B.C. tops for support of clean tech

But it could do more to support exports, Pembina Institute says

B.C. is among the leading Canadian provinces for boosting clean technology companies, but it falls short in providing support for clean tech exports, according to a Pembina Institute report released Wednesday.

“B.C. had the third largest number of policies in place (to support clean tech) but it lacks a concentrated strategy on the sector itself,” report author Penelope Comette said in an interview. Ontario, Quebec and B.C. had the most policies supporting the clean tech industry while Saskatchewan, Manitoba, New Brunswick and P.E.I. had the least.

Clean tech companies design, develop and manufacture clean technologies and provide supporting services in areas such as renewable energy, recycling, green transportation, information technology and green building design.

The report said B.C. fares well in creating domestic deployment opportunities and encouraging business growth of clean tech firms, but offers few programs that provide business support for export programs, such as loan guarantees and insurance programs for exporters.

Comette said B.C. has trade commissioners who can help build relationships in foreign markets and noted B.C. recently signed a memorandum of understanding in China that promotes its clean tech companies.

“But Quebec and Ontario are doing more financing for their export companies and they have export-specific strategies for clean tech,” she said. “They are more actively pushing that sector abroad than B.C. is.”

Comette said the province could better support clean tech firms by “reinvigorating” the Innovative Clean Energy (ICE) fund, which supports clean energy projects through a levy on certain energy sales.

She said the fund started out with $26 million but now has about $6 million. ICE fund money supports B.C. initiatives such as the clean energy vehicle program, public sector energy partnerships and energy efficiency and conservation programs.

The report said Canadian clean tech exports represent more than one per cent of a $1-trillion global industry and the percentage of Canadian firms that are exporters is projected to grow to 85 per cent this year from 68 per cent in 2013.

But a recent report from Analytica Advisors said Canada’s market share of the global clean tech sector has declined by 41 per cent since 2005 and Canada is the world’s third greatest loser of market share since 2008, behind the U.K. and Japan.

The Analytica Advisors report, released earlier this month, said more than 800 Canadian clean tech firms collectively employ about 50,000 people and estimated the industry is worth $12 billion annually in Canada.

It said that if Canada achieved its “fair share” of the global clean tech industry — about 2.5 per cent — it would be worth $50 billion annually by 2022.