New crown agency announced to drive private sector R&D investment
The federal government announced it will launch a new crown corporation to assist Canadian businesses to innovate, develop and protect their intellectual property.
Funded through annual transfers, with an initial budget of $2.6 billion over four years, the Canada Innovation Corporation (CIC) aims to address low levels of investment in R&D and support businesses to commercialize, grow, and create good jobs in a changing global economy.
News of the crown corporation is good news for the Canadian construction industry, which has been calling on the federal government to increase investment and provide confidence to members to invest in new technology.
The funding will come from a previously announced Budget 22/23 investment of $1 billion, with the rest coming from the new corporation adopting other bodies, such as the Industrial Research Assistance Program (IRAP).
The new crown corporation seeks to:
- Quickly deliver funding, between $50,000 and $5 million, to small and medium projects. Large projects requiring extensive research can qualify for a contribution as large as $20 million.
- Allocate funding for research and development to individual projects based on results in the real economy.
- Generate and retain tangible assets in Canada.
- Deliver advisory services: Educating, helping, and connecting businesses between different sectors and academia to maximize R&D exposure.
- Develop a strategy team to conduct impact evaluation for ongoing programs, partnering with Canadian businesses to build awareness of emerging opportunities.
Governed by a board of directors and CEO chosen from the private sector, CIC will be operationally independent from the federal government to allow for quick, politically impartial decisions based on private sector experience. However, CIC will be accountable to Parliament through the Minister of Innovation Science and Industry.
CCA will monitor developments as details on the operations and recruitment of its board and CEO will be announced in the coming months.
If you have any questions, please contact Louis-Philippe Champagne, Director of Government Relations and Policy.