Thank you, Madam Chair.
I'm delighted to return to the committee to participate in your study on the new capstone research organization.
It will come as no surprise that Canada struggles with innovation and productivity. Though we make considerable investments in research, the country often fails to translate those findings into economic and social impact. The nature of R and D spending does little to contribute solutions to the pragmatic challenges that we face as a country.
I believe that the capstone research funding organization has real potential to address this shortcoming. There is a opportunity to better map and exploit Canada's rich research ecosystem, better addressing topics of national interest from housing to elder care to climate change. For example, discovery research related to artificial intelligence requires implementation pathways for mainstream businesses and organizations in every corner of the country. I'm seeing this happen with little fanfare and modest investments at Canada's polytechnics in areas from mining operations to wildfire suppression.
This is why I was disappointed by the “What We Heard” report issued by the tri-council following a very brief consultation with the research community. In my view, the report focuses more on retaining the status quo than it does on establishing a framework for something new and impactful.
I know that there are many researchers who wait their entire careers to secure funding to explore their passions for science, engineering, health discoveries and social sciences, and that is commendable. Yet, if the new research organization has the ambition to be something different or something more than is currently funded by the tri-agencies, frankly, it will be a waste of time and money if it does not achieve that.
For this reason, I again tell the story of commercialization-focused research of the type under way at Canada's polytechnics. Over the years in our meetings with government stakeholders, we've often been asked to quantify the return on investment of applied research, including jobs created, export markets developed and new products launched. As you might expect, these are questions that are rarely asked of university researchers.
In response, Polytechnics Canada recently published a report on the economic impact of applied research. This was a year-long study that was funded entirely by my organization, which receives no government support. It shows that every dollar invested in polytechnic applied research generates a return on investment between $8 and $18.
The analysis found that polytechnics de-risk R and D for business, making innovation accessible. Adopting new technology or implementing new systems can be like betting the store for small and medium-sized business owners, and polytechnic applied research puts innovation within reach.
Data from the past three years shows that what polytechnics have been able to do is attract matching dollars for every dollar invested by the federal government. Projects not only respond to the challenges defined by an industry partner, but the partner retains intellectual property from the collaboration, enabling it to commercialize products without being hostage to shared IP.
The report doesn't stop there. It includes more than 30 case studies of pragmatic, impactful research partnerships that resulted in business growth and created jobs. The projects illustrate the interdisciplinary nature of challenge-driven research, drawing expertise from various parts of the institution and beyond. In addition to partner insights, we hear from some of the 28,000 polytechnic students who participate in applied research collaborations each year.
I believe that is a really useful blueprint for the capstone research funding organization, challenge-driven collaborations operating at the speed of business with partners that are looking to solve real challenges and commercialize the results, a focus on impact and results in areas of importance to Canadians, and smart people who are making good choices for Canada's future prosperity.
Thank you very much.