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Industry Canada

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The Honourable Maxime Bernier
Minister of Industry Canada

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1. Section 1: Overview of the Department
   1. 1.1 Minister's Message
   2. 1.2 Management Representation Statement
   3. 1.3 Industry Canada's Program Activity Architecture
   4. 1.4 Summary Information
   5. 1.5 Departmental Plans and Priorities
   6. 1.6 Industry Canada's Management Priorities
      
      
2. Section 2: Analysis of Program Activities by Strategic Outcome
   1. A Fair, Efficient and Competitive Marketplace
   2. An Innovative Economy
   3. Competitive Industry and Sustainable Communities
      
      
3. Section 3: Supplementary Information
   1. 3.1 Financial Summary Tables
      
      
4. Section 4: Other Items of Interest
   1. 4.1 Section 41, Official Languages Act
      
      
5. Appendix

Section 1: Minister's Message

As Minister of Industry, I am proud to present this report on Industry Canada's Portfolio initiatives that encourage economic growth and prosperity in Canada. Through the programs of Industry Canada and its Portfolio partners, we work to ensure that Canada has the necessary infrastructure and frameworks in place to foster a culture of research, innovation and adaptability.

Today, we face an economic environment characterized by blurring borders, complex and interconnected supply chains, and increasing competition from emerging markets. For the Canadian economy to thrive and prosper, a strong economic union capable of adjusting quickly — with a mobile, highly skilled workforce and barrier-free economy — will be more important than ever.

Looking ahead, we see the need to continue modernizing and improving Canada's marketplace frameworks — the critical ground rules that ensure stability, equitable conduct and competition for businesses, consumers and investors. Used strategically, the right frameworks encourage investment in innovation, afford easier access to capital, support risk-taking and entrepreneurship, and ensure the efficient and productive allocation of resources.

We are working to reduce the barriers to entry to Canadian markets, encourage foreign direct investment and reinforce business confidence and consumer trust in the conduct of commerce. These activities will help ensure that Canada is at the forefront of technological change and competes successfully in a highly competitive international environment.

One way in which the Government of Canada encourages innovation is by promoting research and development. And the need for innovation across the Canadian economy — including in the areas of health care, productivity and the competitiveness of Canadian firms — continues to rise.

The work of the Department and its Portfolio partners is setting the stage for Canadian companies to seize the opportunities that present themselves, enabling them to leverage and showcase Canadian innovation and expertise in the global marketplace.

This report describes the Department's initiatives to achieve our goals and objectives over the next three years, as we continue to build an economy for the 21^st century.

It is my pleasure to present the Report on Plans and Priorities for Industry Canada.

Maxime Bernier
Minister of Industry

1.2  Management Representation Statement

I submit, for tabling in Parliament, the 2006–2007 Report on Plans and Priorities (RPP) for Industry Canada.

This document has been prepared based on the reporting principles contained in the Guide for the Preparation of Part III of the 2006–2007 Estimates: Reports on Plans and Priorities and Departmental Performance Reports:

• It adheres to the specific reporting requirements outlined in the TBS guidance;
• It is based on the Department's approved accountability structure as reflected in its Management, Resources and Results Structure (MRRS);
• It presents consistent, comprehensive, balanced and reliable information;
• It provides a basis of accountability for the results achieved with the resources and authorities entrusted to it; and
• It reports finances based on approved planned spending numbers from the Treasury Board Secretariat in the RPP.
  
  

	Richard Dicerni Deputy Minister
	Date

1.3  Industry Canada's Program Activity Architecture

To strengthen accountability and reporting, the Government of Canada uses an integrated expenditure system called the Management, Resources and Results Structure (MRRS). A key component of the MRRS is the Program Activity Architecture (PAA), which links resources to strategic outcomes. Importantly, PAAs also establish performance measures for reporting to Parliament, thus linking areas of expenditure with performance.

Conceptually, a PAA is an inventory of all the programs and activities undertaken by a department or agency. The programs and activities are organized in a logical and hierarchical relationship to each other and to the strategic outcomes to which they contribute. A strategic outcome is a long-term and enduring benefit to Canadians that stems from a department's or agency's mandate and vision. It represents the difference a department or agency intends to make for Canadians and should be measurable and within the department's sphere of influence.

Industry Canada's strategic outcomes are:

• a fair, efficient and competitive marketplace;
• an innovative economy; and
• competitive industry and sustainable communities.
  
  

A PAA may be made up of several strategic outcomes and multiple layers of activities that support it. This is graphically represented as follows:

Industry Canada's PAA links financial and non-financial information, and it articulates how Industry Canada's sectors, branches, programs and initiatives contribute to the Department's three strategic outcomes. In developing its PAA, Industry Canada has to measure expected results and indicators for each activity. These expected results and indicators are presented in this report.

In identifying expected results, Industry Canada is demonstrating its contribution to improving the standard of living and quality of life of Canadians, while recognizing that Industry Canada is only one of many players that have an influence on Canada's economic well-being. It is important to note that PAAs are dynamic structures that reflect the evolving nature of departments and will change to reflect maturing performance measurement approaches.

Over the past year, Industry Canada has updated and realigned its policy and operational agendas. The operational changes have led to reorganization of the branches within the Industry Sector and the Operations Sector to better reflect the Department's priorities and clarify responsibilities. In addition, there has been a consolidation of departmental information management and information technology (IM/IT) functions into the Chief Information Office Sector.

The Policy Sector has also been reshaped to create a more focused Strategic Policy group, and a new Science and Innovation group will better focus on innovation policy in its broadest sense. Additionally, on February 6, 2006, the Prime Minister announced the transfer of the Office of the Registrar of Lobbyists from the Industry Portfolio to the Treasury Board Portfolio as a stand-alone office. The transfer will be reflected in the 2006–2007 Supplementary Estimates and the 2007–2008 Annual Reference Level Update.

In May 2006, the National Science Advisor (NSA) was transferred from the Privy Council Office to Industry Canada. The NSA supports the mandate of Industry Canada, and this change was in keeping with departments having the overall leadership of policy and program files for which their Ministers are responsible.

The specifics of Industry Canada's PAA and strategic outcomes are addressed in this section of the report. Section 2 provides information on Industry Canada's program activities. Information on the sub- and sub-sub-program activities is provided in the Appendix.

1.4  Summary Information

Industry Canada's Mandate

The Department's mandate is to help make Canadians more productive and competitive in the global economy, thus improving the standard of living and quality of life in Canada. Industry Canada's policies, programs and services help grow a dynamic and innovative economy that achieves the following:

• provides more and better-paying jobs for Canadians;
• supports stronger economic growth through continued improvements in productivity and innovation performance;
• gives businesses, consumers and investors confidence that the marketplace is fair, efficient and competitive; and
• integrates the economic, environmental and social interests of Canadians.
  
  

Industry Canada will continue to work to foster growth and create high-quality, well-paying jobs through its strategic outcomes:

• a fair, efficient and competitive marketplace;
• an innovative economy; and
• competitive industry and sustainable communities.
  
  

These three strategic outcomes are mutually reinforcing. Sound marketplace frameworks help establish a business environment that supports innovation, investment and entrepreneurial activity. Fostering innovation in science and technology helps ensure that discoveries and breakthroughs happen here in Canada, and that the social and economic benefits of these innovations contribute to improving Canadians' standard of living and quality of life. Encouraging investment in technology will help Canadian businesses to compete in the global marketplace and increase opportunities for trade. Successful businesses combined with a sound environment form the sustainable communities that attract investment. Taken together, the Department's strategic outcomes support growth in employment, income and productivity, and promote sustainable development in Canada.

This Report on Plans and Priorities provides information about how Industry Canada will support the broad goals of the Government of Canada by continuing to work with its partners and stakeholders to improve the quality of life of Canadians.

Industry Canada Organizational Information

Industry Canada's organizational chart illustrates the Department's accountability structure. Included in the chart are the number of full-time equivalents for each organization.

Enlarge image

Industry Canada's Financial and Human Resources

The following two tables present Industry Canada's financial and human resources over the next three fiscal years.

Financial Resources: Total Planned Spending (millions)

2006–2007	2007–2008	2008–2009
$1,357.7	$1,087.9	$985.0

Human Resources (Full-Time Equivalents)

2006–2007	2007–2008	2008–2009
6,104	6,067	6,059

Summary Table of Priorities by Strategic Outcome

The following table presents Industry Canada's priorities by strategic outcome. The strategic outcomes represent the top level of the Department's PAA; in other words, they are the enduring benefits that Industry Canada strives to achieve for Canadians. The indicators included allow Industry Canada to measure its contribution to these outcomes. Overall, measurement allows the Department to see how well it is doing and where adjustments need to be made. The table also provides the financial and human resources allocated to each strategic outcome over the next three fiscal years.

Strategic Outcome
A fair, efficient and competitive marketplace
Indicators: Barriers to competition Regulatory and administrative opacity
Sectors/organizations whose program activities support this strategic outcome Policy Sector Operations Sector Spectrum, Information Technologies and Telecommunications Sector Office of Consumer Affairs Competition Bureau Canadian Intellectual Property Office — Revolving Fund
(for more information, see Section 2)
Planned Spending and Full-Time Equivalents*
2006–2007		2007–2008		2008–2009
$201.9M	3,208 FTEs	$174.0M	3,253 FTEs	$187.8M	3,253 FTEs
Priority: Continuing to modernize marketplace frameworks in support of a highly competitive and innovative economy for the benefit of all Canadians
(ongoing)			(see details)
Strategic Outcome
An innovative economy
Indicators: Government expenditure on R&D Gross domestic expenditure on R&D (GERD) as a percentage of gross domestic product (GDP) University–industry collaboration in R&D Investment in venture capital
Sectors/organizations whose program activities support this strategic outcome Policy Sector Industry Sector Spectrum, Information Technologies and Telecommunications Sector Communications Research Centre Canada Technology Partnerships Canada
(for more information, see Section 2)
Planned Spending and Full-Time Equivalents*
2006–2007		2007–2008		2008–2009
$622.7M	732 FTEs	$495.7M	752 FTEs	$456.9M	752 FTEs
Priority: Ensuring the strategic allocation of resources
(ongoing)			(see details)
Priority: Supporting the generation and commercialization of knowledge
(ongoing)			(see details)
Strategic Outcome
Competitive industry and sustainable communities
Indicators: Investment in machinery and equipment as a proportion of GDP Use of information and communications technologies (ICTs)
Sectors/organizations whose program activities support this strategic outcome Policy Sector Operations Sector Industry Sector Spectrum, Information Technologies and Telecommunications Sector
(for more information, see Section 2)
Planned Spending and Full-Time Equivalents*
2006–2007		2007–2008		2008–2009
$533.2M	961 FTEs	$418.2M	860 FTEs	$340.3M	849 FTEs
Priority: Implementing strategic frameworks for priority industrial sectors that have an important impact on the Canadian economy
(ongoing)			(see details)
Priority: Working with Canadians to position them to take advantage of economic opportunities, support business development, provide long-term growth and promote sustainable development
(ongoing)			(see details)

* FTEs not including Corporate and Management Services.

1.5  Departmental Plans and Priorities

This section provides more detail on the Department's high-level priorities, presented by strategic outcome in the table on the preceding pages. It explains why these priorities are important for Industry Canada in delivering on its mandate. Further details on the Department's plans to achieve the priorities for this planning period, including how some specific programs and initiatives will contribute to these plans and priorities, follow in Section 2.

Strategic outcome: A fair, efficient and competitive marketplace

A fair, efficient and competitive marketplace creates a business environment that provides incentive for innovation and economic growth, and supports individual Canadians.

In order for the marketplace to be responsive, foster confidence, attract investment and support consumers, marketplace frameworks need to promptly and appropriately address illegal and fraudulent marketplace behaviour, encourage innovation, and minimize unnecessary regulatory burden. In a 21^st-century economy, the evolving marketplace, economic fluctuations and deregulation are among the many factors that necessitate the continual review of services, interventions and tools.

Part of the Government of Canada's economic strategy is to provide streamlined access to government services to make it easier for both businesses and consumers to do business in Canada. This includes a transparent and predictable regulatory system that accomplishes policy objectives while mitigating unintended impacts, as well as providing an up-to-date legislative framework for business.

Priority: Continuing to modernize marketplace frameworks in support of a highly competitive and innovative economy for the benefit of all Canadians

Sound marketplace frameworks create the conditions for entrepreneurship, innovation, investment and competitiveness. They are also essential for wealth creation, and they give Canadians the means to make appropriate and informed individual and societal choices. Further growth of Canada's knowledge and information economy requires new rules and the elimination of old ones to deal with unprecedented innovations and technological developments. A dynamic and competitive marketplace provides clear, transparent and predictable rules for all players, and balances incentives for investors and entrepreneurs with fairness for consumers. Effective marketplace frameworks encourage the creativity that leads to innovation, and they determine the conditions within which all sectors of the economy operate.

Industry Canada will continue to adapt key marketplace frameworks in support of an innovative economy. The Department will also work to harmonize the regulatory system, thus reducing duplication and regulatory overlap.

Industry Canada and its marketplace service organizations will concentrate their efforts on improving marketplace programs and services, increasing education and awareness, and enhancing compliance and enforcement with marketplace rules and regulations.

Strategic outcome: An innovative economy

An enhanced quality of life, better-paying jobs and the capacity to support social goals require an innovative and competitive economy. To meet the challenges of the 21^st century, a country must be able to generate and apply knowledge, and develop new products or processes based on the knowledge acquired. In today's knowledge-based economy, innovation is a key driving force in creating wealth and economic growth for Canadians. Innovation is also critical for making improvements in eco-efficiency and ensuring progress on sustainable development.

Priority: Ensuring the strategic allocation of resources

Competing in a knowledge-based economy requires the development, application and diffusion of strategic, enabling technologies, such as information and communications technologies (ICTs). Enabling technologies have broad application, yielding opportunities for competitive improvements across numerous sectors.

Canadian firms' investment in leading-edge machinery and equipment is relatively low by Organisation for Economic Co-operation and Development (OECD) standards. A key challenge for Canada's economic agenda is to foster a business environment that will stimulate greater investment in the creation and adoption of enabling technologies.

Priority: Supporting the generation and commercialization of knowledge

For Canada to live up to its innovation potential, it must continue to support the creation of knowledge, as well as support the transfer of scientific and technological advances made possible by university and government research into the private sector.

The private sector in Canada has a significant role to play in harnessing the social and economic benefits of R&D, through the commercialization and adoption of technology. Unfortunately, commercialization by Canada's private sector continues to lag behind that of leading OECD member countries. To improve Canada’s commercialization performance and the global performance of our firms, and to take full advantage of Canada's strong and diverse knowledge base, the Department will review government support in the areas of research and commercialization.

Strategic outcome: Competitive industry and sustainable communities

Competitive industries and sustainable communities are vital to any country that aims to ensure continuous economic growth and a high quality of life into the future. The competition for investment, skilled workers and customers has never been more intense than it is today. Canada has performed well over the past decade in this environment. Investments in public R&D and in the skills of Canadians are paying off. Despite Canada's recent gains, however, emerging economies in countries such as China and India are forcing us to improve our competitiveness even further.

Economic growth also depends on international trade and access to foreign markets. More than any other G8 country, Canada relies on international trade for economic growth: almost 50 percent of our GDP results from international trade. Promoting investment in the development of value-added industries, particularly in key sectors, creates jobs and strengthens Canadian communities. New trade opportunities evolve from successful investments, and both new investment and reinvestment are crucial for industry to achieve Canada's sustainable development goals.

Industry Canada will continue to seek ways to help improve the competitiveness of Canadian businesses, improving innovation and strengthening competitiveness. Industry Canada will also work closely with the Department of Foreign Affairs and International Trade (DFAIT) on Canada's trade and investment negotiations to facilitate access to export markets for Canadian products, contribute to the development of rules governing international trade, and ensure that Canada's approach across a range of international forums reflects our domestic industrial agenda.

Priority: Implementing strategic frameworks for priority industrial sectors that have an important impact on the Canadian economy

Industry Canada will continue to pursue a variety of initiatives aimed at maintaining the competitiveness of Canadian businesses.

Ensuring that Canadians acquire the skills that are highly valued by growing, innovative companies is a vital component of the Department's strategy. Industry Canada will work with businesses to ensure access to foreign markets, improve innovation and strengthen competitiveness.

Priority: Working with Canadians to position them to take advantage of economic opportunities, support business development, provide long-term growth and promote sustainable development

The foundation for Canada's economic development is provided by small and medium-sized enterprises (SMEs). As their operating environment becomes increasingly competitive, Industry Canada remains committed to undertaking research and analysis in order to understand the challenges and opportunities that SMEs face. Furthermore, the Department will continue to develop programs, policies and services that allow SMEs to respond to these particular challenges and opportunities. As in the past, emphasis will be placed on encouraging growth and productivity improvement, facilitating access to appropriate financing, and promoting trade.

Although progress has been made, more needs to be done to ensure that Canada's prosperity is shared by all communities, including those of Aboriginal Canadians. Industry Canada is working together with Aboriginal Canadians to create the conditions for long-term economic development.

Sustainable development, along with productivity, employment and income growth, is an integral part of growing a dynamic economy. Industry Canada will continue to be guided by the strategic vision of being a leader in the development, commercialization and adoption of sustainable development tools, practices and technologies throughout the economy. This vision reflects the Department's mandate to help Canadians be more productive and competitive in the knowledge-based economy, and thus improve their standard of living and quality of life.

1.6  Industry Canada's Management Priorities

Industry Canada is committed to strengthening departmental management practices, and uses the Management Accountability Framework (MAF) as a tool for advancing its management priorities. In 2006–2007, work will continue on government-wide management priorities and on priorities of the Department's management agenda. Departmental management priorities and initiatives are identified through the MAF's external and internal assessment processes.

A number of initiatives have already been identified for 2006–2007 in key management areas, which include management accountability, values and ethics, human resources, business planning, risk management, information technology and information management, and corporate services. The details of these initiatives are provided in the following.

Federal Accountability Act

On April 11, 2006, the Government of Canada introduced the Federal Accountability Act and Action Plan, delivering on its commitment to make government more accountable. Through the Federal Accountability Act and Action Plan, the Government of Canada is bringing forward specific measures to help strengthen accountability and increase transparency and oversight in government operations.

Industry Canada will be working with the Treasury Board Portfolio and other departments and agencies to put in place the measures announced by the government and review departmental management practices to determine ways of reducing unproductive rules and controls and placing greater reliance on the principles of management accountability and transparency. As outlined in the Federal Accountability Action Plan, grants and contributions, procurement, financial management, protection measures for disclosure of wrongdoing, and professional excellence of the public service will be the areas of particular focus over the coming year.

Values and Ethics

For several years now, the Department has identified values and ethics as a management priority, and has undertaken specific initiatives to address this priority. These initiatives include training on the Values and Ethics Code for the Public Service, reaching more than 900 employees; training for high-risk programs; the active ongoing review of conflict of interest and post-employment issues; communications to all employees; and the implementation of processes to deal with wrongdoing and harassment issues.

Building on the work undertaken, Industry Canada will continue to plan and undertake initiatives that will allow the Department to make progress in developing a values and ethics culture and informing employees of their responsibilities. In addition, the Department will develop tools to aid employees and managers in implementing values and ethics in their day-to-day work.

In 2006–2007, focus will be placed on continued training, disclosure protection, provision of guidance to employees, identification and communication of shared values, and development of specific tools for managers and employees.

Integrate Human Resource and Business Planning

Industry Canada's human resource planning process was launched in fall 2005. For 2006–2007, the minimum human resource planning requirement at Industry Canada is a one-year, integrated human resource and business plan, which focuses on the staffing implications of implementing the organization's business strategies. Due to the size and diversity of the Department, "organization" for the purposes of human resource planning is defined as sectors/branches reporting directly to the Deputy Minister or Associate Deputy Minister (11 plans), with the exception of Operations Sector, where 15 separate organizational plans are required.

One of the key challenges associated with the implementation of a formal human resource planning process at Industry Canada is ensuring the integrity of the data provided to managers in support of their planning efforts. The Department has developed branch/sector-level workforce profiles, which include demographic data, as well as statistical data on staffing trends. Steps are being taken to address data integrity issues that currently limit the timeliness and reliability of Human Resources Management System-based reporting. This issue will be a priority to address in 2006–2007.

Modernize Staffing Initiatives for 2006–2007

With the coming into force of the new Public Service Employment Act on December 31, 2005, a new Industry Canada staffing framework also came into effect. The training of sub-delegated managers began in November 2005 and will continue until March 2006 and beyond. In 2006–2007, an analysis of training needs for other target audiences will be conducted, and a training strategy will be developed and implemented accordingly. During this period, a framework to monitor staffing will also be implemented, with a view to ensuring that staffing authorities are being properly exercised. In addition, a review of the Department's staffing framework (policies, guidelines, sub-delegation and accountability) will be conducted to ensure that the framework adequately supports managers in the exercise of their authorities and supports the Deputy Minister with respect to his accountabilities.

Conflict Prevention and Early Resolution

In the context of implementation of the new Public Service Labour Relations Act, the Office for Conflict Prevention and Early Resolution was created within the Human Resources Branch to focus on prevention, self-resolution and the early resolution of disputes. Efforts were concentrated on developing and delivering a two-day workshop for managers, human resource specialists and union representatives to better understand conflict and develop conflict management skills.

For 2006–2007, the priorities for the Office for Conflict Prevention and Early Resolution will be to continue to deliver conflict management workshops; to identify further training needs and develop training programs as required; to develop a conflict management framework (policy and guidelines), including a monitoring and evaluation capability; and to develop partnerships with other organizations to access required services in a timely manner.

Integrated Risk Management

Over the past fiscal year, the Department reached an important milestone and completed the development of a corporate risk profile. The profile identifies a series of key risk areas and corresponding potential risk events and mitigation strategies, grouped under the following five corporate risk areas:

• information technology security
• partnerships — outreach and communication
• stewardship and financial management
• governance
• human resources management and knowledge management
  
  

The development of a risk profile is just one aspect of an ongoing and integrated risk management process. In 2006–2007, Industry Canada will focus on developing an Integrated Risk Management Framework, integrating risk management with existing corporate planning processes, strengthening the governance around risk management in the Department, refining sector-level and corporate profiles, identifying training and outreach needs, and monitoring and reporting on progress.

Strategic Policy

In response to the heightened attention to the policy integration function and strategic policy, the Department has done much work to integrate economic policies and increase the focus on strategic planning. A number of new mechanisms have been initiated that will aid the Department in achieving its policy objectives in 2006–2007:

• The PAA was used as the basis for medium-term planning, and transition work focused on the PAA's strategic outcomes.
• In November 2005, the policy sector was restructured to reinforce Industry Canada's role in setting the national agenda for science and innovation, as well as for industrial development and economic growth, while continuing to have a strong strategic policy function. The sector was split into two distinct groups. One focuses on innovation and science policy. The other provides a strong strategic policy function, working with specialized policy groups across the Department to bring a distinct Industry Canada perspective on industrial and economic development to tables across the government and perform a policy challenge function.
  
  

Strong Stewardship Framework

Industry Canada will continue its efforts to ensure that a strong stewardship framework is in place and adhered to within the Department. A departmental advisory committee on stewardship and management accountability issues will provide advice to senior management on comptrollership issues. This committee, called the Program and Services Board, will maintain high standards of integrity for the review of major investments, while contributing to Industry Canada's learning objectives.

Resource management tools and techniques to be upgraded include strategic management of capital funding, enhanced management reporting and resource allocation processes, and a corporate salary management and forecast system.

IM/IT Governance and Responsibilities at Industry Canada

Information management (IM) and information technology (IT) are foundational to the Department's business. Given this importance, the Department must ensure that it is strongly positioned to make IM/IT investment decisions that are fully consistent with the Department's priorities, maximize efficiencies and provide high levels of service.

Over the course of 2005–2006, a number of changes were made to the structure and governance of IM/IT services in the Department. These changes fundamentally alter the way IM/IT is governed, managed and delivered at Industry Canada.

Day-to-day management of IM/IT is the main responsibility of the Chief Information Office (CIO) Sector, and it is accountable for the overall performance, effectiveness and efficiency of IM/IT services for the Department. Under the new governance structure, an ADM-level IT Governance Committee (ITGC) acts as an oversight body to ensure that decisions related to IT investments are set in a departmental context and that they maximize efficiencies. The ITGC is supported by a DG-level IT Business Planning Committee and a working-level standards and architecture committee.

In line with vesting authority for IM/IT with the CIO and enhancing the management and efficiency of IM/IT decision making, IT functions and staff that had previously been delivered across the Department will be consolidated in the CIO Sector in order to achieve economies of scale and rationalize IT spending. This consolidation occurred in two phases. The first phase was completed in fiscal 2004–2005, and the second phase is ongoing.

Section 2: Analysis of Program Activities by Strategic Outcome

Strategic Outcome: A Fair, Efficient and Competitive Marketplace

Each of the following program activities contributes to the strategic outcome through policy development, programs and initiatives, and service delivery. Both financial and non-financial information is provided for each program activity. The expected results and indicators represent a preliminary attempt at demonstrating how Industry Canada will measure its performance against the results it aims to achieve. Further details on the programs and initiatives mentioned in the text below can be found in the Appendix.

Plans by Program Activity

Program Activity: Policy Sector — Marketplace

Description: Development of marketplace framework policy
Expected Result			Indicators
Development and coordination of policy frameworks that support a fair, efficient and competitive marketplace			Legislative initiatives tabled and approved, aimed at improving Canada's broad marketplace framework (e.g. copyright, insolvency, intellectual property, competition policy)
2006–2007		2007–2008		2008–2009
$9.0M	86 FTEs	$8.6M	86 FTEs	$10.1M	86 FTEs

The Policy Sector, in partnership with other sectors, will continue to undertake a number of initiatives to update the marketplace framework. For example, on June 20, 2005, the government introduced into Parliament Bill C-60, An Act to amend the Copyright Act, with a view to modernizing Canada's copyright framework and making it more responsive to the challenges and opportunities presented by Internet and digital technologies. This would have addressed the short-term priority issues identified in the report entitled Supporting Culture and Innovation: Report on the Provisions and Operations of the Copyright Act, tabled in Parliament in October 2002. Bill C-60 had received first reading prior to the election call on November 29, 2005. The Policy Sector continues to support this initiative and will explore ways to move on these issues at the earliest opportunity.

The Policy Sector, in partnership with the Office of the Superintendent of Bankruptcy Canada (OSB), developed Bill C-55, An Act to establish the Wage Earner Protection Program Act, to amend the Bankruptcy and Insolvency Act and the Companies' Creditors Arrangement Act, and to make consequential amendments to other Acts, which received royal assent on November 25, 2005. The reforms enacted by the Bill will modernize Canada's insolvency system and increase competitiveness. They will come into force on a date after June 30, 2006, yet to be determined, subsequent to further examination of the effects of the Bill to ensure that the goals of the legislation have been met. The reforms, such as those dealing with corporate restructuring under the Companies' Creditors Arrangement Act, aim to provide predictable rules to encourage investment and confidence in the marketplace, while preserving the flexibility of the courts to deal with particular issues, as needed, on a case-by-case basis. The objectives also include streamlining the insolvency process, improving the fairness of the system for all participants, and curbing the potential for abuse. The Minister of Labour and the Minister of Industry support this important reform and have announced their intention to make technical changes to former Bill C-55 prior to bringing it into force.

In November 2004, the Department tabled Bill C-21, which sought to improve the governance of federally incorporated not-for-profit corporations by providing them with additional tools to carry out their work and addressing potential abuses by terrorist or other criminal organizations. The sector will continue to explore options for moving forward with the development of a new corporate law framework for the not-for-profit sector.

The Department will also continue to work to improve the regulatory environment for innovation and competition in high-knowledge industries, such as the pharmaceutical industry, by establishing more predictable and stable rules for the protection of patents.

Efforts are being made under the Paperwork Burden Reduction Initiative to promote the competitiveness and prosperity of small businesses by reducing the paperwork burden imposed on them. The joint private–public sector Advisory Committee on Paperwork Burden Reduction (ACPBR), established in March 2005, is tasked with measuring the cumulative impact of regulatory compliance on small business, identifying concrete initiatives for reducing the burden for small business, and providing advice to the Minister of Industry that will inform regular reporting to appropriate parliamentary committees. The ACPBR and its Secretariat at the Small Business Policy Branch will work to identify and study possible options for reducing paperwork burden. It will also analyze and report on results from the first triennial Statistics Canada Survey of Regulatory Compliance Costs, which was distributed in two parts to more than 30,000 SMEs in fall 2005, and 5,000 business service providers (e.g. bookkeepers, accountants and payroll companies) in winter 2006. Results from the first part of the survey on the internal costs of compliance for SMEs were received in July 2006, and final results on total cost estimates are expected by December 2006. The survey results will provide a benchmark for government to track its progress in reducing paperwork burden.

Program Activity: Operations Sector — Marketplace

Description: Development of instruments and compliance with the marketplace framework
Expected Result			Indicators
Marketplace fairness, integrity and efficiency is protected through regulation and promotion in the areas of insolvency, weights and measures, federal incorporation, and spectrum management			Public confidence in the insolvency system
			Feedback from reviews of sectors where measurement forms the basis for financial transactions
			Year-over-year level of federal incorporations
			Year-over-year number of radiocommunications investigations conducted/resolved by the Regions
2006–2007		2007–2008		2008–2009
$87.0M	1,357* FTEs	$80.0M	1,355* FTEs	$88.9M	1,353* FTEs

* Does not include FTEs for the Canadian Intellectual Property Office.

To ensure that the marketplace continues to foster competitive conditions to attract investment, encourage innovation and protect the public interest, the Operations Sector, through the work of the marketplace service organizations (MSOs), will continue to modernize its framework instruments and their implementation.

Industry Canada's MSOs will continue to be active participants in the Government of Canada's efforts to reduce the regulatory burden. The MSOs will continue to ensure that the marketplace is responsive to stakeholder needs. The MSOs will look at developing cost-effective approaches, such as third-party delivery, alternative case resolution, and voluntary standards and codes, to address marketplace issues and ensure sustainable governance in those areas mandated by various legislative instruments.

To ensure that the marketplace operates fairly, efficiently and effectively, Industry Canada will concentrate its efforts on improving marketplace programs and services, increasing education and awareness, and enhancing compliance with, and enforcement of, marketplace rules and regulations. For example, the OSB will continue to enhance its services by completing another phase of its e-filing system, which will allow trustees to conduct online transactions for ordinary bankruptcies and Division I proposals. The files affected by this phase represent about 5 percent of the total number of files registered annually. This phase will bring to completion the implementation of the system, which is now moving from a development environment to full maintenance mode.

The OSB has implemented a major organizational restructuring in order to achieve the following:

• a proactive risk-based approach for trustee and debtor compliance activities;
• strengthened information management capacity and development of new information services and products;
• improved client services as well as improved outreach capacity to stakeholders, clients and partners; and
• increased management capacity.
  
  

In 2006–2007, businesses, consumers, manufacturers, service providers and appropriate provincial/territorial government agencies will have an opportunity to shape how the accurate measurement of products and services is achieved and monitored in the fish and forestry sectors. The results of extensive stakeholder consultations will provide Measurement Canada with a framework for the establishment of changes to the regulations and requirements that govern measurement in these two sectors. Another outcome will be the identification of modifications to program and service delivery necessary to ensure accurate measurement, at reasonable cost, without compromising the protection of consumers and other vulnerable parties.

The statutes that govern the accurate measurement of products and services in Canada have not been modified significantly for several decades. Measurement Canada will commence preliminary consultations with the manufacturers of measuring instruments (scales, gasoline pumps, and electricity and natural gas meters) and associated key associations, businesses and service providers to obtain their views on required modifications to the Weights and Measures Act and the Electricity and Gas Inspection Act, including the means for minimizing barriers to the introduction of new measurement technology and participation in global markets, and for addressing changing business practices, customer relationships and marketplace dynamics. The broad themes identified as a result of these consultations will serve as the basis for proposed amendments to the statutes.

In 1999, Corporations Canada was one of the first federal government organizations to offer services to clients through an online channel. In this context, two distinct application systems were implemented to offer the online services. The first provides an electronic environment to Corporations Canada employees for processing transactions, and the second is an e-commerce online filing environment with a web-based interface that allows all Canadians to access Corporations Canada services via the Internet.

Given the ever-changing technology, Corporations Canada is modernizing its current systems with a view to implementing one integrated system that will achieve the following:

• address evolving business and client needs;
• explore innovative and efficient ways to serve Canadians;
• provide for security options; and
• expand interdepartmental communications.
  
  

In 2006–2007, the provisions and operations of the Canada Business Corporations Act are required to undergo a parliamentary review. Corporations Canada, along with the Policy Sector, will prepare for that review by considering various issues identified by stakeholders and providing a status report on the operations of the Act over the past five years.

Program Activity: Spectrum, Information Technologies and Telecommunications Sector — Marketplace

Description: Development of regulations, policies, procedures and standards governing Canada's spectrum and telecommunications industries and the digital economy
Expected Result			Indicators
A policy and regulatory framework to govern Canada's radiocommunications and telecommunications infrastructure in support of Canadian marketplace requirements and shape the digital economy			Degree of client satisfaction in the Canadian marketplace with the current policy and regulatory framework
2006–2007		2007–2008		2008–2009
$59.9M	375 FTEs	$46.4M	387 FTEs	$46.4M	387 FTEs

ICTs are powerful enablers across the economy. They drive economic growth, productivity and innovation, and are key to social and economic inclusion. Together, the production and use of ICTs in Canada's economy accounted for more than 60 percent of productivity growth in the late 1990s. And yet, we could be doing much better. Canadian firms invest significantly less in ICTs and e-business solutions than their U.S. counterparts, contributing to more than half of the Canada–United States productivity gap.

Telecommunications

Recognizing the importance of the telecommunications sector to Canada's future well-being, as well as the need for a modern policy framework, the Government of Canada appointed a three-person panel to review Canada's telecommunications policy and regulatory framework and provide a report to the Minister of Industry. As a first step in addressing the issues raised by the panel, on June 13, 2006, the Minister of Industry announced a proposed policy direction that directs the Canadian Radio-television and Telecommunications Commission (CRTC) to rely on market forces to the maximum extent feasible and to regulate, where there is still a need to do so, in a manner that interferes with market forces to the minimum extent necessary. The Department is developing the government’s telecommunications policy agenda based on the advice provided by the Telecommunications Policy Review Panel.

Further to government policy directions, the Canadian Wireless Telecommunications Association has developed an implementation plan for wireless number portability to be launched by mid-2007. The plan is currently undergoing consideration by the CRTC and may require follow-up actions by Industry Canada.

To ensure that Canada has a modern and world-class marketplace framework in the telecommunications sector, the Spectrum, Information Technologies and Telecommunications (SITT) Sector continues to assess the impact of restrictions on foreign investment in telecommunications, the impact of ICTs on productivity, the need for rolling out broadband to remote communities, and the release of more spectrum for wireless application — all areas where the telecommunications panel has also made proposals and recommendations.

Spectrum Management

To continue to foster an innovative Spectrum Management and Telecommunications Program and remain responsive to the marketplace, the SITT Sector has consulted on a renewed Spectrum Policy Framework and advancements of spectrum management. The Department will publish a renewed Spectrum Policy Framework in 2006–2007 to oversee the Canadian Spectrum Management Program. The policy framework will facilitate the adoption of advanced spectrum management practices, and will address issues such as increased flexibility in the use of spectrum resources, the introduction of new technologies, Smart Regulation, access to underutilized spectrum, greater reliance on market-based licensing, and the availability of licence-exempt spectrum. The modernized Spectrum Policy Framework will also assist in advancing Canadian interests in establishing international allocations and regulations, and in the release of new spectrum in response to public safety and the growth of wireless services. In addition, Industry Canada is also conducting a review and redesign of its spectrum information technology systems to help ensure the continuing evolution of the Spectrum Management and Telecommunications Program.

The management of the radio frequency spectrum by Industry Canada provides consumers with confidence that the marketplace is fair, efficient and competitive. This management oversight includes the approval of antennas and their support structures. Antenna structures are essential elements of radio system infrastructure that allow Canadians to benefit from the use of wireless devices and services.

Industry Canada's current antenna tower siting procedures have been in place since 1990. Given the passage of time, the increase in wireless use and the resulting increase in infrastructure, Industry Canada recognized the need to review the current process and so launched the National Antenna Tower Policy Review. An objective of this independent consultation review is to ensure community and stakeholder involvement in updating Industry Canada's current antenna tower siting procedures. The Department has reviewed the final report of the National Antenna Tower Policy Review and is in the process of drafting an update to its procedures. In finalizing these procedures, the Department is giving consideration to the report's recommendations as well as to the comments received through public consultation.

The improved antenna siting process will promote a more efficient and competitive marketplace, while maintaining the balance between wireless access and the environmental considerations that Canadians demand.

To ensure that Canada is at the forefront in terms of new telecommunications services and equipment, engineering work will be carried out as follows. Canadian positions and proposals will be developed for the World Radiocommunication Conference in 2007 to enable new telecommunications services and the manufacture of telecommunications equipment in Canada. Engineering investigations and analyses will be carried out on the vulnerabilities in the access network, which includes wireless fidelity and Worldwide Interoperability for Microwave Access, as well as the transport network, which includes long distance and new services that will become available on the next-generation network. In addition, the DTV (Digital Television) Transition Allotment Plan will be finalized and negotiated with the United States, which will allow for the full implementation of high-definition television in Canada. Furthermore, in order to ensure the safety of Canadians in times of emergency, guidelines will be established concerning radio interoperability for public safety communications for first responders (e.g. police, fire, ambulance) to emergency situations.

Security and Infrastructure Protection

Communications networks play a critical role in alerting about and responding to emergencies and in providing disaster relief (e.g. public safety communications, 911 service, weather warning) to ensure the safety and security of Canadians. Since advanced economies such as Canada's increasingly rely on a variety of complex communications services, there is an increasing need to ensure that the highly developed telecommunications networks supporting such services remain safe from criminals, terrorists and damage from natural disasters. New means of doing business (e.g. e-commerce) create new opportunities for criminals. The underlying communications networks are also an appealing target for terrorists.

In partnership with other government departments, Industry Canada will continue to work to assist law enforcement officials in their efforts to protect Canadians. The Department will also support the necessary R&D impetus within government, industry and academia to sustain the knowledge base required to maintain a sufficient level of cyber-security within an ever-changing threat environment.

E-Commerce and Internet Governance

Developing world-class regulations and policies and supporting international standardization contribute to expanding e-commerce in the Canadian marketplace. E-business is a driving force for economic growth and social development in the knowledge-based economy. It enables Canadian businesses to be competitive at home and abroad by increasing their productivity and innovation potential. To capitalize on the benefits of e-commerce, the Department's goal is to create a world-leading environment that encourages the adoption and growth of e-commerce across all sectors of the economy. Industry Canada will continue to work with its partners to improve confidence in the marketplace by protecting individual privacy and curbing harmful Internet content.

The sector will continue to work in multilateral forums — such as the OECD, the United Nations (UN), the G8, the North Atlantic Treaty Organisation (NATO) and the Commonwealth — as well as bilaterally and trilaterally on critical issues such as Internet governance, the harmonization of marketplace principles for data and privacy protection in Internet use for online commerce, and the security of networks and services for business and the consumer. The continued implementation of the North American Security and Prosperity Agenda, and particularly those elements related to e-commerce, privacy and cyber-security, will contribute to a safer and more secure network economy and digital marketplace.

After the successful conclusion of the two-phased UN World Summit on the Information Society (WSIS) in Tunis, Tunisia, in November 2005, a number of follow-up activities require Industry Canada / SITT participation. The Tunis Summit launched a process toward enhanced cooperation among the organizations responsible for essential tasks associated with Internet governance, to be convened by the UN Secretary-General in 2006. SITT will be engaged in reviews and initiatives undertaken at the International Telecommunication Union, one of the key agencies involved in WSIS follow-up. The sector will also be engaged in the broader reviews of other stakeholder initiatives related to the use of ICTs for development and to the continued deployment of communications infrastructure.

Program Activity: Office of Consumer Affairs — Marketplace

Description: Promotion of consumer interests
Expected Result			Indicators
Strengthened responses to consumer issues			Number of initiatives responding to consumer issues with active engagement of OCA
2006–2007		2007–2008		2008–2009
$5.6M	23 FTEs	$5.0M	23 FTEs	$5.0M	23 FTEs

The Office of Consumer Affairs (OCA) collaborates with other departments and governments, and plays a role in the development of policies and non-regulatory instruments for consumer protection. To enhance consumer protection, the OCA will work toward the harmonization of federal/provincial/territorial consumer policies through the Consumer Measures Committee.

The OCA will continue to work with its governmental partners and other stakeholders to explore appropriate responses to the rapid growth of the payday lending industry and to address the issue of identity theft.

As a follow-up to the Consumer Trends Report, published in July 2005, the OCA has identified the following three areas of research for further exploration: the virtual consumer, sustainable consumption and the vulnerable consumer. Further refinements of research agendas for these areas are now being developed.

The OCA will also continue to seek opportunities to develop cost-effective non-regulatory approaches with other stakeholders to address consumer marketplace issues (e.g. standards, guides, codes of conduct).

In addition, the OCA disseminates consumer information products and services, and contributes to capacity building for the consumer voluntary sector. For example, the OCA will continue to enhance its consumer information website and the major tools that can be found there, such as the Complaint Courier and various calculators. The OCA will further hone its client outreach activities to respond to consumer needs. The OCA is exploring initiatives to make its web presence and its approach to the dissemination of consumer information as effective as possible.

Management of the Contributions Program for Non-Profit Consumer and Voluntary Organizations will also be improved by addressing the recommendations made in the 2004–2005 evaluation study. This program funds consumer groups to perform research on consumer issues affecting the marketplace, to develop policy advice on issues that are both credible and useful to decision-makers, and to reach greater financial self-sufficiency through business planning.

Program Activity: Competition Bureau — Marketplace

Description: Development of and compliance with marketplace frameworks with respect to competition
Expected Result			Indicators
Compliance with legislation under the Competition Bureau's jurisdiction			Extent to which target groups comply with legislation under the Bureau's jurisdiction
2006–2007		2007–2008		2008–2009
$48.1M	406 FTEs	$38.0M	406 FTEs	$38.0M	406 FTEs

Competition Law Enforcement

The Competition Bureau's enforcement priorities are fighting cartels, both domestic and international; promoting fair and accurate information in the marketplace; and combatting fraudulent mass marketing.

Cartels are the worst type of anti-competitive behaviour, and, while the focus in recent years has been on international conspiracies, the Bureau is building capability in regional offices in order to put greater emphasis on combatting domestic cartels. This local presence will enhance the visibility of the Bureau and increase opportunities for the detection of cartel activities.

The Bureau will continue to review mergers and acquisitions to determine whether or not they result in a substantial lessening or prevention of competition. The Bureau's workload increased significantly in 2005 in relation to mergers. Mergers Branch officials have observed an increase in the complexity of the merger transactions that are being reviewed, and they expect that trend to continue.

The Internet is a vast area of commerce. Canadians shop for products and carry out transactions on a daily basis through the web. Although many businesses promote their products in an honest and forthright manner, the opportunity exists for others to promote products by using misleading claims, either on their websites or through email.

Project FairWeb is the Bureau's response to this problem. Launched in April 2004, it is the Bureau's first dedicated Internet surveillance and enforcement program aimed at combatting misleading and deceptive advertising found on the Internet. To date, 458 questionable websites have been identified through the Bureau's Internet sweeps, with notices sent to the most problematic. More than 73 percent of these businesses have either removed the suspect performance claims from their sites or expressed an intent to comply with the Competition Act.

In fighting fraudulent mass marketing, the Bureau will continue its successful work fighting telemarketing fraud and deceptive mail. When businesses do not respond to the Bureau's concerns, enforcement action may be considered, including contested court proceedings.

Policy Development

The Bureau will continue its ongoing work toward the modernization of the Competition Act. A strong and modern competition framework is becoming increasingly important given the trend toward deregulation and the need to respond to new business realities, including growth of the electronic marketplace. The Bureau will therefore explore options for moving forward and will continue to undertake initiatives to modernize the Act in accordance with the changing demands created by new technologies and global markets in the 21^st century.

Competition Advocacy

The Bureau has developed a strategic framework for setting advocacy priorities. The health and telecommunications sectors will be a focus for 2006–2007. The Bureau will also continue its Sector Days initiative to foster Bureau awareness of the latest developments in key industries. By understanding the dynamics and business realities of these markets, the Bureau will continue to be in a position to ensure that its enforcement mechanisms and policy decisions remain relevant to Canadians. Additionally, the Bureau will champion a "culture of competition" in Canada by promoting open, efficient and competitive markets to foster innovation.

Remedies Consultations

In October 2005, the Competition Bureau issued a draft document, entitled Information Bulletin on Merger Remedies in Canada, for public comment. Other international competition authorities have also conducted reviews of their policies on merger remedies in an effort to ensure that remedies remain effective where a merger is likely to prevent or substantially lessen competition.

Members of the public were requested to submit comments and suggestions on the draft information bulletin to the Bureau by January 20, 2006. The Bureau expects to review submissions and post them on its website in the near future, except where confidentiality is specifically requested. The Bureau also expects to consult with members of the competition law bar in a number of major Canadian cities, as well as with antitrust authorities in the United States and the European Union.

The Bureau expects to publish the final version of the information bulletin in 2006–2007.

Post-Merger Review

A number of jurisdictions have begun to conduct ex post reviews of antitrust decisions as a means of evaluating current analytical and investigatory processes, developing best practices, and increasing transparency. The Bureau is in the process of conducting post-merger reviews of certain transactions in order to determine if the Bureau's original analysis and conclusions were well-founded. This will involve a review of current market conditions to assess how the market has evolved following the decision by the Bureau to not challenge the transaction, as well as to assess if the factors that the Bureau relied on in making its decision were correct. Results are expected by the end of the fiscal year, and a public version of the study will be available in the new year.

Fraud Awareness

The Bureau will continue its leadership role as Chair of Canada's Fraud Prevention Forum, a group of more than 70 private sector firms, consumer and volunteer groups, government agencies, and law enforcement organizations committed to fighting fraud aimed at consumers and businesses.

The Bureau's involvement in the International Consumer Protection and Enforcement Network (ICPEN) is another way of furthering the implementation of the guidelines provided in the 2003 OECD Guidelines for Protecting Consumers from Fraudulent and Deceptive Commercial Practices Across Borders, which call for greater cooperation in raising fraud awareness and combatting cross-border fraud.

In fact, the Bureau is recognized by ICPEN and the United Kingdom's Central Office of Information as a leader in public awareness campaigns. For example, the Bureau is currently spearheading efforts to organize an international Fraud Prevention Month. Its purpose is to prevent consumers from becoming victims of fraud through awareness and education, as well as to increase reporting when fraud does occur.

The Bureau is also involved in the ICPEN mass-marketing fraud working group aimed at improving enforcement cooperation in the fight against cross-border deceptive marketing practices.

International Competition Network

The Bureau is committed to participating in the International Competition Network (ICN), which provides antitrust agencies worldwide with a forum for addressing practical antitrust enforcement and policy issues of common concern. With its emphasis on convergence and cooperation, the ICN promotes more efficient, effective antitrust enforcement worldwide.

Program Activity: Canadian Intellectual Property Office — Marketplace

Description: Granting of intellectual property rights and the dissemination of intellectual property information in order to accelerate Canada's economic development
Expected Result			Indicators
Deliver quality and timely intellectual property products and services			Turnaround times for: patents trademarks copyrights industrial design
Increase awareness and use of intellectual property			Percentage of increased awareness and use of intellectual property
2006–2007		2007–2008		2008–2009
($7.7M)	951 FTEs	($4.0M)	986 FTEs	($0.6M)	986 FTEs

The Canadian Intellectual Property Office (CIPO) is a marketplace service organization under the responsibility of the Operations Sector. It is a revolving fund and therefore listed as a separate program activity (for financial information, see Table 8).

In partnership with the Policy Sector, CIPO will undertake further modernization of the intellectual property regime to encourage creativity and innovation, and to promote affordable access to new knowledge for Canadians.

Strategic Outcome: An Innovative Economy

Each of the following program activities contributes to the strategic outcome through programs and initiatives, policy development and service delivery. Both financial and non-financial information is provided for each program activity. The expected results and indicators represent a preliminary attempt at demonstrating how Industry Canada will measure its performance against the results it aims to achieve. Further details on the programs and initiatives mentioned in the text below can be found in the Appendix.

Plans by Program Activity

Program Activity: Policy Sector — Science and Technology (S&T) and Innovation

Description: Development of economic and scientific policy
Expected Result			Indicators
Development and coordination of policy frameworks in support of an innovative economy			Policy proposals that are brought forward reinforce the elements that advance an innovative economy and reflect a coordinated approach based on tools available across the sector
2006–2007		2007–2008		2008–2009
$46.2M	76 FTEs	$45.6M	76 FTEs	$45.6M	76 FTEs

Knowledge that is derived from research and development (R&D) is a key driver of economic growth. The federal government has invested substantially in research performed by federal laboratories, businesses and universities. For example, since 1997, the Government of Canada has more than doubled its annual investments in university R&D. Industry Canada will continue to work on strengthening the university research system, and on maximizing the impact of these investments. This work will be undertaken in collaboration with the federal granting councils, the Canada Foundation for Innovation, which invests in research infrastructure, and others. Budget 2006 provided an additional $40 million per year to the granting councils, $20 million per year for the Canada Foundation for Innovation's Leaders Opportunity Fund, and $40 million per year to support the indirect costs of research at post-secondary institutions.

Investments in Canada's knowledge infrastructure during the past decade have built Canada’s capacity for knowledge creation. However, Canada's commercialization performance and technology adoption rates must improve if we are to remain competitive. The Expert Panel on Commercialization was launched in May 2005 to provide advice on how to ensure that more new technologies and products make their way to the marketplace to benefit all Canadians. The Panel presented its report, entitled People and Excellence: The Heart of Successful Commercialization, to the Minister in April 2006.

Research and analysis on issues of interest to Canadian small businesses will also be undertaken. These activities will include examining the characteristics of high-growth and innovative small businesses, as well as the barriers faced by small business in the development and adoption of innovation and the commercialization of research. Special attention will be paid to venture capital, as it is increasing Canada's ability to commercialize research through investment in SMEs in sectors of growing strategic importance to the economy.

The Policy Sector also provides secretariat support to the Advisory Council on Science and Technology, including research and analysis to support the development of policies related to skills development and the commercialization of research and technology in the knowledge-based economy.

The Council of Canadian Academies (Council), formerly the Canadian Academies of Science, is a not-for-profit organization incorporated in April 2002 under the Canada Corporations Act. The Council is managed by a board of governors drawn from its three founding member academies — the Royal Society of Canada, the Canadian Academy of Engineering, and the Canadian Academy of Health Sciences — together with public governors named by the Council and the Minister of Industry. In July 2005, the Council received a one-time conditional grant from the Government of Canada in the amount of $30 million. Once the Council is fully operational, this will entitle the Government of Canada to receive approximately five assessments per year to better understand the state of scientific knowledge on issues important to Canadians. The Minister of Industry has asked the Council to conduct a short-term, preliminary assessment of Canada's S&T strengths. This will provide a foundation for its future work and inform the development of an S&T strategy.

Over the coming year, the Minister of Industry will be developing an S&T strategy, in collaboration with the Minister of Finance, that will encompass the broad range of government support for research, including knowledge infrastructure. The government will also undertake a review of the accountability and value for money of the granting councils' activities.

Program Activity: Industry Sector — S&T and Innovation

Description: Development of initiatives that stimulate research and development in order to accelerate commercialization in emerging technologies and priority sectors
Expected Result			Indicators
A stronger knowledge-based economy in all industrial sectors			R&D expenditures by industry in selected manufacturing and service sectors
2006–2007		2007–2008		2008–2009
$19.4M	100 FTEs	$9.8M	100 FTEs	$9.8M	100 FTEs

The Industry Sector will work with the Policy Sector to ensure that the federal government's commercialization strategy (including the government response to the Expert Panel on Commercialization) reflects the needs and interests of Canadian industry.

Renewable energy is crucial to Canada's economic development. Renewable energy sectors represent a significant opportunity for industrial development through technology commercialization, supply chain manufacturing and job creation. Expanding global markets present further opportunity for Canadian companies and technology developers.

The 2006–2007 fiscal year will mark the completion of Sustainable Development Strategy (SDS) III and the development of SDS IV. Voluntary leadership initiatives in the areas of waste management, facilities management and fleets offer important tools for delivering on the Government of Canada's sustainable development commitments and on its agenda for the greening of government operations. Industry Canada will examine opportunities for greening its operations in the development of SDS IV.

Government procurement presents an important opportunity to achieve key Government of Canada objectives, including sustainable development, economic and industrial development, innovation, and technology commercialization and diffusion. Industry Canada has traditionally played a role in enhancing the economic benefits to Canada of federal procurement decisions in areas of strategic industrial interest, such as the aerospace, defence and marine industries. This role will continue to be an important pillar of Industry Canada's engagement in the procurement policy process.

Industry Canada's own procurement activities also form an integral part of its commitment to technology commercialization, the greening of operations and sustainable development leadership. The Industry Sector will work with Public Works and Government Services Canada to examine options for greening government operations through procurement policy. The Industry Sector will work with partners to review the Industrial and Regional Benefits Policy, focusing on the aerospace and defence sector and its key future technologies.

The Industry Sector has achieved an internationally recognized level of expertise in the development of Technology Roadmaps. Developed in partnership with industry, Technology Roadmaps build the intellectual foundation for long-term technological advances. By forming alliances and partnerships, they also help advance R&D, innovation and commercialization. A number of Technology Roadmaps have been developed, and work is ongoing on the following: aerospace composites manufacturing, processing and repair; aircraft cabin management systems integration technology insertion; carbon dioxide capture and geological storage; welding; plastics; software; call centres; and the language industry.

Work also continues with industrial, federal and provincial partners on implementing the Technology Roadmap for Bio-based Feedstocks, Fuels and Industrial Products. Initiatives are under way with the forest, agriculture, energy and chemicals sectors to develop new industrial value chains by promoting innovation and the commercialization of sustainable fuels, chemicals and materials made from renewable bio-resources.

On behalf of the federal government, Industry sector is leading the response to the Canadian Manufacturing & Exporters' report entitled Manufacturing 20/20: A Call to Action. This report, delivered to government on February 7, 2005, resulted in the creation of a government-wide interdepartmental manufacturing network. This network will enhance the capacity for reviewing federal public policy on horizontal issues and initiatives that affect the manufacturing sector. Further, a comprehensive compendium of Canadian federal government manufacturing programs and services has been published. This will help better inform the Canadian manufacturing sector of the federal resources available for the priority areas identified by manufacturing stakeholders.

Enhancing the research and analytic capabilities concerning manufacturing will be a key focus for the Industry Sector. A knowledge base and expertise on quantitative and qualitative intelligence providing value-added and impact analysis will be established. The focus will be on trends and sea changes that affect the manufacturing sector as a whole. These will form the basis of input for situational assessments, policy analysis and development, and will provide core business intelligence to senior management and key stakeholders.

The Canadian Biotechnology Strategy (CBS) provides further support to federal science and technology policy. Interdepartmental coordination is managed by the Canadian Biotechnology Secretariat (CBSec), which is housed at Industry Canada. In addition, CBSec provides operational support to the Canadian Biotechnology Advisory Committee, an external forum that undertakes comprehensive analyses, informed by stakeholder consultations, on a range of issues arising from biotechnology and its implications in society.

Budget 2005 committed to strengthening the environment for research in Canada by providing Genome Canada with an additional $165 million for research in genomics, the study of the genetic codes of living things. To date, Genome Canada has invested more than $435 million across Canada. When combined with funding from other partners, this is expected to result in more than $1 billion in funding for 112 innovative research projects and sophisticated science and technology platforms. As referenced in Budget 2005, Industry Canada, on behalf of the government, is undertaking to examine the most appropriate role for Genome Canada and other agencies in providing support for genomics research.

Program Activity: SITT Sector — S&T and Innovation

Description: Support advanced and applied research within the Canadian ICT sector for the development of innovative technologies
Expected Result			Indicators
Improved research capacity and commercialization of ICTs			Accessibility to advanced research across Canada
2006–2007		2007–2008		2008–2009
$2.9M	4 FTEs	$3.0M	5 FTEs	$3.0M	5 FTEs

In order to facilitate significant research activities across Canada and around the world, the SITT Sector, in partnership with industry and academia and through CANARIE Inc., supports the operation of CA*net 4. CA*net 4 is a high-performance network that links research networks and institutions throughout Canada, enabling the country's research community to pursue advanced research across Canada and around the world.

Precarn Incorporated is a national, not-for-profit, industry-led consortium that supports pre-competitive R&D projects in the field of intelligent systems and advanced robotics. Budget 2005 extended the Government of Canada's support for Precarn by providing $20 million for the next five-year phase of its program. This will enable Precarn to maintain its research support and to promote further progress in Canada's intelligent systems and advanced robotics industries.

Program Activity: Communications Research Centre Canada — S&T and Innovation

Description: Conducts research on advanced telecommunications and information technologies to ensure an independent source of advice for public policy and to support the development of new products and services for the ICT sector
Expected Result			Indicators
Develop and maintain a high level of expertise and knowledge in technologies of importance to the Canadian telecommunications sector			Number of scientific publications
			Number of patents
Excellence in government and industrial client support through R&D and advice			Number of research partnerships
			Contracted R&D
			Number of intellectual property licences
2006–2007		2007–2008		2008–2009
$44.1M	412 FTEs	$38.6M	412 FTEs	$38.6M	412 FTEs

Communications Research Centre Canada (CRC) performs R&D on communications technologies of significant importance to Canada: radio, satellite, broadcasting and fibre optics. As a result, CRC is well positioned to provide strategic advice as well as direct assistance for the development of policy, regulations, standards and the economy in the telecommunications sector, as new technical developments and challenges arise.

CRC collaborates with the SITT Sector by providing independent technical advice related to Industry Canada's mandate for spectrum management, communications policy and regulatory decision making. CRC also works with organizations such as the International Telecommunication Union and the Institute of Electrical and Electronics Engineers in the development of standards to facilitate the efficient delivery of telecommunications and broadcasting applications. This allows CRC to address challenges such as network security, emergency communications and spectrum research, and to develop innovative and affordable solutions for bringing broadband services to all regions of Canada, especially underserved rural and remote areas.

One beneficial outcome of CRC's research program is the development of new technologies and associated intellectual property that can be of potential interest to Canadian industry. Through partnership activities or licensing, these technologies are often transferred to companies, particularly SMEs, for commercialization and sales to a worldwide market.

As the federal government's primary telecommunications research laboratory, CRC also assists or partners with several other departments and agencies on communications issues. Significant R&D and program delivery is undertaken for National Defence and the Canadian Space Agency on a cost-recovery basis.

Program Activity: Technology Partnerships Canada — S&T and Innovation

Description: Encouragement of commercialization through strategic investments in innovative research and development
Expected Result			Indicators
Commercialization encouraged through strategic partnering in innovative research and development			Total number of projects (which represents the number of strategic partnerships)
2006–2007		2007–2008		2008–2009
$510.0M	142 FTEs	$398.7M	162 FTEs	$359.9M	162 FTEs

In September 2005, Technology Partnerships Canada (TPC) was closed to new applications in the areas of environment and enabling technologies, but it remains open to new aerospace and defence applications. TPC's terms and conditions expire on December 31, 2006. Options regarding the future of TPC are being considered.

In October 2005, the Program for Strategic Industrial Projects (PSIP) was established. The PSIP aims to provide a framework within which a variety of larger strategic investment projects may be administered. The PSIP will contribute to the achievement of Canada's objectives of increasing economic growth, creating jobs and wealth, and supporting sustainable development. It advances government initiatives by investing strategically in industrial research, pre-competitive development, and technology adaptation and adoption to encourage private sector investments.

Strategic Outcome: Competitive Industry and Sustainable Communities

Each of the following program activities contributes to the strategic outcome through programs and initiatives, policy development and service delivery. Both financial and non-financial information is provided for each program activity. The expected results and indicators represent a preliminary attempt at demonstrating how Industry Canada will measure its performance against the results it aims to achieve. Further details on the programs and initiatives mentioned in the text below can be found in the Appendix.

Plans by Program Activity

Program Activity: Policy Sector — Economic Development

Description: Development of industry and international business policy
Expected Result			Indicators
Development and coordination of policy frameworks in support of competitive industry and sustainable communities			Ongoing policy and program oversight and development is advanced with a view to enhancing industry competitiveness
2006–2007		2007–2008		2008–2009
$11.5M	82 FTEs	$10.9M	82 FTEs	$10.9M	82 FTEs

The Policy Sector is responsible for the administration of the Investment Canada Act (ICA). This responsibility includes reviewing and assessing significant investment proposals by non-Canadians to determine if they demonstrate a net benefit to Canada. This is followed up by monitoring the implementation of investors' plans and undertakings. The ICA and regulations prescribe the legal responsibilities of non-Canadians investing in Canada, as well as the information that they are required to submit.

As the lead department responsible for the Agreement on Internal Trade (AIT), Industry Canada will coordinate and encourage other federal departments to make progress on internal trade initiatives. Building on two successful federal, provincial and territorial meetings in December 2004 and June 2005, the ministerial Committee on Internal Trade (CIT) is moving forward on a work plan to reduce remaining internal trade barriers. It includes an action plan aimed at addressing outstanding labour mobility issues, a proposed work plan on the harmonization of regulations and standards, improvements to the dispute resolution process, and clarification of the AIT concerning how governments buy goods and services.

The federal government will work with the provinces and territories to advocate that professionals and tradespersons qualified to work in one province or territory can take advantage of job opportunities in another. It will also continue to advocate for negotiations on an energy chapter which would lay the policy framework for expanded electricity interconnections between provinces and territories.

Addressing the financing needs of SMEs will remain an important priority of Industry Canada. Officials will continue to work closely with the Business Development Bank of Canada concerning its mandate to fill marketplace gaps of private sector financial institutions, focusing particular attention on venture capital. Further to findings from the comprehensive review of the Canada Small Business Financing (CSBF) Program in 2004–2005, Industry Canada will advance regulatory amendments to reduce administrative burden on lenders using the program by bringing it in line with their conventional lending practices. The Department will continue research to ensure program effectiveness. A five-year review of the Capital Leasing Pilot Project has commenced and will provide input to recommendations regarding the future of capital leasing under the Canada Small Business Financing Act. The Department will also continue to deliver an ongoing program of research and analysis on SME financing issues through the SME Financing Data Initiative — a partnership among Industry Canada, Statistics Canada and the Department of Finance. Results will continue to be reported regularly to parliamentarians, stakeholders and SMEs.

The Policy Sector is also committed to building on Industry Canada's past accomplishments in sustainable development, and to addressing emerging challenges and opportunities to ensure a more sustainable future for Canadians. Industry Canada's third sustainable development strategy (SDS III) for 2003–2006 supports a vision of Canada as a leader in the development, commercialization and adoption of sustainable development tools, practices and technologies throughout the economy. SDS III commits the Department to playing a strategic enabler role and promoting innovative, sustainable development solutions through the following strategic outcomes:

• innovation toward sustainable development;
• corporate and community sustainability; and
• sustainable development capacity building within Industry Canada.
  
  

Development of the Department's next sustainable development strategy (SDS IV) is now under way. Internal and external issue scans, including public consultations, will be conducted over the next six months. SDS IV is scheduled to be published by December 2006 (for more information, see Table 16).

Program Activity: Operations Sector — Economic Development

Description: Delivery of programs, information and intelligence on investment and technology opportunities to the business community. Provision of a multi-channel, common entry point for business on behalf of the Government of Canada, and encouragement of client-centred service delivery and design
Expected Result			Indicators
Improved access to capital and information for SMEs and communities targeted by Operations Sector programs			Number of loans — year over year — registered through the CSBF Program
			Number of SMEs — year over year — created or strengthened through FedNor and ABC
			Percentage of Ontario population that has benefited from investments made under COIP
			Percentage of official-language minority communities that have benefited from investments made under the Section 41 program
			Increase in number of SMEs served through Canada Business service centres (service usage)
2006–2007		2007–2008		2008–2009
$349.4M	465 FTEs	$306.4M	463 FTEs	$252.6M	464 FTEs

The Security and Prosperity Partnership (SPP) was launched in March of 2005 to increase security and enhance prosperity in Canada, the U.S. and Mexico through greater cooperation on the full range of issues across government. SPP initiatives are designed to improve North American competitiveness, and ensure that citizens benefit from high standards of health, safety and joint stewardship of the environment. As Minister of Industry, Minister Bernier is the Canadian lead for the prosperity agenda of SPP. He works closely with his North American counterparts, as well as Canada's Public Safety and Foreign Affairs Ministers and their counterparts, on SPP initiatives.

Aboriginal Business Canada's (ABC's) investments leverage considerable additional investment in support of Aboriginal businesses across Canada. ABC will continue to promote the creation and expansion of viable businesses in Canada that are owned and controlled by Aboriginal people. ABC's Aboriginal Business Development Program will continue to direct investments into the strategic priority areas of trade and market expansion, tourism, youth entrepreneurship, and innovation.

ABC's Aboriginal Capital Corporations (ACCs) and Access to Capital (ATC) components will continue to provide operational support to a network of 30 ACCs to help defray the high costs of developmental lending and the costs associated with advisory services. This will include support for loan monitoring / business support officers. ABC will also ensure that the ACCs have access to additional capital for developmental loans and financial instruments that address the growth needs of Aboriginal businesses. This access will be facilitated by providing capital top-ups where required and expanding the Aboriginal Youth Business Initiative to ensure the development and success of youth-owned businesses.

The Federal Economic Development Initiative for Northern Ontario (FedNor*) will continue, as a regional development organization in Ontario, to work with partners to help create an environment in which communities can thrive, businesses can grow and people can prosper. FedNor achieves this through the delivery of strategic programs that promote sustainable development of communities, encourage innovation and strengthen the competitiveness of SMEs.

* FedNor is a program delivery organization for regional development in Ontario, for which the Minister of Industry is responsible under the Department of Industry Act. The Honourable Tony Clement, in his capacity as Minister for FedNor, exercises, on behalf of the Minister of Industry, the statutory responsibilities and the powers and duties related to FedNor and its programs.

To promote economic growth in Northern Ontario, FedNor delivers the Northern Ontario Development Program that invests in projects in six key areas:

• provision of business financing support through partnerships with financial institutions and various other investment mechanisms, including the Northern Ontario network of Community Futures Development Corporations;
• telecommunications infrastructure, networks and ICT applications;
• innovation and the use of technology to increase competitiveness in the knowledge-based economy;
• trade and tourism initiatives that help build the North's capacity to compete in a global marketplace;
• community economic development, through support for activities such as community capacity building, strategic planning and economic infrastructure that results in long-term benefits, including job creation, economic diversification and enhanced business competitiveness; and
• development of human capital, including special client groups such as youth.
  
  

FedNor also administers the Community Futures Program in Ontario, which supports a network of 61 Community Futures Development Corporations (CFDCs) throughout rural Ontario. The program enables CFDCs to provide the following:

• repayable financing for local businesses;
• business services for SMEs and social enterprises;
• strategic community planning and implementation; and
• implementation of strategic community projects and other initiatives, in collaboration with other partners.
  
  

As a federal presence in Northern and rural Ontario, FedNor's organizational capacity and established networks also allow it to deliver other national initiatives and targeted regional programming that promote socio-economic development in Ontario. For example, FedNor delivers the Eastern Ontario Development Program, which promotes rural socio-economic development in Eastern Ontario, leading to a competitive and diversified regional economy and contributing to the successful development of business and job opportunities, as well as sustainable self-reliant communities. The program targets five priority areas:

• business and community development;
• access to capital;
• skills development;
• retention and attraction of youth; and
• technological enhancements.
  
  

The Operations Sector will continue to deliver the CSBF Program, an important initiative designed to benefit small businesses. The CSBF Program increases the availability of loans and leases for establishing, expanding, modernizing and improving small businesses by encouraging financial institutions and leasing companies to make financing available to small businesses. Canadians benefit from the CSBF Program, as it helps businesses grow and create jobs, which results in a more dynamic Canadian economy.

Industry Canada delivers, on behalf of Infrastructure Canada, the Ontario components of three national infrastructure programs:

• The Canada-Ontario Municipal Rural Infrastructure Fund (COMRIF) is the Ontario component of the $1-billion national Municipal Rural Infrastructure Fund (MRIF). Through an innovative joint federal–provincial secretariat, the governments of Canada and Ontario are each contributing up to $298 million to COMRIF to target the infrastructure needs of small and rural communities with populations of less than 250,000.
• COMRIF's Intake One was launched on November 15, 2004, and approved projects were announced on April 25, 2005. Over $249 million in funding was announced for 120 Ontario communities. Intake Two was launched on June 16, 2005, and announcements were made on April 21, 2006. Intake Three was launched on June 20, 2006, and will close on September 13, 2006; results will be announced in early 2007. Priorities for all Intakes were the same: local bridges and roads, solid waste management, and water and wastewater (i.e. sewage). The capacity-building and asset-management component of COMRIF is intended to take place during Intake Three in order to deliver on this joint commitment as specified in the Agreement. Processing Intake One claims was a focus early in the year, along with preparation for the monitoring of Intake One and Two projects and the launch of Intake Three. Staff will continue to fulfill Industry Canada's responsibilities under the Environmental Assessment Act by completing project screenings and comprehensive studies.
• The $2.05-billion Infrastructure Canada Program is helping to renew and build infrastructure in rural and urban municipalities across Canada. Through this initiative, the $680.7-million Canada-Ontario Infrastructure Program has invested in green municipal infrastructure, culture, tourism and transportation across Ontario since 2000. Environmental assessments will continue to be processed as well, under COIP.
• The $4-billion Canada Strategic Infrastructure Fund (CSIF) emphasizes public–private partnerships and focuses on large-scale projects of national and regional significance. Industry Canada manages four CSIF projects in Ontario.
  
  

Over the past three years, Industry Canada has led the development of a service-to-business vision through extensive consultation with stakeholders and various interdepartmental and inter-jurisdictional committees. The service-to-business vision looks to enhance business competitiveness by improving the effectiveness of service delivery across government and by building on existing partnerships and government-wide platforms to deliver seamless, multi-channel, multi-jurisdictional information and services, at low cost, to businesses.

Industry Canada has delivered on the service-to-business vision through Canada Business, a multi-channel government information service for businesses and start-up entrepreneurs in Canada, and through BizPaL, an online service that simplifies the business permit and licence process for entrepreneurs, governments and third-party business service providers.

Canada Business introduced a new approach to the delivery of online information by implementing a content syndication pilot project and an assessment of “My Account” for business and the possibility of an expanded use of a business identifier. Content syndication is a new and highly effective way to extend the reach of Canada Business information and services by rendering relevant information directly into partners' websites. Canada Business will continue to evolve content syndication in 2006–2007 by increasing the number of partners and offering a wider selection of syndicated content and services.

To help lower the cost of doing business, Budget 2006 provides $6 million over two years to accelerate expansion of the BizPaL initiative. BizPaL is a web-based service that allows businesses to generate a customized list of the permits and licences they require from all levels of government.

As BizPaL is a self-service tool, governments will be able to redirect valuable client service resources. The collaboration within and between governments that is at the core of the BizPaL tool will ultimately lead to more streamlined and efficient government services.

BizPaL will continue to support the Government of Canada in realizing the objectives of both its Paperwork Burden Reduction Initiative and Smart Regulations initiative through the reduction of unnecessary paper burden and regulatory red tape. BizPaL is now able to expand its partnerships with departments, provinces and municipalities, as well as broaden its reach beyond the realm of permits and licences into other areas of regulation.

Student Connections will continue to provide e-business and Internet training to SMEs through its 15 centres across Canada. Throughout the past decade, Student Connections services have evolved from basic Internet training to more advanced e-business consultations to help SMEs become more competitive through the adoption of online business practices.

Officially announced on May 16, 2005, the Network for Women Entrepreneurs (NWE) will be delivered through the Canada-Ontario Business Service Centre. The NWE builds on existing federal, provincial and municipal business networks to avoid duplication and overlap. The NWE will provide women entrepreneurs in Ontario with information on programs and services to start and grow their businesses, guidance in locating key community support services, networking opportunities, and other services tailored to the needs of businesswomen.

Program Activity: Industry Sector — Economic Development

Description: Development of initiatives that support global competitiveness and sustainable economic growth in priority sectors and emerging technologies
Expected Result			Indicators
More firms capable of competing in global markets			Dollar value of exports
			Number of Canadian firms in the export market as a proportion of all firms operating in Canada
			Dollar value of investments (domestic and foreign)
2006–2007		2007–2008		2008–2009
$96.3M	257 FTEs	$71.1M	257 FTEs	$48.2M	253 FTEs

The Industry Sector is leading several initiatives intended to help Canadian firms move up the value chain and become more competitive and integrated within domestic and global supply chains.

One example is in the automotive sector, where sustained competitiveness, innovation and productivity have been the subjects of consultations with stakeholders, including industry representatives, the provinces and territories, labour, and academia through the work of the Canadian Automotive Partnership Council. Industry Canada has also consulted extensively with other government departments.

Canada's aerospace industry is the fourth largest in the world and is a substantial generator of wealth for the country. The Industry Sector has worked with a broad range of stakeholders, including representatives from the industry, the space sector, labour, academia and provincial/territorial governments, to address the needs of the aerospace sector across the country and to articulate key challenges and opportunities, such as Canada's need to maintain and strengthen technological capabilities.

Global supply chains are becoming a more established way of doing business. For example, firms are increasingly outsourcing some of their activities to third parties or locating parts of their supply chains abroad. This allows them to focus on their core competencies and to exploit global differences in factors such as production costs and resource endowments. The Industry Sector will build on several initiatives undertaken in 2005–2006, such as the Global Supply Chains Conference, to deepen our understanding of developments in global supply chains and their economic implications for Canada. The Industry Sector will also pursue its work with Statistics Canada to develop relevant indicators with respect to global supply chains. Finally, the Industry Sector will continue to ensure that policy initiatives reflect the realities of today's global supply chains.

The Industry Sector is a partner in the Government of Canada's efforts, led by DFAIT, to stimulate trade and investment flows that can benefit the Canadian economy. The Industry Sector contributes to these efforts through strategic sectoral analysis and by participating in domestic and international visit programs. The sector also disseminates marketing tools and information, and provides support to selected major trade shows and business development missions. For example, the Industry Sector supported the Canadian delegation at BIO 2006, the world's largest biotechnology conference.

Recognizing that trade liberalization and globalization have a significant impact on the Canadian economy, the Industry Sector works in partnership with industry and other government departments to regularly assess trade policy initiatives and determine the potential challenges and opportunities they represent for Canadian firms. The Industry Sector will also contribute to these efforts by strengthening its ability to analyze industrial issues in order to ensure that policies are insightful and grounded in sound economic knowledge.

Approved in May 2005, the Smart Regulation implementation strategy aims to strengthen Canada's regulatory performance and establish a culture of continuous improvement in regulatory management across government. The Industry Sector is accountable for implementing Smart Regulation across the Industry Portfolio, and for strategic leadership across government on the policy theme: innovation, productivity and business environment. The Industry Sector will implement the second phase of the strategy, including integrating the new Government Directive on Regulating and its related analytical frameworks and tools. The Industry Sector will also lead a program of policy research and evidence-based analysis of regulatory initiatives aimed at building the right investment environment and promoting regulatory efficiency.

SourceCAN, a multi-sectoral initiative led by the Industry Sector in partnership with federal government departments and agencies and the provinces, has proven to be a particularly effective tool for enhancing Canadian firms' access to domestic and international business opportunities. SourceCAN will continue to strengthen the position of Canadian businesses with key traditional markets such as the United States and the European Union, as well as with emerging markets.

The Industry Sector has managed a small number of targeted interventions, through which the Government of Canada sought to encourage selected Canadian industries to become more competitive in the face of particularly intense international pressures by investing in capital, equipment and skills. Examples of these interventions included the Structured Financing Facility, which provided support to domestic and foreign shipowners that intend to build vessels in Canada, and the Canadian Apparel and Textile Industries Program (CATIP). The Textile Production Efficiency Component of the Canadian Textiles Program (CANtex) helped Canadian textile manufacturers improve their productivity and reorient their production toward higher-value-added products for niche markets.

Program Activity: SITT Sector — Economic Development

Description: Promotes economic development by ensuring that Canadians, communities and businesses have access to reliable, modern ICT infrastructure and the skills to fully participate in the digital economy. Enhances entrepreneurship and lifelong learning by fostering the creation of advanced, enabling applications and technologies. Supports the development of a competitive ICT industry in Canada.
Expected Result			Indicators
Canadians and communities overcoming barriers to, and accessing use of, modern ICT infrastructure			Number of Canadians and communities accessing and using ICTs
Canadian ICT companies positioned for growth in the global marketplace			Level of awareness of opportunities, gaps and barriers affecting ICT sector growth
2006–2007		2007–2008		2008–2009
$76.0M	165 FTEs	$29.8M	64 FTEs	$28.6M	59 FTEs

The SITT Sector supports regional and rural economic development by ensuring that Canadians have access to ICTs and modern ICT infrastructure through programs such as the Community Access Program (CAP), SchoolNet, the Broadband for Rural and Northern Development Pilot Program (Broadband Program), the National Satellite Initiative and CA*net 4. The Broadband Program and the National Satellite Initiative work together with various partners to lead the deployment of advanced information and communications infrastructure in Canadian communities, especially those affected by the digital divide, such as First Nations, Northern, rural and remote communities. In Northern Ontario, this work will be further supported by FedNor.

The distribution of funding for the pilot program is nearing completion, and the projects implemented under the pilot program will be completed in 2006–2007. Options for the future for the Broadband Program are currently being assessed.

The SITT Sector will continue to undertake economic analyses and monitor industry trends and emerging sectors critical to priority setting and decision making for the ICT sector. In addition to influencing government decision making and policy development, the SITT sector will provide business development services to exploit commercial opportunities for the ICT sector, and will represent the assistive technology industry in Canada.

Section 3: Supplementary Information

3.1  Financial Summary Tables

Table 1: Departmental Planned Spending and Full-Time Equivalents

($ millions)*		Forecast Spending 2005–2006	Planned Spending 2006–2007	Planned Spending 2007–2008	Planned Spending 2008–2009
A Fair, Efficient and Competitive Marketplace
Policy Sector — Marketplace		5.2	9.3	8.7	10.3
Operations Sector — Marketplace		155.5	127.6	119.6	119.3
Spectrum, Information Technologies and Telecommunications Sector — Marketplace		53.9	60.2	46.4	46.4
Chief Information Office Sector — Marketplace		0.6	—	—	—
Office of Consumer Affairs		5.2	5.6	5.0	5.0
Competition Bureau		49.1	55.8	45.5	45.5
Canadian Intellectual Property Office (CIPO) Revolving Fund		(15.6)	(7.7)	(4.0)	(0.6)
	Subtotal	253.9	250.8	221.2	225.9
An Innovative Economy
Policy Sector — S&T and Innovation		11.1	10.5	9.9	9.9
Industry Sector — S&T and Innovation		10.6	19.5	9.8	9.8
Spectrum, Information Technologies and Telecommunications Sector — S&T and Innovation		2.0	2.9	3.0	3.0
Communications Research Centre Canada		55.5	53.1	47.3	47.3
Technology Partnerships Canada		354.4	418.0	297.3	250.6
	Subtotal	433.6	504.0	367.3	320.6
Competitive Industry and Sustainable Communities
Policy Sector — Economic Development		12.4	11.5	10.9	10.9
Operations Sector — Economic Development		442.1	347.7	303.4	249.6
Industry Sector — Economic Development		104.6	83.9	70.3	47.4
Spectrum, Information Technologies and Telecommunications Sector — Economic Development		128.8	59.3	12.9	8.2
Chief Information Office Sector — Economic Development		15.5	—	—	—
	Subtotal	703.4	502.4	397.4	316.1
Budgetary Main Estimates (gross)		1,390.9	1,257.2	986.0	862.6
Competitive Industry and Sustainable Communities
Industry Sector — Economic Development		0.8	0.8	0.8	0.8
Non-Budgetary Main Estimates (gross)		0.8	0.8	0.8	0.8
Less: Respendable Revenue (net of CIPO) Budgetary		59.9	59.6	59.4	59.1
Total Main Estimates		1,331.8	1,198.4	927.3	804.3
Adjustments:
Governor General Special Warrants		173.5	—	—	—
Transfer from Treasury Board Vote 5		0.6	—	—	—
Transfer from Treasury Board Vote 10		0.1	—	—	—
Other adjustments and changes to statutory authorities		96.5	—	—	—
Budget 2005:
Genome Canada		165.0	—	—	—
Council of Canadian Academies		30.0	—	—	—
Pre-Competitive Applied Research Network (Precarn)		20.0	—	—	—
Canadian Youth Business Foundation		10.0	—	—	—
Budget 2004:
Protection of Children from Sexual Exploitation on the Internet		—	0.6	0.6	0.6
Pilot Commercialization Fund for University Research		—	10.5	10.5	10.5
Pilot Commercialization Fund for Federal Labs		—	5.2	5.2	5.2
Budget 2003:
Official Language Action Plan		—	0.5	0.6	9.5
Budget 1999:
Youth Employment Strategy		—	16.2	16.3	19.8
Other Adjustments:
Strategic Framework and Support for Manufacturing Industries		—	101.3	109.3	109.3
Amendment to Competition Act		—	3.0	3.0	3.0
Reduced Cost of the New Ministry — Regional Responsibilities		—	(0.2)	(0.2)	(0.2)
Canada Strategic Infrastructure Fund		—	0.1	0.1	—
Climate Change Programs		—	(7.6)	(7.9)	—
Canada Foundation for Innovation — Leaders Opportunity Fund		—	20.0	20.0	20.0
Strategic investments to enhance community development		—	12.0	—	—
Expenditure Review Committee — Procurement Savings		—	(5.3)	—	—
Business Permits and Licences (BizPaL)		—	3.0	3.0	3.0
Total Adjustments		495.6	159.3	160.5	180.7
Total Planned Spending		1,827.4	1,357.7	1,087.9	985.0
Total Planned Spending		1,827.4	1,357.7	1,087.9	985.0
Less: Non-Respendable Revenue		(589.8)	(575.6)	(603.8)	(589.9)
Plus: Cost of Services Received Without Charge		79.8	79.7	73.0	71.5
Net Cost of Program		1,317.5	861.7	557.1	466.6
Full-Time Equivalents		5,687	6,104	6,067	6,059

* Minor differences are due to rounding.

Table 2: Program by Activity

2006–2007 ($ millions)*
	Budgetary							Non-Budgetary
Program Activity by Strategic Outcome	Operating	Capital	Grants	Contributions and Other Transfer Payments	Gross	Respendable Revenue	Net	Loans, Investments and Advances	Total Main Estimates	Adjustments (Planned Spending Not in Main Estimates)	Total Planned Spending
A Fair, Efficient and Competitive Marketplace
Policy Sector — Marketplace	8.7	0.1	0.6	—	9.3	—	9.3	—	9.3	(0.3)	9.0
Operations Sector — Marketplace	125.6	2.0	—	—	127.6	(40.5)	87.2	—	87.2	(0.2)	87.0
Spectrum, Information Technologies and Telecommunications Sector — Marketplace	51.4	1.9	6.9	—	60.2	—	60.2	—	60.2	(0.3)	59.9
Office of Consumer Affairs	3.8	0.1	—	1.7	5.6	—	5.6	—	5.6	—	5.6
Competition Bureau	55.4	0.4	—	—	55.8	(10.5)	45.3	—	45.3	2.8	48.1
Canadian Intellectual Property Office (CIPO) Revolving Fund	126.0	—	—	—	126.0	(133.7)	(7.7)	—	(7.7)	—	(7.7)
Subtotal	370.9	4.5	7.4	1.7	384.5	(184.7)	199.9	—	199.9	2.0	201.9
An Innovative Economy
Policy Sector — S&T and Innovation	10.4	0.1	—	—	10.5	—	10.5	—	10.5	35.7	46.2
Industry Sector — S&T and Innovation	19.5	0.1	—	—	19.5	—	19.5	—	19.5	(0.1)	19.4
Spectrum, Information Technologies and Telecommunications Sector — S&T and Innovation	2.9	—	—	—	2.9	—	2.9	—	2.9	—	2.9
Communications Research Centre Canada	50.1	3.0	—	—	53.1	(8.7)	44.4	—	44.4	(0.3)	44.1
Technology Partnerships Canada — Special Operating Agency	42.2	2.4	—	373.5	418.0	—	418.0	—	418.0	92.0	510.0
Subtotal	125.1	5.5	—	373.5	504.0	(8.7)	495.4	—	495.4	127.3	622.7
Competitive Industry and Sustainable Communities
Policy Sector — Economic Development	11.4	0.1	—	—	11.5	—	11.5	—	11.5	—	11.5
Operations Sector — Economic Development	85.2	2.1	—	260.4	347.7	—	347.7	—	347.7	1.7	349.4
Industry Sector — Economic Development	41.0	0.5	—	42.4	83.9	—	83.9	0.8	84.7	11.6	96.3
Spectrum, Information Technologies and Telecommunications Sector — Economic Development	33.9	0.2	—	25.2	59.3	—	59.3	—	59.3	16.7	76.0
Subtotal	171.5	2.9	—	328.0	502.4	—	502.4	0.8	503.2	30.0	533.2
Total	667.5	12.9	7.4	703.1	1,390.9	(193.4)	1,197.6	0.8	1,198.4	159.3	1,357.7

* Minor differences are due to rounding.

Table 3: Voted and Statutory Items Listed in Main Estimates

2006–2007 ($ millions)*
Voted or Statutory Item	Truncated Vote or Statutory Wording	Current Main Estimates	Previous Main Estimates
1	Operating expenditures	420.9	382.3
5	Capital expenditures	12.9	3.9
10	Grants and contributions	607.1	774.9
(S)	Minister of Industry salary and motor car allowance	0.1	0.1
(S)	Insurance Payments under the Enterprise Development Regional Development Program	10.0	10.0
(S)	Canadian Intellectual Property Office Revolving Fund	(7.7)	(15.6)
(S)	Liabilities under the Small Business Loans Act	4.0	8.3
(S)	Liabilities under the Canada Small Business Financing Act	89.5	109.4
(S)	Contributions to employee benefit plans	60.8	57.8
	Total Budgetary	1,197.6	1,331.0
L15	Payments pursuant to subsection 14(2) of the Department of Industry Act	0.3	0.3
L20	Loans pursuant to paragraph 14(1)(a) of the Department of Industry Act	0.5	0.5
	Total Non-Budgetary	0.8	0.8
	Total Department	1,198.4	1,331.8

* Minor differences are due to rounding.

Table 4: Services Received Without Charge

2006–2007
($ millions)*	Total
Accommodation provided by Public Works and Government Services Canada (PWGSC)	50.6
Contributions covering employer's share of employees' insurance premiums and expenditures paid by Treasury Board of Canada Secretariat (excluding revolving funds)	24.0
Workers' compensation coverage provided by Human Resources and Social Development Canada	0.4
Salary and associated expenditures of legal services provided by the Department of Justice Canada	4.6
2006–2007 Services received without charge	79.7

* Minor differences are due to rounding.

Table 5: Summary of Capital Spending by Program Activity

($ millions)*		Forecast Spending 2005–2006	Planned Spending 2006–2007	Planned Spending 2007–2008	Planned Spending 2008–2009
A Fair, Efficient and Competitive Marketplace
Policy Sector — Marketplace		0.2	0.1	0.0	0.0
Operations Sector — Marketplace		3.5	2.0	0.8	0.5
Spectrum, Information Technologies and Telecommunications Sector — Marketplace		5.2	1.9	0.0	0.0
Office of Consumer Affairs — Marketplace		0.1	0.1	0.0	0.0
Competition Bureau		0.9	0.4	0.1	0.1
Subtotal		9.8	4.5	1.0	0.7
An Innovative Economy
Policy Sector — S&T and Innovation		0.2	0.1	0.0	0.0
Industry Sector — S&T and Innovation		0.2	0.1	0.0	0.0
Communications Research Centre Canada		5.6	3.0	0.0	0.0
Technology Partnerships Canada — Special Operating Agency		0.4	2.4	0.2	0.2
Subtotal		6.3	5.5	0.2	0.2
Competitive Industry and Sustainable Communities
Policy Sector — Economic Development		0.2	0.1	0.0	0.0
Operations Sector — Economic Development		1.2	2.1	0.3	0.3
Industry Sector — Economic Development		0.8	0.5	0.0	0.0
Spectrum, Information Technologies and Telecommunications Sector — Economic Development		0.6	0.2	0.0	0.0
Chief Information Office — Economic Development		0.9	—	—	—
Subtotal		3.7	2.9	0.3	0.3
Total		19.9	12.9	1.5	1.2

* Minor differences are due to rounding.

Table 6: Loans, Investments and Advances (Non-Budgetary)

($ millions)*		Forecast Spending 2005–2006	Planned Spending 2006–2007	Planned Spending 2007–2008	Planned Spending 2008–2009
Competitive Industry and Sustainable Communities
Industry Sector — Economic Development
Payments Pursuant to Subsection 14(2) of the Department of Industry Act		0.3	0.3	0.3	0.3
Loans Pursuant to Paragraph 14(1)(a) of the Department of Industry Act		0.5	0.5	0.5	0.5
Operations Sector — Economic Development
Advances to regional offices and employees posted abroad. Appropriation Act No. 1, 1970. Limit $1,950,000 (Net)		2.0	—	—	—
Total		2.8	0.8	0.8	0.8

* Minor differences are due to rounding.

Table 7: Sources of Respendable and Non-Respendable Revenue

Respendable Revenue
($ millions)*		Forecast Revenue 2005–2006	Planned Revenue 2006–2007	Planned Revenue 2007–2008	Planned Revenue 2008–2009
A Fair, Efficient and Competitive Marketplace
Operations Sector — Marketplace
	Bankruptcy and Insolvency Administration	31.9	31.9	31.9	31.9
	Corporations Regulation	7.9	8.6	8.4	8.1
Competition Bureau
	Merger Review and Written Opinions	10.5	10.5	10.5	10.5
Canadian Intellectual Property Office (CIPO) Revolving Fund		125.0	133.7	137.5	138.9
		175.3	184.7	188.3	189.3
An Innovative Economy
Communications Research Centre Canada
	Communications Research	8.3	8.7	8.7	8.7
		8.3	8.7	8.7	8.7
Total Respendable Revenue		183.6	193.4	196.9	198.0
Non-Respendable Revenue
($ millions)*		Forecast Revenue 2005–2006	Planned Revenue 2006–2007	Planned Revenue 2007–2008	Planned Revenue 2008–2009
A Fair, Efficient and Competitive Marketplace
Operations Sector — Marketplace
	Bankruptcy and Insolvency Supervision	1.0	3.3	4.1	5.5
	Corporations Regulation (including NUANS)	2.5	1.9	2.1	2.4
	Trade Measurement Regulation	1.9	1.8	1.8	1.8
	Consumer Labelling and Advertising Regulation	—	0.1	0.1	0.1
Spectrum, Information Technologies and Telecommunications Sector — Marketplace		389.6	371.4	371.4	371.4
		395.0	378.5	379.5	381.2
An Innovative Economy
Communications Research Centre Canada
	Communications Research	1.3	1.5	1.5	1.5
Technology Partnerships Canada
	Receipts from Repayable Contributions	78.1	76.7	106.0	106.0
		79.5	78.2	107.5	107.5
Competitive Industry and Sustainable Communities
Operations Sector — Economic Development
	SBLA/CSBFA Service Fees	59.8	59.9	60.2	59.9
	Receipts from Repayable Contributions	9.8	11.4	9.5	2.6
	Return on Investment	17.9	14.8	14.6	14.6
Industry Sector — Economic Development
	Receipts from Repayable Contributions	27.8	32.8	32.6	24.3
		115.3	118.9	116.9	101.3
Total Non-Respendable Revenue		589.8	575.6	603.8	589.9
Total Respendable and Non-Respendable Revenue		773.4	769.0	800.8	787.9

* Minor differences are due to rounding.

Table 8: Canadian Intellectual Property Office (CIPO) Revolving Fund — Statement of Operations

($ millions)*		Forecast 2005–2006	Planned 2006–2007	Planned 2007–2008	Planned 2008–2009
Respendable Revenue		126.8	129.3	142.5	148.0
Expenses
Operating:
	Salaries and employee benefits	85.1	87.5	93.7	97.2
	Depreciation	17.4	15.1	8.9	6.8
	Repairs and maintenance	1.3	1.1	1.1	1.1
	Administrative and support services	15.1	21.0	22.2	23.4
	Utilities, materials and supplies	14.2	10.9	11.1	11.1
	Marketing	—	—	—	—
	Interest	—	—	—	—
Total Expenses		133.1	135.6	137.0	139.6
Subtotal Surplus (Deficit)		(6.3)	(6.3)	5.5	8.4
	Deferred capital assistance	6.4	6.4	1.6	—
Surplus (Deficit)		0.1	0.1	7.1	8.4
Statement of Cash Flows
($ millions)*		Forecast 2005–2006	Planned 2006–2007	Planned 2007–2008	Planned 2008–2009
Surplus (Deficit)		0.1	0.1	7.1	8.4
Add Non-Cash Items:
	Depreciation/amortization	17.4	15.1	8.9	6.8
	Deferred capital assistance	(6.4)	(6.4)	(1.6)	—
Investing Activities:
	Acquisition of depreciable assets	(8.5)	(6.0)	(6.0)	(6.0)
	Changes in short- and long-term assets/liabilities	13.0	4.9	(4.4)	(8.6)
Cash Surplus (Requirement)		15.6	7.7	4.0	0.6
Projected Use of Authority
($ millions)*		Forecast 2005–2006	Planned 2006–2007	Planned 2007–2008	Planned 2008–2009
Authority		5.0	5.0	5.0	5.0
Drawdown:
	Balance as at April 1	107.2	122.8	130.5	134.5
	Projected surplus (Drawdown)	15.6	7.7	4.0	0.6
		122.8	130.5	134.5	135.1
Projected Balance at March 31		127.8	135.5	139.5	140.1

* Minor differences are due to rounding.

Table 9: Resource Requirement by Branch or Sector

2006–2007
($ millions)*		A Fair, Efficient and Competitive Marketplace	An Innovative Economy	Competitive Industry and Sustainable Communities	Total Planned Spending
Policy Sector		9.0	46.2	11.5	66.6
Operations Sector		87.0	—	349.4	436.4
Industry Sector		—	19.4	96.3	115.7
Spectrum, Information Technologies and Telecommunications Sector		59.9	2.9	76.0	138.9
Communications Research Centre Canada		—	44.1	—	44.1
Technology Partnerships Canada — Special Operating Agency		—	510.0	—	510.0
Office of Consumer Affairs		5.6	—	—	5.6
Competition Bureau		48.1	—	—	48.1
Canadian Intellectual Property Office (CIPO) Revolving Fund		(7.7)	—	—	(7.7)
Total		201.9	622.7	533.2	1,357.7

* Minor differences are due to rounding.

Table 10: User Fees

This table includes Industry Canada's plans to introduce or amend fees for the planning period. The following organizations do not plan to introduce new fees or amend existing fees during this period:

• Communications Research Centre Canada
• Canadian Intellectual Property Office
• Canada Small Business Financing Program Directorate
• Measurement Canada
  
  

Spectrum Management

Name of User Fee

User fees charged by Industry Canada for services relating to telecommunications and radio apparatus — New and amended

Fee Type: Regulatory

Fee-Setting Authority: Department of Industry Act

Reason for Fee Introduction or Amendment: The existing fees for terminal equipment and radio equipment have not been amended in more than 10 years. With the introduction of private certification bodies (both foreign and domestic) for radio equipment and the Declaration of Conformity for terminal equipment, a new fee structure is required to ensure that the fees collected are aligned with the costs of providing the services and do not compete with the fees charged by the private sector.

Effective Date of Planned Change: 2006–2007

Consultation and Review Process Planned: The House of Commons approved the proposal, but the Senate did not have time to do so before the January 2006 election call. Therefore, the approval process was re-initiated in May 2006.

Name of User Fee

Fixed and broadcast satellite licences — Amendments

Fee Type: Regulatory

Fee-Setting Authority: Radiocommunication Act, Department of Industry Act, Financial Administration Act

Reason for Fee Introduction or Amendment: New fees will aim at recovering a fair value for the use of the orbital and spectrum resources.

Effective Date of Planned Change: In light of the new User Fees Act, the original implementation date has been delayed. It is anticipated that the resulting fee regime will take effect in April 2007.

Consultation and Review Process Planned: A consultation paper is currently being developed, and the consultation process is anticipated to begin by March 2007.

Corporations Canada

Name of User Fee

Fees under a Canada Not-for-profit Corporations Act — New

Fee Type: Regulatory services

Fee-Setting Authority: Possible bill creating a Canada Not-for-profit Corporations Act

Reason for Fee Introduction or Amendment: If a bill to create a Canada Not-for-profit Corporations Act is introduced in Parliament, a new fee structure will be required.

Effective Date of Planned Change: This is unknown, since the bill must be passed by Parliament. It is anticipated that the earliest this could come into force is late 2006–2007.

Consultation and Review Process Planned: In relation to Bill C-21, which was dropped from the Order Paper as a result of the dissolution of Parliament, on November 28, 2005, the proposed fees were made available to stakeholders, including the not-for-profit community and parliamentarians considering Bill C-21. This information will again be made available if another bill is introduced. The proposed fees, together with information on the costs of the services, the service standards and comparable fees, will be tabled in both the House of Commons and the Senate. Stakeholders will be able to provide comments until the bill receives royal assent.

The proposed regulations, with the fees, will then be published in the Canada Gazette for further consultations prior to their approval by the Governor in Council.

Competition Bureau

Name of User Fee

CA number: Provide a CA registered identification number for fabric tags

Fee Type: Other goods and services

Fee-Setting Authority: Department of Industry Act

Reason for Fee Introduction or Amendment: The Competition Bureau plans to review the CA number fee and process in order to establish appropriate service standards and to determine costs. Presently, 76 percent of CA number requests are provided instantly online and have a relatively low impact on Bureau operations (for the 2004–2005 fiscal year, revenues totalled $144,000).

Effective Date of Planned Change: 2007–2008

Consultation and Review Process Planned: The Bureau will review the CA number process, primarily through research of other antitrust agencies and consultation with stakeholders.

Office of the Superintendent of Bankruptcy Canada

Name of User Fee

Information Product Fees — New

Fee Type: Other goods and services

Fee-Setting Authority: Bankruptcy and Insolvency Act

Reason for Fee Introduction or Amendment: Provision of new information products

Effective Date of Planned Change: This is unknown, as the drafting of an amending Bill is in progress.

Consultation and Review Process Planned: A consultation plan will be developed.

Table 11: Major Regulatory Initiatives

This table outlines major or significant initiatives that Industry Canada expects to submit for legal examination or final approval. It contains information on proposed major or significant initiatives that are scheduled for implementation during the planning period, and includes their expected results.

Regulatory Initiative
Review of the Personal Information Protection and Electronic Documents Act (PIPEDA)
Regulations	Expected Results
A statutory review of the PIPEDA is mandated for 2006.	The review is mandatory. The Department expects a comprehensive policy review by Parliament of the major components of the Act. The Department will be providing policy advice to the Minister of Industry prior to and during the parliamentary process.
Regulatory Initiative
Amendments to the Patented Medicines (Notice of Compliance) Regulations (PM[NOC] Regulations)
Regulations	Expected Results
Amendments to the PM(NOC) Regulations, in conjunction with Health Canada's amendments to the data protection provisions in the Food and Drug Regulations.	Proposed amendments would reaffirm the balanced policy intent behind the PM(NOC) Regulations and reinforce data protection in the Food and Drug Regulations. Both sets of amendments would bring a greater degree of stability and predictability to the intellectual property environment in the pharmaceutical industry in Canada.

Table 12: Details on Project Spending

($ millions)		Current Estimated Total Cost	Forecast Spending to March 31, 2006	Planned Spending 2006–2007	Planned Spending 2007–2008	Planned Spending 2008–2009	Future Year Spending Requirement
An Innovative Economy
Communications Research Centre Canada Laboratory for Photonic Components and Systems Research, construction phase beginning March 2005		7.8	4.6	3.2	0	—	—
Total		7.8	4.6	3.2	0	—	—

Table 13: Details on Industry Canada's Transfer Payments Programs

The following is a list by strategic outcome of Industry Canada's transfer payment programs with transfers in excess of $5 million. Further information on each of the programs listed below, including the purpose and expected results, can be found at the Treasury Board of Canada Secretariat website.

1. A fair, efficient and competitive marketplace
   • International Telecommunication Union, Switzerland
     
     
2. An innovative economy
   • Technology Partnerships Canada — Program for Strategic Industrial Projects
   • Technology Partnerships Canada — Research and Development Program
   • Technology Partnerships Canada — h2 Early Adopters Program
     
     
3. Competitive industry and sustainable communities
   • Aboriginal Business Canada
   • Broadband for Rural and Northern Development Pilot Program
   • Canadian Apparel and Textile Industries Program
   • Canada-Ontario Infrastructure Program
   • Canada Small Business Financing Program
   • Community Access Program
   • FedNor — Community Futures Program
   • FedNor — Northern Ontario Development Program
   • Eastern Ontario Development Program
   • SchoolNet
   • Structured Financing Facility

Table 14: Conditional Grants (Foundations)

Industry Canada is responsible for administering funding agreements with the following foundations. Further information on these foundations can be found at the Treasury Board of Canada Secretariat website.

1. An innovative economy
   • Canada Foundation for Innovation
   • Council of Canadian Academies
   • CANARIE — CA*net 4
   • Genome Canada
   • Canadian Institute for Advanced Research
   • Pierre Elliott Trudeau Foundation
   • Precarn Incorporated, Phase 4
     
     
2. Competitive industry and sustainable communities
   • Canadian Youth Business Foundation

Table 15: Horizontal Initiatives

Industry Canada is involved in a number of horizontal initiatives, working in partnership with other federal departments, other levels of government, non-governmental organizations and private sector organizations. Industry Canada's involvement in these initiatives contributes to the Department's achievement of its strategic outcomes.

Industry Canada is the lead for the following significant horizontal initiatives. More detailed information can be found on the Treasury Board of Canada Secretariat Horizontal Results Database website.

• Canadian Biotechnology Strategy
• Canadian Business Network

Table 16: Sustainable Development Strategy

Industry Canada
1. How does your department/agency plan to incorporate sustainable development principles and values into your mission, vision, policy and day-to-day operations?	Industry Canada's strategic policy objectives serve its overarching strategic outcomes: a fair, efficient and competitive marketplace; an innovative economy; and competitive industry and sustainable communities. The Department approaches these objectives through ongoing integration of economic, social and environmental considerations in its policy development and internal operations. Departmental objectives are achieved through a number of mechanisms, enabled by the Department's legislative mandate.
	The first objective in the Department of Industry Act is to strengthen the national economy and promote sustainable development (SD). This objective provides direction to the Minister and the Deputy Head of the Department. Accountability for preparation and implementation rests with the Visiting Senior Assistant Deputy Minister, Policy Sector.
	Industry Canada integrates sustainable development into its business plans as well as its annual Report on Plans and Priorities. These frameworks prompt, facilitate, drive and encourage managers to consider social, environmental and economic elements in the development, implementation and evaluation of departmental policies, plans and programs. Other planning processes (e.g. budget cycle, medium-term planning) and policy development processes provide opportunities for managers to integrate departmental initiatives that support the environment and foster SD.
	Industry Canada's Sustainable Development and Environmental Management System (SDEMS) provides managers and employees with specific procedures to follow for integrating SD into internal and external operations. The SDEMS is based on the principles set out in the ISO 14000 management system standard.
	Industry Canada plans to fully implement its current three-year Sustainable Development Strategy (SDS), which provides an SD framework that supports the Department's strategic outcomes. It contains concrete action items to aid our external stakeholders to integrate SD into their operations and initiatives.
	Industry Canada's next strategy (SDS IV) is currently being prepared for tabling in Parliament in December 2006. The process includes internal and external issues scans and consultations with stakeholders on proposed departmental SD priorities for the 2006–2009 period. For SDS IV the Department is building upon its current successful practices and focusing on areas that will make the most difference.
2. What goals, objectives and targets from your most recent SDS will you be focusing on this coming year? How will you measure your success?	The period beginning on April 1, 2006, marks the final phase of the Department's current SDS (SDS III). The focus for the period will be to ensure the successful delivery and completion of all the action items, discrete and ongoing, contained in the current strategy. Our success will be measured by our ability to complete all SDS III action items and meet our targets by December 2006, i.e.: work in partnership with industry and others to demonstrate the contribution of eco-efficiency to enhancing productivity and environmental performance through capacity building in R&D and skills, and to promote technology innovation and apply the tools in the marketplace; work in partnership with industry, other government departments and others to promote corporate responsibility and sustainability practices in business and encourage sustainable development for communities; and enhance the capacity of Industry Canada's management systems by focusing on planning, performance measurement and evaluation functions, and by improving the integration of sustainable development in decision-making processes. The performance indicators that were developed for each action item will help Industry Canada determine progress in meeting these targets. Achieving the targets set out in SDS III will, in turn, determine the Department's success in achieving the sustainable development strategic outcomes defined in SDS III: increased commercialization and adoption of eco-efficient tools and technologies; increased use of corporate responsibility and sustainability practices by industry, institutions and communities; and increased capacity of Industry Canada's sustainable development management system. More detailed information on Industry Canada's performance related to past and current sustainable development strategies can be found at the Sustainable Development website.
3. Identify any sustainable development tools, such as Strategic Environmental Assessments or Environmental Management Systems, that will be applied over the next year.	Industry Canada will continue to employ a number of tools and processes to enable, enhance and integrate SD considerations within the Department. Initiatives include our overall SD and environmental management system, management systems for strategic and project environmental assessments, training and awareness programs, and recycling and green procurement programs. The Department will also be exploring options to internalize the government's Guidance on Greening Government Operations.
	The Department will also continue to support the development and adoption of SD tools and practices that enable external stakeholders to improve their economic, environmental and social performance. Examples include Three Steps to Eco-Efficiency, Canadian Environmental Solutions, and tools and information products for promoting corporate social responsibility.

Table 17: Internal Audits and Evaluations

Audits

Audit of IT security

Comprehensive Department-wide audit of contracting

Management Control Framework (MCF) and compliance audit of Broadband for Rural and Northern Development Pilot Program

MCF audit of the Canada-Ontario Infrastructure Program

MCF and compliance audit of FedNor

MCF and compliance audit of Fleet Management

Compliance audit of Precarn Phase 4

MCF audit of acquisition cards

Follow-up of the audit of Aboriginal Business Canada — Third-party delivery

Follow-up of the audit of the Community Futures Program

Follow-up of the audit of Precarn

Follow-up of the audit of acquisition of IT goods and services

Follow-up of the audit of SchoolNet

Follow-up of pay and benefits

Follow-up of Communications Research Centre Canada (CRC)

Evaluations

Cumulative evaluation of the Sustainable Development Strategy

Summative evaluation of Strategis

Formative evaluation of the Aboriginal Business Development Program

Summative evaluation of Francommunautés virtuelles

Formative evaluation of the Hydrogen Early Adopters Program

Formative evaluation of FedNor Social Economy

Summative evaluation of Canada Small Business Financing Act

Section 4: Other Items of Interest

4.1  Section 41, Official Languages Act

The Department has established a coordinated strategic framework to maximize participation by official-language minority communities in existing federal economic development programs and services. This framework integrates the government's Action Plan for Official Languages. Industry Canada and the four regional development agencies will continue to implement this plan in 2006–2007. In addition, work will continue on a major research effort on minority communities, and ongoing consultations will strengthen partnerships with them.

Appendix

This appendix provides information on each of the sub-program and sub-sub-program activities identified in Industry Canada's Program Activity Architecture. Activities are listed by the program activity and strategic outcome to which they contribute. Information on these program activities and the departmental strategic outcomes is provided in sections 1 and 2 of this document. By working to achieve the expected results for these activities, Industry Canada makes progress toward achieving results at the program activity and strategic outcome levels, and therefore toward fulfilling its mandate. The expected results and indicators represent a preliminary attempt at demonstrating how Industry Canada will measure its performance.

Strategic Outcome
A fair, efficient and competitive marketplace
Program Activity: Policy Sector — Marketplace
Sub-Program Activity: Marketplace Framework Policy Branch
Development of legislative and/or regulatory policies pertaining to corporate insolvency and intellectual property to ensure that the marketplace framework laws are responsive to market needs
Expected Result	Performance Indicators
Development of policy to support legislative and regulatory initiatives	Reports and consultation papers published

Sub-Program Activity: Strategic Policy Branch
Development of strategic policy frameworks for the marketplace
Expected Result	Performance Indicators
Integration of departmental and governmental objectives into the development of marketplace policies	Number of unique marketplace items reviewed by the Director General Policy Committee (DGPC)

Sub-Program Activity: Microeconomic Policy Analysis Branch (MEPA)
Microeconomic analysis in support of marketplace policy development
Expected Result	Performance Indicators
High-quality microeconomic research and analysis of significant policy issues as input to policy development	Number of: papers presented at conferences, seminars and round tables conferences, round tables and seminars organized (and number of attendees) research publications current analysis publications hits and downloads for MEPA on Strategis

Sub-Program Activity: Small Business Policy Branch
Research, analysis and action on regulatory compliance issues affecting SMEs
Expected Result	Performance Indicators
Immediate:	Immediate:
Established benchmark for tracking progress in paperwork burden reduction	Established measure for the dollar cost of paperwork burden for small and medium-sized businesses by employment size of firm
Identification of practical solutions for implementation to reduce paperwork burden for small business	Dedicated resources to implement identified paperwork burden reduction solutions
Long-term:	Long-term:
Reductions in the cost of regulatory compliance facing small businesses	Dollar cost of paperwork burden for small and medium-sized businesses and the number of businesses affected by implemented paperwork burden reduction solutions

Sub-Program Activity: International and Intergovernmental Affairs
Intergovernmental negotiation to reduce or eliminate barriers to the free movement of persons, goods, services and investments within Canada and to establish an open, efficient and stable domestic market
Expected Result	Performance Indicators
Engaging with the provinces/territories to remove internal trade barriers	Results of annual ministerial meeting and number of meetings of federal/provincial/territorial officials

Program Activity: Operations Sector — Marketplace

Sub-Program Activity: Regional Operations — Spectrum
Compliance with spectrum regulations through licensing and enforcement
Expected Result	Performance Indicators
Timely and effective assignment of the radio frequency spectrum	Meet national licensing service standards
	Client satisfaction
Compliance with legislation, regulation and conditions of licence	Percentage of stations operating in compliance with their authorized parameters

Sub-Program Activity: Measurement Canada
Integrity and accuracy of measurement in Canada
Expected Result	Performance Indicators
Integrity and accuracy of measurement in Canada	Year-over-year growth in number of service providers authorized by Measurement Canada
	Year-over-year growth in the proportion of measurement system inspections performed by authorized service providers

Sub-Program Activity: Office of the Superintendent of Bankruptcy Canada
Integrity of the insolvency system through supervision of the administration of all estates to which the Bankruptcy and Insolvency Act applies
Expected Result	Performance Indicators
The integrity of the bankruptcy and insolvency system is protected	Level of trustee compliance
Efficiency of the insolvency process	Percentage of consumer bankruptcies and proposals filed electronically
	Percentage of trustees using the e-filing system

Sub-Program Activity: Corporations Canada
Administration of corporate laws and related acts, and duties of the Office of the Registrar General of Canada
Expected Result	Performance Indicators
Improved compliance with corporate laws and regulations	Percentage of corporations that comply with statutory requirements
Improved ease of use and timeliness of access to incorporation services and information	Level of Corporations Canada's service standards achieved
High level of key services delivered electronically	Percentage of transactions completed online for key services
Improved and faster turnaround time for name search reports to business community and federal and provincial/territorial partners and stakeholders	Service standards are met

Program Activity: Spectrum, Information Technologies and Telecommunications Sector — Marketplace

Sub-Program Activity: Spectrum/Telecom Program
Facilitation of the development and use of world-class information and telecommunications technologies and services, while maintaining and promoting a fair, efficient and competitive communications marketplace
Expected Result	Performance Indicators
Canadian interests and requirements pertaining to radiocommunications and telecommunications are reflected in international agreements and standards	Degree of client satisfaction with the way Canadian interests and requirements are reflected in international agreements and standards
Policies, regulations, standards and procedures are in place to enable the introduction of new radiocommunications/telecommunications technologies and services in the Canadian marketplace	Degree of client satisfaction in the manner with which new radiocommunications/telecommunications technologies and services are introduced in the Canadian marketplace
Canadians have access to a reliable ICT infrastructure during times of emergency	Percentage of mitigation communication systems in place and operational (wireless priority service / priority access dialing)
	Percentage of population covered by Public Alerting System

Sub-Program Activity: Electronic Commerce Branch
Development of regulations and policies to promote e-business development and growth in Canada and strategies to encourage e-business adoption and use among Canadian businesses through analysis and measurement
Expected Result	Performance Indicators
Increased awareness and use of e-commerce and e-business tools by Canadian industry	Assessment of Canada's e-business and e-commerce performance through surveys and formal economic analysis and reports
Up-to-date policies, legislation and regulations, enabling the development and growth of Canadian industries in e-business/e-economy, both domestically and abroad	New or updated legislation, policies, regulations shaping the Canadian e-economy and supporting the development of international frameworks consistent with Canadian interests

Program Activity: Office of Consumer Affairs (OCA)

Sub-Program Activity: Consumer Policy
Policy development, intergovernmental collaboration and the development of non-regulatory instruments for consumer protection
Expected Result	Performance Indicators
Strengthened consumer research	Consumer policy research projects developed with the active engagement of the OCA
Strengthened intergovernmental collaboration	Intergovernmental collaborative projects developed with the active engagement of the OCA
Developed or strengthened non-regulatory instruments	Codes, guides, guidelines, standards and other non-regulatory instruments
	Indications of usage of such non-regulatory instruments (where available)

Sub-Program Activity: Consumer Information and Coordination
Dissemination of consumer information products and services, and strengthened capacity building for the consumer voluntary sector
Expected Result	Performance Indicators
Improved access to consumer information provided by government	Take-up of OCA online consumer information products and services
	Client satisfaction
Improved capacity of consumer groups	Research project proposals funded under the Contributions Program for Non-Profit Consumer and Voluntary Organizations, and project report distribution (where available)
	Number of development project proposals funded under the Contributions Program for Non-Profit Consumer and Voluntary Organizations, and project follow-up (where available)

Program Activity: Competition Bureau — Marketplace

Sub-Program Activity: Enforcement With Respect to Competition
Expected Result	Performance Indicators
Marketplace awareness of the enforcement activities of the Competition Bureau	Extent to which target groups adjust behaviours based on their awareness and understanding of the enforcement activities of the Bureau
Companies cease their anti-competitive conduct following enforcement interventions	Extent to which companies cease their anti-competitive conduct

Sub-Program Activity: Framework Policy and Advocacy With Respect to Competition
Expected Result	Performance Indicators
Awareness of competition principles by government policy-makers and stakeholders	Extent to which target groups are aware of, understand and consider competition principles when proposing changes to regulation and legislation
A modern policy framework	Extent to which framework policy responds to evolving technology and business arrangements, regulatory reform, increasing globalization and changing economic and social conditions

Sub-Program Activity: Services With Respect to Competition
Expected Result	Performance Indicators
Provide businesses and consumers with quality, timely and efficient services	Extent to which service standards for the Competition Bureau services are respected

Program Activity: Canadian Intellectual Property Office — Revolving Fund

No sub-program activities or sub-sub-program activities have been identified. Therefore, the lowest reporting level is the program activity level.

Strategic Outcome
An innovative economy
Program Activity: Policy Sector — S&T and Innovation
Sub-Program Activity: Advisory Council on Science and Technology (ACST) Secretariat
Provision of secretariat services to the Advisory Council on Science and Technology
Expected Result	Performance Indicators
Provide the government's Advisory Council on Science and Technology with quality research and support services	Number of recommendations made to the Minister of Industry and to the Prime Minister on issues related to science, technology, innovation and commercialization policies
	Number of ACST meetings and consultation events (round tables, meetings, focus groups)
	Number of web-based requests for reports and background papers

Sub-Program Activity: Strategic Policy Branch
Development of strategic policy frameworks to improve Canada's science and technology, and commercialization environment
Expected Result	Performance Indicators
Integration of departmental and governmental objectives into the development of innovation policies	Number of unique innovation items reviewed by the Director General Policy Committee (DGPC)

Sub-Program Activity: Microeconomic Policy Analysis Branch (MEPA)
Microeconomic analysis in support of science and technology policy development
Expected Result	Performance Indicators
High quality microeconomic research and analysis on significant policy issues as input to policy development	Number of: papers presented at conferences, seminars and round tables conferences, round tables and seminars organized (and number of attendees) research publications current analysis publications hits and downloads for MEPA on Strategis

Sub-Program Activity: Innovation Policy Branch
Development of science, technology and innovation policies that enhance Canada's innovation capacity through promotion of investments in R&D infrastructure and skills development, and by ensuring the technology adoption capacity of the marketplace
Expected Result	Performance Indicators
Promotion of investment in R&D infrastructure and skills development, and promotion of the development of policies and programs supporting R&D, innovation and commercialization in the private sector	Reports and consultation papers published, and Memoranda to Cabinet, policy documents, statistical reports, consultation papers and Treasury Board submissions
Sub-Sub-Program Activity: Canadian Institute for Advanced Research (CIAR)
To bring together world-class researchers to tackle significant issues confronting Canadian society and challenging our understanding of the natural world
Expected Result	Performance Indicators
Multidisciplinary teams of researchers are able to collaborate to push forward the frontiers of knowledge	Amount of national and international recognition and number of awards provided to those researchers involved with CIAR
Sub-Sub-Program Activity: Pierre Elliott Trudeau Foundation
To support research and the dissemination of research findings in the following fields of study in the humanities and human sciences: Canadian studies, history, international relations, journalism, law, peace and conflict studies, philosophy, political economy, political science, sociology, and urban and community studies
Expected Result	Performance Indicators
Expanded knowledge base in the social sciences and humanities and in public policy	Volume of research performed by awards recipients
Sub-Sub-Program Activity: Canada Foundation for Innovation (CFI)
Funds targeted to strengthen the capability of Canadian universities, colleges, research hospitals and other not-for-profit institutions to carry out world-class research and technology development
Expected Result	Performance Indicators
The strengthening of research capability at Canadian research institutions	Percentage of Innovation Fund recipients that rate the quality of their new infrastructure as near world-class or better, as a result of CFI awards
Attracting and retaining researchers at Canadian research institutions	Percentage of New Opportunities Fund and Canada Research Chairs fund recipients whose recruitment to Canada and/or retention in Canada was influenced by CFI awards
Sub-Sub-Program Activity: Canada-Israel Industrial Research and Development Foundation (CIIRDF)
Co-funding of a private sector foundation (50 percent contribution from Canada, 50 percent from Israel), which supports research and development collaboration between Canadian and Israeli firms
Expected Result	Performance Indicators
Strengthened Canadian business through global R&D cooperation	Increase of employment at firms that have CIIRDF-funded projects
Sub-Sub-Program Activity: Council of Canadian Academies (CCA)
Expected Result	Performance Indicators
More informed public debate and government decision making on public policy issues that have scientific and/or technological underpinnings	References to CCA assessments in public policy discussions and Memoranda to Cabinet

Program Activity: Industry Sector — S&T and Innovation

Sub-Program Activity: Manufacturing Industries Branch
Development of initiatives that stimulate R&D to accelerate the commercialization of emerging technologies in priority manufacturing sectors
Expected Result	Performance Indicators
Sustainable manufacturing practices	Number of lean manufacturing workshops and workshops related to sustainable manufacturing
	Number of business success stories developed
	Number of visits to the website on this topic

Sub-Program Activity: Energy and Environmental Industries Branch
Development of initiatives to stimulate research, development and commercialization of emerging technologies in priority energy sectors and environmental industries
Expected Result	Performance Indicators
Development of emerging technologies in energy and environmental industry sectors	Revenues
	Total employment
	Number of patents in the hydrogen and fuel cells sectors
Improved appreciation of issues and policies related to climate change	Number of policies and programs contributed to through interdepartmental policy consultations
	Number of consultations with and/or requests answered from clients (e.g. other government departments, partners within Industry Canada)
Sub-Sub-Program Activity: Hydrogen Economy
Acceleration of the development of a hydrogen economy through investments in R&D, demonstration and deployment of hydrogen and fuel cell technologies
Expected Result	Performance Indicators
Expanded knowledge base for climate change mitigation related to a hydrogen economy	Number of research projects, scientific and technological studies; strategic plans
Increased collaboration between partners and improved activity coordination	Number of integrated working models, interdepartmental programs and partnerships

Sub-Program Activity: Service Industries Branch
Development of initiatives that stimulate R&D to accelerate the commercialization of priority technologies in the service industries
Expected Result	Performance Indicators
Improved awareness of international business opportunities by Canadian companies in the service industries sector	Number of website hits by Canadian firms

Sub-Program Activity: Aerospace, Defence and Marine Branch
Development of initiatives that stimulate R&D to accelerate the commercialization of emerging technologies in priority aerospace, defence and marine sectors
Expected Result	Performance Indicators
Development of Canadian technologies and innovations in the aerospace, space and defence industries	Number of collaborative projects with partners in industry, government and academia
	Number of policies and programs developed and approved in support of S&T
	Number of patents
	Number of consultations with and/or requests from clients (e.g. sector advisory councils, laboratories, institutes, other government departments and other sector stakeholders)
	Value (in dollars) of foreign direct investment and domestic investments and reinvestments in aerospace, space and defence industries
Increased awareness and knowledge of the ocean technology sector	Number of hits on website
	Number of information packages and brochures distributed
	Number of Canadian companies attending key trade shows and conferences

Sub-Program Activity: Life Sciences Branch
Development of initiatives that stimulate R&D and commercialization in the priority life sciences sectors
Expected Result	Performance Indicators
Increased commercialization performance in Canada's life sciences (biotechnology and health) industries	Number of public companies with less than two years of financing
	Number and value of venture capital investments
	Number of products in biopharmaceutical pipeline
Sub-Sub-Program Activity: Genome Canada
The primary funding and information resource relating to genomics and proteomics in Canada, to enable Canada to become a world leader in key areas such as agriculture, environment, fisheries, forestry, health and new technology development, as well as ethical, environmental, economic, legal and social issues related to genomics (GE3LS)
Expected Result	Performance Indicators
Effective management of the government's funding agreement with Genome Canada	Submissions for funding appropriations
	Negotiations with TBS and the Department of Finance Canada
	Renewal of Genome Canada's mandate and funding

Sub-Program Activity: Industrial Analysis and Sector Services Branch
Support for the development of policies, programs and initiatives for priority sectors through policy analysis and research on issues related to the commercialization of emerging technologies
Expected Result	Performance Indicators
Increased profile of industrial issues and policies involved in making the Canadian economy more innovative	Sectoral reports and Memoranda to Cabinet
	Number of policy recommendations made to senior officials of Industry Canada

Sub-Program Activity: Automotive and Industrial Materials Branch
Development of initiatives that stimulate R&D to accelerate the commercialization of emerging technologies in priority aerospace, defence and automotive sectors
Expected Result	Performance Indicators
Development of Canadian technologies and innovations in the automotive and industrial materials industries	Number of industrial policy recommendations developed and adopted in support of Canadian technologies and innovations in the automotive and industrial materials industries (e.g. number of Memoranda to Cabinet, policy papers)
	Development and approval of new S&T policy and program initiatives (e.g. Technology Roadmaps)
	Value (in dollars) of foreign direct investment and domestic investments and reinvestments in automotive and industrial materials industries
	Number of responses given by branch in support of technology/R&D development by other federal departments and agencies (e.g. Technology Partnerships Canada)

Sub-Program Activity: Canadian Biotechnology Secretariat
Horizontal policy advice and program management in support of Canadian Biotechnology Strategy partner departments and agencies, and secretariat services to the Canadian Biotechnology Advisory Committee
Expected Result	Performance Indicators
Coordination of the development of the Government of Canada's biotechnology agenda	Secretariat support to interdepartmental collaboration on biotechnology policy issues and implementation
Support to the Canadian Biotechnology Advisory Committee	Stakeholder consultations held and reports released
	Research commissioned and reports released
	Advice provided to the Government of Canada
Communication of the Government of Canada's biotechnology initiative	Expanded content of the BioPortal

Program Activity: Spectrum, Information Technologies and Telecommunications Sector — S&T and Innovation

Sub-Program Activity: Information and Communications Technologies Branch
Strengthening of Canada's science and technology capacity by addressing human resource requirements, international linkages and commercialization issues; delivery of CANARIE and Precarn on behalf of the Government of Canada
Expected Result	Performance Indicators
Ongoing investment in the R&D infrastructure	Investment in research organizations
Sub-Sub-Program Activity: CANARIE
Collaborate with stakeholders to develop and use advanced networks, networking technologies and applications in order to deliver a range of benefits to Canadians and researchers
Expected Result	Performance Indicators
An advanced research network across Canada	Number of institutions connected
	Amount of money invested annually
Sub-Sub-Program Activity: Precarn
Support collaborative research for the development of the Canadian intelligent systems industry and encourage the diffusion and commercial exploitation of new technologies
Expected Result	Performance Indicators
Increased development and use of intelligent systems technologies	Number of projects funded and amount of funding involved

Program Activity: Communications Research Centre Canada (CRC)

Sub-Program Activity: CRC — Wireless and Photonics Research
Conducting of R&D on innovative concepts, systems and enabling technologies for the convergence of telecommunications systems and to improve the security, interoperability and reliability of communications networks in Canada
Expected Result	Performance Indicators
CRC is well positioned to provide strategic advice, as well as direct assistance, for the development of policy, regulations and standards, as well as for economic development in the telecommunications sector, as new technical developments and challenges arise	CRC participation on Industry Canada, national and international standards, policy and regulatory committees as technical experts
	CRC participation in Industry Canada and other government industrial support programs as technical experts

Sub-Program Activity: CRC — Defence R&D
Provision of scientific knowledge and expertise in wireless communications to National Defence in order to improve decision making and operation capability of the Canadian Forces
Expected Result	Performance Indicators
National Defence can make better and more informed decisions on new technologies related to future military communications systems	Technologies are adopted that enhance or provide new capabilities for Canadian Forces operations

Sub-Program Activity: CRC — Research Support
To provide business development, technology transfer, and information networks and systems support of CRC R&D efforts, liaison and collaboration with the international science and technology community; and to increase opportunities for the commercialization of technologies
Expected Result	Performance Indicators
Canadian telecommunications industry has knowledge of and efficient access to CRC's intellectual property portfolio	Industrial partnerships and revenue resulting from CRC's intellectual property portfolio, as well as communications regarding its technical capabilities

Program Activity: Technology Partnerships Canada (TPC)

Sub-Program Activity: TPC — R&D Support Program
Strategic investments in industrial research, pre-competitive development and related studies
Expected Result	Performance Indicators
Leverage of private sector R&D investment	Weighted average (by value) TPC sharing ratio
	Dollars of total innovation spending leveraged per dollar of TPC investment
Increased skills, knowledge and competencies of Canadian companies	Actual number of new jobs created and/or maintained
Repayments recycled into program funds	Repayment amount relative to TPC business plan target

Sub-Program Activity: TPC — h2 Early Adopters Program
Investments in new hydrogen technology demonstration projects that will bring Canada into the hydrogen economy
Expected Result	Performance Indicators
Accelerate the market adoption of hydrogen and hydrogen-compatible technologies	Number of participants involved in demonstration projects
Leverage of private sector R&D investment	Weighted average (by value) TPC sharing ratio
	Dollars of total innovation spending expected, leveraged per dollar of TPC investment

Strategic Outcome
Competitive industry and sustainable communities
Program Activity: Policy Sector — Economic Development
Sub-Program Activity: International and Intergovernmental Affairs — Economic Development
Impact of international trade, investment and services negotiations on industry interests identified and assessed
Expected Result	Performance Indicators
Alignment of federal and provincial/territorial innovation, industrial development and competitiveness policy	Extent to which provinces and territories are engaged or consulted in the development of policies and programs
Integration of departmental interests into the government's international policy positions	Number of trade-related Memoranda to Cabinet approved by Cabinet committees; number of international trips and missions coordinated for the Minister; number of Cabinet briefings on international issues
Timely processing of notifications and applications for review filed by foreign investors under the Investment Canada Act	Time required to process notifications and applications

Sub-Program Activity: Strategic Policy Branch — Economic Development
Development of strategic policy frameworks for economic and sustainable development
Expected Result	Performance Indicators
Integration of departmental and governmental objectives into the development of economic and sustainable development policies	Number of unique economic development and sustainable development items reviewed by the Director General Policy Committee (DGPC)
Sub-Sub-Program Activity: Sustainable Development Strategy
Development and implementation of the Department's Sustainable Development Strategy
Expected Result	Performance Indicators
Increased commercialization and adoption of eco-efficient tools and technologies by Canadian companies	Number of Canadian companies that have adopted ISO 14000 produced sustainability reports
Increased use by industry, institutions and communities of corporate responsibility and sustainability practices

Sub-Program Activity: Microeconomic Policy Analysis Branch (MEPA)
Microeconomic analysis in support of economic policy development
Expected Result	Performance Indicators
High-quality microeconomic research and analysis on significant policy issues as input to policy development	Number of papers presented at conferences, seminars and round tables conferences, round tables and seminars organized (and number of attendees) research publications current analysis publications hits and downloads for MEPA on Strategis

Sub-Program Activity: Canada Small Business Financing (CSBF) Program
Administration of the Canada Small Business Financing Act and the Small Business Loans Act
Expected Result	Performance Indicators
Access to debt financing for SMEs	Number of loans registered
	Value of loans registered
	Level of incrementality
Awareness of and satisfaction with the CSBF Program on the part of participating lenders	Levels of awareness and satisfaction with the program and its parameters on the part of participating lenders

Sub-Program Activity: FedNor
Economic stability, growth, diversification, job creation and sustainable communities in Northern and rural Ontario
Expected Result	Performance Indicators
Improved community capacity and long-term sustainable economic development in Northern and rural Ontario	Assessment of individual program results
Sub-Sub-Program Activity: Community Futures Program
Community economic development in rural Ontario
Expected Result	Performance Indicators
Community economic development plans implemented	Number of community economic development plans implemented
Businesses created and strengthened	Number of SMEs created or strengthened
Sub-Sub-Program Activity: FedNor
Regional and community development in Northern Ontario
Expected Result	Performance Indicators
Improved retention and development of youth in Northern Ontario through improved skills and networking	Percentage of interns finding long-term employment upon conclusion of internship
Increased investment through the development of strategic partnerships	Leveraged funds from FedNor program investments
Sub-Sub-Program Activity: Eastern Ontario Development Program (EODP)
Community economic development in Eastern Ontario
Expected Result	Performance Indicators
Increased investment through the development of strategic partnerships	Leveraged funds from EODP investments
Businesses created	Number of SMEs created

Sub-Program Activity: Sectorial Strategies and Services Branch / Canada-Ontario Infrastructure Program (COIP)
Improved community infrastructure through investments in rural and municipal infrastructure in Ontario, with an emphasis on green municipal infrastructure such as water and wastewater systems
Expected Result	Performance Indicators
Improved community infrastructure in Ontario	Percentage of Ontario population that has benefited from investments made under COIP

Sub-Program Activity: Aboriginal Business Canada (ABC)
Creation and expansion of viable businesses in Canada that are owned and controlled by Aboriginal peoples
Expected Result	Performance Indicators
Maximizing the participation of Aboriginal people in the economy through support for the creation and expansion of viable businesses in Canada that are owned and controlled by Aboriginal people	Number of businesses established
	Number of businesses expanded
	Average annual growth of the Aboriginal self-employed population between census years
	Funds leveraged with ABC funding
	Survival rate of businesses supported by ABC
	Yield on Aboriginal Capital Corporation loans

Sub-Program Activity: Regional Delivery
Delivery of programs and services across Canada
Expected Result	Performance Indicators
Increased awareness and access to government business-related information, programs and services, and facilitated compliance for business	Service usage
Increased use of self-service channels	Channel usage trends
Improved departmental understanding of regional socio-economic environment, issues, and implications for policy, programs, implementation and other initiatives	Feedback on regional support, advice and intelligence from the Minister's Office and senior management

Sub-Program Activity: Section 41, Official Languages Act
Improved participation by official-language minority communities (OLMCs) in existing federal economic development programs and services
Expected Result	Performance Indicators
Encourage participation of OLMCs in Industry Canada's programs	The level of funding that OLMCs have received from Industry Canada
	The level of funding leveraged from Industry Canada partners

Sub-Program Activity: Service to Business: Strategy and Innovation
Advancement of the service-to-business vision and improve client-centred government services to business
Expected Result	Performance Indicators
Improved availability of multi-jurisdictional permit and licence information accessible to business	Level of client satisfaction

Sub-Program Activity: Canada Business — National Secretariat
Increased awareness and access to government business-related information, programs and services and facilitated compliance with regulations for businesses
Expected Result	Performance Indicators
Increased awareness and access to government business-related information, programs and services and facilitated compliance for businesses	Service usage
Increased use of self-service channels	Channel usage trends
Reduced complexity in accessing programs and services and compliance requirements for SMEs	Level of client satisfaction
Improved SME business planning and market research	Level of client satisfaction
	Use of business support resources

Sub-Program Activity: Student Connections
Increased knowledge and use of Internet and e-commerce by Canadian SMEs and seniors, and increased youth knowledge, skills and marketability for employment
Expected Result	Performance Indicators
Increased knowledge and skills related to the Internet and e-commerce applications and technologies on the part of SMEs and seniors	Client perceptions of increased knowledge and skills
Practical, short-term work experience for students in post-secondary IT-related studies	Number of youth hired

Program Activity: Industry Sector — Economic Development

Sub-Program Activity: Manufacturing Industries Branch
Development of initiatives to support global competitiveness and sustainable economic growth in priority manufacturing sectors
Expected Result	Performance Indicators
Enhance international competitiveness and production of established industries (e.g. apparel and textiles, softwood lumber, plastics, and chemicals)	Number of market opportunities pursued for Canadian companies
	Number of initiatives launched into key export markets
Sub-Sub-Program Activity: Canadian Apparel and Textile Industries Program
Expected Result	Performance Indicators
Increased competitiveness of Canadian apparel and textile firms	Dollar value of contribution agreements

Sub-Program Activity: Energy and Environmental Industries Branch
Development of initiatives to support global competitiveness and sustainable economic growth in priority energy sectors and environmental industries
Expected Result	Performance Indicators
Competitiveness and growth in mature energy and environmental industries	Sales by Canadian firms as a percentage share of world markets: equipment and services in electric power, oil and gas, and environmental industries
Capabilities of Canadian companies promoted to international markets	Number of market development opportunities pursued by Canadian firms
Sub-Sub-Program Activity: Border Air Quality Strategy
The Border Air Quality Strategy is a bilateral initiative to improve coordinated air quality management in Canada and the United States, and to advance Canada's 10-year Clean Air Agenda. Industry Canada and Natural Resources Canada are partners in the Canada–United States Emissions Cap and Trading Feasibility Study for a nitrogen oxides and sulphur dioxide cap and trade system, headed by Environment Canada and the U.S. Environmental Protection Agency.
Expected Result	Performance Indicators
Evaluation of program elements necessary in a joint Canada–United States nitrogen oxides and sulphur dioxide cap and trade program	Evaluation study
Contribution to research on the economic and technical feasibility of an emissions trading system	Availability of research

Sub-Program Activity: Service Industries Branch
Development of initiatives that support global competitiveness and sustainable economic growth in priority service industries and service-related emerging technologies
Expected Result	Performance Indicators
Competitiveness and growth in service industries (e.g. retail, logistics, professional services, language industries)	Number of market development and trade opportunities for Canadian firms
	Service industries strategy developed and validated with key stakeholders
Increased collaboration on tourism industry issues among federal, provincial and territorial governments	Tourism strategy developed and validated with key stakeholders
Increased awareness by stakeholders of policies that affect the growth of the tourism industry	Number of meetings and conferences with federal/provincial/territorial stakeholders
	Number of contacts developed within the federal government
Increased awareness of opportunities for Canadian firms in domestic and global marketplaces via SourceCAN	Number of business opportunities sent to Canadian companies
	Number of partners providing bidding opportunities
	Number of successful Canadian company bids
Sub-Sub-Program Activity: Language Industry Initiative (LII)
Fostering of cooperation with the private sector to build a strong, competitive industry; support for firms wishing to undertake marketing and branding activities
Expected Result	Performance Indicators
Steering Committee / LII Operations Group — clear strategic direction	Directions and conditions are clear and well understood
	Strategic direction document reviewed and validated with key stakeholders (consensus)
Marketing strategies — identifying national and international market opportunities	Complete national and international language industries macroeconomics information, including number of jobs, number of firms, firm revenues, level of international business (dollar amount); level of competition
Increased awareness by language industries of national and international market opportunities	Level of use of government programs for language industries (demands, number of projects)
	Number and description of requests for participation in national and international trade promotion events (fairs, shows, missions, etc.)
	Comparative number of participation (baseline vs. language industry program)
Increased awareness of language industries by target audiences	Level of knowledge of language industries by students and potential customers
	Level of awareness of language industries promotional information on the part of students and potential customers
Increased awareness (knowledge) of Canadian language industries by Canadian representatives abroad	Level of awareness (knowledge) of Canadian language industries on the part of Canadian representatives abroad

Sub-Program Activity: Aerospace, Defence and Marine Branch
Development of initiatives that support global competitiveness and sustainable economic growth in aerospace, defence and marine sectors and aerospace and marine-related emerging technologies
Expected Result	Performance Indicators
Competitiveness and growth of the aerospace, defence and space industries	Number of companies receiving benefits from government procurements
	Dollar value of opportunities pursued on major platforms and programs
	Dollar value of transactions that improved the Canadian industrial base capabilities
	Dollar value of specific product investment in Canada through Inshore Rescue Boat program
Capabilities of Canadian companies promoted to international markets	Number of Canadian companies attending trade shows
	Number of companies registered in Canadian Company Capabilities database
	Number and dollar value of contracts under the Joint Strike Fighter program
Competitiveness and growth in mature marine industries	Number of contacts between Canadian suppliers and foreign buyers initiated by Industry Canada (as reported through follow-up inquiries)
	Amount of Shipbuilding and Industrial Marine Advisory Committee (SIMAC) stakeholder involvement in policy development (number of committee and sub-committee meetings, number of discussion papers and presentations developed by SIMAC)
Sub-Sub-Program Activity: Structured Financing Facility (SFF)
Stimulate economic activities in the Canadian shipbuilding and industrial marine industry by providing financial assistance to buyers/lessees of Canadian-built ships
Expected Result	Performance Indicators
Increased awareness and knowledge about SFF benefits	Hits on website
	Number of information packages, pamphlets or brochures used
Increased use of SFF by Canadian and foreign buyers or lessees	Statistics/trends of SFF (Internal Revenue Service, Citizenship and Immigration Canada, and Canadian Industry Statistic) usage
	SFF usage trends by Canadian and foreign buyers or lessees
	Actual SFF disbursements for contracts completed in current year, and resulting sales and employment in Canadian shipyards
	Expected SFF disbursements for projects contracted in current year, and expected sales and employment that will result for Canadian shipyards

Sub-Program Activity: Life Sciences Branch — Economic Development
Analysis and advice that supports global competitiveness and sustainable economic growth in the life sciences sector
Expected Result	Performance Indicators
Promotion of life sciences industry to international trade and investment targets in the United States, Europe and Asia	Number of life science-related events with Canadian presence supported by Life Sciences Branch
	Number of Canadian life science-related missions supported by Life Sciences Branch
	Number of Canadian life science-related promotional documentation published by Life Sciences Branch and distributed internationally
	Level of awareness among international business clients of Canada's capabilities in the life sciences sector
	Number of visitors on Life Sciences Branch's life sciences promotional websites
Increased exports in Canada's life sciences sector	Export levels in life sciences industries
Increased international investment in Canada's life sciences industries	Foreign direct investment in life sciences industries

Sub-Program Activity: Industrial Analysis and Sector Services Branch — Economic Development
Support for the development of policies, programs and initiatives for priority sectors and emerging technologies, by undertaking policy analysis and research on trade, investment and regulatory issues
Expected Result	Performance Indicators
Increased profile of industrial issues and policies involved in making Canadian industries more competitive and Canadian communities more sustainable	Sectoral reports and Memoranda to Cabinet
	Number of policy recommendations made to senior officials of Industry Canada

Sub-Program Activity: Automotive and Industrial Materials Branch — Economic Development
Development of initiatives that support global competitiveness and sustainable economic growth in aerospace, defence and automotive sectors and aerospace and automotive-related emerging technologies
Expected Result	Performance Indicators
Competitiveness and growth of the automotive and industrial materials industries	Number of industrial policy recommendations developed and adopted in support of the competitiveness and growth of the automotive and industrial materials industries (e.g. number of Memoranda to Cabinet, policy papers)
	Number of trade and investment strategies developed and implemented
	Dollar value of exports and related outcomes resulting from missions, company visits, trade fairs and investment promotion events
	Dollar value of foreign direct investment and domestic investments and reinvestments in automotive and industrial materials industries
	Number of responses given by branch in support of technology development / R&D by other federal government departments and agencies (e.g. TPC)

Program Activity: Spectrum, Information Technologies and Telecommunications Sector — Economic Development

Sub-Program Activity: Information and Communications Technologies Branch
Improvement in the competitiveness and fostering of growth of the Canadian ICT industry
Expected Result	Performance Indicators
Broad understanding of developments that affect sector growth in order to identify issues, gaps and opportunities for the ICT sector, to support directions for business development and policy activities	Assessments/studies of ICT sector and sub-sector growth
Informed advocacy for ICT stakeholder issues to influence government decisions on issues affecting the ICT industry	Number of issues addressed in policy forums and meetings with industry stakeholders
Increased business opportunities for the Canadian ICT sector	Number of corporate calls on investment targets
	Client satisfaction rates at business development events
	Number of sales leads for Canadian companies

Sub-Program Activity: Information Highway Applications Branch
Acceleration of the participation of Canadians and their communities in the digital economy by fostering community networks and improving both access to, and use of, ICTs for lifelong learning and economic development
Expected Result	Performance Indicators
Assisting Canadian individuals and communities in overcoming barriers to access and use of ICTs	Number of Canadians and communities accessing and using ICTs via broadband
	Level of Internet use by Francophones
Sub-Sub-Program Activity: Broadband for Rural and Northern Development Pilot Program
Ensures Canadian communities and businesses have access to reliable modern ICT infrastructure by bringing broadband, or high-capacity, Internet to rural, remote Northern and First Nations communities
Expected Result	Performance Indicators
Access by Canadian communities and businesses to reliable modern ICT infrastructure by bringing broadband, or high-capacity, Internet to rural, remote, Northern and First Nations communities	Number of communities served by broadband in Canada as a result of the program
Sub-Sub-Program Activity: Francommunautés virtuelles
Aims to promote the active participation of Canada's French-speaking communities in ICTs to stimulate connectivity, access to the Internet, and the development of content and new media in French
Expected Result	Performance Indicators
Improved access to French-language web applications, content and services on the part of Canada's Francophone and Acadian populations	Level of Internet use among Francophone population
Sub-Sub-Program Activity: National Satellite Initiative (NSI)
Ensures Canadian communities and businesses have access to reliable, modern ICT infrastructure by bringing high-capacity Internet to communities in the Far North and Mid-North, and in isolated or remote areas of Canada, where satellite is the only reasonable means of connecting public institutions, residents and businesses
Expected Result	Performance Indicators
Access by Canadian communities and businesses to modern ICT infrastructure by bringing high-capacity Internet to communities in the Far North and Mid-North, and in isolated or remote areas of Canada, via satellite	Number of communities able to access high-capacity Internet as a result of the National Satellite Initiative

Table 13: Details on Transfer Payments Programs Over $5 Million

A Fair, Efficient and Competitive Marketplace

International Telecommunication Union (ITU), Switzerland
Start Date: 1932–1933 End Date: December 31, 2007
Description
Canada is signatory to the ITU treaty agreement negotiated every four years at a plenipotentiary conference, in accordance with its treaty obligations of the ITU Constitution and Convention. Canada's membership, contribution and standing in the ITU, and its involvement in related events, allow us to achieve results internationally across a broad range of issues affecting radiocommunication, standardization and telecommunication development. Canada's contribution to the ITU is commensurate with its international standing and commitment to the United Nations and UN specialized agencies.
Strategic Outcome(s)
A fair, efficient and competitive marketplace
Expected Results
Membership allows Canada to achieve results across a broad range of issues affecting the international management of radio frequency spectrum and satellite orbits, the efficient and timely production of international standards, and the facilitation of connectivity in developing countries to help bridge the digital divide to the benefit of Canadian users and producers of telecommunication services and equipment.
	Forecast Spending 2005–2006	Planned Spending 2006–2007	Planned Spending 2007–2008	Planned Spending 2008–2009
Program Activity: SITT — Marketplace
Total Grants	—	$6.8M	$6.8M	$6.8M
Total Program Activity	—	$6.8M	$6.8M	$6.8M
Planned Audits and Evaluations: Nil

An Innovative Economy

Technology Partnerships Canada — Program for Strategic Industrial Projects (PSIP)
Start Date: October 3, 2005 End Date: March 31, 2011
Description
The program provides a framework within which a variety of larger strategic investment projects may be administered. Projects will normally be individually funded, in whole or in part, from the fiscal framework. PSIP will contribute to the achievement of Canada's objectives of increasing economic growth, creating jobs and wealth, and supporting sustainable development. It advances government initiatives by investing strategically in industrial research, pre-competitive development, and technology adaptation and adoption to encourage private sector investments.
Strategic Outcome(s)
An innovative economy
Expected Results
Improved technological capability, and economic benefits to suppliers. Sustainable industrial development in the automotive sector.
	Forecast Spending 2005–2006	Planned Spending 2006–2007	Planned Spending 2007–2008	Planned Spending 2008–2009
Program Activity: Technology Partnerships Canada
Total Contributions	$163.3M	$58.5M	$52.0M	$21.5M
Total Program Activity	$163.3M	$58.5M	$52.0M	$21.5M
Planned Audits and Evaluations: Nil

Technology Partnerships Canada — Research and Development Program
Start Date: March 11, 1996 End Date: December 31, 2006
Description
The programs provide funding support for strategic research and development, and demonstration projects that will produce economic, social and environmental benefits to Canadians.
Strategic Outcome(s)
An innovative economy
Expected Results
Leverage of private sector R&D investment. Increased skills, knowledge and competencies in Canadian companies. Repayments recycled into program funds.
	Forecast Spending 2005–2006	Planned Spending 2006–2007	Planned Spending 2007–2008	Planned Spending 2008–2009
Program Activity: Technology Partnerships Canada
Total Contributions	$299.4M	$300.2M	$207.3M	$207.3M
Total Program Activity	$299.4M	$300.2M	$207.3M	$207.3M
Planned Audits and Evaluations
The program will conduct recipient audits during the reporting period. The timing is still to be confirmed.

Technology Partnerships Canada — h2 Early Adopters Program
Start Date: October 9, 2003 End Date: March 31, 2008
Description
The program provides funding support for strategic research and development, and demonstration projects that will produce economic, social and environmental benefits to Canadians.
Strategic Outcome(s)
An innovative economy
Expected Results
Acceleration of the market's adoption of hydrogen and hydrogen-compatible technologies. Leverage of private sector R&D investment.
	Forecast Spending 2005–2006	Planned Spending 2006–2007	Planned Spending 2007–2008	Planned Spending 2008–2009
Program Activity: Technology Partnerships Canada
Total Contributions	$5.1M	$14.8M	$15.1M	—
Total Program Activity	$5.1M	$14.8M	$15.1M	—
Planned Audits and Evaluations
The program will conduct recipient audits during the reporting period. The timing is still to be confirmed. A formative evaluation is scheduled for 2006–2007.

Competitive Industry and Sustainable Communities

Aboriginal Business Canada (ABC) Programs
Start Date: July 1989 End Date: June 30, 2008
Description
ABC provides financial assistance, information, resource materials and referrals to other possible sources of financing or business support. ABC provides repayable and non-repayable contributions. Most contributions, because of their size, are non-repayable. A contribution is a conditional payment. Money has to be accounted for and it is subject to audit.
Clients must be individuals of Canadian Indian (on- or off-reserve), Metis or Inuit heritage, or majority-owned Aboriginal organizations or development corporations. ABC also works in partnership with Aboriginal financial and business organizations, and with a range of other agencies, boards and departments, on initiatives that are helping to strengthen business skills and promote greater awareness of Aboriginal business achievement. In this way, ABC is working toward the shared goal of an inclusive and prosperous economy for all Canadians.
Strategic Outcome(s)
Competitive industry and sustainable communities
Expected Results
Maximize Aboriginal people's participation in the economy through support for the creation and expansion of viable businesses in Canada that are owned and controlled by Aboriginal people.
	Forecast Spending 2005–2006	Planned Spending 2006–2007	Planned Spending 2007–2008	Planned Spending 2008–2009
Program Activity: Operations Sector — Economic Development
Total Contributions	$37.5M	$37.3M	$37.3M	$37.3M
Total Program Activity	$37.5M	$37.3M	$37.3M	$37.3M
Planned Audits and Evaluations
Recipient Audit of Selected Aboriginal Financial Institutions and Formative Evaluation of the Aboriginal Business Development Program, 2006–2007; Summative Evaluation of the Aboriginal Business Development Program, 2007–2008; and audit scheduled for 2008–2009.

Broadband for Rural and Northern Development Pilot Program
Start Date: 2002–2003 End Date: March 31, 2007
Description
The Broadband for Rural and Northern Development Pilot Program uses a competitive process to bring broadband, or high-capacity Internet, to unserved rural, remote and Aboriginal communities.
Strategic Outcome(s)
Competitive industry and sustainable communities
Expected Results
Access by Canadian communities and businesses to reliable modern ICT infrastructure by bringing broadband or high-capacity Internet to rural, remote, northern and First Nations communities.
	Forecast Spending 2005–2006	Planned Spending 2006–2007	Planned Spending 2007–2008	Planned Spending 2008–2009
Program Activity: SITT — Economic Development
Total Contributions	$37.9M	$21.4M	—	—
Total Program Activity	$37.9M	$21.4M	—	—
Planned Audits and Evaluations
An internal audit scheduled for 2005–2006 has been rescheduled for 2006–2007 in order to include more comprehensive data.

Canadian Apparel and Textiles Industries Program (CATIP)
Start Date: January 1, 2003 End Date: March 31, 2007
Description
The objective of CATIP is to assist Canadian apparel and textile firms with initiatives that will help to maximize productivity, identify high-value niche markets, improve e-commerce initiatives, enhance global marketing and branding strategies, and facilitate access to capital. The program has a firm component (private sector applicants) and a national initiatives component (non-profit industry associations that represent either the apparel or textile sectors on a national scale). Since 2004, the program has also had a production efficiency component targeted toward textile producers and, in 2006, introduced a transformative component for companies wanting to transform at least a portion of their current textile production from lesser value-added products to higher value-added textile products targeted at growth niche markets.
Strategic Outcome(s)
Competitive industry and sustainable communities
Expected Results
Increased competitiveness of Canadian apparel and textile firms.
	Forecast Spending 2005–2006	Planned Spending 2006–2007	Planned Spending 2007–2008	Planned Spending 2008–2009
Program Activity: Industry Sector — Economic Development
Total Contributions	$7.2M	$14.3M	$9.5M	$2.2M
Total Program Activity	$7.2M	$14.3M	$9.5M	$2.2M
Planned Audits and Evaluations
A summative evaluation is scheduled for 2009–2010. A compliance audit is scheduled for 2007–2008.

Canada-Ontario Infrastructure Program (COIP)
Start Date: October 25, 2000 End Date: March 31, 2007
Description
COIP uses a competitive process to provide funding assistance to municipalities for the construction, renewal, expansion or material enhancement of infrastructure that will contribute to improving the quality of life for Ontarians and to building the foundation for sustained, long-term economic growth in the 21st century.
Strategic Outcome(s)
Competitive industry and sustainable communities
Expected Results
Improved community infrastructure in Ontario.
	Forecast Spending 2005–2006	Planned Spending 2006–2007	Planned Spending 2007–2008	Planned Spending 2008–2009
Program Activity: Operations Sector — Economic Development
Total Contributions	$120.4M	$57.9M	$39.3M	—
Total Program Activity	$120.4M	$57.9M	$39.3M	—
Planned Audits and Evaluations
An internal audit is scheduled for 2006–2007.

Community Access Program (CAP)
Start Date: October 1994 End Date: March 31, 2007*
* CAP was to end on March 31, 2006. The program received Treasury Board approval for a reduced level of operating funds for 2006–2007. Pending conversion of some of the funding to the grants and contributions vote, planned expenditures for grants and contributions remain at zero.
The Government is presently reviewing the future of the Community Access Program and a decision about future spending will be forthcoming
Description
Starting in the 1995–1996 fiscal year, CAP was established under the government's Connecting Canadians initiative to provide affordable access to the Internet and the services and tools it provides. The program's goal was to have all Canadians and communities participate fully in the knowledge-based economy. CAP sites are located in schools, libraries, community centres and friendship centres, and they operate through partnerships with provincial/territorial governments and non-profit organizations.
Strategic Outcome(s)
Competitive industry and sustainable communities
Expected Results
Improved access to the Internet for Canadians most affected by the digital divide, with particular emphasis on First Nations, remote and rural communities.
	Forecast Spending 2005–2006	Planned Spending 2006–2007	Planned Spending 2007–2008	Planned Spending 2008–2009
Program Activity: SITT — Economic Development
Total Contributions	$29.6M†	$0	$0	$0
Total Program Activity † Includes $17.5M for CAP and $12.1M for the Youth Employment Strategy, funded by Human Resources and Social Development Canada	$29.6M†	$0	$0	$0
Planned Audits and Evaluations: Nil

FedNor — Northern Ontario Development Program
Start Date: April 1, 1996 End Date: June 30, 2011
Description
The program contributes to regional economic development in Northern Ontario.
Strategic Outcome(s)
Competitive industry and sustainable communities
Expected Results
Improved competitiveness and/or sustainability of communities and key sectors. Increased investment through the development of strategic partnerships.
	Forecast Spending 2005–2006	Planned Spending 2006–2007	Planned Spending 2007–2008	Planned Spending 2008–2009
Program Activity: Operations Sector — Economic Development
Total Contributions	$44.5M	$34.8M	$34.8M	$36.3M
Total Program Activity	$44.5M	$34.8M	$34.8M	$36.3M
Planned Audits and Evaluations: Nil

FedNor — Eastern Ontario Development Program (EODP)
Start Date: October 12, 2004 End Date: March 31, 2006*
* Approval being sought to extend the end date of this program until March 31, 2007.
Description
The program promotes rural socio-economic development in Eastern Ontario, leading to a competitive and diversified regional economy and contributing to the successful development of business and job opportunities, as well as sustainable self-reliant communities.
Strategic Outcome(s)
Competitive industry and sustainable communities
Expected Results
Strategic partnerships developed Businesses created
	Forecast Spending 2005–2006	Planned Spending 2006–2007	Planned Spending 2007–2008	Planned Spending 2008–2009
Program Activity: Operations Sector — Economic Development
Total Contributions	$12.0M	$9.6M	$0	$0
Total Program Activity	$12.0M	$9.6M	$0	$0
Planned Audits and Evaluations: Nil

FedNor — Community Futures Program (Ontario)
Start Date: 1986 End Date: October 2, 2010
Description
The program contributes to community economic development in rural Ontario.
Strategic Outcome(s)
Competitive industry and sustainable communities
Expected Results
Strengthened community plans and effective implementation through projects, partnerships and other initiatives. Creation and strengthening of businesses.
	Forecast Spending 2005–2006	Planned Spending 2006–2007	Planned Spending 2007–2008	Planned Spending 2008–2009
Program Activity: Operations Sector — Economic Development
Total Contributions	$20.3M	$20.5M	$20.9M	$21.4M
Total Program Activity	$20.3M	$20.5M	$20.9M	$21.4M
Planned Audits and Evaluations
An internal audit is scheduled for 2008–2009. A summative evaluation is scheduled for 2007–2008.

Structured Financing Facility (SFF)
Start Date: September 13, 2001 End Date: March 31, 2008
Description
This program stimulates economic activities in the Canadian shipbuilding and industrial marine industry by providing financial assistance to buyers/lessees of Canadian-built ships.
Strategic Outcome(s)
Competitive industry and sustainable communities
Expected Results
Increased awareness and knowledge of SFF benefits. Increased use of SFF by Canadian/Foreign Buyers or Lessees.
	Forecast Spending 2005–2006	Planned Spending 2006–2007	Planned Spending 2007–2008	Planned Spending 2008–2009
Program Activity: Industry Sector — Economic Development
Total Contributions	$16.0M	$17.1M	$12.6M	—
Total Program Activity	$16.0M	$17.1M	$12.6M	—
Planned Audits and Evaluations
An internal audit is planned for 2006–2007. A summative evaluation is planned for 2007–2008.

SchoolNet
Start Date: October 15, 1993 End Date: March 31, 2007*
* SchoolNet was to end on March 31, 2006. The program received Treasury Board approval for a reduced level of operating funds for 2006–2007. Pending conversion of some of the funding to the grants and contributions vote, planned expenditures for grants and contributions remain at zero.
Description
Industry Canada's SchoolNet works in collaboration with governments, non-profit organizations and the private sector to position Canada at the global forefront of e-learning readiness, to support the innovative use of ICTs for lifelong learning and to promote the competitiveness of the e-learning industry.
Strategic Outcome(s)
Competitive industry and sustainable communities
Expected Results
Increased access to, and effective use of, ICTs and the ICT infrastructure by First Nations students and learners, and other Canadian learners.
	Forecast Spending 2005–2006	Planned Spending 2006–2007	Planned Spending 2007–2008	Planned Spending 2008–2009
Program Activity: SITT — Economic Development
Total Contributions	$20.1M†	$0	$0	$0
Total Program Activity † Includes $16.7M for the SchoolNet Program and $3.4M for the Youth Employment Strategy, funded by Human Resources and Social Development Canada.	$20.1M†	$0	$0	$0
Planned Audits and Evaluations
A follow-up audit of the 2005 audit of SchoolNet is planned for 2006–2007. An audit is scheduled for 2008–2009.

Details on Other Programs

Industry Canada is responsible for the Canada Small Business Financing (CSBF) program. This program does not provide grants and contributions; therefore, it is not reported in the table Details on Transfer Payments Programs. The CSBF is included under the business line Industry Sector Development.

Canada Small Business Financing Program
Start Date: 1961 End Date: Ongoing
Description
Loan loss sharing program, in partnership with financial institutions, designed to increase access to financing for Canadian SMEs.
Strategic Outcome(s)
Competitive industry and sustainable communities
Expected Results
Access to debt financing for small and medium-sized enterprises. Awareness of and satisfaction with CSBF program on the part of participating lenders.
	Forecast Spending 2005–2006	Planned Spending 2006–2007	Planned Spending 2007–2008	Planned Spending 2008–2009
Program Activity: Operations Sector — Economic Development
Total Other Types of Transfer Payments	$73.0M	$89.5M	$92.0M	$84.8M
Total Program Activity	$73.0M	$89.5M	$92.0M	$84.8M
Planned Audits and Evaluations
An internal audit is scheduled for 2006–2007.

Table 14: Conditional Grants (Foundations)

An Innovative Economy

The Canadian Institute for Advanced Research (CIAR)

Start Date: April 1, 2002 End Date: March 31, 2007 Total Funding: $25,000,000

Description

CIAR is a not-for-profit corporation that supports networks of some of the best Canadian and international researchers in conducting long-term research on scientific, social and economic issues of vital importance to Canada

Strategic Outcome

An innovative economy

Summary of Annual Plans of Recipient

In 2006–2007, CIAR plans to continue to support its existing research programs in earth system evolution; evolutionary biology; cosmology and gravity; nanoelectronics; quantum information processing; experience-based brain and biological development; genetic networks; institutions organizations and growth; neural computation and adaptive perception; quantum materials; social interactions, identity and well-being; and successful societies. CIAR plans to continue its effective communications and outreach work.

Planned Audits and Evaluations

An evaluation of CIAR was completed in March 2005. There are currently no additional reviews planned for the reporting period.

The Council of Canadian Academies (CCA), formerly the Canadian Academies of Science (CAS)

Start Date: July 2005 End Date: 2015 Total Funding: $30,000,000

Description

The Council of Canadian Academies (CCA) is an arm's length, not-for-profit organization that was established to assess the state of scientific knowledge underpinning key public policy issues. Its founding members are the Royal Society of Canada, the Canadian Academy of Engineering and the Canadian Academy of Health Sciences. The Government of Canada provided a $30 million one-time conditional grant in July 2005 from Budget 2005, which entitles the government to five assessments per year at no additional cost. Each assessment will likely take 18 months to two years to complete.

Strategic Outcome

An innovative economy

Summary of Annual Plans of Recipient

The CCA will launch at least two assessments in 2006–2007 and, once fully operational, will produce roughly five assessments for the government each year. The assessments undertaken for the federal government will normally not contain specific policy recommendations. Rather, they will report on the relevant science — identifying both what is known (or at least strongly believed) and where there are gaps in our knowledge. Such findings will be relevant for policy decisions in cases where scientific factors play a significant role.

Planned Audits and Evaluations

The Minister has undertaken to ensure that a compliance audit is conducted by December 31, 2006.

The Minister has undertaken to ensure that a value-for-money audit is performed at least once during the period of April 1, 2005 to March 31, 2010.

Website: www.scienceadvice.ca

CANARIE — CA*net 4

Start Date: March 2002 End Date: March 31, 2007 Total Funding: $110,000,000

Description

CANARIE develops, operates and maintains CA*net 4, Canada's advanced research network. CA*net 4 provides researchers across Canada with high-speed, optical networking capability.

Strategic Outcome

An innovative economy

Summary of Annual Plans of Recipient

CANARIE plans for CA*net 4 will include the following: maintaining the national network and increasing international connections, providing users with access to CA*net 4 through collaborative arrangements with provincial/territorial and regional research networks, and developing innovative networking technologies. This will enable the country's research networks and institutions to participate in research activities across Canada and around the world.

Planned Audits and Evaluations

A summative evaluation of the CA*net 4 program was undertaken in 2005–2006 for completion in 2006–2007.

Genome Canada

Start Date: March 2000 End Date: March 2008 Total Funding: $435,000,000*

* This includes $60 million that has yet to flow in 2004–2005 but does not include the $165 million announced in Budget 2005.

Description

Genome Canada is an independent corporation with five regional genomics centres across Canada. Genome Canada, the primary funding and information resource concerned with genomics and proteomics in Canada, is enabling Canada to become a world leader in key areas such as agriculture, environment, fisheries, forestry, health and new technology development, as well as ethical, environmental, economic, legal, and social issues related to genomics (GE3LS).

Strategic Outcome

An innovative economy

Summary of Annual Plans of Recipient

The 2006–2009 period will focus on the following: elaborating Canada's world-class research strength in life sciences through continued investment in large-scale genomics and proteomics research projects; and continuing to provide information and education on genomics and proteomics to the public.

Genome Canada will continue to develop regional and sectoral strengths, contribute to the sustainability of traditional industries, leverage international dollars and knowledge through international consortia, create products and jobs, contribute to the “brain gain,” make cost-effective world-class S&T platforms available to the genomics research community, and contribute to health and environmental improvements.

Planned Audits and Evaluations

The recent evaluation against the indicators and measures outlined in its results-based management framework demonstrated the positive results being obtained from Genome Canada's activities.

Pierre Elliott Trudeau Foundation

Start Date: March 31, 2002 End Date: Ongoing Total Funding: $125,000,000

Description

To support research and the dissemination of research findings in the humanities and human sciences, such as Canadian studies, history, international relations, journalism, law, peace and conflict studies, philosophy, political economy, political science, sociology, and urban and community studies.

Strategic Outcome

An innovative economy

Summary of Annual Plans of Recipient

In 2006–2007, the Foundation will fully expend the annual allocations for the three awards programs (scholarship, fellowship and mentorship). The Foundation will host an academic conference to promote the dissemination of research findings.

Planned Audits and Evaluations

The first evaluation of the Foundation is due March 31, 2007; however a request for an extension until March 2009 has been made and is subject to approval by the Minister of Industry. After the first evaluation, an evaluation is required every five years thereafter.

Precarn Incorporated, Phase Four

Start Date: April 1, 2005 End Date: March 2010 Total Funding: $20,000,000

Description

Precarn is Canada's national organization for the development and commercialization of intelligent systems and robotics. In the model Precarn uses for commercializing R&D, a private-sector technology developer enters into a collaborative relationship with both an end-user of the technology and a university or research institute.

Strategic Outcome

An innovative economy

Summary of Annual Plans of Recipient

Precarn plans to upgrade the global competitiveness and innovation capacity of Canadian companies by structuring and managing collaborative R&D partnerships among technology-development companies, Canada's leading university researchers, and end-system users that can test and prove the prototype in real-life settings.

It will also help companies to manage the risk of developing new products by using a thorough peer review to vet proposals and ensuring that developers get feedback from first-time users.

The organization will supply Canadian firms with key talent and future employees through Precarn's long-standing relationship with co-op programs in universities and colleges.

Planned Audits and Evaluations

An audit of Precarn, Phase Four is planned for 2006–2007.

The evaluation for Phase Three found the program to be a very effective tool for bootstrapping medium and small companies by increasing their ability to commercialize R&D. Precarn was also very much valued by small companies for its assistance in project management and planning.

Canadian Centre for Creative Technology (Shad International)

Start Date: April 1, 2002 End Date: March 31, 2006 Total Funding: $6,000,000

Description

Shad International is a non-profit, certified educational institution that aims to develop innovative leaders in science, technology and entrepreneurship. The Shad Valley program is a summer education and work-term experience program for senior high school students.

Strategic Outcome

An innovative economy

Summary of Annual Plans of Recipient

The $6 million in federal funding support to Shad will be matched one-for-one with private sector funding and participant fees, and will be used for the following: to improve, sustain and expand Shad Valley to other universities that would serve as hosts for the four-week program; to increase the number of Shad Valley participants by more than 50 percent from the current 429 students accepted each year; to increase the bursary program, enabling more eligible students to participate, regardless of their economic circumstances; to reduce the cost of a corporate partnership to small and medium-sized businesses and other corporations of limited financial means, thus increasing by up to 50 percent the number of corporate partnerships, and expand French or bilingual programming.

Planned Audits and Evaluations

A third-party evaluation was conducted in 2003 to assess the project's performance. Another evaluation will be undertaken upon its completion.

Shad will submit a project-completion report to the Department by December 31, 2006. This report will contain a summary of the results of the project in its entirety, including a description of the benefits that have accrued or are likely to accrue to the Canadian economy.

Canada Foundation for Innovation (CFI)

Start Date: April 25, 1997 End Date: 2010 Total Funding: $3,650,000,000

Description

The CFI funds infrastructure investment to strengthen the capability of Canadian universities, colleges, research hospitals and other not-for-profit institutions to carry out world-class research.

Strategic Outcome

An innovative economy

Summary of Annual Plans of Recipient

The CFI's annual plans outline the following four objectives for 2006–2007: Invest in state-of-the-art research infrastructure; plan and monitor investments; maintain strong accountability mechanisms; and collaborate with stakeholders.

Planned Audits and Evaluations

Third-party evaluations are scheduled for 2006–2007.

Competitive Industry and Sustainable Communities

Canadian Youth Business Foundation (CYBF)

Start Date: April 1, 2002 End Date: September 2009 Total Funding: $17,500,000

Description

To support and develop youth entrepreneurship. The youth business program provides loans, mentorship support and an interactive website to entrepreneurs between 18 and 34 years of age.

Strategic Outcome

Competitive industry and sustainable communities

Summary of Annual Plans of Recipient

The grant will be used to continue and to further expand the CYBF's programs supporting young Canadians who see entrepreneurship as a viable option, but who would not typically be supported by traditional lending institutions. In addition to the provision of loans, the program aims to enhance the fundamental business skills required to run a successful business.

The CYBF will increase the number of new community partners by 25 percent (ensuring that at least half are new Aboriginal partners), augment its support and reach into local communities, establish new in-house mentoring programs and services, enhance and expand its “Business Start-Up” financing program, and implement a multi-tiered marketing and outreach strategy to increase the number of participants in the program, as well as the number of sponsors.

Audit and Evaluation

An evaluation measuring the overall performance of the CYBF in achieving its objectives will be conducted by an independent third-party by September 2009.

The CYBF will make its annual report available to the public, in both official languages, within six months after the end of each fiscal year. The report also includes the annual audited financial statements reviewed by a professionally certified external accountant/auditor.

Table 15: Horizontal Initiatives

Horizontal Initiative
Canadian Biotechnology Strategy (CBS)	Name of Lead Department(s):
	Industry Canada, Agriculture and Agri-Food Canada, Canadian Food Inspection Agency, Fisheries and Oceans Canada, International Trade Canada, Environment Canada, Health Canada, Natural Resources Canada, National Research Council Canada.
Start Date of the Horizontal Initiative	End Date of the Horizontal Initiative
1998	TBD
Total Federal Funding Allocation (1999 to 2006): $394,532,530
Description of the Horizontal Initiative
The vision of the Canadian Biotechnology Strategy (CBS) is to “enhance the quality of life of Canadians in terms of health, safety, the environment, and social and economic development by positioning Canada as a responsible world leader in biotechnology.”
Acting within the CBS pillars of stewardship, citizen engagement and innovation, this document reports on three strategic initiatives: the CBS Fund, the Canadian Regulatory System for Biotechnology (CRSB) and the Genomics Research and Development (Genomics R&D) program. Each of these initiatives focuses on a different aspect of Canada's biotechnology-related priorities, involving separate program management and resource allocation, as well as the profiling of initiatives that are linked through the CBS governance structure.
Shared Outcome(s)
Biotechnology applications are influencing the way our society and economy are evolving. The pace of science is presenting great opportunities for new markets and new solutions to the challenges faced by humankind. However, these advances also present choices and challenges that demand an effective and forward-looking regulatory system.
The shared outcome of the CBS is to ensure that the Government of Canada exercises its responsibilities to ensure that biotechnology will continue to enhance Canadians' quality of life in terms of health, safety, the environment, and social and economic development.
Each CBS initiative focuses on different aspects of the strategy.
CBS Fund The CBS Fund provides core policy and management funding for the CBS. The fund enables leading-edge, cross-cutting policy development and analysis for the departments and agencies that are signatories to the CBS. It also provides funds for the expert arm's-length advice provided to the government by the Canadian Biotechnology Advisory Committee (CBAC). The CBS Fund supports horizontal management, accountability and results reporting.
For 2006–2007, $6.0 million will be allocated to federal departments and agencies to deliver the annual work plan approved by the Biotechnology ADM Coordinating Committee (BACC). The focus is on policies to capture the benefits of biotechnology for Canada, manage the risks and engage Canadians on issues arising from this enabling technology. Strategic priorities this year include new approaches for biotechnology stewardship, an increased web presence, engagement of Canadians and support for the commercialization of biotechnology products in the emerging bioeconomy.
CRSB The Canadian Regulatory System for Biotechnology (CRSB) was established in 2000 to enhance Canada's regulatory capacity and to ensure that Canadians have an efficient, credible and well-respected biotechnology regulatory system that safeguards health and the environment as a priority and, thereby, permits safe and effective products to enter the market.
The strategic objectives of the CRSB are to meet technical capacity and human resource needs; improve public awareness of and confidence in the regulatory system; increase the efficiency, effectiveness and timeliness of the regulatory system; and generate knowledge to support the regulatory system.
Genomics R&D Biotechnology research related to genome sciences (the study of genes and their interactions) continues, providing new methods for managing agriculture, fisheries and aquaculture; enhancing stewardship and conservation activities; and developing new methods of disease diagnosis, treatment and prevention. In 2006–2007, six departments and agencies (National Research Council Canada, Agriculture and Agri-Food Canada, Health Canada, Natural Resources Canada, Environment Canada, and Fisheries and Oceans Canada) will continue to participate in the Genomics R&D Initiative.
The objective of the Genomics R&D program is to build the capacity inside government laboratories to do this new type of biotechnology research, which will strengthen the regulatory system and bring the benefits of revolutionary advances in research and technology to a variety of Canadian industrial sectors and regions. The new technologies are having a dramatic impact on industrial competitiveness and economic growth. They are also expected to bring significant social benefits, such as better therapeutics, a cleaner environment and better management of natural resources.

Federal Partners Involved in Each Program	Names of Programs	Total Allocation 1999–2006 ($000)	Planned Spending for 2006–2007 ($000)	Horizontal Results Expected for 2006–2007 These results are not achieved by a specific department; they are achieved by interdepartmental efforts under each of the CBS initiatives.
Agriculture and Agri-Food Canada	(a) CBS Fund	$3,081.00	$TBD	CBS Fund Contribute to policy development to stimulate sustainable Canadian opportunities in the growing bioeconomy. Ensure regulatory policy coherence, strengthen regulatory program delivery, and improve and coordinate risk management and biotechnology stewardship. Enhance the capacity of the BioPortal, improve and coordinate risk communications and public engagement, and maintain a public opinion research program to assess trends in public attitudes. Enhance the diffusion of new products, improve commercialization and financing mechanisms through broad initiatives, and survey biotechnology use and development to assess industry trends. Support market development and partnerships internationally, contribute to international negotiations and agreements, and assist the developing world. Ensure a strong foundation of information and appropriate knowledge management mechanisms to support decision making. CBAC Release CBAC analysis and recommendations to the Government of Canada on the subject of biotechnology and sustainable development. Release CBAC advice to the Government of Canada on the Canadian Biotechnology Strategy, Charting the Path Forward. Produce CBAC's newsletter: Biotech Watch (two to three issues). CRSB Improve priority setting and research- and evidence-based decision making (by the participating departments/agencies). Improve capacity (technical and human resource) to respond to public health, plant protection, animal health and environmental protection issues. Improve coordination, synchronization, standards and sharing of resources with partners. Improve awareness, support and compliance by industry, stakeholders and other affected parties. Improve transparency, awareness and involvement in biotechnology issues, including healthy choices and informed decision making by the public. Increase awareness of the regulatory system through tools such as consultations, fact sheets, decision documents and increased Internet presence. Genomics R&D Achieve commercially relevant advances in areas of genomics R&D related to human health (e.g. genetic testing, diagnostics, microbial genomic applications, treating and preventing human diseases such as cancer and cardiovascular disease, and pathogen detection). Realize crop value improvements in cereals, soybean and canola, through quality improvements in areas related to plant adaptation to biotic and abiotic stresses (e.g. resistance to disease, tolerance to drought and cold), as well as seed development and metabolism. Implement the sustainable management of aquatic resources through the use of genomics tools to manage fishery openings and understand the changing behaviour of fish stocks as a result of pollution and climate change, and through the management of aquatic animal diseases (e.g. vaccine development for farmed fish). Position the Canadian health regulatory system to enable innovation, while minimizing the risks to Canadians through a focused genomics R&D program aimed at strengthening capacity in priority areas, such as genetic information, biotechnology products, human genomics and microbial genomics pertaining to human, animal and environmental health. Increase knowledge of forest generation and protection methods, and in terms of addressing environmental impact considerations, through a focused genomics R&D effort on species and traits that are of economic importance to Canada. Develop genome-science applications to support regulatory and enforcement activities in key areas, such as environmental risk assessment and management; enforcement and compliance; pollution detection, monitoring and prevention; conservation biology and wildlife genetics; technology forecasting and assessment; and the responsible and sustainable development and use of bio-based products and industrial processes.
	(b) Genomics R&D	$41,000.00	$6,000.00
Canadian Biotechnology Secretariat (CBSec)	(a) CBS Fund	$4,330.92	$TBD
	(b) CBSec, CBAC, Emerging Issues Fund and departmental allowance for reporting	$22,920.00	$3,520.00
Canadian Food Inspection Agency	(a) CBS Fund	$6,630.00	$TBD
	(b) CRSB	$65,316.00	$11,284.00
Foreign Affairs and International Trade Canada	(a) CBS Fund	$2,386.00	$TBD
Fisheries and Oceans Canada	(a) CBS Fund	$2,439.00	$TBD
	(b) CRSB	$7,920.00	$1,495.00
	(c) Genomics R&D	$6,100.00	$900.00
Environment Canada	(a) CBS Fund	$5,457.12	$TBD
	(b) CRSB	$9,818.00	$1,603.00
	(c) Genomics R&D	$7,000.00	$1,000.00
Health Canada	(a) CBS Fund	$4,615.42	$TBD
	(b) CRSB	$102,776.00	$18,948.00
	(c) Genomics R&D	$26,000.00	$4,000.00
Industry Canada	(a) CBS Fund	$3,570.90	$TBD
	(b) CRSB	$950.00	$150.00
Natural Resources Canada	(a) CBS Fund	$2,440.50	$TBD
	(b) CRSB	$7,020.00	$1,120.00
	(c) Genomics R&D	$13,000.00	$2,000.00
Department of Justice Canada	(a) CBS Fund	$1,858.00	$TBD
National Research Council Canada	(a) CBS Fund	$3,678.19	$TBD
	(b) Genomics R&D	$41,000.00	$6,000.00
Statistics Canada	(a) CBS Fund	$2,564.20	$TBD
Canadian Institutes of Health Research (CIHR)*	(a) Genomics R&D	$500.00	$0.00
Veterans Affairs Canada	(a) CBS Fund	$85.00	$0.00
Human Resources and Social Development Canada	(a) CBS Fund	$75.00	$0.00
	Total	$394,532.53	$64,020.00**
* CIHR was created in 2000. Its predecessor, the Medical Research Council, received a one-time allocation in 1999–2000 to assist in the establishment and support of a Genome Canada Secretariat.
** This amount includes $9.5 million for the CBS Fund. At time of writing, Treasury Board had decided to unfreeze 50 percent of the CBS Fund, and a decision on whether or not to seek release of the remaining 50 percent was pending. Allocations to departments will be determined based on this decision.
Results to be achieved by non-federal partners (if applicable): None

Contact Information	Approved by:	Date Approved
CBS: Glenn Kendall kendall.glenn@biotech.gc.ca (613) 954-2412	CBS: Glenn Kendall	February 8, 2006
CRSB: Bruce Smith smith@hc-sc.gc.ca (613) 941-2175	CRSB: Bruce Smith	February 9, 2006
Genomics: Gary Fudge Gary.Fudge@nrc-cnrc.gc.ca	Genomics: Gary Fudge	January 31, 2006

Horizontal Initiative
Canada Business Network (Amalgamation of Canada Business Service Centres (CBSC) and Business Gateway (BG)	Name of Lead Department(s): Industry Canada Atlantic Canada Opportunities Agency Western Economic Diversification Canada Canada Economic Development for Quebec Regions

Start Date of the Horizontal Initiative	End Date of the Horizontal Initiative	Total Federal Funding Allocation
Canada Business Service Centres (CBSC): Funding originally started in 1995 (February 9, 1995 TB 822499). Most recent renewal for period 2006–07 (Policy and funding approval: Building a More Innovative Economy — Jobs and Growth)	March 2007 — aiming for renewal (Fall of 2006)	$181M (since 1995)
Business Gateway: Funding originally started in 2000 to March 31, 2006 (Policy and funding approval: Government On-Line funding via TBS initially / PWGSC – Gateways and Clusters)		$6.79M (since 2000)
		Total: $187.79M
Description of the Horizontal Initiative
Canada Business was established to improve service to small business and start-up entrepreneurs by providing a comprehensive first stop for information on government services, programs and compliance requirements from federal and provincial/territorial levels of government.
On behalf of the Government of Canada and its partners, Canada Business delivers a host of information products and resources through a variety of channels across Canada (web, in-person, telephone). Through its collaboration with the provinces and territories, information products and resources are supplemented by jurisdictionally relevant content — providing a truly client-centred, integrated information service.
Shared Outcomes
Increased awareness and access to government business-related information, programs and services and facilitated compliance for business. Increased use of self-service channels. Reduced complexity in accessing programs and services and compliance requirements for SMEs. Improved SME business planning and market research.
Governance Structure
The Canada Business network is managed on behalf of the federal government by Atlantic Canada Opportunities Agency, Canada Economic Development for Quebec Regions, Industry Canada and Western Economic Diversification Canada.
The lead organizations are responsible for ensuring compliance with all federal policies affecting program delivery in a collaborative environment, particularly policies on topics such as official languages, accessibility, access to information and privacy, federal identity, and alternative service delivery.

Federal Partners Involved in Each Program	Names of Programs	Total Allocation 1999–2006 ($000)	Planned Spending for 2006–2007 ($000)	Horizontal Results Expected for 2006–2007
IC	Canada Business Network	$79,408	$6,504	Increased awareness and access to government business-related information, programs and services and facilitated compliance for business Increased use of self-service channels Reduced complexity in accessing programs and services and compliance requirements for SMEs Improved SME business planning and market research
ACOA	Canada Business Network	$30,734	$2,641
WD	Canada Business Network	$42,010	$3,977
CED	Canada Business Network	$19,428	$1,878
Total		$171,580	$15,000

Contact Information	Approved by:	Date Approved
Grace Moores, Director, Policy Planning and Research	Marcie Girouard, A/Executive Director, Canada Business	June 21, 2006

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