2014–15 Estimates—Report on Plans and Priorities

© Her Majesty the Queen in Right of Canada,
represented by the Minister of Industry, 2014
ISSN 2292-499X

Table of contents

Departmental Expenditure Plans: Reports on Plans and Priorities

Section I: Organizational Expenditure Overview

Organizational Context

Section II: Analysis of Programs by Strategic Outcome

Strategic Outcome: The Canadian marketplace is efficient and competitive

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

Strategic Outcome: Canadian businesses and communities are competitive

Section III: Supplementary Information

Section IV: Organizational Contact Information


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Preface: Reports on Plans and Priorities

Explanation of Estimates and links to government planning cycle

Purpose

Reports on Plans and Priorities (RPP) are individual expenditure plans for each department and agency. These reports provide information over a three-year period about an organization's main priorities by strategic outcome and program, planned/expected results, and links to related resource requirements presented in the Main Estimates. In conjunction with the Main Estimates, Reports on Plans and Priorities serve to inform members of Parliament on planned expenditures of departments and agencies, and support Parliament's consideration of supply bills. The RPPs are typically tabled soon after the Main Estimates by the President of the Treasury Board.

Estimates Documents

The Estimates are comprised of three parts:

Part I - Government Expenditure Plan - provides an overview of the Government's requirements and changes in estimated expenditures from previous fiscal years.

Part II - Main Estimates—supports the Appropriation Acts with detailed information on the estimated spending and authorities being sought by each federal organization requesting appropriations.

In accordance with the Standing Orders of the House of Commons, Parts I and II must be tabled on or before March 1.

Part III - Departmental Expenditure Plans—consist of two components:

  • Reports on Plans and Priorities (RPP)
  • Departmental Performance Reports (DPR)

DPRs are individual department and agency accounts of results achieved against planned performance expectations as set out in respective RPPs.

The DPRs for the most recently completed fiscal year are tabled in the fall by the President of the Treasury Board.

Supplementary Estimates support Appropriation Acts presented later in the fiscal year. Supplementary Estimates present information on spending requirements that were either not sufficiently developed in time for inclusion in the Main Estimates or have subsequently been refined to account for developments in particular programs and services. Supplementary Estimates also provide information on changes to expenditure forecasts of major statutory items as well as on such items as transfers of funds between votes, debt deletion, loan guarantees and new or increased grants.

For more information on the Estimates, please consult the Treasury Board Secretariat website.

Links to the Estimates

As shown above, RPPs are the first half of Part III of the Estimates documents. Whereas Part II emphasizes the financial aspect of the Estimates, Part III focuses on financial and non-financial performance information, both from a planning and priorities standpoint (RPP), and an achievements and results perspective (DPR).

The Management Resources and Results Structure (MRRS) establishes a structure for displaying financial information in the Estimates and reporting to Parliament via RPPs and DPRs. When displaying planned spending, RPPs rely on the Estimates as a basic source of financial information.

Main Estimates expenditure figures are based on the Annual Reference Level Update which is prepared in the fall. In comparison, planned spending found in RPPs includes the Estimates as well as any other amounts that have been approved through a Treasury Board submission up to February 1st (See Definitions section). This readjusting of the financial figures allows for a more up-to-date portrait of planned spending by program.

Changes to the presentation of the Report on Plans and Priorities

Several changes have been made to the presentation of the RPP to respond to a number of requests—from the House of Commons Standing Committees on Public Accounts (PAC - Report 15), in 2010 and the Committee on Government and Operations Estimates (OGGO - Report 7), in 2012 – to provide more detailed financial and non-financial performance information about programs within RPPs and DPRs, thus improving the ease of their study to support appropriations approval.

  • In Section II, information on performance and on financial and human resources, is now presented at the Program and Sub-program levels for more granularity.
  • The overall format and terminology have been reviewed for clarity and consistency.
  • Other changes streamline the report and render it more focused on Estimates information, to strengthen its alignment with the Main Estimates.

How to read this document

RPPs are divided into four sections:

Section I: Organizational Expenditure Overview

The Organizational Expenditure Overview provides a high-level snapshot of the organization. A description of the organization's purpose is followed by basic financial and human resources information. The section opens with the Organizational Profile, which displays general information about the department, including the names of the minister and the deputy head, the ministerial portfolio, the year the department was established, and the main legislative authorities. This subsection is followed by a new subsection entitled Organizational Context, which includes the Raison d'être, the Responsibilities, the Strategic Outcomes and Program Alignment Architecture, the Organizational Priorities and the Risk Analysis. This section ends with the Planned Expenditures, the Alignment to Government of Canada Outcomes, the Estimates by Votes and the Contribution to the Federal Sustainable Development Strategy. It should be noted that this section does not display any non-financial performance information related to programs (see Section II).

Section II: Analysis of Programs by Strategic Outcome

This section provides detailed financial and non-financial information for strategic outcomes, programs and sub-programs. This section allows the reader to learn more about programs by reading their descriptions and narratives entitled "Planning Highlights". This narrative speaks to key services or initiatives which support the plans and priorities presented in Section I; it also describes how performance information supports the department's strategic outcome or parent program.

Section III: Supplementary Information

This section provides supporting information related to departmental plans and priorities. In this section, the reader will find the future-oriented statement of operations and a link to supplementary information tables on transfer payments, as well as information related to greening government operations, internal audits and evaluations, horizontal initiatives, user fees, major Crown and transformational projects, and up-front multi-year funding, where applicable. The reader will also find a link to the Tax Expenditures and Evaluations publication, produced annually by the Minister of Finance, which provides estimates and projections of the revenue impacts of federal tax measures designed to support the economic and social priorities of the Government of Canada.

Section IV: Organizational Contact Information

In this last section, the reader has access to organizational contact information.

Definitions

Appropriation
Any authority of Parliament to pay money out of the Consolidated Revenue Fund.
Budgetary vs. Non-budgetary expenditures
Budgetary expenditures—operating and capital expenditures; transfer payments to other levels of government, organizations or individuals; and payments to Crown corporations.
Non-budgetary expenditures—net outlays and receipts related to loans, investments and advances, which change the composition of the financial assets of the Government of Canada.
Expected Result
An outcome that a program is designed to achieve.
Full-Time Equivalent (FTE)
A measure of the extent to which an employee represents a full person-year charge against a departmental budget. FTEs are calculated as a ratio of assigned hours of work to scheduled hours of work. Scheduled hours of work are set out in collective agreements.
Government of Canada Outcomes
A set of high-level objectives defined for the government as a whole.
Management Resources and Results Structure (MRRS)
A common approach and structure to the collection, management and reporting of financial and non-financial performance information.
An MRRS provides detailed information on all departmental programs (e.g.: program costs, program expected results and their associated targets, how they align to the Government's priorities and intended outcomes, etc.) and establishes the same structure for both internal decision-making and external accountability.
Planned Spending
In the RPP, planned spending refers to those amounts for which a Treasury Board (TB) approval has been received by no later than February 1, 2014. This cut-off date differs from the Main Estimates process. Therefore, planned spending may include amounts incremental to planned expenditure levels presented in the 2014-15 Main Estimates.
Program
A group of related resource inputs and activities that are managed to meet specific needs and to achieve intended results, and that are treated as a budgetary unit in the Main Estimates.
Program Alignment Architecture
A structured inventory of a department's programs, where programs are arranged in a hierarchical manner to depict the logical relationship between each program and the Strategic Outcome to which they contribute.
Spending Areas
Government of Canada categories of expenditures. There are four spending areas (social affairs, economic affairs, international affairs and government affairs) each contributing to three to five Government of Canada outcomes.
Strategic Outcome
A long-term and enduring benefit to Canadians that is linked to a department's mandate, vision, and core functions.
Sunset Program
A time-limited program that does not have an ongoing funding and policy authority. When the program is set to expire, a decision must be made as to whether to continue the program. In the case of a renewal, the decision specifies the scope, funding level and duration.
Whole-of-Government Framework
A map of the financial and non-financial contributions of federal organizations receiving appropriations that aligns their programs to a set of high level outcome areas defined for the government as a whole.

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2014–15 Industry Canada RPP Minister's Message

The Honourable James Moore, Minister of Industry

Canada is poised to enjoy continued economic stability in 2014–15, with a focus on balanced budgets. The country's strong consumer-driven marketplace, world-class research hubs, educated and productive workforce, strong financial institutions, and transparent and predictable regulatory environment are just a few of its many competitive advantages.

As Minister of Industry, I am pleased that Industry Canada and its portfolio partners are building on these strengths by encouraging innovation, modernizing Canada's marketplace policies and effectively managing programs and services.

With the interests of consumers in mind, we will ensure that Canadians are benefitting from the digital economy. This includes pursuing policies aimed at improving competition in the telecommunications sector, providing Canadians with more choice in their wireless options and making more spectrum available to support consumers' increasing demand for wireless technologies. As part of our efforts to strengthen business innovation, we will continue to solidify the National Research Council of Canada as a premier research and technology organization, while updating the Science, Technology and Innovation Strategy as our guide for making policy and investment decisions. The manufacturing sector will benefit from whole-of-government initiatives to attract and retain business research and global platforms. Meanwhile, small and medium-sized enterprises will be better served by improved access to information, programs and services offered by Industry Canada, the portfolio partners and the Government of Canada.

In support of the government's efforts to return to fiscal balance, Industry Canada will continue to ensure financial and human resources are managed responsibly and efficiently.

This year's Report on Plans and Priorities defines our approach to supporting a competitive marketplace; facilitating advancements in science, technology and innovation and their resulting economic benefits; and driving the competitiveness of Canadian businesses and communities. On behalf of the Department and Industry Portfolio, I am confident that we will meet our objectives and fulfill the promise of another successful year.

James Moore
Minister of Industry


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Section I: Organizational Expenditure Overview

Organizational Profile

Minister:

The Honourable James Moore, P.C., M.P.

Minister of State (Science and Technology, and Federal Economic Development Initiative for Northern Ontario):

The Honourable Greg Rickford, P.C., M.P.

Minister of State (Small Business and Tourism, and Agriculture):

The Honourable Maxime Bernier, P.C., M.P.

Minister of State (Federal Economic Development Agency for Southern Ontario):

The Honourable Gary Goodyear, P.C., M.P.

Deputy Head:

John Knubley

Ministerial portfolio:

Industry

Year established:

Incorporated in 1892

Main legislative authorities:

Industry Canada's founding legislation is the Department of Industry Act, S.C. 1995, c.1.


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Organizational Context

Raison d'être

Industry Canada's mission is to foster a growing, competitive, knowledge-based Canadian economy.

The Department works with Canadians throughout the economy, and in all parts of the country, 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 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.

Responsibilities

Industry Canada works with Canadians in all areas of the economy and in all parts of the country to improve conditions for investment, to enhance Canada's innovation performance, and to make Canadian firms more productive and competitive in the knowledge-based economy. The Department works on a broad range of matters related to industry and technology, trade and commerce, science, consumer affairs, corporations and corporate securities, competition and restraint of trade, weights and measures, bankruptcy and insolvency, intellectual property, investment, small business, and tourism.

Twelve federal departments and agencies make up the Industry Portfolio. Industry Canada works in partnership with the members of the Industry Portfolio to leverage resources and exploit synergies in a number of areas in order to further the Government of Canada's goal of building a knowledge-based economy in all regions of Canada and to advance the government's jobs and growth agenda.


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Strategic Outcomes and Program Alignment Architecture (PAA)

Strategic Outcomes

The Canadian marketplace is efficient and competitive

Industry Canada fosters competitiveness by developing and administering economic framework policies that promote competition and innovation, support investment and entrepreneurial activity, and instil consumer, investor and business confidence in the marketplace.

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

Industry Canada invests in science and technology to generate knowledge and equip Canadians with the skills and training they need to compete and prosper in the global knowledge-based economy. These investments help ensure that discoveries and breakthroughs happen here in Canada and that Canadians can realize the social and economic benefits that result.

Canadian businesses and communities are competitive

Industry Canada encourages business innovation and productivity because businesses generate jobs and create wealth. Promoting economic development in communities encourages the development of skills, ideas and opportunities across the country.

2014–15 Program Alignment Architecture

Industry Canada's Program Alignment Architecture (PAA) is an inventory of all of its programs. The programs are depicted in a logical and hierarchical relationship to each other and to the strategic outcome to which they contribute. The PAA also provides a framework that links financial and non-financial resources and results to each program.

Below is a link to Industry Canada's PAA found in Section II of this report. For 2014–15, programs that have expired have been removed, and program descriptions have been updated. Certain programs and sub-programs have been moved within the architecture to better reflect their roles. Consumer Affairs now appears under Marketplace Frameworks and Regulations. Competition Law Enforcement and Investment Review are sub-programs under Marketplace Competition and Investments. Spectrum, Telecommunications and the Digital Economy now includes Communications Technologies Research and Innovation. These changes explain many of the financial and full time equivalent variances seen in this report.

Industry Canada's 2014–15 Program Alignment Architecture


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Organizational Priorities

Advancing the Marketplace
Priority Type Strategic Outcome
Advancing the Marketplace Ongoing The Canadian marketplace is efficient and competitive
Description

Why is this a priority?

  • Ensures that Canadian businesses can respond to the ever-changing demands and needs of the modern marketplace. Ensuring that Canadians are connected protected and benefitting from the digital economy supports continued consumer and investor confidence.
  • Helps stimulate economic growth.

Plans for meeting this priority

  • Deliver the consumer commitments in the 2013 Speech from the Throne in the areas of telecommunications, consumer protection and competition.
  • Prepare to auction spectrum in the 2500 MHz band to support Canadians' increasing demand for new wireless technologies and services.
  • Improve intellectual property and privacy policy frameworks to support innovation, competitiveness, clarity and certainty, and reduce red tape.
  • Implement new administrative monetary penalties to promote compliance with rules and conditions of licence including those related to providing telecommunications services to consumers in rural areas, equipment certification, tower sharing and spectrum auctions.
Fostering the knowledge-based economy
Priority Type Strategic Outcome
Fostering the knowledge-based economy Ongoing Advancements in science and technology, knowledge, and innovation strengthen the Canadian economy
Description

Why is this a priority?

  • Ensures that Canada is competitive internationally, which will lead to sustained economic growth.
  • Helps businesses excel in innovation and scientific development and creates knowledge-intensive jobs with high wages, which contributes to Canada's productivity and prosperity.

Plans for meeting this priority

  • Further develop the federal Science, Technology and Innovation Strategy and strengthen private sector uptake of the results of Canadian investments in science and technology, knowledge and innovation.
  • Facilitate support for business innovation by implementing budget measures.
  • Maintain the Government's standard in basic research and focus on advancing Canadian research to the marketplace.
Supporting Business
Priority Type Strategic Outcome
Supporting Business Ongoing Canadian businesses and communities are competitive
Description

Why is this a priority?

  • Supports small and medium-sized enterprise growth, which contributes to a higher standard of living for Canadians.
  • Supports community economic development and more dynamic regional economies, while encouraging entrepreneurship.

Plans for meeting this priority

  • Develop and implement strategies to maximize industrial benefits arising from federal defence and security procurement.
  • Use whole-of-government initiatives to support the Canadian manufacturing sector’s efforts to attract and retain business research and manufacturing mandates.
  • Position Canada as a leader in the development and adoption of emerging technology.
  • Assist small and medium-sized enterprises, cooperatives and other businesses by improving access to Industry Canada, Industry Portfolio and Government of Canada information, programs and services.
Ensuring sound management
Priority Type Strategic Outcome
Ensuring sound management Ongoing All strategic outcomes
Description

Why is this a priority?

  • Ensures that management excellence is central to Industry Canada's ability to meet its priorities within the current fiscal environment.

Plans for meeting this priority

  • Implement the operating budget freeze announced in the 2013 Speech from the Throne. Continue to enhance stewardship and management practices to continually improve the delivery of programs and operations.
  • Ensure an integrated corporate approach to implementing Government of Canada transformation initiatives in information technology and information management.
  • Implement the Directive on Performance Management to optimize the individual performance of each employee, to ensure the Department carries out its mandate and priorities.

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Risk Analysis

Key Risks

Key risks
Risk Risk Response Strategy Link to Program Alignment Architecture

Demand for mobile services is increasing and access to spectrum continues to be an industry concern.

Industry Canada committed to developing a multi-year spectrum implementation plan and reviewing resource requirements to aid private sector planning. The Spectrum Demand Report, an independent study on the demand for radio spectrum for a range of radio services, was published in June 2012. The Commercial Mobile Spectrum Outlook was published in March 2013. The Department will continue to monitor access to spectrum for mobile services.

Strategic Outcome:
The Canadian marketplace is efficient and competitive

Program:
Spectrum, Telecommunications and the Digital Economy

Market conditions, as well as the structure of Industry Canada's R&D programs, may impact the schedule of disbursements under the programs and anticipated results.

Strong governance and oversight practices, robust risk management and performance measurement frameworks, evaluation and audit activities, and active outreach to aerospace and defence firms will help to mitigate this risk. The Department is committed to closely monitoring performance and achievement of results of its programs. The Department will continue to monitor all grants and contributions programs.

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

Program:
Industrial Research and Development Financing

Industry Canada’s risk environment is shaped by the Department’s mandate and objectives, government policies and priorities, as well as broader economic, social and technological trends.

For 2014–15, Industry Canada’s priorities include preparing to auction spectrum to support new technologies and services in the Canadian marketplace, and further developing the federal Science, Technology and Innovation Strategy to strengthen private sector uptake of the results of Canadian investments in science and technology, knowledge and innovation.

To achieve these priorities and deliver program results, the Department must also identify and manage the risks associated with them. The table above identifies key risks from Industry Canada’s 2014–15 Corporate Risk Profile, which is part of a tailored integrated management approach to address risks that may impede the Department’s overall ability to deliver on its mandate. This approach meets the Department’s needs for sound risk management and allows it to monitor mitigation strategies and action plans for its corporate risks.


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Planned Expenditures

Budgetary Financial Resources (Planned Spending—dollars)
2014–15
Main Estimates
2014–15
Planned Spending
2015–16
Planned Spending
2016–17
Planned Spending
1,077,743,513 1,129,505,513 1,091,028,577 1,097,165,425
Human Resources (Full-Time Equivalents—FTEs)
2014–15 2015–16 2016–17
4,713 4,742 4,739
Budgetary Planning Summary for Strategic Outcomes and Programs (dollars) Footnote 1
Strategic Outcomes, Programs and Internal Services 2011–12
Expenditures
2012–13
Expenditures
2013–14
Forecast Spending
2014–15
Main Estimates
2014–15
Planned Spending
2015–16
Planned Spending
2016–17
Planned Spending
Strategic Outcome: The Canadian marketplace is efficient and competitive
Marketplace Frameworks and Regulation Footnote 2 39,051,649 30,275,871 44,146,439 54,391,487 54,391,487 58,488,043 56,974,187
Marketplace Competition and Investments Footnote 3 N/A N/A N/A 46,211,463 46,211,463 46,211,463 46,211,463
Spectrum, Telecommunications, and the Digital Economy Footnote 4 91,353,868 126,216,305 103,317,033 114,149,657 114,149,657 113,865,399 110,605,384
Consumer Affairs Footnote 5 4,820,367 4,606,545 4,396,943 N/A N/A N/A N/A
Competition Law Enforcement Footnote 6 49,936,642 49,730,971 48,094,430 N/A N/A N/A N/A
Strategic Outcome Subtotal 185,162,526 210,829,692 199,954,845 214,752,606 214,752,606 218,564,905 213,791,033
Strategic Outcome: Advancements in science and technology, knowledge, and innovation strengthen the Canadian economy
Science, Technology and Innovation Capacity Footnote 7 440,838,151 415,896,394 210,321,481 319,889,018 319,889,018 277,939,018 292,589,018
Industrial Research and Development Financing Footnote 8 332,865,598 349,193,500 346,848,448 262,634,343 281,396,343 288,573,685 294,835,435
Information and Communications Technologies Research and Innovation Footnote 9 44,920,362 47,581,822 39,781,162 N/A N/A N/A N/A
Strategic Outcome Subtotal 818,624,111 812,671,716 596,951,091 582,523,361 601,285,361 566,512,703 587,424,453
Strategic Outcome: Canadian businesses and communities are competitive
Small Business Research, Financing and Services Footnote 10 99,038,194 81,516,335 96,859,627 95,390,065 95,390,065 86,077,065 85,869,065
Industrial Competitiveness and Capacity 39,598,155 44,123,977 37,711,417 31,560,065 31,560,065 31,555,309 31,587,309
Community Economic Development Footnote 11 153,211,215 76,756,979 68,290,043 61,707,284 61,707,284 63,547,284 50,797,284
Strategic Outcome  Subtotal 291,847,564 202,397,291 202,861,087 188,657,413 188,657,413 181,179,658 168,253,658
Internal Services Subtotal Footnote 12 151,075,979 131,684,019 134,135,840 91,810,133 124,810,133 124,771,312 127,696,281
Total 1,446,710,180 1,357,582,718 1,133,902,863 1,077,743,513 1,129,505,513 1,091,028,577 1,097,165,425

In the tables above, the Planned Spending reflects funds already brought into the Department's reference levels as well as funds authorized up to . In addition, since Industry Canada is partly funded from royalty payments collected in the previous year, planned spending also includes forecasted royalties to be accessed in future years. Planned spending has not been adjusted to include new information contained in Budget 2014. More information will be provided in the 2014–15 Supplementary Estimates, as applicable. Planned Spending and Planned Full-Time Equivalents (FTEs) do not reflect the operating budget freeze announced in the 2013 Speech from the Throne. Changes will be reflected in future estimates documents. Forecast Spending reflects anticipated expenditures at the end of the fiscal year, and Expenditures represent the total authorities used for the fiscal year, as reported in the Public Accounts of Canada.


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Alignment to Government of Canada Outcomes

2014–15 Budgetary Planned Spending by Whole-of-Government Spending Areas (dollars)
Strategic Outcome Program Spending Area Government of Canada Outcome 2014–15
Planned Spending Footnote 13
The Canadian marketplace is efficient and competitive Marketplace Frameworks and Regulation Economic Affairs A Fair and Secure Marketplace 54,391,487
Marketplace Competition and Investments Economic Affairs A Fair and Secure Marketplace 46,211,463
Spectrum, Telecommunications, and the Digital Economy Economic Affairs A Fair and Secure Marketplace 114,149,657
Advancements in science and technology, knowledge, and innovation strengthen the Canadian economy Science, Technology and Innovation Capacity Economic Affairs An Innovative and Knowledge-based Economy 319,889,018
Industrial Research and Development Financing Economic Affairs An Innovative and Knowledge-based Economy 281,396,343
Canadian businesses and communities are competitive Small Business Research, Financing and Services Economic Affairs Strong Economic Growth 95,390,065
Industrial Competitiveness and Capacity Economic Affairs Strong Economic Growth 31,560,065
Community Economic Development Economic Affairs Strong Economic Growth 61,707,284
Total Planned Spending by Spending Area (dollars) Footnote 13
Spending Area Total Planned Spending
Economic Affairs 1,004,695,382
Social Affairs -
International Affairs -
Government Affairs -

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Departmental Spending Trend Footnote 14

Departmental Spending Trend Graph

Departmental Spending Trend Graph
Description of Graph
Departmental Spending Trend Graph
Non descriptive heading Actual Spending Forecast Spending Planned Spending
Non descriptive heading 2011–12 2012–13 2013–14 2014–15 2015–16 2016–17
Total Spending 1,446,710,180 1,357,582,718 1,133,902,863 710,505,513 710,528,577 710,465,425
Sunset Programs 0 0 0 419,000,000 380,500,000 386,700,000
Total Spending RPP 1,446,710,180 1,357,582,718 1,133,902,863 1,129,505,513 1,091,028,577 1,097,165,425

The change in spending since 2011–12 is largely due to completion of stimulus funding from the 2009 Economic Action Plan and changes announced in Budget 2012. Changes in total planned spending in 2014–15 and future years reflect ongoing savings achieved through improved efficiency, and consolidation of program and office functions.


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Estimates by vote

For information on Industry Canada's organizational appropriations, please see the 2014–15 Main Estimates publication.


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Contribution to the Federal Sustainable Development Strategy (FSDS)

The 2013–16 Federal Sustainable Development Strategy (FSDS), tabled on , guides the Government of Canada's 2013-16 sustainable development activities. The FSDS articulates Canada's federal sustainable development priorities for a period of three years, as required by the Federal Sustainable Development Act (FSDA).

Industry Canada contributes to Themes I - Addressing Climate Change and Air Quality, III - Protecting Nature and Canadians and IV - Shrinking the Environmental Footprint – Beginning with Government, as denoted by the visual identifiers below.

Symbol representing the contribution adressing Climate Change and Air Quality Symbol representing the contribution of protecting nature and Canadians Symbol representing the contribution of shrinking the environment footprint - Beginning with Government

These contributions are components of the following programs and sub-programs and are further explained in Section II:

Symbol representing the contribution adressing Climate Change and Air Quality Marketplace Frameworks and Regulation

Symbol representing the contribution adressing Climate Change and Air Quality Consumer Affairs

Symbol representing the contribution of protecting nature and Canadians Spectrum Management and Regulation

Symbol representing the contribution adressing Climate Change and Air Quality Science and Technology Partnerships

Symbol representing the contribution adressing Climate Change and Air Quality Industrial Research and Development Financing

Symbol representing the contribution adressing Climate Change and Air Quality Industry-Specific Policy and Analysis

Symbol representing the contribution of protecting nature and Canadians Computer and Internet Access

Symbol representing the contribution adressing Climate Change and Air Quality Symbol representing the contribution of protecting nature and Canadians Symbol representing the contribution of shrinking the environment footprint - Beginning with Government Internal Services

Industry Canada also ensures that its decision-making process includes consideration of the FSDS goals and targets through the strategic environmental assessment (SEA). An SEA for policy, plan or program proposals includes an analysis of the impacts of the proposal on the environment, including on the FSDS goals and targets. The results of SEAs are made public when an initiative is announced or approved, demonstrating that environmental factors were integrated into the decision-making process.

For greater detail on Industry Canada's activities to support sustainable development please see Section II of this RPP. For complete information on the Strategy, see the Federal Sustainable Development Strategy website.


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Section II: Analysis of Programs by Strategic Outcome


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Analysis of Programs by Strategic Outcome

Strategic Outcome: The Canadian marketplace is efficient and competitive

Program—Marketplace Frameworks and Regulation

Description

This program regulates and provides oversight over a number of aspects of the Canadian marketplace, including trade measurement, bankruptcy and insolvency, federal incorporation, intellectual property, market access, and consumer affairs. The program develops and administers framework statutes, regulations, policies and procedures; develops, sets and assures compliance with related standards; and holds meetings with a variety of stakeholders. Overall, the program benefits Canadian businesses and consumers by ensuring the integrity of the marketplace.

Budgetary Financial Resources (dollars)
2014–15
Main Estimates
2014–15
Planned Spending
2015–16
Planned Spending
2016–17
Planned Spending
54,391,487 54,391,487 58,488,043 56,974,187
Human Resources (FTEs)
2014–15 Footnote 15 2015–16 2016–17
1,769 1,789 1,786
Performance Measurement
Program
Expected Result
Performance Indicator Target Date to be Achieved
Service standards are met Average percentage of service standards met 91%
Canadian marketplace frameworks and regulations are effective by international standards Canada's rank among G7 countries in effectiveness of marketplace frameworks and regulations for starting a business, resolving insolvencies and intellectual property 1st

Planning Highlights—Marketplace Frameworks and Regulations Symbol representing the contribution adressing Climate Change and Air Quality

In 2014–15, Industry Canada will oversee, regulate and ensure the effectiveness of a number of Canadian marketplace frameworks.

Industry Canada will continue analysis and dialogue on improving Canadian intellectual property laws to support innovation, competitiveness, clarity and certainty, and reduce red tape. The Department will also continue to provide tools to assist consumers in their marketplace decisions and will reflect Canadian consumers' interests in policymaking. The Department will oversee the coming into force of the Fairness at the Pumps Act and related regulations under the Weights and Measures Act and the Electricity and Gas Inspection Act.

The Department will oversee, regulate and ensure the effectiveness of Canada's non-financial cooperatives frameworks. This sub-program contributes to the Addressing Climate Change and Air Quality theme of the Federal Sustainable Development Strategy through its work with the cooperatives sector. This work advances environmental sustainability as these are businesses with economic, environmental and social sustainability goals.

The changes in planned spending for the Marketplace Frameworks and Regulation program are related to the Intellectual Property sub-program, which is funded by revenues generated from services provided to those seeking intellectual property rights. Higher costs are expected for that sub-program relating to investments in information technology.

Sub-program—Trade Measurement

Description

This program ensures the integrity and accuracy of measurement-based financial transactions and has sole federal jurisdiction for the administration and enforcement of the laws governing trade measurement in Canada: the Weights and Measures Act and Regulations and the Electricity and Gas Inspection Act and Regulations. It protects Canadians against loss due to inaccurate measurement at all levels of trade and maintains domestic and international consumer and business confidence in the accurate measurement of goods and services bought and sold on the basis of measure, by ensuring scales, gas pumps, electricity and natural gas meters and other measuring devices used in Canada meet legislative standards for accuracy and performance. This program develops trade measurement policy, investigates measurement practices in the Canadian marketplace and compels corrective actions when unfair or improper practices are found.

Budgetary Financial Resources (dollars)
2014–15
Planned Spending
2015–16
Planned Spending
2016–17
Planned Spending
30,179,545 30,179,545 30,179,545
Human Resources (FTEs)
2014–15 2015–16 2016–17
295 295 295
Performance Measurement
Sub-program
Expected Result
Performance Indicator Target Date to be Achieved
Accurate trade measurement in Canada Percentage of marketplace monitoring inspections where devices are found to be measuring accurately 85%
Percentage of Measurement Canada product and surveillance audits which confirm authorized service providers' competencies to conduct inspections on the agency's behalf 90%

Planning Highlights—Trade Measurement

In 2014–15, Industry Canada will implement regulatory amendments necessary to implement the Fairness at the Pumps Act. Proposed amendments to the Weights and Measures Regulations spell out how often gas pumps, scales and other devices must be inspected in eight initial sectors (retail gasoline, retail food, dairy, mining, forestry, fishing, field and grain crops and downstream petroleum sectors). The Department will reach out to stakeholders to ensure that measuring device owners in these sectors are aware of their new legal obligations and of the consequences of non-compliance.

The Department will also work to improve device owner awareness of its new, more flexible compliance improvement strategies, which include administrative monetary penalties for non-compliance with the Weights and Measures Act and the Electricity and Gas Inspections Act. Increased court-imposed fines will also provide a more effective deterrent against improper retailer practices.

Sub-program—Bankruptcy and Insolvency

Description

This program supervises the administration of estates and matters under the Bankruptcy and Insolvency Act and the Companies' Creditors Arrangement Act through the Office of the Superintendent of Bankruptcy, which operates as a vote net revenue organization whose activities are supported in part by user fees. It protects the integrity of the bankruptcy and insolvency system by maintaining an efficient and effective insolvency regulatory framework; promoting awareness of the rights and responsibilities of stakeholders; ensuring compliance with the legislative and regulatory framework; and by being an integral source of information on Canadian insolvency matters.

Budgetary Financial Resources (dollars)
2014–15
Planned Spending
2015–16
Planned Spending
2016–17
Planned Spending
5,502,988 5,585,488 5,585,488
Human Resources (FTEs)
2014–15 2015–16 2016–17
380 381 381
Performance Measurement
Sub-program
Expected Result
Performance Indicator Target Date to be Achieved
Estates and matters are administered in accordance with insolvency legislation Percentage of trustees with a satisfactory level of compliance 90%
Percentage of enquiries and complaints responded to within service standards 93%

Planning Highlights—Bankruptcy and Insolvency

The Office of the Superintendent of Bankruptcy (OSB) risk-based compliance framework, to be implemented over several years, sets out compliance programs for trustees, debtors, receivers, creditors and monitors. In 2014–15, the OSB will implement the component of the framework applying to trustees. Also in 2014–15, front line services will be standardized to ensure consistent awareness of compliance obligations among insolvency system stakeholders across the country. The Department will also conduct analysis and consultation in support of the forthcoming parliamentary review of the Bankruptcy and Insolvency Act, expected in 2014–15.

This program's activities are supported, in part, by user fees. The planned spending above reflects only the portion of funding approved through Appropriations Acts.

Sub-program—Federal Incorporations

Description

This program allows Canadians and businesses (with the exception of financial institutions) to incorporate at the federal level in accordance with the Canada Business Corporations Act, the Boards of Trade Act, the Canada Cooperatives Act and the Canada Not-for-profit Corporations Act or to carry out transactions under the Canada Corporations Act. It also issues and registers official documents under the Great Seal of Canada. The program's main lines of business include incorporation and related services (such as amalgamation or corporate charter amendments), dissolution of corporations, rulings on the use of corporate names, collection and dissemination of information on federal companies, compliance and enforcement activities related to the statutes it administers and development of incorporation policy and regulations. The activities of this program are supported in part by user fees. The program's activities directly affect Canadian businesses, not-for-profit organizations and other corporate entities.

Budgetary Financial Resources (dollars)
2014–15
Planned Spending
2015–16
Planned Spending
2016–17
Planned Spending
1,092,693 1,092,693 1,092,693
Human Resources (FTEs)
2014–15 2015–16 2016–17
82 82 82
Performance Measurement
Sub-program
Expected Result
Performance Indicator Target Date to be Achieved
Federally incorporated companies are compliant with corporate laws and regulations Percentage of federally incorporated corporations that comply with statutory annual filing requirements 80%
Businesses have timely access to incorporations and information services Percentage of published Corporations Canada service standards that are met or exceeded 91%
Services are delivered to businesses electronically Percentage of transactions that are completed online 90%

Planning Highlights—Federal Incorporations

In 2014–15, the Department will replace the aging information technology platform that supports the NUANS system, the corporate name search tool used by the federal government and several provinces and territories. The Department will expand the number of services to federally incorporated entities that are available online, in response to the 2012–13 evaluation of the program. The Department will also conduct policy analysis on the results of consultations on corporate governance issues under the Canada Business Corporations Act.

This program's activities are supported in part by user fees. The planned spending above reflects only the portion of funding approved through Appropriations Acts.

Sub-program—Intellectual Property

Description

This program develops Canada's intellectual property policy and administers its system of intellectual property (IP) rights, namely patents, trademarks, copyrights, industrial designs and integrated circuit topographies. The Canadian Intellectual Property Office (CIPO), which operates under a revolving fund supported by user fees, assigns, grants and registers IP rights, legally recognizing certain endeavours of originality and creativity. It also disseminates information related to these rights to businesses, educational institutions and Canadians. This program represents Canada's IP interests internationally and ensures that IP policy supports innovation, competitiveness and economic growth and that the benefits of the IP system accrue to Canadians. Its clients include Canadian and foreign applicants for IP protection, users of IP information and the Canadian business community.

Budgetary Financial Resources (dollars)
2014–15
Planned Spending
2015–16
Planned Spending
2016–17
Planned Spending
11,358,978 15,378,533 13,864,677
Human Resources (FTEs)
2014–15 2015–16 2016–17
986 1,004 1,001
Performance Measurement
Sub-program
Expected Result
Performance Indicator Target Date to be Achieved
Timely administration of intellectual property rights Average number of months taken from the submission date to the registration / grant of intellectual property rights Industrial Design Filings:
10.8 months

Patent Filings:
49.7 months

Trade-mark Filings:
27.3 months

Planning Highlights—Intellectual Property

In 2014–15, the efficiency and effectiveness of the administration of intellectual property (IP) rights will be enhanced through efforts to modernize the regulatory framework so that it reduces red tape, becomes more responsive to the Canadian Intellectual Property Office's (CIPO) users and better reflects modern business practices. Industry Canada, through CIPO, will pursue the implementation of the “LEAN” process improvement methodology to continue to improve its operational efficiency and its turnaround times.

There will be significant work towards improving transparency in the administration of IP rights in Canada, including reviewing options for improving public access to IP data, providing new tools for small and medium-sized enterprises, and launching a pilot project using social media to engage existing and new users of CIPO services.

Throughout 2014–15, the Department will continue analysis and dialogue on improving Canadian IP laws and rules to support the digital economy.

This program's activities are funded by revenues for services provided to those seeking intellectual property rights, to meet the operating expenditures of CIPO. The changes in planned spending reflect expected investments in information technology.

Sub-program—Market Access

Description

This program provides policy, administrative and operational support to the Committee on Internal Trade, to its Chair and to other committees or working groups established under the Agreement on Internal Trade (AIT) or by the committee. The purpose of the AIT is to reduce and eliminate, to the extent possible, barriers to the free movement of persons, goods, services and investment within Canada and to establish an open, efficient and stable domestic market. This program also provides policy advice on multilateral initiatives impacting Canadian companies' access to global markets. This program uses funding from the following transfer payment: Internal Trade Secretariat Corporation.

Budgetary Financial Resources (dollars)
2014–15
Planned Spending
2015–16
Planned Spending
2016–17
Planned Spending
1,554,878 1,549,378 1,549,378
Human Resources (FTEs)
2014–15 2015–16 2016–17
9 9 9
Performance Measurement
Sub-program
Expected Result
Performance Indicator Target Date to be Achieved
Decision makers have access to informed analysis on domestic and international trade matters affecting the competitiveness of Canadian industries Number of collaborative research or policy initiatives started or maintained 3

Planning Highlights—Market Access

In 2014–15, the Department will provide advice to other government departments, senior management and the minister in support of the Canada-EU Comprehensive Economic and Trade Agreement (CETA), the Trans-Pacific Partnership and a number of bilateral negotiations. The Department will also implement the directions arising from the December 2013 meeting of the Committee on Internal Trade, notably relating to reducing technical barriers to trade and improving linkages between the Agreement on International Trade and international agreements. The Department will also support federal activities to advance internal trade.

Sub-program—Consumer Affairs

Description

This program promotes the interests and protection of Canadian consumers, to enable them to be effective marketplace participants. It supports both policy development and intergovernmental harmonization of consumer protection rules and measures, nationally and internationally. It contributes to effective consumer protection through collaboration with provincial and territorial consumer protection agencies, under Chapter 8 of the Agreement on Internal Trade. It identifies important consumer issues and develops and disseminates consumer information and awareness tools. The program encourages consumer organizations to reach financial self-sufficiency, which assists them in providing meaningful, evidence-based input to public policy in the consumer interest. This program uses funding from the following transfer payment: Program for Non-profit Consumer and Voluntary Organizations.

Budgetary Financial Resources (dollars)
2014–15
Planned Spending
2015–16
Planned Spending
2016–17
Planned Spending
4,702,406 4,702,406 4,702,406
Human Resources (FTEs)
2014–15 2015–16 2016–17
18 18 18
Performance Measurement
Sub-program
Expected Result
Performance Indicator Target Date to be Achieved
Citizens are aware of consumer issues in the Canadian marketplace Number of visitors accessing consumer information from Industry Canada 1.2 million
Decision makers have access to informed analysis on issues affecting Canadian consumers Number of collaborative research or policy initiatives started or maintained 3
Number of times Industry Canada-supported analysis conducted by consumer organizations contributes to public policy discussions or media coverage 12

Planning Highlights—Consumer Affairs Symbol representing the contribution adressing Climate Change and Air Quality

In 2014–15, the Department will focus its consumer policy efforts on electronic commerce. Industry Canada will participate in discussions to create a new National Standard of Canada for Business to Consumer Electronic Commerce and pursue improvements to consumer protections internationally through the revision of the Organization for Economic Co-operation and Development (OECD) 1999 Guidelines for Consumer Protection in the Context of Electronic Commerce. The Department will continue to promote consumer confidence at home by providing consumers, organisations and businesses with information and awareness tools related to Canada's anti-spam legislation (CASL), which is expected to come into force during 2014.

Industry Canada will continue to work within the federal-provincial-territorial Consumer Measures Committee to conduct policy research and analysis on areas of common concern among jurisdictions. Specific areas include sharing the analysis of data in respect of consumer complaints, promoting Canadians' awareness of their rights as consumers and considering ways to increase consumers' access to redress.

This sub-program contributes to the Addressing Climate Change and Air Quality theme of the Federal Sustainable Development Strategy through support for research and policy development on consumer issues such as sustainable consumption.

Program—Marketplace Competition and Investments

Description

This program applies federal laws relating to the investigation of anti-competitive conduct and the general regulation of trade and commerce in respect of business practices, including the review of mergers and significant foreign investments. It protects, promotes and advocates for efficient markets in a manner that encourages economic growth and innovation, providing consumers and businesses with competitive prices and increased product choices.

Budgetary Financial Resources (dollars)
2014–15
Main Estimates
2014–15
Planned Spending
2015–16
Planned Spending
2016–17
Planned Spending
46,211,463 46,211,463 46,211,463 46,211,463
Human Resources (FTEs) Footnote 16
2014–15 2015–16 2016–17
378 381 381
Performance Measurement
Program
Expected Result
Performance Indicator Target Date to be Achieved
Consumers benefit from a competitive marketplace Estimated dollar savings per annum to consumers from Bureau actions that stop anti-competitive activity $225 million
Timely and accurate reviews lead to marketplace certainty Percentage of mergers and foreign investments reviewed within service standards 85% for complex matters and
90% for non-complex matters

Planning Highlights—Marketplace Competition and Investments

In 2014–15, the Department will continue its efforts to improve marketplace certainty by leading timely and accurate reviews of anticompetitive conduct. The Department will perform thorough analysis of merger cases and foreign investments and their consequences for the Canadian marketplace and the Canadian economy.

Sub-program—Competition Law Enforcement

Description

This program is responsible for the administration and enforcement of the Competition Act, the Consumer Packaging and Labelling Act, the Textile Labelling Act and the Precious Metals Marking Act. The Competition Bureau is an independent law enforcement agency whose activities are supported in part by user fees. It protects and promotes competitive markets by detecting, disrupting and deterring anti-competitive conduct and deceptive marketing practices. The Competition Bureau also reviews merger transactions to ensure their compliance with the Competition Act. This program is also responsible for providing advice to legislators and policy-makers and intervening or making representations before federal and provincial boards, commissions and tribunals, to encourage competition to achieve policy or regulatory objectives.

Budgetary Financial Resources (dollars)
2014–15
Planned Spending
2015–16
Planned Spending
2016–17
Planned Spending
44,006,593 44,006,593 44,006,593
Human Resources (FTEs)
2014–15 2015–16 2016–17
363 366 366
Performance Measurement
Sub-program
Expected Result
Performance Indicator Target Date to be Achieved
Deterrence of conduct contrary to the Competition Act Estimated dollar value per annum associated with deterrence resulting from Bureau enforcement actions $17 million
Consumers benefit from information enabling them to make informed choices Competition Bureau information products accessed 5,465 Media Hits
Audience reached through mainstream and social media 234.2 million

Planning Highlights—Competition Law Enforcement

In 2014–15, Industry Canada will ensure that Canadian consumers and businesses continue to prosper in a competitive and innovative marketplace through focussed competition law enforcement, increased advocacy and regulatory interventions, promotion of competitive markets, and enhanced collaboration and communication with stakeholders.

In 2014-15 Industry Canada, through the Competition Bureau (Bureau), will deliver on the consumer commitments included in the 2013 Speech from the Throne in the area of competition. The Department will promote compliance through publications, advocacy, suasion and enforcement of the legislation in the case of non-compliance. The Department will develop the tools that will help the business community follow Bureau compliance programs and will assist the legal community in making clients aware of their obligations under the Competition Act.

The Department will continue to advocate for open markets in areas of the economy that are still regulated and where open markets could be effective.

The Department will also consult with stakeholders and begin updating the Conformity Continuum and Compliance Bulletin, to help businesses comply with Canada's competition laws.

Sub-program—Investment Review

Description

This program implements the provisions of the Investment Canada Act by ensuring that the Minister of Industry has the information needed to determine whether a significant foreign investment is likely to be of net benefit to Canada and/or whether there are reasonable grounds to believe that an investment could be injurious to national security. This is accomplished by developing investment policy, processing notifications filed by investors, and reviewing transactions within the scope of the Act.

Budgetary Financial Resources (dollars)
2014–15
Planned Spending
2015–16
Planned Spending
2016–17
Planned Spending
2,204,870 2,204,870 2,204,870
Human Resources (FTEs)
2014–15 2015–16 2016–17
14 14 14
Performance Measurement
Sub-program
Expected Result
Performance Indicator Target Date to be Achieved
Timely processing of foreign investment notifications and applications for review filed by foreign investors under the Investment Canada Act Median time required to certify notifications 5 days
Median time required to process applications 70 days

Planning Highlights—Investment Review

Recognizing that increased capital and technology benefit Canada, the Department will review significant foreign investments in a manner that encourages economic growth and employment opportunities in Canada. In 2014–15, Industry Canada will continue timely processing of foreign investment notifications and applications for review filed by foreign investors under the Investment Canada Act.


Program—Spectrum, Telecommunications, and the Digital Economy

Description

This program enables Canadians to benefit from a globally competitive digital economy that drives innovation, productivity and future prosperity. This includes developing and administering domestic regulations, procedures and standards that govern Canada's radiocommunication and telecommunications industries. The program sets legislative and policy frameworks to encourage competition, private sector investment in digital infrastructure, confidence in the online marketplace, and greater adoption of digital technologies by business. The program maximizes the public benefits of spectrum by managing it efficiently and effectively, through spectrum and radio licensing including auctions, compliance and enforcement. The program protects Canadian interests in the telecommunications industry globally and facilitates international online trade and commerce by negotiating international treaties and agreements. This program also performs research in advanced telecommunication and information technologies to promote innovation and assist in the development of policies, regulations and program delivery.

Budgetary Financial Resources (dollars)
2014–15
Main Estimates
2014–15
Planned Spending
2015–16
Planned Spending
2016–17
Planned Spending
114,149,657 114,149,657 113,865,399 110,605,384
Human Resources (FTEs)
2014–15 2015–16 2016–17
884 878 878
Performance Measurement
Program
Expected Result
Performance Indicator Target Date to be Achieved
Canada has a growing digital economy Investment by telecommunications providers $8 billion
Percentage of population with broadband subscriptions (1.5 Mbps and higher) 77%

Planning Highlights—Spectrum, Telecommunications, and the Digital Economy

In 2014–15, Industry Canada will deliver the telecommunications consumer commitments included in the 2013 Speech from the Throne. Industry Canada will advance policies that support competition in an effort to give Canadians more choice, lower prices and better service in the wireless market.

The Department will support the digital economy in Canada, including efforts to increase connectivity, strengthen protective measures, (e.g., privacy and security), promote digital technology adoption by businesses and consumers and create an environment for a vibrant information and communications technology sector.

Industry Canada will prepare to auction spectrum in the 2500 MHz band, to help foster more competition in the wireless sector.

Sub-program—Spectrum and Telecommunications Policy and Legislation

Description

This program develops legal and policy frameworks in the areas of spectrum, telecommunications, privacy protection and online security. It promotes the efficiency and adaptability of the Canadian digital economy by regulating commercial conduct and discouraging misconduct in the use of electronic means to carry out commercial activities and by working with the private sector to remove barriers to the use of e-commerce. The program works with international organizations to promote and protect Canadian interests in international discussions, agreements and treaties and to negotiate standards. The program works to update or create legislation as information and communications technologies and their use evolve. It develops policy in support of the Personal Information Protection and Electronic Documents Act (PIPEDA), Canada's Anti-Spam Legislation, the Telecommunications Act and the Radiocommunication Act. This program uses funding from the following transfer payment: International Telecommunication Union, Geneva, Switzerland.

Budgetary Financial Resources (dollars)
2014–15
Planned Spending
2015–16
Planned Spending
2016–17
Planned Spending
13,213,008 13,213,008 13,213,008
Human Resources (FTEs)
2014–15 2015–16 2016–17
62 62 62
Performance Measurement
Sub-program
Expected Result
Performance Indicator Target Date to be Achieved
International treaties and agreements reflect Canada's spectrum and telecommunications interests Percentage of Canadian objectives achieved at ITU meetings or through other international agreements 90%
Decision makers have access to informed analysis on legal and policy frameworks in the areas of spectrum, telecommunications, privacy protection and online security Number of consultations on the development and implementation of the Government of Canada's spectrum and telecommunications priorities 15

Planning Highlights—Spectrum and Telecommunications Policy and Legislation

In 2014–15, Industry Canada will deliver the telecommunications consumer commitments included in the 2013 Speech from the Throne. These include taking legislative action to amend the Telecommunications Act to reduce roaming costs and prevent wireless providers from charging other companies more than they charge their own customers for mobile services. The Department will also protect consumer interests by encouraging compliance and adopting more effective remedies, including administrative monetary penalties, when violations occur. Industry Canada will continue to promote investment in high-speed broadband networks for rural Canadians.

These priorities are an important part of a robust digital economy. Other elements will include: modernizing the privacy regime to better protect consumer privacy online; monitoring the implementation of Canada's anti-spam legislation; and deepening analysis of Canada's communications infrastructure.

Industry Canada will develop a multi-year work plan to fulfill its mandate within the Cyber Security and the Critical Infrastructure Protection strategies. The Department will also work internationally to develop standards that address cyber security and privacy concerns.

A key international meeting to advance Canadian interests and priorities in telecommunications and information and communications technologies (ICT) will take place at the International Telecommunication Union (ITU) Plenipotentiary Conference in October 2014. Leading up to the Conference, the Department will work with other countries and regional groups such as the Inter-American Telecommunication Commission and Commonwealth ITU Group to promote a globally harmonized position on the Union's direction on issues affecting radiocommunication, standardization and telecommunications development. The Department will also build support for its proposals for the 2015 World Radiocommunication Conference for enhancements to radio regulations that will support consumer choice, security and economic activity in Canada.

Sub-program—Spectrum Management and Regulation

Description

This program leads the orderly and secure evolution of Canada's radio spectrum and telecommunications infrastructure and promotes competition through the development of a coherent and effective regulatory framework, the enforcement of domestic and international requirements and the implementation of internationally negotiated standards and treaties. This provides telecommunication manufacturers and service providers with the favourable conditions they need to develop, introduce and market leading technologies and services. This program issues licences to use specific frequencies of the spectrum to businesses, organizations, and individuals, either on a first-come, first-served basis or through auctions. The program monitors and enforces compliance with licence conditions and regulations. To avoid interference and protect health and safety, this program verifies and monitors compliance with Canadian telecommunications equipment regulations and legislation. The program also plays a role in protecting critical infrastructure, in making spectrum available for first responders, in supporting the telecommunications industry in times of emergency, and in supporting cyber security initiatives. This program uses funding from the following transfer payment: Radio Advisory Board of Canada.

Budgetary Financial Resources (dollars)
2014–15
Planned Spending
2015–16
Planned Spending
2016–17
Planned Spending
68,145,167 68,395,929 66,927,164
Human Resources (FTEs)
2014–15 2015–16 2016–17
587 581 581
Performance Measurement
Sub-program
Expected Result
Performance Indicator Target Date to be Achieved
Canada has a modern spectrum management and telecommunications framework Amount of spectrum available for commercial use 750 MHz
Canadians have timely access to radio frequency spectrum Percentage of licence applications completed within service standards 90%
Percentage of radiocommunication interference investigations completed within service standards 90%

Planning Highlights—Spectrum Management and Regulation Symbol representing the contribution of protecting nature and Canadians

In response to Canada's increased demand for new wireless technologies and services, Industry Canada will prepare to auction the available spectrum in the 2500 MHz band to promote sustained competition in the wireless sector.

Industry Canada will replace and modernize the legacy spectrum management IT System (Spectrum Application Modernization–Commercial Software Implementation (SAM-CSI)). The system will provide new ways of issuing and managing radiocommunications licences in real time with a more streamlined automated process and a more stable core system.

In 2014–15, Industry Canada will coordinate all radiocommunication requests from domestic and international organizations, issue short term authorizations and resolve radiocommunication interference to the Pan Am Games Stakeholders.

The Department will implement new administrative monetary penalties regarding the rules and conditions of licence, including those related to providing services to consumers in rural areas, equipment certification, tower sharing and spectrum auctions.

The Department will also launch consultations on the licensing approach for returned 3,500 MHz licences in rural areas and on the proposed revisions to the process for siting new cellphone towers, announced on February 5, 2014.

This sub-program contributes to the Protecting Nature and Canadians theme of the Federal Sustainable Development Strategy. Industry Canada's participation in the Federal Emergency Response Plan helps protect Canadians by ensuring that telecommunications services are available to support first responders during an environmental disaster or other emergency.

Sub-program—Communications Technologies Research and Innovation

Description

This program conducts research on advanced communications systems and technologies to support the development of public policy and services for the information and communication technologies (ICT) sector. Research projects involve a combination of in-house activities and partnerships with other government departments, industrial and academic organizations. The research performed provides insight into innovative technologies, which assists in developing telecommunications policies, regulations and program delivery, improves other government departments' ICT-related decision making and establishes ties with the private sector to promote innovation in this area.

Budgetary Financial Resources (dollars)
2014–15
Planned Spending
2015–16
Planned Spending
2016–17
Planned Spending
32,791,482 32,256,462 30,465,212
Human Resources (FTEs)
2014–15 2015–16 2016–17
235 235 235
Performance Measurement
Sub-program
Expected Result
Performance Indicator Target Date to be Achieved
Industry Canada policy-making and program development sectors are provided with the scientific information they need to make well-informed decisions on new communications technologies Number of new and emerging communications technologies for which the Communications Research Centre Canada has provided advice/input to Industry Canada for policy, standard and regulation development and for contributions to international fora (i.e. International Telecommunication Union) 10
CRC intellectual property and technology are shared between Communications Research Centre Canada and Canadian companies Number of collaborative research projects with Canadian companies 5
Canadian government departments and agencies (Department of National Defence, Canadian Radio-television and Telecommunications Commission, Canadian Space Agency) are provided with the information they need to make well-informed decisions on new communications technologies Number of collaborative projects for other government departments to conduct research and testing on communications technologies 15

Planning Highlights—Communications Technologies Research and Innovation

In 2014–15, Industry Canada, through the Communication Research Centre (CRC), will address long-term technological issues in spectrum management through the delivery of mission-oriented research and development programs. This research will improve policy and operational capacity to sustainably manage Canada's radio spectrum resource.

The CRC will also assist other government departments and agencies, such as the Department of National Defence, Public Safety Canada, the Canadian Security Intelligence Service and the Royal Canadian Mounted Police, to maximize the effective use of radio spectrum in support of their critical operations.

In 2014–15, the CRC will provide ongoing analysis of emerging technology trends, potentially disruptive technologies and innovative developments that could impact the management of wireless radio spectrum. The integration of broad scientific and technical information improves Canada's spectrum management capacity, allowing the government to anticipate and mitigate adverse technology related impacts on the management and regulation of radio spectrum.


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Analysis of Programs by Strategic Outcome

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

Program—Science, Technology and Innovation Capacity

Description

This program sets the strategic direction for policies and programs that support and stimulate research, development and innovation in Canada. In collaboration with Industry Portfolio partners, other government departments and external stakeholders from the private and public sectors, the program fosters an environment that is conducive to innovation and promotes scientific excellence.

Budgetary Financial Resources (dollars)
2014–15
Main Estimates
2014–15
Planned Spending
2015–16
Planned Spending
2016–17
Planned Spending
319,889,018 319,889,018 277,939,018 292,589,018
Human Resources (FTEs)
2014–15 2015–16 2016–17
75 77 77
Performance Measurement
Program
Expected Result
Performance Indicator Target Date to be Achieved
Canada's scientific research excellence is maintained Canada's Average Relative Citation index 1.28
Researchers are attracted to Canada, and retained Total full-time equivalent researchers in Canada per thousand total employment 8.4

Planning Highlights—Science, Technology and Innovation Capacity

Industry Canada will support the development of an updated Science, Technology and Innovation (ST&I) Strategy by providing research, analysis and policy options, with a focus on maintaining Canada’s existing science and technology strengths and on advancing business innovation in Canada.

Industry Canada will also continue to support the Science, Technology and Innovation Council as that organization develops its next State of the Nation Report.

The changes in planned spending for 2014–15 and future years reflect fluctuations in grants and contributions programs under the Science and Technology Partnerships sub-program.

Sub-program—Science and Technology Policy and Analysis

Description

This program supports science, technology and innovation (ST&I) by providing analysis and advice and developing polices and programs to improve Canada's research and development capacity and excellence in Canada's innovation system. This is accomplished through partnerships, consultation and collaboration with various stakeholders including the private sector, universities and colleges and their associations, provincial/territorial governments, foreign governments, and international organizations. This program also works closely with Industry Portfolio partners such as the National Research Council and the federal granting councils within the Industry Portfolio (the Natural Sciences and Engineering Research Council of Canada and the Social Sciences and Humanities Research Council of Canada) as well as other science-based departments and agencies to promote horizontal coordination of ST&I policies. This program also supports the activities of the Science, Technology and Innovation Council (STIC), an external advisory body that provides Ministers confidential advice on ST&I policy issues and public reporting of Canada's ST&I performance against international standards of excellence.

Budgetary Financial Resources (dollars)
2014–15
Planned Spending
2015–16
Planned Spending
2016–17
Planned Spending
6,470,872 6,470,872 6,470,872
Human Resources (FTEs)
2014–15 2015–16 2016–17
44 46 46
Performance Measurement
Sub-program
Expected Result
Performance Indicator Target Date to be Achieved
Engagement with key stakeholders in the development and implementation of the Government of Canada's science, technology, and innovation priorities Number of ongoing consultations with the federal science and technology community, provincial governments, and national stakeholder organizations in the development and implementation of the Government of Canada's science, technology, and innovation priorities 20
A broader understanding of science underpins science and technology policy Number of Council of Canadian Academies (CCA), Science, Technology and Innovation Council (STIC) and Organization for Economic Cooperation and Development (OECD) reports underway with Industry Canada involvement that provide a basis for science and technology policy 15

Planning Highlights—Science and Technology Policy and Analysis

The Department will support the development of an updated federal Science, Technology and Innovation (ST&I) Strategy. Industry Canada will support engagement with stakeholders and conduct research and analysis to enhance its understanding of domestic and international systems of innovation.

The Department will also continue its work in ST&I policy, including further advancement of horizontal coordination on ST&I policies, programs, activities and investments within the federal government. Industry Canada will support the Minister of State (Science and Technology) in facilitating the implementation of initiatives to enhance federal support for business innovation.

Sub-program—Science and Technology Partnerships

Description

This program oversees implementation of science and technology programs delivered by the Department's Industry Portfolio partners. It manages federal funding agreements with arm's length organizations that support Canada's science, technology and innovation capacity. The program also conducts research and analysis in support of its oversight, governance and management responsibilities. It supports research, education and innovation in post-secondary institutions. It promotes a science and entrepreneurial culture and the development of a pool of talent in the science and technology industry. This program uses funding from the following transfer payments: Canada Foundation for Innovation, CANARIE Inc, Genome Canada, Perimeter Institute for Theoretical Physics, Mitacs Inc., Canadian Institute for Advanced Research.

Budgetary Financial Resources (dollars)
2014–15
Planned Spending
2015–16
Planned Spending
2016–17
Planned Spending
313,418,146 271,468,146 286,118,146
Human Resources (FTEs)
2014–15 2015–16 2016–17
31 31 31
Performance Measurement
Sub-program
Expected Result
Performance Indicator Target Date to be Achieved
Science and technology partnerships exist between industry and academia Dollars of cash and in-kind industrial and other contributions leveraged per dollar investment from granting councils' science and technology industry partnership programs for which Industry Canada sits on governance bodies $2.00
Number of companies involved in granting councils' science and technology industry partnership programs for which Industry Canada sits on governance bodies 200
Federal programs are in place to support highly qualified researchers Number of researchers including students supported by granting councils' science and technology "people advantage" programs for which Industry Canada sits on governance bodies 3,200

Planning Highlights—Science and Technology Partnerships Symbol representing the contribution adressing Climate Change and Air Quality

In 2014–15, Industry Canada will continue to monitor and provide oversight of federal investments in arm's-length organizations that encourage public-private research partnerships and/or support the advancement of science, technology, knowledge and innovation in Canada.

To ensure that the top researchers and students in Canada receive the support they need, Industry Canada will continue to work with the granting councils and the Canada Foundation for Innovation on the ongoing implementation and evaluation of major "people advantage" programs, including considerations for program design.

Planned Spending for 2015–16 is lower than that planned for 2014–15 due to the current funding profiles for CANARIE Inc. and Genome Canada, both of which were renewed in Budget 2012. CANARIE Inc. is subject to renewal in 2015 and Genome Canada in 2017. Budget 2012 also provided $500 million over five years for the Canada Foundation for Innovation to support advanced research infrastructure. This funding increases over the 5-year period, as reflected in the Planned Spending for 2016–17.

Budget 2014 provided for $8 million over two years for Mitacs, and $15 million over three years for the Institute for Quantum Computing, which will be reflected in future documents.

Detailed information on those programs can be found in the transfer payment section of the Supplementary Information tables.

Program—Industrial Research and Development Financing

Description

This program helps Canadian businesses increase research and development (R&D) activities by investing in innovative projects and collaborations through repayable and non-repayable contributions. Projects supported under this program are expected to produce benefits to Canada, including generating strategic R&D investment, developing new technologies and enhancing Canadian innovation capacity and expertise.

Budgetary Financial Resources (dollars)
2014–15
Main Estimates
2014–15
Planned Spending
2015–16
Planned Spending
2016–17
Planned Spending
262,634,343 281,396,343 288,573,685 294,835,435
Human Resources (FTEs)
2014–15 2015–16 2016–17
79 79 79
Performance Measurement
Program
Expected Result
Performance Indicator Target Date to be Achieved
Investment in leading-edge R&D in targeted Canadian industries Dollar value to date of disbursements to firms for R&D activities $4.27 billionFootnote 17
Dollars to date of investment leveraged per dollar of Industry Canada disbursements in R&D projects SADI: $1.86
AIF: $6.50
TPC: $2.33

Planning Highlights—Industrial Research and Development Financing Symbol representing the contribution adressing Climate Change and Air Quality

The priority under this program in 2014–15 will be the implementation of the new Technology Demonstration Program (TDP), to assist aerospace companies with testing new products and technologies. The TDP is one of the recommendations from the Aerospace Review.

The Department will continue to promote and administer the Automotive Innovation Fund (AIF), which supports the development of innovative, greener and more fuel-efficient vehicles, and the Strategic Aerospace and Defence Initiative (SADI), which leverages private sector investments for leading edge R&&D in the aerospace, defence, space and security industries. The Department will continue to manage the portfolio of existing projects from the Technology Partnerships Canada program (TPC). This involves reviewing project status and receiving repayments which are expected until 2035.

The Industrial Research and Development Financing program contributes to the Addressing Climate Change and Air Quality theme of the Federal Sustainable Development Strategy through the AIF’s support for greener vehicles and through SADI, which supports strategic research and development projects that contribute to new aerospace and defense technologies, and which may reduce GHG emissions and produce new energy efficiencies.

The variance between Main Estimates and Planned Spending for 2014–15 includes estimated repayable contributions, which are accessed annually in Supplementary Estimates to support strategic investment and innovation for the Strategic Aerospace and Defence Initiative.

In addition, Planned Spending also reflects new funding approved in Budget 2013 for the creation of the Technology Demonstration Program.

Sub-program—Automotive Innovation

Description

This program supports the production of innovative, greener and more fuel-efficient vehicles by contributing to strategic, large-scale research and development (R&D) projects in the automotive sector. It provides support in the form of repayable contributions to automotive-related companies to fund innovative activities related to automotive engineering, R&D and manufacturing modernization. This program also supports Canada's environmental agenda in advancing R&D and innovation to increase automobile fuel efficiency and reduce greenhouse gases. This program uses funding from the following transfer payment: Automotive Innovation Fund.

Budgetary Financial Resources (dollars)
2014–15
Planned Spending
2015–16
Planned Spending
2016–17
Planned Spending
65,777,277 65,810,694 65,810,694

Budget 2014 provided for an additional $500 million over two years for the Automotive Innovation Fund, which will be reflected in future documents.

Human Resources (FTEs)
2014–15 2015–16 2016–17
5 5 5
Performance Measurement
Sub-program
Expected Result
Performance Indicator Target Date to be Achieved
Enhanced capacity for the development of innovative, more fuel-efficient technologies in the Canadian automotive industry Number of projects to date focusing on innovative fuel efficient technologies and processes 6
Investment in leading-edge R&D in the Canadian automotive sector Dollars to date of investment leveraged per dollar of Industry Canada disbursements in automotive R&D projects $6.50

Planning Highlights—Automotive Innovation

In Budget 2013, the Automotive Innovation Fund (AIF) was renewed for a further five years. Industry Canada will continue to administer this program, which is one of the Department’s main levers to encourage innovation in automotive R&D.

Industry Canada will also continue to implement the recommendations from an internal evaluation of the AIF.

Budget 2014 provided for an additional $500 million over two years for the Automotive Innovation Fund, which will be reflected in future documents.

Sub-program—Aerospace and Defence Innovation

Description

This program supports research and development in the Canadian aerospace, defence, space and security industries. It enhances competitiveness by encouraging and leveraging private sector investment in the research and development of new technologies, products, processes and services in Canada and fosters collaboration among research institutes, universities, colleges and the private sector through repayable and non-repayable contributions. This program uses funding from the following transfer payments: Strategic Aerospace and Defence Initiative, Technology Partnerships Canada Program (no longer accepting applications), Bombardier C-Series Program, and the Technology Demonstration Program.

Budgetary Financial Resources (dollars)
2014–15
Planned Spending
2015–16
Planned Spending
2016–17
Planned Spending
215,619,066 222,762,991 229,024,741
Human Resources (FTEs)
2014–15 2015–16 2016–17
73 74 74
Performance Measurement
Sub-program
Expected Result
Performance Indicator Target Date to be Achieved
New and innovative products, services and processes are commercialized by Canadian businesses Number of projects to date in which the recipient has commercialized a new product, service or process as a result of Industry Canada financing 204
Investment in leading-edge R&D in the Canadian aerospace and defence sector Dollars to date of investment leveraged per dollar of Industry Canada disbursements in aerospace and defence R&D projects. SADI: $1.86
TPC: $2.33
Collaboration between private sector and universities, colleges and affiliated research institutes Number of projects to date for which the recipient has established a collaborative relationship with universities, colleges and/or affiliated research institutes 30

Planning Highlights—Aerospace and Defence Innovation

As part of its response to the Aerospace Review, the Technology Demonstration Program was launched in 2013 to support research and development (R&D) in areas that have significant potential for broad-based and long-term economic benefits to Canada. This program will fund large scale projects that typically require the integration of several different technologies and the coordination of activities of many small and medium-sized Canadian-based companies and accredited Canadian universities and colleges or their affiliated research institutes. Projects funded through this program are expected to be the basis for next generation manufacturing and services in Canada and to promote the development of supply chains and knowledge transfer.

Industry Canada will also continue to implement previously announced changes to the Strategic Aerospace and Defence Initiative (SADI). These changes aim to reduce administrative burden and provide further incentive to firms, especially smaller businesses, to invest in R&D while ensuring that Canadians benefit by securing high-value business opportunities.

SADI contributes to the development of partnerships between private companies and universities, as collaboration with a post-secondary institution is an eligibility requirement.

Industry Canada will continue to collect repayments arising from the Technology Partnerships Canada Program’s $3.4 billion portfolio of existing contracted projects. The final TPC repayments are not expected until the year 2035.


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Analysis of Programs by Strategic Outcome

Strategic Outcome: Canadian businesses and communities are competitive

Program—Small Business Research, Financing and Services

Description

This program enhances the growth and competitiveness of small business and encourages entrepreneurship. It raises awareness across government of the challenges facing small businesses; provides knowledge and expertise on small and medium-sized enterprises (SMEs) in a number of areas, including entrepreneurship, financing, innovation and growth firms; recommends policy options; and delivers programs that help support SMEs and entrepreneurial activity across Canada.

Budgetary Financial Resources (dollars)
2014–15
Main Estimates
2014–15
Planned Spending
2015–16
Planned Spending
2016–17
Planned Spending
95,390,065 95,390,065 86,077,065 85,869,065
Human Resources (FTEs)
2014–15 Footnote 18 2015–16 2016–17
104 105 105
Performance Measurement
Program
Expected Result
Performance Indicator Target Date to be Achieved
New small and medium sized-enterprises are created Number of small and medium-sized enterprise entries 10,000

Planning Highlights—Small Business Research, Financing and Services

Industry Canada will enhance growth and competitiveness of small businesses and encourage entrepreneurship by continuing to deliver programs such as the Canada Small Business Financing Program and BizPaL, and developing policies aimed at increasing access to financing for small and medium-sized enterprises.

The change in planned spending reflects the end of the two-year funding from Budget 2013 for the Canadian Youth Business Foundation.

Sub-program—Small Business Financing and Growth

Description

This program helps Canadian small and medium-sized enterprises (SMEs) and young entrepreneurs access financing that would not otherwise be available or would only be available under less favourable terms. The Canadian Youth Business Foundation also assists entrepreneurs through mentoring, where the entrepreneur is matched with an experienced business professional. This program also provides advice and support to the Business Development Bank of Canada and promotes understanding of the challenges small businesses face in the terms of growth and prosperity. This program uses funding from the following transfer payments: Canada Small Business Financing Program and the Canadian Youth Business Foundation.

Budgetary Financial Resources (dollars)
2014–15
Planned Spending
2015–16
Planned Spending
2016–17
Planned Spending
89,872,486 80,559,486 80,351,486
Human Resources (FTEs)
2014–15 2015–16 2016–17
65 66 66
Performance Measurement
Sub-program
Expected Result
Performance Indicator Target Date to be Achieved
Small and medium-sized enterprises that would not otherwise be able to access financing can do so with government support Number of loans registered with the program 6,500
Value of loans registered with the program $950 million
Young entrepreneurs are able to obtain advice from experienced individuals Number of mentorships established 460

Planning Highlights—Small Business Financing and Growth

Industry Canada will implement regulatory changes to improve and modernize the Canada Small Business Financing Program (CSBFP) that are expected to come into force in April 2014. These changes will enhance the availability of asset-based financing to small businesses, particularly start-ups, and reduce the administrative burden of the program. The Department will also continue to roll out the program's online registration application, which permits lenders to transfer registration documents and fees electronically.

Also in 2014–15, the Department will support the continued implementation of the $400 million Venture Capital Action Plan announced in January 2013, and undertake the 2014 Survey of the Financing and Growth of SMEs.

The decrease in planned spending reflects the end of the two-year funding from Budget 2013 for the Canadian Youth Business Foundation.

Sub-program—Service to Business

Description

This program provides potential Canadian entrepreneurs and existing small businesses with one-stop access to government information on programs, services, permits, licences and regulations as well as other business-related tools. Canada Business Network (CBN) and BizPaL services are offered through the Internet and toll-free telephone. CBN officer-assisted services are also provided across Canada. CBN and BizPaL are delivered in collaboration with other federal departments and agencies, provincial, territorial and municipal governments and other entities. This program also reports on strategies for reducing paperwork burden on SMEs when complying with government requirements and obligations, and supports stakeholder consultations through the Advisory Committee on Small Business and Entrepreneurship.

Budgetary Financial Resources (dollars)
2014–15
Planned Spending
2015–16
Planned Spending
2016–17
Planned Spending
5,517,579 5,517,579 5,517,579
Human Resources (FTEs)
2014–15 2015–16 2016–17
38 39 39
Performance Measurement
Sub-program
Expected Result
Performance Indicator Target Date to be Achieved
Small business and potential entrepreneurs access government information on business-related programs, tools, and services Number of client interactions on all Canada Business Network and BizPaL content delivered through the national web channel 1.7 million
Canada Business Network and BizPaL clients find the information provided useful Percentage of clients that indicate they found Canada Business Network and BizPaL services and information useful 60%

Planning Highlights—Service to Business

In 2014–15, Industry Canada will work to improve access to departmental, portfolio and Government of Canada information and transactions for small and medium-sized enterprises, including cooperatives. The Department will initiate a Service to Business Strategy focused on improving access to federal government programs and services, and continue to support and promote BizPaL and the Canada Business Network (CBN). The Department will launch and evaluate pilot projects, including: enabling mobile access to CBN services; providing integrated online information to businesses by leveraging existing tools and programs in the Department; and enabling secure transactions with government for SMEs in collaboration with Canada Post.

The Department will also provide support to the Advisory Committee on Small Business and Entrepreneurship (created within the Paperwork Burden Reduction Initiative) as it provides advice on small business issues to the Minister of State (Small Business and Tourism, and Agriculture).

Program—Industrial Competitiveness and Capacity

Description

This program helps Canadian industries improve their industrial competitiveness and capacity for innovation and adapt to the changing economic landscape, including external shocks. The program develops expertise on Canadian firms and sectors through research and analysis and engagement with associations, governments and leading firms. It applies this expertise to develop and contribute to policy, legislation and regulations. This program collaborates with the private sector on industry development; attracts investment and promotes Canadian expertise; and invests in private sector initiatives that are aimed at maximizing productivity and facilitating access to capital.

Budgetary Financial Resources (dollars)
2014–15
Main Estimates
2014–15
Planned Spending
2015–16
Planned Spending
2016–17
Planned Spending
31,560,065 31,560,065 31,555,309 31,587,309
Human Resources (FTEs) Footnote 19
2014–15 2015–16 2016–17
211 208 208
Performance Measurement
Program
Expected Result
Performance Indicator Target Date to be Achieved
Canadian industries have the capacity to prepare for and respond to risks and opportunities in domestic and global markets Canada's ranking among G7 countries for "value chain breadth" 6
Canada's ranking among G7 countries for "firm-level technology absorption" 6

Planning Highlights—Industrial Competitiveness and Capacity

In 2014–15, Industry Canada will support the Canadian manufacturing sector in its efforts to attract and retain production and R&D mandates, and expand foreign market opportunities, using whole-of-government initiatives.

The Department will position Canada as a leader in the development and adoption of advanced manufacturing technologies, working in cooperation with partners within government and with industry.

Industry Canada will develop and implement strategies to maximize industrial benefits from major federal defence and security procurements.

Sub-program—Industry-Specific Policy and Analysis

Description

This program provides intelligence, analysis and advice on industry's capacity to adapt to the continually evolving economic environment and informs government decision making. Expertise is used to advise stakeholders on key issues and policies that are relevant to the competitiveness of targeted industries and their positions within globalized markets and value chains. In collaboration with partners such as industry associations and other government departments, the program develops and disseminates studies, research papers and statistical reports to enable informed decision making and performs targeted outreach to assist industry in better understanding government policy. This program also promotes the adoption and adaptation of new and emerging technologies and skills for business processes, and promotes strategic research and development, marketing, investment and international business development activities.

Budgetary Financial Resources (dollars)
2014–15
Planned Spending
2015–16
Planned Spending
2016–17
Planned Spending
29,950,908 29,946,153 29,978,153
Human Resources (FTEs)
2014–15 2015–16 2016–17
181 178 178
Performance Measurement
Sub-program
Expected Result
Performance Indicator Target Date to be Achieved
Decision makers have access to informed analysis on trends and issues affecting the competitiveness of Canadian industries Number of collaborative research or policy initiatives started or maintained 40

Planning Highlights—Industry-Specific Policy and Analysis Symbol representing the contribution adressing Climate Change and Air Quality

The Department will engage in dialogue and analysis with stakeholders in key sectors, including manufacturing, information and communication technology (ICT), and tourism, in order to provide sound advice on competitiveness and innovation issues. This will include engaging stakeholders on policy and regulatory issues, such as the Department's work with Health Canada, as well as working within existing mechanisms under the Federal Tourism Strategy and the Canada-India ICT Working Group.

Industry Canada will identify and pursue opportunities to attract new automotive investment to Canada, in collaboration with other federal government organizations and provincial governments, to prioritize the development and adoption of emerging technologies that support Canada's manufacturing sector. The Department will also continue to support Canada's negotiating position as it relates to international trade agreements.

The Department will support the Federal Economic Development Agency for Southern Ontario by providing project review and advice on applications under the new Advanced Manufacturing Fund.

Recommendations from the Review of Aerospace and Space Policies and Programs will continue to be addressed. The Department, in collaboration with the Canadian Space Agency (CSA), will implement a revised governance framework for space, including a Space Advisory Board and the Deputy Ministers Governance Committee on Space. Industry Canada, the CSA and other federal departments with interests in space will also implement Canada's Space Policy Framework. Discussions with industry and provinces on a National Aerospace Research and Technology Network will continue, and Canadian aerospace firms will be engaged in key global supply chain events to promote the competitiveness of this sector.

Through this sub-program, Industry Canada contributes to the Addressing Climate Change and Air Quality theme of the Federal Sustainable Development Strategy, through its promotion of sustainable manufacturing practices and adoption of technologies that support innovation, and support for the growth of innovative business services to manufacturing, all of which can increase environmental sustainability.

Sub-program—Shipbuilding Capacity

Description

This program implements the Value Proposition (VP) component of the National Shipbuilding Procurement Strategy (NSPS) to support the health and sustainability of the wider Canadian marine industry. Irving Shipbuilding and Seaspan Shipyards, the two shipyards selected through the competitive process of the NSPS, contribute 0.5% of all their NSPS contracts towards VP investments. This program also helps ensure that shipbuilding capacity exists for federal marine procurement and maintenance requirements by providing non-repayable contributions to reduce applicants' interest or leasing costs. This program uses funding from the following transfer payment: Structured Financing Facility.

Budgetary Financial Resources (dollars)
2014–15
Planned Spending
2015–16
Planned Spending
2016–17
Planned Spending
589,736 589,736 589,736
Human Resources (FTEs)
2014–15 2015–16 2016–17
5 5 5
Performance Measurement
Sub-program
Expected Result
Performance Indicator Target Date to be Achieved
Commitments under the National Shipbuilding Procurement Strategy contribute to the health and sustainability of the Canadian shipbuilding and marine industry Total dollar value of planned investment in the Canadian shipbuilding and marine industry from National Shipbuilding Procurement Strategy resultant contracts $1.44 million

Planning Highlights—Shipbuilding Capacity

In 2014–15, Industry Canada will continue to seek to maximize economic and industrial outcomes from the National Shipbuilding Procurement Strategy (NSPS) by negotiating and implementing the terms and conditions for the NSPS value proposition. The value proposition requires the two shipyards selected through the competitive process to invest in the greater Canadian marine industry, in the areas of human resource, technological and industrial development.

Sub-program—Industrial and Regional Benefits

Description

This program implements the Industrial and Regional Benefits (IRB) Policy, which provides the framework for leveraging federal defence and security procurements to generate long-term industrial and regional development within Canada. The IRB Policy ensures that Canadian companies can derive benefits from federal procurements through the creation of new business opportunities or investments in research and development, technology commercialization or business development activities. Under the IRB Policy, prime contractors that are awarded major federal defence and security contracts are required to generate new business activity in the Canadian economy in an amount equal to the value of the contract.

Budgetary Financial Resources (dollars)
2014–15
Planned Spending
2015–16
Planned Spending
2016–17
Planned Spending
1,019,420 1,019,420 1,019,420
Human Resources (FTEs)
2014–15 2015–16 2016–17
26 26 26
Performance Measurement
Sub-program
Expected Result
Performance Indicator Target Date to be Achieved
Prime contractors benefiting from federal procurement contracts reinvest in the Canadian economy Dollar value of prime contractor investment in the Canadian economy $2 billion
Business relationships are created between Canadian suppliers and prime contractors Number of transactions that generate relationships between prime contractors and Canadian companies 125
Industrial and Regional Benefits transactions are reviewed, approved and reported on in a timely manner New business transactions that are examined and assessed annually as a percentage of total applications received 90%

Planning Highlights—Industrial and Regional Benefits

In 2014–15, Industry Canada will develop tools and processes, including aligning the application of the industrial and regional benefits policy, to maximize industrial benefits leveraged from defence and security procurement.

Program—Community Economic Development

Description

This program advances the economic development of Northern Ontario communities in the same manner that regional development agencies support similar activities in other regions of Canada. Its main goal is to strengthen the Northern Ontario economy by providing financial support, through contribution agreements, for economic and community development projects led by the private, not-for-profit and public sectors, including support for official language minority communities. This program also contributes to communities across Canada with programs to support access to the Internet, as well as to provide computers for schools.

Budgetary Financial Resources (dollars)
2014–15
Main Estimates
2014–15
Planned Spending
2015–16
Planned Spending
2016–17
Planned Spending
61,707,284 61,707,284 63,547,284 50,797,284
Human Resources (FTEs)
2014–15 2015–16 2016–17
98 103 103
Performance Measurement
Program
Expected Result
Performance Indicator Target Date to be Achieved
Targeted businesses and organizations in Northern Ontario create economic growth Number of Northern Ontario businesses and organizations created, expanded or maintained with FedNor assistance 1,700

Planning Highlights—Community Economic Development

Industry Canada administers programs to support economic and community development projects in Northern Ontario. In 2014–15, Industry Canada will continue to improve the administration of the Community Futures Program and the Northern Ontario Development Program (NODP). The Department will also continue encouraging investment in high-speed broadband networks for rural Canadians, while reducing the costs and ensuring higher-speed access to more Canadians, which will stimulate economic growth.

Sub-program—Northern Ontario Economic Development

Description

This program promotes economic development and diversification, job creation, and sustainable, self-reliant communities in Northern Ontario. This is achieved by providing financial support through transfer payments to small and medium-sized enterprises and not-for-profit organizations, including municipalities, municipal organizations, community development organizations and research institutions, in the following priority areas: community economic development, business growth and competitiveness and innovation. As part of the Roadmap for Canada's Linguistic Duality 2013-2018, this program also provides support for business and economic development activities that enhance the economic vitality of Francophone communities throughout Northern Ontario and encourage sustainable growth. This program uses funding from the following transfer payments: Northern Ontario Development Program, Economic Development Initiative, and Community Futures Program.

Budgetary Financial Resources (dollars)
2014–15
Planned Spending
2015–16
Planned Spending
2016–17
Planned Spending
50,907,284 50,847,284 50,797,284
Human Resources (FTEs)
2014–15 2015–16 2016–17
92 97 97
Performance Measurement
Sub-program
Expected Result
Performance Indicator Target Date to be Achieved
Targeted Northern Ontario businesses and organizations attract investors Dollars of investment leveraged per program dollar disbursed $2.40
Targeted Northern Ontario businesses and organizations create and maintain jobs Number of jobs created and maintained in Northern Ontario through FedNor programming investments 4,100

Planning Highlights—Northern Ontario Economic Development

In 2014–15, Industry Canada will continue to improve services for Northern Ontario stakeholders through the Northern Ontario Development Program, with streamlined processes, new service models and approaches, better use of information and communications technology, and enhanced collaboration with other federal departments.

Notably, the Department will assist in the development of the Ring of Fire mineral deposits.

Through the Community Futures Program, the Department will work collaboratively with the 24 Northern Ontario Community Futures Development Corporations and others to foster economic stability, growth and job creation, help create diversified and competitive local rural economies, and help build economically sustainable communities in Northern Ontario.

Industry Canada will foster the development of official language minority communities and capitalize on economic opportunities made possible through linguistic duality, through the Economic Development Initiative of the Roadmap for Canada's Official Languages 2013-2018.

Sub-program—Computer and Internet Access

Description

This program supports access to computers and the Internet in communities across the country. It is responsible for refurbishing surplus computer equipment donated by the public and private sectors, and distributing it to schools, libraries, not-for-profit learning organizations and Aboriginal communities upon request. It also provides youth internship opportunities where young Canadians can gain valuable experience in the field of information and communications technologies (ICT). This program also financially supports access to satellite bandwidth for providing broadband access to previously unserved or underserved households, in accordance with established agreements under the Broadband Canada program. This program uses funding from the following transfer payments: Broadband Connecting Rural Canadians Program (ends 2015–16; no new agreements will be signed), Youth Internships at community access sites, Computers for Schools and Computers for Schools – Technical Work Experience Program.

Budgetary Financial Resources (dollars)
2014–15
Planned Spending
2015–16
Planned Spending
2016–17
Planned Spending
10,800,000 12,700,000

Budget 2014 provided for $305 million over five years to extend and enhance access to high-speed broadband networks, as well as $36 million over four years to renew the Computers for Schools Program. These amounts will be reflected in future documents.

Human Resources (FTEs)
2014–15 2015–16 2016–17
6 6 6
Performance Measurement
Sub-program
Expected Result
Performance Indicator Target Date to be Achieved
Broadband Internet access to unserved and underserved households Number of households in Canada with broadband access from satellite services funded by the Broadband Canada program 72,000
Schools, libraries, not for profit learning organizations and Aboriginal communities receive refurbished computers Number of refurbished computer units delivered annually 65,000
Youth interns gain work experience in the information and communication technologies field Number of youth interns hired 250

Planning Highlights—Computer and Internet Access Symbol representing the contribution of protecting nature and Canadians

The Department will continue to offer Youth Internships to provide Canadian youth with work experience and skills development opportunities in the field of information and communications technology, equipping them to be productive in the knowledge-based and digital economy.

In 2014–15, Industry Canada will also continue to provide financial support for access to satellite bandwidth based on signed agreements under the Broadband Canada: Connecting Rural Canadians Program.

This sub-program contributes to the Protecting Nature and Canadians theme of the Federal Sustainable Development Strategy, through the Computers for Schools Program, which helps divert toxic electronic waste from landfills.

Funding approved through Budget 2009 for Broadband Canada: Connecting Rural Canadians ends in 2015–16 and full-time equivalents will remain to manage the existing agreements. Funding for Computers for Schools and for Youth Internships is allocated each year, and does not appear in planned spending.

Budget 2014 provided for $305 million over five years to extend and enhance access to high-speed broadband networks, as well as $36 million over four years to renew the Computers for Schools Program. These amounts will be reflected in future documents.


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Analysis of Programs by Strategic Outcome

Internal Services

Description

Internal Services are groups of related activities and resources that are administered to support the needs of programs and other corporate obligations of an organization. These groups are: Management and Oversight Services; Communications Services; Legal Services; Human Resources Management Services; Financial Management Services; Information Management Services; Information Technology Services; Real Property Services; Materiel Services; Acquisition Services; and Other Administrative Services. Internal Services include only those activities and resources that apply across an organization and not to those provided specifically to a program.

Budgetary Financial Resources (dollars)
2014–15
Main Estimates
2014–15
Planned Spending
2015–16
Planned Spending
2016–17
Planned Spending
91,810,133 124,810,133 124,771,312 127,696,281
Human Resources (FTEs)
2014–15 2015–16 2016–17
1,116 1,122 1,122

Planning Highlights—Internal Services Symbol representing the contribution adressing Climate Change and Air Quality Symbol representing the contribution of protecting nature and Canadians Symbol representing the contribution of shrinking the environment footprint - Beginning with Government

Industry Canada will implement the operating budget freeze announced in the 2013 Speech from the Throne.

The Department will focus on its workforce, workplace and leadership this year through various initiatives such as: enhancements to the performance management program (including related skills-building for managers); implementation of a corporate approach to recruiting and developing policy advisors; revitalization of the departmental Managers’ Network; and tools to support management-employee conversations aimed at ensuring a healthy, respectful and inclusive workplace.

Industry Canada will also focus on implementing Government of Canada transformation initiatives in information technology, information management, finance and human resources management through initiatives such as Open Government, GCDocs and pay consolidation. The Department will pilot new approaches to communication and position itself to successfully use new technology, including social media and electronic tools, for consultations related to improving program development and delivery.

The Department also intends to strengthen collaboration among internal and external organizations in order to achieve departmental business objectives and support Blueprint 2020 and other initiatives to build employee engagement, establish modern, effective communications with stakeholders and staff, and continue to foster a more open and networked public service.

Internal Services contribute to the Federal Sustainable Development Strategy: Addressing Climate Change and Air Quality theme, as well as the Protecting Nature and Canadians theme through its promotion of the use of corporate social responsibility management tools in the Canadian marketplace and through its support of efforts to improve the understanding of productivity.

The difference between Main Estimates and Planned Spending appears each year, and reflects the Department's funding model, according to which a large portion of its core budget comes from repayments and royalties received for support provided under former contribution programs. This portion is never reflected in Main Estimates, as the Department accesses these funds through Supplementary Estimates.

Industry Canada is a participant in the 2013-16 Federal Sustainable Development Strategy and contributes to the Theme IV (Greening Government Operations) targets through the internal services program. The department plans to

  • Reduce the departmental greenhouse gas emissions from its buildings and fleet by 17% below 2005 levels by 2020;
  • Achieve an industry-recognized level of high environmental performance in Government of Canada real property projects and operations;
  • Take action to embed environmental considerations into public procurement, in accordance with the federal Policy on Green Procurement;
  • Develop an approach to maintain or improve the sustainability of its workplace operations;
  • Establish SMART targets to reduce the environmental impact of its services to clients; and
  • Take further action to improve water management within its real property portfolio.

Additional details on Industry Canada's activities can be found in the Greening Government Operations Supplementary Information Table.


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Section III: Supplementary Information

Future-Oriented Statement of Operations

The future-oriented condensed statement of operations presented in this section is intended to serve as a general overview of Industry Canada's operations. The forecasted financial information on expenses and revenues is prepared on an accrual accounting basis to strengthen accountability and to improve transparency and financial management.

Because the future-oriented statement of operations is prepared on an accrual accounting basis and the forecast and planned spending amounts presented in other sections of this report are prepared on an expenditure basis, amounts will differ.

A more detailed Future-Oriented Statement of Operations and associated notes, including a reconciliation of the net costs of operations to the requested authorities, can be found on Industry Canada's website.

Future-Oriented Condensed Statement of Operations
For the Year Ended March 31 (dollars)
Financial Information Estimated Results 2013–14 Planned Results 2014–15 Change
Total Expenses 1,360,799,110 1,220,165,626 (140,633,484)
Total Revenues 225,375,000 229,767,999 4,392,999
Net Cost of Operations 1,135,424,110 990,397,627 (145,026,483)

Total expenses year over year are expected to decrease by approximately 10% ($140.6 million). The change is attributable to accrual adjustments for transfer payments which are not represented in other areas of this report. The major adjustment represented in the future oriented statement of operations is for a Budget 2013 statutory, multi-year agreement to support Genome Canada. $165 million has been accrued in the statement for this forthcoming agreement, which is expected to be paid out over the next six fiscal years. Operating expenses, including salaries, are expected to remain steady in the next fiscal year.

As Industry Canada is in no position to forecast revenues from the current 700 MHz auction, no adjustment has been made for the auction in this future-oriented statement of operations. Consequently, as there are no other significant events affecting revenues, Industry Canada revenues remain steady for the majority of the department. Once the auction is complete, Industry Canada will be in a position to report on the associated revenues in future financial statements.


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Supplementary Information Tables

Table of Contents


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Tax Expenditures and Evaluations

The tax system can be used to achieve public policy objectives through the application of special measures such as low tax rates, exemptions, deductions, deferrals and credits. The Department of Finance publishes cost estimates and projections for these measures annually in the Tax Expenditures and Evaluations publication. The tax measures presented in the Tax Expenditures and Evaluations publication are the sole responsibility of the Minister of Finance.


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Section IV: Organizational Contact Information

Corporate Management Sector
Industry Canada
235 Queen Street
2nd Floor, East Tower
Ottawa Ontario K1A 0H5

Email: ic.info-info.ic@canada.ca
Fax: 613–957–6543

Date modified: