Good afternoon.
Thank you very much, honourable chair and members of the Standing Committee on Agriculture and Agri-Food, for this opportunity to speak today.
Bioindustrial Innovation Canada, known as BIC, is a nationally focused, not-for-profit organization based in Ontario, but with a track record of success across Canada. We are a leader in the development of the Canadian bioeconomy, providing critical strategic investment advice and services to business developers, mostly start-ups, on clean, green and sustainable technologies.
In particular, BIC is focused on enabling Canada to become a globally recognized leader in sustainability by converting renewable resources, such as agricultural and forestry co-products and residues, into value-added bioproducts, such as bioenergy, low-carbon hydrogen, renewable natural gas biofuels, biochemicals and biomaterials. These industrial bioproducts find their way into a wide range of commercial applications which support Canada's commitment to reach net zero by 2050.
Low-carbon hydrogen, renewable natural gas, and biofuels generated from renewable resources are reducing the carbon intensity of the energy pool used for housing and mobility. Biochemicals and biomaterials can be used to produce materials to replace fossil-based alternatives for advanced manufacturing applications, such as automotive, truck and bus, aerospace and construction.
Low-value, sustainably sourced renewable resources can also be converted into stable biocarbon, which can be used as an excellent soil amendment for agriculture and sequester carbon for generations. Advancing Canada's circular bioeconomy through these innovative technologies will have a significant climate change impact through reduced greenhouse gas emissions.
BIC has a proven track record in this area. We have helped create jobs and made strategic investments in companies by building clusters and developing biomass-based value chains. Since inception, BIC has invested $19.5 million in 32 early-stage companies that have created more than 5,000 jobs, leveraged over $350 million in third party investment and more than $1.8 billion in follow-on investment. These actions have contributed to the transition towards a sustainable, low-carbon, circular economy.
Our portfolio companies have reduced a documented one megatonne of CO2 emissions and are projecting to further reduce that by more than 13 megatonnes by 2030. In 2021, Canada announced a plan to reach a 40% to 45% reduction in GHG emissions by 2030, and enshrined in legislation is Canada's commitment to reach net-zero emissions by 2050. These are ambitions that Canada and BIC share, and we know that the government is looking for all available options to find these reductions.
While it is important that all sectors and industries play a role, the government needs to ensure that the start-ups are not forgotten in the process.
Canada has the abundant and sustainable biomass resources and is highly adept at generating value from them. These abundant natural resources have shaped the country from coast to coast. Historically, Canada's traditional industries, forestry, agriculture, fisheries and mining, have been the economic drivers creating much of the fabric of Canadian business and culture.
It is estimated that Canada generates more than 50 million tonnes per year of sustainable agricultural residues that are available for conversion into bioproducts. In addition, co-products from food and protein production, such as starch, fibres and oils, are valuable feedstocks for industrial bioproducts such as plastics and resins.
To help Canada reach net zero by 2050, the government should build a national green business accelerator initiative, which mission would be to make more capital seed funding available. Such a government-backed investment should have specifically targeted funds for business opportunities with the potential to have the highest impact on reducing emissions in communities from coast to coast. This would give private investors and accelerators the confidence they need to commit themselves to put start-ups on track for success.
In summary, BIC wants to continue to partner with government and the agricultural sector in Canada by investing in early stage businesses to help them innovate and reach our goal of net zero. Canada has the world's most abundant and sustainable biomass resources and is highly adept at generating value from them. This reality presents an opportunity that we need to leverage, and we have the experience and track record to help. We can work together to address the ways in which Canada's competitive advantages, including access to biomass, global leadership in forestry and agriculture, sustainable resource management and a skilled workforce, can make Canada a world leader.
I look forward to answering your questions.