/htmldocs/funding_programs_retp_e.html Market Incentive Program (MIP): http://www2.nrcan.gc.ca/es/erb/english/View.asp?x=457 Canada Economic Development (for Quebec Regions): http://www.dec.gc.ca Western Economic Diversification Canada: http://www.wd.gc.ca
Mayland, C. Leblanc, and E.M. Merlo, Experiment on the automatic detection of function clones in a software system using metrics, Proc. International Conference on Software Maintenance 96, pp.244-253, Nov. 1996. 
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