2011–12 Departmental Sustainable Development Strategy

Given the interplay between environmental and economic policy objectives, Industry Canada is well positioned to contribute to the achievement of the environmental goals and targets of the federal government, as set out in the Federal Sustainable Development Strategy (FSDS), It does so by supporting Canadian industry efforts to leverage sustainability opportunities for greater competitiveness.

This, together with the department’s Report on Plans and Priorities constitutes Industry Canada’s 2011‑12 departmental sustainable development strategy (DSDS). It specifies the department’s contribution to the FSDS and its commitments towards sustainable development.

Table of contents

1. Industry Canada Sustainable Development Vision

2. Industry Canada Sustainable Development Practices

3. Industry Canada’s Contribution to Themes I to III of the Federal Sustainable Development Strategy

4. Industry Canada’s Complementary Sustainable Development Activities

5. Industry Canada’s Contribution to Theme IV of the Federal Sustainable Development Strategy

6. Federal Sustainable Development Strategy


1. Canada Sustainable Development Vision

Industry Canada's legislative responsibility for sustainable development is defined in its founding act, the Department of Industry Act, 1995, which mandates the Minister of Industry to "strengthen the national economy and promote sustainable development."

Sustainable development is an approach to growth that considers the impacts of policies, programs and operations on economic prosperity, environmental quality and social well-being. While Industry Canada is, first and foremost, an economic department, it recognizes the interconnectedness of the economic, social and environmental policy dimensions. As such, it supports further integration of sustainable development principles into departmental policies, programs and operations as a way to foster improved efficiency, decreased costs, improved environmental performance, enhanced competitiveness of Canadian industry, and increased awareness and uptake by Canadian consumers.

In 2006, Industry Canada adopted the following vision to guide its efforts in promoting sustainable development:

In support of a competitive economy, Industry Canada is positioned as a leader in supporting sustainable development technologies and practices for businesses and consumers.

This vision was adopted within the framework of Industry Canada's Sustainable Development Strategy 2006–09 (SDS IV), which sought to build on the achievements of its first three strategies while addressing emerging sustainability challenges and opportunities. Industry Canada's first sustainable development strategy, SDS I (1997–2000), had a "learning and discovery" theme. It was aimed at institutionalizing the concept of sustainable development by establishing broadly based deliverables and management involvement. The Department's second sustainable development strategy, SDS II (2000–2003), was characterized by a "leadership and partnership" theme. It was formulated on the basis of lessons learned from SDS I, specifically in terms of building a sustainable development management system within the Department. Industry Canada's third sustainable development strategy, SDS III (2003–2006), supported a vision of Canada as a leader in the development, commercialization and adoption of innovative sustainable development tools, practices and technologies throughout the economy. Its theme was "innovation and results". Most recently, SDS IV had as its theme "selling the sustainability value proposition."

Industry Canada has made significant progress over the course of its four sustainable development strategies. Given the interplay between environmental and economic policy objectives, it is positioned to contribute to the achievement of the environmental goals and targets of the federal government, as set out in the Federal Sustainable Development Strategy (FSDS), by supporting Canadian industry efforts to leverage sustainability opportunities for greater competitiveness.

In the coming fiscal year (2011‑12), Industry Canada will work to align its sustainable development vision with the new FSDS framework, and, in collaboration with stakeholders and other federal departments, to integrate economic considerations into this framework.


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2. Industry Canada Sustainable Development Practices

2.1 Sustainable Development and Decision Making

Sustainable development considerations are integrated into Industry Canada’s decision making process in four ways:

  • through a dedicated management system;
  • through sustainable development performance reporting;
  • through the application of multicriteria decision-making tools;
  • through its participation in interdepartmental committees.

2.1.1 Sustainable Development Management System

To date, the Assistant Deputy Minister Strategic Policy Sector has championed the planning and implementation of the department’s contribution to the FSDS and its sustainable development strategy. Responsibility for sustainable development is reflected in the Performance Management Agreement for the Director General of Strategic Policy Branch and the Director of Policy Coordination and Regulatory Affairs.

To support its work, the Strategic Policy Branch has worked closely with other parts of the Department, particularly the Environmental Industries Directorate of the Industry Sector, and together they co-chaired an SD Coordinating Committee with representation from across the department.

In the coming fiscal year (2011‑12), Industry Canada will review its sustainable development management structure to align it with the new FSDS framework. In particular, it will work to maintain and improve internal and external mechanisms on sustainable development issues as they relate to departmental activities and its commitments under the FSDS. The existing director-level network will be maintained to provide policy advice, develop concerted perspectives, harmonize action, share knowledge and gather input on sustainability issues in and outside the department. This committee will be supported by a coordinated network of analyst-level officials who work on sustainable development-related files at Industry Canada.

2.1.2 Sustainable Development Performance Reporting

Performance reporting has always been an important part of Industry Canada’s sustainable development management system, which allows for senior management oversight. The department provides an annual performance report through its Directors’ General Policy Committee (DGPC) to the Deputy Minister during the implementation of its departmental sustainable development strategies. The Department also reports on its sustainable development performance in its DPR against expectations set out in the RPP.

The mandate of DGPC, which has been operating since the 1990s, is to promote policy excellence in the department through information sharing and frank discussion. The Committee conducts reviews of proposed policy initiatives, including in respect to the departmental sustainable development strategy, and offers feedback and advice to improve the substance of proposals. Committee meetings are chaired by the Director General of the Strategic Policy Branch. The DGPC has thirteen standing members including the Chair. Members are representative of the full spectrum of departmental expertise. As such, it serves to disseminate knowledge of policies, programs and achievements, including for sustainability initiatives, throughout Industry Canada.

In the context of the FSDS framework and as per its requirements, Industry Canada will continue to report progress on the FSDS and the departmental sustainable development strategy through its RPP and DPR. Reporting to DGPC will be reviewed in fiscal year 2011‑12 to ensure it aligns with the new FSDS framework.

2.1.3 Multicriteria Decision-Making Tools

Two main multicriteria tools are used at Industry Canada to inform the decision process with regards to environmental and sustainable development considerations.

First, consistent with the newly revised (2010) Cabinet Directive on the Environmental Assessment of Policy, Plan and Program Proposals, every policy, plan and program proposal developed by Industry Canada must consider, when appropriate, potential environmental effects. This is done by conducting strategic environmental assessments of those proposals when they are to be submitted to Cabinet or the Minister for approval, and when they may result in important positive or negative environmental effects.

Such requirements for strategic environmental assessments ensure that environmental and sustainability considerations are integrated at the development stage of policies, plans and programs and inform Industry Canada’s decision-making process.

More details on strategic environmental assessments at Industry Canada are provided in the next section.

Second, as prescribed by the Cabinet Directive on Streamlining Regulation (2007), Industry Canada must perform a cost-benefit analysis of its regulatory proposals when determining whether and how to regulate. Under this directive, all regulatory departments and agencies are expected to show that the option they recommended maximizes the net economic, environmental, and social benefits to Canadians, business, and government over time more than any other type of regulatory or non-regulatory action. A cost-benefit analysis allows for the comparison of all added, quantifiable, long-term positive and negative economic, environmental and social impacts of a given project or proposal, and thus for the calculation of the net benefit of that proposal. Therefore, by conducting cost-benefit analyses for all its regulatory proposals, Industry Canada ensures that the decisions it makes on regulations integrate environmental and sustainability considerations.

2.1.4 Participation in Interdepartmental Committees

Industry Canada is a member of senior interdepartmental working groups related to sustainable development, notably on the FSDS, strategic environmental assessments, climate change and clean energy, and corporate social responsibilities.

2.2 Strategic Environmental Assessment Process

As mentioned above, strategic environmental assessments are required under the newly revised (2010) Cabinet Directive on the Environmental Assessment of Policy, Plan and Program Proposals.

An SEA is a systematic, comprehensive and iterative process for assessing the environmental effects, both negative and positive, of a proposed policy, plan or program and its alternatives. The focus is on identifying strategic considerations at a general or conceptual level. The SEA differs from a Project Environmental Assessment (PEA), which focuses on evaluating quantitative, detailed environmental effects of a particular project. SEAs help decision-makers to integrate environmental considerations into policies, plans and programs which will help to promote sustainable development. They are a risk management tool, which can help the department anticipate, avoid or minimize possible negative environmental effects of its policies, plans and programs. SEA s also help to identify and optimize positive environmental effects. When conducted early, SEAs can save the department time and resources. They can also address public concerns about the environmental impacts of government sponsored initiatives.

Industry Canada conducts strategic environmental assessments of all Memoranda to Cabinet (MCs) and Treasury Board (TB) submissions that may result in important environmental effects, either negative or positive. The assessments are conducted by the author of the proposal according to a questionnaire available on Industry Canada’s website. The questionnaire has two components. First, a preliminary assessment is used to determine if a proposal’s outcomes are likely to have important positive or negative environmental effects, or if any key general public concerns have been identified or expressed about the possible environmental consequences of the initiative. If so, the second part consist of a detailed assessment of the proposal which requires the following elements be addressed:

  • What outcomes are likely to result from the policy, program or plan being proposed?
  • Which outcomes are likely to result in environmental impacts, and are these impacts positive or negative?
  • What is the scope and nature of the anticipated environmental effects?
  • How can the environmental effects identified be mitigated or enhanced, and what would be the ensuing net environmental impacts?
  • What are the social or economic outcomes that could arise from the potential environmental effects identified?
  • How can the social and economic outcomes of the environmental effects identified be mitigated or enhanced, and what would be the ensuing net environmental impacts?
  • Which eco-efficiency elements, if any, does the policy, program or plan promote or advance?
  • Whether a more detailed assessment is required and the proposal is likely to lead to the development of project(s) requiring assessment under the Canadian Environmental Assessment Act (CEAA)?

If a detailed assessment has been conducted and there are no concerns or constraints respecting public disclosure (e.g. Cabinet secrecy) that prohibit a public statement, one is prepared.

Industry Canada mandates its officials to complete the SEA questionnaire as early as possible in the development of a policy, plan or program proposal. The SEA process is iterative: as with the proposal itself, the SEA may need to undergo a number of revisions as it moves through the decision making process.

For more detail on Industry Canada’s SEA procedure, and to consult the questionnaire and its annexes, please see the department's SEA website.

As committed to in its RPP, in the coming fiscal year (2011‑12), Industry Canada will work to renew its strategic environmental assessment process to strengthen its application and align it with the government’s environmental goals and targets. The department will work to incorporate best practices when reporting summary information on the results of SEAs and linking results to FSDS goals and targets to ensure that environmental decision making is more transparent. In particular, Industry Canada commits to publish in its DPR the number of preliminary and detailed SEA conducted in a given fiscal year.


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3. Industry Canada’s Contribution to Themes I to III of the Federal Sustainable Development Strategy

Under the Federal Sustainable Development Strategy, Industry Canada is responsible for seven implementation strategies that contribute to Theme I (Addressing Climate Change and Air Quality).

With respect to Theme II (Maintaining Water Quality and Availability) and Theme III (Protecting Nature) of the Federal Strategy, Industry Canada’s ongoing work to promote the benefits of sustainable development, and to encourage the greater adoption of sustainable technologies and practices by Canadian businesses, consumers and communities has positive impacts on water quality and the availability and protecting nature.

  • Continue to provide science policy advice and policy frameworks, and work with portfolio agencies to fulfill commitments made in Canada's Science & Technology Strategy in support of the environmental science and technologies, natural resources and energy, and information and communications technologies research priorities. (Implementation Strategy 1.1.21)
  • Continue to work with industry stakeholders to encourage and promote the adoption and adaptation of new technologies such as information and communications technologies, biotechnology and clean energy technologies. (Implementation Strategy 1.1.22)
  • Continue to implement the Strategic Aerospace and Defence Initiative in support of strategic, research and development projects that contribute to new A&D technologies, and which may reduce greenhouse gas emissions and produce new energy efficiencies. (Implementation Strategy 1.1.23)
  • Continue to promote the development and use of CSR management tools by industry and the use of CSR standards in the Canadian marketplace in support of environmental sustainability. (Implementation Strategy 1.1.24)
  • Continue to collaborate with partners to enhance Canada's competitive advantage in hydrogen and fuel cell technology development and commercialization. (Implementation Strategy 1.1.36 / 2.1.24)
  • Asia-Pacific Partnership: Manage Canadian Asia Pacific Partnership funded projects that promote the development, diffusion, and deployment of clean technologies (Implementation Strategy 1.1.50) - With EC and NRCan
  • Continue to implement the Automotive Innovation Fund through to 2013 in support of strategic, large-scale research and development projects leading to innovative, greener, more fuel-efficient vehicles. (Implementation Strategy 2.1.26)

A detailed description of these implementation strategies and how they contribute to the FSDS goals and targets is provided below.


Implementation Strategy 1.1.21

Continue to provide science policy advice and policy frameworks, and work with portfolio agencies to fulfill commitments made in Canada's Science & Technology Strategy in support of the environmental science and technologies, natural resources and energy, and information and communications technologies research priorities.

Link to FSDS Goals and Targets

  • Theme I Addressing Climate Change and Air Quality
    • Goal 1 Climate Change: Reduce greenhouse gas emission levels to mitigate the severity and unavoidable impacts of climate change
      • Target 1.1 Climate Change Mitigation: Relative to 2005 emissions levels, reduce Canada’s total greenhouse gas emissions (GHG) 17% by 2020.

Link to Industry Canada’s PAA

  • Strategic Outcome 2 - Advancements in science and technology, knowledge, and innovation strengthen the Canadian economy 
    • Program Activity 2.1 - Science, Technology and Innovation Capacity
      • Program Sub-activity 2.1.1 - Government Science and Technology Policy Agenda

Description of the Implementation Strategy

IC is working closely with both portfolio agencies and Science Based Departments and Agencies, to further implementation of the federal S&T Strategy.

In 2008, the Minister of Industry received recommendations from the Science, Technology and Innovation council’s (STIC) on sub-priorities of strategic importance to Canada.  Related to sustainable development, under the priority of environmental science and technologies, STIC identified the following sub-priorities: water (health, energy, security); cleaner methods of extracting, processing and using hydrocarbon fuels, including reduced consumption of these fuels.  Industry Portfolio agencies and other departments and agencies will apply these priorities to their research agenda’s, as appropriate.

In June 2009, Minister Goodyear released an S&T Strategy Progress Report, noting that implementation was progressing well. IC continues to work through the ADM Committee on S&T, the whole-of-government co-ordinating body for S&T Strategy implementation, to provide policy advice and frameworks in support of the S&T Strategy.

Relationship with FSDS Target(s)

By identifying four priority areas in the S&T Strategy, this should encourage research in sustainable development related fields, notably in the sub-priority areas of clean energy and reduced fuel consumption.  It is important to note that the S&T programs and activities in support of sustainable development, such as reducing greenhouse gas emissions, are conducted by other federal Science Based Departments and Agencies (e.g. Natural Resources Canada and Environment Canada).

Non-Financial Performance Expectations

IC encourages departments and agencies to go beyond the S&T Strategy commitments in order to "deepen" implementation, so that the spirit of the S&T Strategy can take hold, in this context, in the priority areas of environmental science and technologies and natural resources and energy.


Implementation Strategy 1.1.22

Continue to work with industry stakeholders to encourage and promote the adoption and adaptation of new technologies such as information and communications technologies, biotechnology and clean energy technologies.

Link to FSDS Goals and Targets

  • Theme I Addressing Climate Change and Air Quality
    • Goal 1 Climate Change: Reduce greenhouse gas emission levels to mitigate the severity and unavoidable impacts of climate change
      • Target 1.1 Climate Change Mitigation: Relative to 2005 emissions levels, reduce Canada’s total greenhouse gas emissions (GHG) 17% by 2020.

Link to Industry Canada’s PAA

  • Strategic Outcome 3 - Canadian business and communities are competitive
    • Program Activity 3.2 - Industrial Competitiveness and Capacity

Description of the Implementation Strategy

Work on the clean energy technologies sector focuses on fostering development of energy sub-sectors where IC has an influence and where Canada has an emerging competitive advantage, such as supplier industries for fuel cells, wind, solar, and ocean energy.  To this end, Industry Canada provides expert analysis, advice, and facilitation in order  help raise awareness of Canadian technology and service capabilities in emerging energy sectors; promote global supply chain opportunities; and provide reasoned policy recommendations.  Recent activities related to this implementation strategy include supply chain studies, sector profiles for wind and fuel cell industries, participation in the International Partnership for Hydrogen and Fuel Cells in the Economy, and co-chairing the federal Hydrogen and Fuel Cell Interdepartmental Committee.  IC also plans to collaborate on the development a marine energy technology roadmap.  IC will continue to examine the current business environment facing Canadian firms, ensuring that business issues are understood in policy-making, and levering available resources across the federal government to strengthen Canada’s strategic advantages.

With regard to the support of the emerging bioproducts sector in Canada, emphasis will be placed on network building, knowledge-sharing, and engagement with partners on the one hand, and policy analysis with respect to commercialization challenges on the other.  This work will be carried out in the bioproducts areas of fuels, chemicals, and materials.  Network building, knowledge-sharing and engagement with partners will seek to strengthen the linkages between public, private and academic stakeholders focused on biorefining.  Policy analysis and development will focus on the challenges faced by Canadian bioproducts firms as they reach the point of commercializing their technologies and bringing their products to market.  Furthermore, Industry Canada will continue to participate in OECD efforts to develop principles and strategies to facilitate the growth of the sector.

Industry Canada is also involved in the development of a Canadian Aerospace Environmental Technology Roadmap (CAETRM).  The objective of CAETRM is to identify critical, enabling technologies and infrastructure that the Canadian aerospace industry will need in order to meet environmental and sustainability requirements over the next ten to fifteen years.  The CAETRM was conceived to formulate a Canadian Strategy to identify the technology drivers and trends, and address the need for a coordinated Canadian industry response to changes in the global aerospace landscape. In addition, the Green Aviation Research and Development Network (GARDN) fosters development of technologies that will reduce aviation’s environmental footprint in a broad range of areas from noise and emission to materials and manufacturing processes. The objective of GARDN is to provide collaborative opportunities for the OEMs, SMEs, and other key stakeholders in the areas of environmental technologies.  Activities related to GARDN are in support of the competitive excellence of Canadian aerospace products and services, the economic success of the member companies and the development and training of highly qualified personnel in the aerospace environmental field.

Finally, Industry Canada works with industry through Precarn and CANARIE to support the development and application of intelligent systems, sensors, and advanced networks which optimize energy use and monitor and reduce pollution. Specific project  for FY 2010‑2011 for Precarn under their T-Gap Program include:

  • Smart Compressed Natural Gas (CNG) Refuelling Station
  • Wireless Intelligent Building Sensor Network
  • Wireless Pipeline Inspection Robot to Detect Leakages
  • Infrastructure Operations Optimization for Oil Sands

CANARIE is the sponsor of the Green Star Network, which is built around three components.  Industry Canada’s Communications Research Centre (CRC) is a major partner in the CANARIE Greenstar Network, and actively participates in research that benefits carbon emission reduction.

  • Networking and computational infrastructure at geographically distributed facilities via the CANARIE network;
  • Middleware to provide cloud services to applications and users;
  • A "Carbon Protocol" for the ICT industry, providing a quantified approach to CO2 emission reductions, based on the ISO14064 family of standards

Relationship with FSDS Target(s)

Enhancing the development and commercialization of clean energy technologies can accelerate the deployment of lower-emitting energy generation.  Increase availability and use of energy generation technologies (i.e. wind) and energy carriers (i.e. hydrogen fuel cells) will help to reduce emissions of greenhouse gases.  Clean energy technologies can help Canada to meet the climate change goals in the F-SDS.

A bioproducts industry in Canada can make a significant contribution to Canada meeting its environmental and economic objectives.  The use and conversion of biomass (i.e. non-fossil based carbon) as a feedstock for fuel, chemicals and plastics will contribute to the reduction of greenhouse gases both by consumers and industry.  Technological and financing hurdles remain before industry can fully exploit the use of biomass and before bio-based products become commercially viable on a wide basis.  These obstacles, however, can be overcome through the sharing of information and improved collaboration on new developments in technology, best practices in technology improvement/integration and enabling policy initiatives to address barriers to commercialization.

CAETRM and GARDN are intended to assist the Canadian aviation industry in reducing its environmental footprint and meeting environmental and sustainability requirements (in operation and manufacturing) through environmental technologies, infrastructure development, and collaboration across the industry.

The development and application of intelligent systems and networks will reduce carbon consumption and GHGs. In manufacturing and resource processing, the adoption of an intelligent system which combines a network of energy or pollution sensors with automated infrastructure management software can very precisely adjust energy and resource requirements to optimize output, and avoid wastage, many times a second, if required. This can ensure a reduction in energy requirements, lower carbon emissions, and a lower cost per unit of output.

For intelligent building systems, heating, ventilation and air conditioning (HVAC) systems can be linked through ICT networks to advanced environmental monitoring sensors to minimize energy consumption and optimize the contribution of passive solar heating over a 24 hour period.

CANARIE’S Green Star network (GSN) has the goal of creating technology, protocols, and standards for reducing the carbon footprint of Information and Communication Technology (ICT). ICT is responsible for 2% of global CO2 emissions, due to high consumption of electricity produced from coal.

Non-Financial Performance Expectations

In fiscal year 2011–2012, Industry Canada will work to develop appropriate performance expectations for this implementation strategy.  The quality and influence of Industry Sector’s industry and supply chain analysis, and other industrial intelligence, has an indirect impact on the achievement of the FSDS goals cited.

Policy analysis and recommendations in support of commercialization of bioproducts technologies and the growth of Canadian firms in this sector.

Industry Canada provides an oversight for function for both Precarn and CANARIE which is outlined in the funding agreements between Industry Canada and Treasury Board.  Industry Canada does not directly choose or manage projects, but rather ensures that that the provisions of the funding agreement are adhered to throughout the period of the agreement.

Implementation Strategy 1.1.23

Continue to implement the Strategic Aerospace and Defence Initiative in support of strategic, research and development projects that contribute to new A&D technologies, and which may reduce greenhouse gas emissions and produce new energy efficiencies.

Link to FSDS Goals and Targets

  • Theme I Addressing Climate Change and Air Quality
    • Goal 1 Climate Change: Reduce greenhouse gas emission levels to mitigate the severity and unavoidable impacts of climate change
      • Target 1.1 Climate Change Mitigation: Relative to 2005 emissions levels, reduce Canada’s total greenhouse gas emissions (GHG) 17% by 2020.

Link to Industry Canada’s PAA

  • Strategic Outcome 2. - Advancements in science and technology, knowledge, and innovation strengthen the Canadian economy
    • Program Activity 2.3 - Research and Development Financing
      • Program Subactivity 2.3.3 - Strategic Aerospace and Defence Initiative

Description of the Implementation Strategy

  • The Strategic Aerospace and Defence Initiative (SADI) has three objectives, namely: to encourage strategic R&D that will result in innovation and excellence in new products and services; enhance the competitiveness of Canadian aerospace and defence companies; and, foster collaboration between research institutes, universities, colleges, and the private sector.

Although the environment and sustainable development are not explicit objectives of SADI, results from some projects may reduce greenhouse gas emissions and produce new energy efficiencies.

Relationship with FSDS Target(s)

SADI’s clients have projects that may result in environmental benefits. For example: CAE Inc. is developing new civil aviation simulation technologies, which will reduce air pollution and conserve fuel; Sputtek Inc. is developing a new protective coating that will use less lubricant and less energy and improve wear and corrosion-resistance; and Pratt & Whitney Canada Corp. are continuing their efforts to make aircraft engines quieter and more fuel efficient.

Non-Financial Performance Expectations

SADI’s ultimate outcome is to contribute to the achievement of broader technological, economic, environmental and social benefits for Canadians.


Implementation Strategy 1.1.24

Continue to promote the development and use of CSR management tools by industry and the use of CSR performance and reporting standards in the Canadian marketplace in support of environmental sustainability.

Link to FSDS Goals and Targets

Theme I Addressing Climate Change and Air Quality

  • Goal 1 Climate Change: Reduce greenhouse gas emission levels to mitigate the severity and unavoidable impacts of climate change
    • Target 1.1 Climate Change Mitigation: Relative to 2005 emissions levels, reduce Canada’s total greenhouse gas emissions (GHG) 17% by 2020.

Link to Industry Canada’s PAA

  • Strategic Outcome Program Activity(ies) Supporting All Strategic Outcomes
    • Program Activity 4.1 Internal Services

Description of the Implementation Strategy

Under this implementation strategy, Industry Canada will:

  • Continue to develop information and management tools for business to help them integrate CSR practices into their operations in support of their competitiveness in the global marketplace.
  • Continue to post resources on the IC CSR website, such as the existing SME Sustainability Road Map and the Sustainability Tool Kit for Business.
  • Undertake strategic outreach activities to enhance effectiveness and reach of these tools.
  • Continue to promote CSR performance and reporting standards and practices relevant to Canadian business.
  • Commission at least one survey of Canadian companies’ CSR disclosure practices over the three year period of the Departmental SD Strategy.

Relationship with FSDS Target(s)

Increased private sector implementation of CSR practices will help reduce GHG emissions by the private sector.  CSR practices that can help reduce GHG emissions include: eco-efficiency, which leads to reduced energy consumption; rationalization of fleets towards more fuel efficient transportation; design for environment/sustainability (DfE, DfS), life cycle analysis (LCA), sustainable/lean manufacturing practices and extended producer responsibility (EPR) help reduce resource inputs into the production of products, thus reducing GHG emissions.

Non-Financial Performance Expectations

In fiscal year 2011‑12, Industry Canada will work to develop appropriate (SMART, outcomes-based) performance expectations for this implementation strategy.


Implementation Strategy 1.1.36 / 2.1.24

Continue to collaborate with partners to enhance Canada's competitive advantage in hydrogen and fuel cell technology development and commercialization.

Link to FSDS Goals and Targets

Theme I Addressing Climate Change and Air Quality

  • Goal 1 Climate Change: Reduce greenhouse gas emission levels to mitigate the severity and unavoidable impacts of climate change
    • Target 1.1 Climate Change Mitigation: Relative to 2005 emissions levels, reduce Canada’s total greenhouse gas emissions (GHG) 17% by 2020.
  • Goal 2 Air Pollution: Minimize the threats to air quality so that the air Canadians breathe is clean and supports healthy ecosystems
    • Target 2.1 Air Pollutants: Reduce air pollutants in order to maintain or improve air quality across the country and achieve the emission targets which are currently under development in consultations with provinces and stakeholders.

Link to Industry Canada’s PAA

  • Strategic Outcome 2 Advancements in science and technology, knowledge, and innovation strengthen the Canadian economy
    • Program Activity 2.1 Science, Technology and Innovation Capacity

Description of the Implementation Strategy

Work on the clean energy technologies sector focuses on fostering development of energy sub-sectors where IC has an influence and where Canada has an emerging competitive advantage, such as supplier industries for fuel cells, wind, solar, and ocean energy.  To this end, Industry Canada provides expert analysis, advice, and facilitation to raise awareness of Canadian technology and service capabilities in emerging energy sectors; promotes global supply chain opportunities; and produces reasoned policy recommendations.

Recent activities related to this implementation strategy include the creation of supply chain studies and sector profiles for wind and fuel cell industries, participation in the International Partnership for Hydrogen and Fuel Cells in the Economy (IPHE), and co-chairing of the federal Hydrogen and Fuel Cell Interdepartmental Committee.  IC also plans to collaborate on the development of a marine energy technology roadmap.  IC will continue to examine the current business environment for Canadian firms, ensuring that business issues are understood in policy making and leveraging available resources across the federal government to strengthen Canada’s strategic advantages

Relationship with FSDS Target(s)

Enhancing the development and commercialization of clean energy technologies can accelerate the deployment of lower-emitting energy generation.  Deployment of energy generation technologies such as wind and energy carriers such as hydrogen fuel cells will help to reduce emissions of greenhouse gases. Commercialization of hydrogen fuel cells could have utility in moving toward this goal, as they are a versatile technology with a variety of applications.

Non-Financial Performance Expectations

In fiscal year 2011–2012, Industry Canada will work to develop appropriate performance expectations for this implementation strategy.  The quality and influence of Industry Sector’s industry and supply chain analysis, and other industrial intelligence, has an indirect impact on the achievement of the FSDS goals cited.


Implementation Strategy 1.1.50

Asia-Pacific Partnership: Manage Canadian Asia Pacific Partnership-funded projects that promote the development, diffusion and deployment of clean technologies (with Environment Canada and Natural Resources Canada).

Link to FSDS Goals and Targets

Theme I Addressing Climate Change and Air Quality

  • Goal 1 Climate Change: Reduce greenhouse gas emission levels to mitigate the severity and unavoidable impacts of climate change
    • Target 1.1 Climate Change Mitigation: Relative to 2005 emissions levels, reduce Canada's total greenhouse gas emissions (GHG) 17% by 2020.

Link to Industry Canada's PAA

  • Strategic Outcome N.A.
    • Program Activity N.A.
      • Program Subactivity N.A.

Description of the Implementation Strategy

Industry Canada participated in the work of the Asia-Pacific Partnership Task Forces and facilitated the involvement of the private sector.In this context, consultations with key domestic industrial sectors were held.

The Asia-Pacific Partnership initiative will not continue after 2010‑2011.

Relationship with FSDS Target(s) N/A - initiative will not continue after 2010‑2011.

Non-Financial Performance Expectations N/A - initiative will not continue after 2010‑2011.


Implementation Strategy 2.1.26

continue to implement the Automotive Innovation Fund through to 2013 in support of strategic, large-scale research and development projects leading to innovative, greener, more fuel-efficient vehicles.

Link to FSDS Goals and Targets

Theme I Addressing Climate Change and Air Quality

  • Goal 2 Air Pollution: Minimize the threats to air quality so that the air Canadians breathe is clean and supports healthy ecosystems
    • Target 2.1 Air Pollutants: Reduce air pollutants in order to maintain or improve air quality across the country and achieve the emission targets which are currently under development in consultations with provinces and stakeholders.

Link to Industry Canada’s PAA

Strategic Outcome 2  Advancements in science and technology, knowledge, and innovation strengthen the Canadian economy

  • Program Activity 2.3  Research and Development Financing
    • Program Subactivity 2.3.1  Automotive Innovation

Description of the Implementation Strategy

Budget 2008 announced that the government would provide $250 million over five years to support strategic, large-scale R&D projects in the automotive sector, in developing innovative, greener and more fuel-efficient vehicles.

Under the Automotive Innovation Fund (AIF ), Industry Canada considers funding proposals that provide for private sector investment in Canada of more than $75 million over five years for vehicle or powertrain assembly operations associated with significant automotive innovation and R&D initiatives.  The objectives of the AIF are as follows:

  • build automotive research and development capacity in Canada and secure knowledge-based jobs;
  • enhance the government’s science and technology (S&T) and environmental agendas;
  • support the development and/or implementation of innovative, fuel efficient technologies or processes;
  • promote long-term economic benefit to Canada including significant job creation/retention; and
  • leverage private sector investments to foster Canadian competitiveness.

Each eligible project considered for funding is subjected to a comprehensive due diligence process that may involve external experts that will examine the feasibility of the proposed eligible project.  All proposals are assessed in the context of their relevance to the objectives of the AIF and must provide environmental, technological, and economic benefits to Canada.

Reporting requirements are outlined in the AIF ’s Results-based Management and Accountability Framework and Risk Based Audit Framework (RMAF -RBAF).  The RMAF and RBAF provide a strategy for monitoring and evaluating project performance, and a risk-based approach to monitor and manage risks associated with the project.

Relationship with FSDS Target(s)

Eligible activities supported under the AIF are those typically associated with major automotive innovation and R&D initiatives to develop and build greener, more fuel-efficient vehicles, including:

  • new product development (e.g., advanced emissions technologies, energy-efficient engines and transmissions, advanced materials, including engineered plastics, and lightweight components and materials);
  • leading-edge engineering and design, and prototype development;
  • advanced product testing that ensures cleaner, more efficient automotive performance, and reduced greenhouse gases;
  • development of new production methods and process technologies, including advanced flexible manufacturing techniques;
  • new or expanded facilities to produce leading-edge and more energy efficient vehicles and powertrains;
  • substantive investments in new flexible manufacturing processes; and
  • introduction of other new transformative production technologies to substantially increase productivity and efficiency (e.g., robotics and advanced IT systems).

Non-Financial Performance Expectations

As a result of the projects (i.e. once successfully completed), it is anticipated that innovative, greener, and more fuel-efficient vehicles and/or powertrains will be assembled in Canada, and/or more innovative, fuel efficient technologies or processes will be implemented in the automotive sector.

Projects should result in reduced environmental impacts of the manufacturing and assembly of vehicle parts. 

Projects should also increase the automotive R&D capacity in Canada and thus secure knowledge-based jobs in that sector.


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4. Industry Canada’s complementary Sustainable Development activities

As mentioned in its Report on Plans and Priorities, Industry Canada’s mission is to foster a growing, competitive, knowledge-based Canadian economy, and its mandate is to help make Canadian industry more productive and competitive in the global economy, thus improving the economic and social well-being of Canadians. To do this, the Department works with Canadians to improve conditions for investment, improve Canada’s innovation performance, increase Canada’s share of global trade and build an efficient and competitive marketplace.

Industry Canada’s first objective, in accordance with the department’s mission and mandate, is to strengthen the national economy.

At the same time, Industry Canada activities highlighted in section 3. Industry Canada’s Contribution to Themes I to III of the Federal Sustainable Development Strategy contribute to the achievement of the FSDS environmental goals and targets of addressing climate change and air quality, maintaining water quality and availability, and protecting nature.

Therefore, it can be said that, in working to foster the long-term prosperity of the Canadian economy, businesses and consumers, Industry Canada is at the heart of sustainable development efforts in Canada. Most of its activities are first concerned with the economic pillar of sustainable development, but many also provide significant environmental and social benefits.

In the coming fiscal year (2011‑12), as it works to renew its sustainable development vision and management system, Industry Canada will develop, identify, catalogue and highlight departmental activities that contribute to the sustainable development goals and objectives it will have set for itself. It will work with other department and agencies towards to determine how the integration of the economic and social pillars of sustainable development within the framework of the FSDS can be achieved.


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5. Industry Canada’s contribution to theme IV of the Federal Sustainable Development Strategy

As a participant in the FSDS, Industry Canada contributes to the goals and targets of the Strategy's fourth theme- shrinking the environmental footprint of government - and other areas related to Greening Government Operations, through its Internal Services program activity. Specifically, the Department contributes to the following target areas:

  • establish green procurement targets (including targets related to training, performance evaluations, and management processes and controls);
  • recycle all surplus electronic and electrical equipment in an environmentally sound manner;
  • reduce internal paper consumption per employee by 20 percent from 2006—07 levels;
  • achieve an 8:1 ratio of employees to printing units;
  • adopt a guide for greening meetings and events; and
  • reduce greenhouse gas emissions from fleet vehicles by 17 percent from 2005—06 levels by 2020;
  • green buildings.

Details on Industry Canada’s commitments and target towards Greening Government Operations are provided through the supplementary information tables itemized in the Report on Plans and Priorities.


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6. Federal Sustainable Development Strategy

To consult the Federal sustainable Development Strategy (FSDS) and get the broader federal context to departmental and agency sustainable development activities, please see the Environment Canada website, and its links to departmental websites.

The FSDS and supporting websites outline the integrated, whole-of-government picture of actions and results to achieve environmental sustainability. The FSDS website is the central location of all departmental sustainable development goals, targets and implementation strategies.

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