Party commitments focus on manufacturing, automotive, clean tech and aerospace

Mark Henderson
September 24, 2015

Parties rolling out S&T election pledges

Canada's main political parties are rolling out a series of science and technology pledges even though their policy platforms have yet to be released. From clean tech and space (Liberals) to space and automotive (New Democrats) and manufacturing and cancer research (Conservatives), the announcements are an indication that S&T is finding space on party election platforms as part of larger efforts to grow and diversify the economy.

S&T's increased visibility is due in part to the collapse in prices for natural resources. That reality has prompted the opposition parties to argue for stimulating economic activity by supporting other areas of the economy they say have been largely ignored under the Conservative government. The manufacturing sector has come under particularly close scrutiny as the bulk of companies (and jobs) are located in the highly contested electoral ridings of southern Ontario.

Science policy and science integrity have also emerged in recent days. The Liberal Party announced its Stand Up for Science Plan to "let scientists speak freely and make their research available tom the public" — a stand that has been echoed by the NDP.

RE$EARCH MONEY has collected the S&T commitments of the major parties to demonstrate how research and innovation are being touted during the election campaign.

Manufacturing

Not surprisingly, all parties have pledged to revive the slumping manufacturing sector, which still provides many innovative careers despite losing upwards of 400,000 jobs in recent years.

The Conservative Party has rolled out a number of proposed initiatives targeting the sector under an ongoing Manufacturing Strategy. These include: the creation of an Advanced Manufacturing Hub in Burlington ON based on the German Fraunhofer model, at a cost of $30 million; establishment of an Investment and Trade Promotion Office to coordinate federal programs and attract new product mandates to Canada; and, the creation of a $100-million Manufacturing Technology Fund to support large, pre-commercial advanced manufacturing projects.

The NDP has committed to unspecified "targeted investments" in manufacturing which it notes is the largest R&D spending sector in the country.

The Liberal Party points to enhancements in the Scientific Research & Experimental Development (SR&ED) tax credit program and other financial instruments as broad measures that will assist the manufacturing sector is becoming more innovative and competitive (see below).

Mining

The Conservative party would extend the Mineral Exploration Tax Credit for three more years beginning in FY16-17, which provides a 15% credit to assist firms in raising capital "by providing an incentive to investors in flow-through shares" It would also introduce a 25% Mineral Exploration Tax Credit to offset high costs in remote and Northern projects. The credit would apply to projects in Ontario's Ring of Fire and Plan Nord in Quebec.

Clean Tech

The Liberal party was first out of the gate in August with a pledge to invest $200 million in clean technology, targeting forestry, fisheries, mining, energy and farming. Liberal leader Justin Trudeau said his party would provide an additional $100 million to organizations that "support the emergence of clean technology in Canada, including Sustainable Development Technology Canada".

Aerospace

The Liberal and NDP parties support the prompt development of a Long-Term Space Plan (LTSP) to guide policies and investments in the sector. The Conservative government, having promised a new LTSP, instead produced a space policy framework which doesn't include details on how the sector will be supported over the next five to 10 years. Earlier LTSPs were instrumental in building up the space sector and incenting private sector participation in the 1990s.

Science policy

The NDP, Liberal and Green parties have all endorsed the concept of an office to provide non-confidential science advice to Parliamentarians. The opposition parties also pledged to either create a chief science officer, a Parliamentary science officer or both. The parties were responding to a questionnaire from the science advocacy group Evidence for Democracy (E4D). The Conservative party did not respond. The Liberal, NDP and Green parties have also committed to "unmuzzle" government scientists who they say are being prohibited from discussing their research in a free and open manner.

Government Science Capacity

In response to the E4D questionnaire, the opposition parties pledged to either reverse cuts to government science or ensure stable, predictable funding required to fulfill departmental and agency mandates. The Liberal party would "build the federal government's capacity to deliver on evidence-based decision-making and reinvest in the federal government's science and research capacity". It also commits to making Statistics Canada "fully independent" and restoring the long-form census — a position supported by the NDP and Green parties.

SR&ED

The NDP is critical of Conservative legislation narrowing the range of R&D activities eligible under the SR&ED tax credit program. It has pledged to introduce an Innovation Tax Credit for use by firms to invest in machinery, equipment and property used to conduct R&D. Capital expenditures were eliminated from SR&ED eligibility in 2013 as recommended by an expert panel on federal support for R&D chaired by Tom Jenkins (R$, October 17/11 & November 9/12).

Labour-sponsored VC

The Liberal party has committed to restoring the Labour Sponsored Venture Capital Tax Credit, which is being phased out between 2015 and 2017. The party argues that the 15% federal LSVCC is an example of "inclusive capitalism, bringing together individual investors, labour unions, and small- and medium-sized enterprise".

All parties have pledged to announce further S&T and innovation commitments in the coming weeks. RE$EARCH MONEY will continue its election coverage in the next issue and on-line.

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