Thank you, Mr. Chairman.
For over 25 years, Western Economic Diversification Canada, or WD, has supported the diversification of the western Canadian economy through business development, innovation, and community development.
WD's roles, like those of other regional development agencies, focus on providing regional intelligence and strategic advice, convening regional stakeholders to expand business opportunities and develop regionally sensitive development strategies, pathfinding to sources of business and community support, co-investing in innovation and other federal priorities, and acting as a quick and agile delivery agent for federal programs.
I will speak first to the programs Western Economic Diversification Canada offers and how they are delivered. I will then comment on our priorities going forward, as part of the innovation, science and economic development portfolio.
I should first note that WD is headquartered in Edmonton and has some 287 employees in offices in Vancouver, Edmonton, Calgary, Saskatoon, Winnipeg, and Ottawa.
Focusing on our plans for the coming year, Parliament has approved $173.4 million in the 2016-17 main estimates to support innovation, indigenous economic growth, trade and investment, and small and medium-sized enterprises in defence procurement.
WD also has funds for the delivery of the Canada 150 infrastructure program, for which we will be seeking an additional $23.1 million, as announced in budget 2016.
WD has the following programs: first, the western diversification program for not-for-profit organizations; second, the western innovation, WINN, initiative targeting SME commercialization; and third, the Canada 150 infrastructure program to improve existing community and cultural infrastructure.
WD also provides indirect funding for business through the Western Canada business service network of organizations that offer loans and other resources to create and build small businesses across the west. WD funding to this network supports more than 100 points of service in rural and urban communities across western Canada.
In 2013, WD changed its approach to administering its investment program, moving from a continuous intake approach to a call for proposals application process. Under this new approach, WD does extensive outreach to stakeholders prior to a call, including conducting face-to-face sessions to ensure the funding criteria, for example, regarding eligibility, funding priorities, and leveraging, are well understood by stakeholders. Those seeking support can apply within a fixed period, after which WD assesses the proposals on a comparative basis.
To date, the department has managed two intakes for both programs. The experience has been positive. Both programs are oversubscribed. We receive six applications for each one we're able to fund under our not-for-profit program and more than 11 applications for each one funded under our for-profit, or WINN, program.
In total, since 2013, under the WINN and the not-for-profit program, WD has approved some 162 projects, with $178 million in WD funding, leveraging an additional $268 million in support of our priorities.
These programs are expected to have a significant impact, including the creation or expansion of more than 1,000 businesses, the employment of more than 4,500 newly skilled workers, $800 million generated in sales of newly commercialized technologies, and $500 million generated in international sales.
WD is also focusing on ways to support the needs of the west through our pathfinding and convening activities.
Western Economic Diversification Canada is partnering with other organizations with our portfolio as well as other departments to respond to ways to respond to investment needs of western stakeholders.
Beyond making strategic investments in projects, WD takes pride in its role as a partner, pathfinder, and advocate and will continue its work by promoting innovation through support to areas important to the ISED, innovation, science, and economic development, portfolio, including to high-growth firms, clean technologies, business innovation, and cluster support.
WD's focus on regional networks positions it to bring together stakeholders to collaborate on economic priorities and opportunities in western Canada. For example, the department has convened western innovation fora in the past two years to connect western Canadian industry with innovation-driven investment, partnership, and business opportunities. The fora include presentations and panel discussions and, perhaps more important, more than 250 business-to-business and business-to-government meetings, as well as providing an innovation marketplace.
I will now turn to how WD is supporting initiatives announced in the 2016 federal budget. To celebrate the 150th anniversary of Canada's Confederation, budget 2016 provided regional development agencies with funds to deliver investments that will support projects to renovate, expand, and improve existing community infrastructure and cultural infrastructure.
Over the next two years, subject to parliamentary approval, WD will deliver an additional $46.2 million in Canada 150 infrastructure program investments across western Canada, as committed to in the budget.
Budget 2016 also highlighted the Government of Canada's priority on increasing support for clean technology activities in all regions of Canada and is looking to regional development agencies to substantially increase clean technology investments in the regions we serve.
Recent data from 2013 indicates that there are over 300 clean technology companies in western Canada.
Western Canada also has a strong research network. It includes 10 universities that conduct 1.9 billion dollars' worth of clean technology research annually. WD will be focusing on advancing the clean tech sector in western Canada through its program investments and activities associated with our other service offerings, such as pathfinding and convening activities.
For another budget 2016 initiative, helping high-impact firms to scale up, WD, with its RDA colleagues as well as other federal departments and agencies, will coordinate and tailor their services to help firms grow and become more competitive internationally.
WD is also well positioned to support the Government of Canada's priority to support economic development and create jobs for indigenous peoples. WD will be seeking to invest in projects that promote wealth creation opportunities, increase the number of indigenous entrepreneurs and businesses, improve labour market participation, and ensure that indigenous communities in western Canada are well positioned to capitalize on significant economic opportunities.
In closing, Western Economic Diversification Canada is in strong alignment with government priorities.
WD and other regional development agencies have an important role to play in delivering on national priorities like clean technology at the regional level. The integration of RDAs into a single portfolio under a single minister will ensure our alignment with national priorities and better enable our federal government partners to capitalize on our networks, our local knowledge, and our reach.
Thank you.