White Paper released ITAC tables recommendations to stimulate Canada’s innovative capacity

The Information Technology Association of Canada (ITAC) has targeted strategic skills investment, the completion of a national broadband network and government-on-line initiatives as the top priorities for the federal government in the coming year. In its recently released White Paper —Toward A Culture of Innovation — the national lobby organization also calls for the creation of a “national task force on the advancement of Canadian innovation” to ensure that Canada’s innovation objectives are not lost in the confluence of competing priorities.

The White Paper is being released at a time of considerable change within ITAC, as the 52-year-old association expands its scope to include the microelectronics and Internet sectors (see story page 3). It also coincides with a delay in the long-awaited Innovation Paper, prompting ITAC to attach a brief forward to the document. The preface calls for balance and urges government to proceed with its national innovation initiative, pointing out that Canada’s strength during the World War II was based on significant technological breakthroughs of the era.

Economic concerns are also taken into consideration in the White Paper. The areas singled out by ITAC for funding are seen as a minimum investment in lean times.

“The broadband initiative is $1.5 billion over five years but that’s all levels of jurisdiction. The federal government could achieve it with $200 million a year which is not a lot. Government-on-line had received some funding but it needs about $250 million in new money,” says ITAC president Gaylan Duncan. “Both broadband and government-on-line are two commitments made by government and they’re not new programs. They are announced policy objectives that do not have money set aside.”

Somewhat more contentious is the $500 million over five years being sought by ITAC for for strategic investment in education. Otherwise known as eMPOWR, the initiative is being given a fresh face and a renewed push to tackle what is viewed as a critical shortage in the number of researchers and skilled personnel in disciplines related to information, communications and related technologies such as microelectronics, photonics and wireless.

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The White Paper notes that university teaching faculties have shrunk in recent years while the demand for systems analysts, programmers and electronic and computer engineers has grown.

“The government has made significant investments in R&D through organizations such as the Canada Foundation for Innovation and Canada Research Chairs. These are worthy programs, but they deliver a broad brush rather than (a) strategic approach to R&D investment,” the Paper states. “Given our limited resources, we must be prepared to make tough choices about which disciplines should take priority.”

“Strategic is the key word,” says Duncan. “We’re not trying to be exclusive or inclusive but when you look at the sectors covered by eMPOWR, they contribute 30% of GDP growth while they are receiving only 3% of the Canada Research Chairs.”

Most of the White Paper’s other recommended initiatives pertain to the broad business climate and the need to improve management practices, raise Canada’s visibility as an innovative nation, improve access to capital and continue with corporate tax reduction.

Duncan says government has made a good start and should stick with its multi-year corporate tax reduction schedule to realign Canada with the US. He points to the landmark work by economist and CD Howe president Jack Mintz, which he contends is continuing to gain acceptance.

But while these initiatives are considered priorities by ITAC, Duncan is under no illusions that security and the economic slowdown will dominate in the months to come.

“I’d like to see innovation suck up the security dollars when they are spent, and we’re also saying no deficit. I’m not making it easy for the Finance minister,” he says. “The potential for innovation to address security issues is tremendous, so I hope we don’t go shopping in the US. We have great encryption systems and public key infrastructure capabilities among other things.”

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