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The Ontario Clean Technology Alliance Advantage April 2014
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Ontario Clean Technology Alliance region is a two-hour flight to the U.S.
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Knowledge | Innovation | Technology 3 Zoom in on the Ontario Clean Technology Alliance
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Top 10 reasons to invest in Ontario 1. Stable, highly talented, motivated workforce 2. Access to the North American market (NAFTA) 3. Openness to diversity and multiculturalism 4. Economic engine of Canada 5. World class research institutions 6. Innovation leadership 7. Low risk business environment 8. Superior infrastructure 9. Business incentives 10. Quality of life Knowledge | Innovation | Technology 4
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Ontario is home to Canada’s largest concentration of environmental and clean technology companies: 3,000 companies with 65,000 employed. 35% of Canada’s total Ontario is a clean technology demonstration hub for the North American market The Ontario Clean Technology Alliance is well positioned to lead Canada’s clean technology industry, projected to reach $26 billion by 2018 Between 2012-15, GE Canada in partnership with Ontario will spend $40 million to develop and manufacture grid modernization and automation technologies Ontario’s clean technology advantage Knowledge | Innovation | Technology 5
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Producing 37% of Canada’s total GDP, the Province of Ontario is the engine of Canadian innovation Each day over $1.8 billion crosses the Canada-U.S. border. Ontario-US trade accounts for $716 million of that amount Since the Green Energy Act (2009), Ontario’s clean energy initiatives have created 31,000 jobs and have attracted $27 billion in private-sector clean energy investments Ontario-based environmental and clean tech companies generate over $8 billion annually and $1 billion in exports Relocating your company? Consider Ontario Knowledge | Innovation | Technology 6
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Wind turbine technician training Green business management Renewable energies technician training Sustainable energy and building technology Clean and renewable energy engineering technology Ontario’s clean technology advantage includes advanced skills training Knowledge | Innovation | Technology 7 Over 38,000 students graduate annually from Ontario colleges and universities with math, engineering or science degrees. In support of new job creation, these colleges and universities offer programs related to clean energy, including:
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Durham Region: York Durham Energy Centre, energy-from-waste Guelph: Canadian Solar Inc., solar module components Halton Region: EcoSynthetix Inc., produces high-performing biomaterials Hamilton: Samuel, Son & Co., steel and aluminum components Ottawa: Plasco Energy Group, green power from household waste Southwestern Ontario: Siemens Canada Ltd., wind turbine blade manufacturer Waterloo Region: Eco-Shift Power, energy management solutions Windsor-Essex: CS Wind Corp., wind tower manufacturer Knowledge | Innovation | Technology Ontario Clean Technology Alliance success stories 8
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Knowledge | Innovation | Technology The combined federal-provincial general corporate income tax rate averages 26% – 13% less than the average U.S. rate Canada is a tariff-free zone for manufacturers by eliminating tariffs on manufacturing inputs, machinery and equipment Most of Canada’s population of 35 million live within 200 kilometers of the U.S. – Canadian border Foreign Direct Investment (FDI) into Canada has more than doubled in the past decade Ontario, Canada – a sound choice for new investment and trade 9
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Canada has: World’s soundest banking system Average business costs that are significantly lower than in any other G7 country The lowest costs in the G7 for R&D intensive sectors, with up to a 10.7% advantage over the U.S. And: When tax credits are factored in, a $100 R&D expenditure can be reduced to an after-tax cost of about $61, or $37 for small businesses It takes only one procedure and five days to register a new company Canada has a low-risk business and regulatory environment Knowledge | Innovation | Technology 10
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Ontario clean technology R&D and tax incentives include: Knowledge | Innovation | Technology Ontario Research Fund Sustainable Development Technology Canada (SDTC)'s SD Tech Fund MaRS Cleantech Fund SDTC NextGen Biofuels Fund SDTC Natural Gas Fund Ontario Business Research Institute Tax Credit Ontario Innovation Tax Credit Advanced Manufacturing Fund (AMF) More listed at www.ontariocleantechalliance.com 11
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Ontario’s NAFTA advantage Knowledge | Innovation | Technology What this means for your company: New market opportunities – access to over 461 million and a combined GDP of $18 trillion across Canada, Mexico and the U.S. New partnerships New investors New links in supply and production chains Economic growth 12
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13 Knowledge | Innovation | Technology A Smart Grid brings all elements of the electricity system — production, delivery and consumption — together to improve overall system operation Between 2012-2015, GE Canada in partnership with the Ontario government will spend $40 million to develop and manufacture grid modernization technologies In 2014 the global market potential for smart grid solution providers is expected to range from $15 to $31 billion Ontario’s Smart Grid opportunity
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Ontario’s wind power advantage Knowledge | Innovation | Technology Ontario is the largest producer of wind energy in Canada In 2014, over 1000 turbines, including the four largest wind farms in Canada, are located in Ontario Ontario’s South Kent Wind project represents more than a $100 million (CAD) investment Ontario is expected to install more than 5,600 MW of new wind energy capacity by 2018 By 2018 Ontario will have attracted $16.4 billion in private investment Ontario’s existing infrastructure helps with both supply of components and transmission of energy 14
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Ontario’s solar advantage Knowledge | Innovation | Technology Ontario is home to the 10 largest solar farms in Canada and is the leading generator of photovoltaic power in Canada Ontario wind and solar energy generated more electricity for the province than coal did in 2011 In 2014, more than 6,000 small-scale solar projects are connected to the grid To meet targets laid out in Ontario’s Long-Term Energy Plan (LTEP), approximately 3,000 MW of solar PV is needed by 2018 By 2018, Ontario’s solar PV market is expected to drive $12.9 billion of total private investment and create over 74,000 jobs 15
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Ontario’s Feed-In Tariff Program Knowledge | Innovation | Technology A North American leader in clean energy, in 2013 Ontario has over 2,600 current FIT contracts and existing applications The 2013 Ontario FIT contracts represented approximately 4,600 MW of generated power 10,500 MW of FIT projects are being assessed and moving through environmental approvals The province of Ontario should easily meet its forecast: to generate 10,700 MW of non-hydro renewable energy generation by 2015 16
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Knowledge | Innovation | Technology Ontario borders four of five Great Lakes in North America, has more than 250,000 other lakes, countless rivers and rich groundwater resources Ontario’s water industry companies employ approximately 22,000 people and sell technologies and services around the world A global centre for water-related patent activity, especially membrane separation, filtration and flocculation technologies Two of the world’s leading water and wastewater treatment technologies — UV purification and membrane filtration — were developed in Ontario 17 Ontario’s clean water advantages
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Knowledge | Innovation | Technology Federal Government Southern Ontario Development Program funding: $19.5 million Project valued at $50 M Eight Ontario universities participating 60 private sector partners Consortium aims to develop and independently validate new and existing technologies and demonstrate full-scale operational equipment 18 Southern Ontario Water Consortium
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International Airports: Toronto Pearson Billy Bishop Toronto City Ottawa Macdonald-Cartier Hamilton The Region of Waterloo St.Catharines/Niagara District Windsor Ontario offers excellent air travel options Knowledge | Innovation | Technology 19
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Largest and busiest freeway network in Canada Efficient 400-series highways and municipal expressways Ports connect major manufacturing, processing, transportation services and logistics expertise Well developed highway, rail, and shipping Knowledge | Innovation | Technology 20
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GO Transit interregional public transit system carries 50 million/passengers/year The Corridor, a VIA Rail passenger train service area The Toronto Transit Commission’s (TTC) subway system, linked with buses, hybrid buses and streetcars carries ~ 1.5 million riders/day Established mass transit system Knowledge | Innovation | Technology 21
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One of the most extensive and integrated telecommunication networks in North America The largest “free calling” area in North America 100% Digital Telecom Infrastructure High speed data services Internet connectivity E-business services Highly integrated telecommunications network Knowledge | Innovation | Technology 22
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Ontario offers openness to diversity and multiculturalism Knowledge | Innovation | Technology 23
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Excellent culture and sports facilities Knowledge | Innovation | Technology 24
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Canada is a constitutional monarchy Canada has a three-tiered system with Federal, Provincial, and Municipal levels of government Municipal governments are under provincial jurisdiction and governed by an elected mayor and council Safe, stable, and well governed Knowledge | Innovation | Technology 25
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Low crime Highly stable Little threat from terrorism Highly developed infrastructure Ontario cities and towns offer a superior lifestyle Knowledge | Innovation | Technology Canada has the most liveable destinations in the world! Economist Intelligence Unit (EIU) 26
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Government partners include the Department of Foreign Affairs, Trade and Development Canada and the Ontario Ministry of Economic Development, Trade and Employment. Ontario’s clean technology advantage Knowledge | Innovation | Technology 27 Durham Region City of Guelph Halton Region City of Hamilton Ottawa Region Waterloo Region Windsor-Essex Southwestern Ontario Marketing Alliance The Ontario Clean Technology Alliance includes:
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April 2014 Get in touch with the Ontario Clean Technology Alliance to find out how Ontario’s advantages can support your business! www.ontariocleantechalliance.com
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