Dion unveils major strategy platform for innovation and commercialization

The surprise winner of the Liberal leadership race also has the most comprehensive and developed policy platform for innovation and commercialization (I&C). Stéphane Dion's strategy, entitled From the Lab to the Market: Stéphane Dion's Innovation and Commercialization Plan, contains a wide range of new initiatives that build upon the policies of the Martin and Chrétien governments, with an emphasis on sustainability and small- and medium-sized enterprises (SMEs).

Largely unremarked upon when it was released October 12th, Dion's I&C plan now takes on new significance with his up-the-middle win at the Liberal leadership convention on December 3rd. Working within existing structures, Dion proposes a series of initiatives to address three challenges he contends must be met if Canada is to enjoy continued economic success, prosperity and sustainability. The document does not provide a costing of the proposed initiatives, although a cursory examination suggests they could carry a hefty price tag.

INTERDISCIPLINARY COLLABORATION

The platform outlines three initiatives to encourage greater interdisciplinary collaboration. The Interdisciplinary Sustainability Fund would bring together scientific, social and economic disciplines to tackle complex issues such as energy, climate change and global health challenges. The fund would be co-chaired by the granting councils and used as a template to launch interdisciplinary funds in other areas.

The Canadian Grand Challenges Program — inspired by the Grand Challenges in Global Health initiatives launched by the Bill and Melinda Gates Foundation and the Canadian Program on Genomics and Global Health — would outline challenges and invite research teams to develop project proposals.

Dion would also reinstate the previous Liberal government's 5% R&D commitment to address the needs of the developing world. The target would initially apply to federal R&D spending with a longer-term objective of 5% of total R&D spending and focus on health and sustainable and environmental technologies such as remediation technologies for unsafe drinking water, diagnostic and treatment technologies for HIV/AIDS and other diseases, and renewable, distributed energy solutions.

COMMERCIALIZATION

The Dion strategy acknowledges that the gains made through increased research spending must be moved more effectively into the private sector. It cites the recently released study by the Council of Canadian Academies, which concludes that "Canada is lagging in the translation of research strength to innovation strength" and proposes five initiatives in this area. They include:

* boosting funding through the granting councils for technology transfer offices to ensure a uniformly high level of service;

* moving to a common system of intellectual property allocation across institutions;

* a talent and research fund for international study administered by the granting councils;

* strategic technology networks and partnerships with emerging market nations; and,

* creating sector technology councils to provide input to government from all relevant sectors in areas such as nanotechnology, biotechnology and telecommunications.

INCREASE BUSINESS R&D

The Dion strategy also wades into the toughest challenge facing Canadian policy makers — developing effective mechanisms to boost private sector R&D spending.

"Great success is not possible without an equal potential for failure," states the strategy. "If we are to grow the next generation of successful Canadian entrepreneurs we must develop and implement policies that celebrate success while providing mechanisms to overcome the move beyond initial failures."

The document proposes four initiatives:

* tax cuts for innovative SMEs via a 15% tax credit for early-stage, high-risk angel investors, and extending the refundability of the federal R&D tax credit to all SMEs performing R&D in Canada;

* an Innovating Entrepreneurs Program aimed at youth;

* an SME R&D support program similar to Battelle Science and Technology International. It would link Canadian research capacity in green technologies and renewable energy to Canadian companies large and small; and,

* a Canadian Small Business and Innovation Research Program as recommended by the Joseph Rotman-led Expert Panel on Commercialization. The program would allow federal departments and agencies to compete for funding above their existing research budgets by engaging in projects in partnership with Canadian SMEs.

While the Dion plan can be seen as an endorsement and extension of previous Liberal S&T policies, it also incorporates proposals made by the aforementioned Expert Panel on Commercialization, the Conference Board of Canada and Council of Canadian Academies, the Univ of Toronto Joint Centre for Bioethics and others.

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