A year ago, this column described the Justin Trudeau government91Ƶs plan to borrow and spend close to $1 billion on an 91Ƶinnovation and skills plan91Ƶ to create 91Ƶsuperclusters.91Ƶ
B.C. got its own supercluster last week, part of a nation-wide network announced by federal Innovation Minister Navdeep Bains. Ours is the Digital Technology Supercluster, getting an undisclosed share of the $950 million set aside in the 2017 federal budget.
What are superclusters, you may ask. They91Ƶre like the innovation clusters announced in the 2016 federal budget, only bigger. According to Bains, their job is to 91Ƶsupercharge Canada91Ƶs regional innovation ecosystems and build Canada as a global centre for innovation.91Ƶ The B.C. one in particular is 91Ƶa made-in-Canada Silicon Valley that will create tens of thousands of jobs.91Ƶ
It91Ƶs not all tax dollars. TELUS, Microsoft, Teck, Canfor and other corporations have committed $500 million, along with most of B.C.91Ƶs post-secondary institutions, led by UBC.
Bruce Ralston, B.C.91Ƶs Minister of Jobs, Trade and Technology, was thrilled to announce B.C.91Ƶs 91Ƶwinning bid91Ƶ for a share of the federal cash. But of course, in the Ottawa style, there were no losing bids. Atlantic Canada 91Ƶwins91Ƶ an Ocean Supercluster, Quebec gets one devoted to artificial intelligence, Ontario91Ƶs is for 91Ƶnext-generation manufacturing,91Ƶ and the prairie provinces get a Protein Industries Supercluster based in Saskatchewan.
This so-called innovation bureaucracy is on top of Canada91Ƶs regional economic development programs. Stephen Harper91Ƶs Conservatives railed against political slush funds like the Atlantic Canada Opportunities Agency, and then when he got into government, he set up Western Economic Development Canada to even things up. Now we have supercluster blobs of icing on the business subsidy cake.
The newly created Protein Industries Canada web page illustrates how contrived this whole thing is. 91ƵOutcomes from this cluster will be a new range of plant-derived foods, ingredients and feedstuffs of superior quality, commanding market premiums.91Ƶ
Feedstuffs? Only in Canada, eh? Perhaps these buzzwords and subsidies mean that shoppers will be able to find Canadian-made mustard at their local supermarket, considering the Canadian prairies are the largest mustard seed producer in the world. From French91Ƶs to Grey Poupon, our finished product is mostly made in the U.S. by multi-nationals.
Back to B.C., where Microsoft and other high-tech giants have set up branch plants in Vancouver, or bought startups. It91Ƶs a natural extension of the original Silicon Valley, which has always extended to the Seattle area, home of Microsoft, Amazon and others.
It91Ƶs similar to the 91ƵHollywood North91Ƶ movie business. Same time zone, attractive climate, great scenery, oh, and whopping government subsidies.
Why don91Ƶt more investors, high tech or otherwise, set up shop in B.C.? Is it a lack of subsidies and 91Ƶinnovation91Ƶ programs by governments? The B.C. government has just appointed an 91Ƶinnovation commissioner91Ƶ to go with the 91Ƶinnovation advisor91Ƶ appointed last year by former premier , to try to induce entrepreneurial activity here.
When the Trudeau government announced the 91Ƶsuperclusters91Ƶ plan last year, they acknowledged that one of Ottawa91Ƶs biggest problems was too many 91Ƶinnovation91Ƶ programs 91Ƶ an astonishing 140 of them. The 2017 budget promised to review and simplify them.
I91Ƶve searched for news that this has occurred, and I couldn91Ƶt find any. What we have instead is more layers, at the federal and provincial level.
And what else has the new B.C. government done to attract risk-taking entrepreneurs? It has re-introduced an extra tax bracket for people making more than $150,000 a year, bringing their total tax burden up to half of their income.
Tom Fletcher is B.C. legislature reporter and columnist for Black Press. Email: tfletcher@blackpress.ca
tfletcher@blackpress.ca
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