BC Clean-tech alliance seeks $500-mln fund from Trudeau
By Staff Writer
Mar 01, 2016 08:23 AM EST
Mar 01, 2016 08:23 AM EST
Clean-tech companies from British Columbia (B.C.) have asked Prime Minister Justin Trudeau to allocate a $500 million venture capital (VC) fund. An alliance of 51 clean-tech and investment firms from B.C. province has written a letter to the Prime Minister Trudeau to extend support to clean-tech industry.
British Columbia, Canada's western province and is one of the most vibrant clean tech clusters in North America. Generally, stimulus priorities go to same old sectors such as automobile and aeronautics industries. But, clean-tech companies in the British Columbia province are optimistic about bringing in change.
The Globe And Mail reports that CEO Alliance of clean-tech companies from B.C. are seeking the government's initiative to invest over $3 billion in loan guarantees, venture capital funding and development funds. The alliance has also proposed to extend tax credits to clean-tech industries in the province. The CEO alliance has called for a $500-million allocation venture capital fund for clean tech companies. The funds could leverage upto $3 billion in total capital.
Metro Vancouver area has been witnessing a flourishing of technology companies over the past decade. Several clean-tech companies engaged in several activities. Right from treating industrial waste to tracking power use to developing commercial fusion energy, several clean tech companies have established their operations in the province.
The CEO alliance in letter to the Prime Minister stated that the global market for clean technologies rose to over $1 trillion during the past decade. Accordingly, Canada's clean-tech industry exports too picking up on the lines of forestry, livestock and mining exports.
The alliance of CEOs from clean-tech industry shot off letter a day ahead of Globe 2016 conference in Vancouver. Prime Minister Justin Trudeau will address the conference, as reported by Business Vancouver.
However, the exports growth is slowing down these days pulling Canada from 19th position to 14th position in the global market share. The huge investments made by countries such as the US, China, Germany and Singapore are enabling them to evolve new technology applications in the clean-tech industry.
CBC News further adds that clean-tech industry is a major pillar of Canada's economy, but it's fast losing market share. To address this problem, the CEO alliance has suggested the government to establish a task force for clean-tech industry. The government in consultation with experts from the industry should chart out a national strategy for clean-tech industry.
Canada is lagging in investments, as said the CEO alliance, and so is behind other countries in developing new technologies. The clean-tech industry has urged the Prime Minister to immediately announce $1 billion loan guarantee program to execute projects in early stages. Secondly, a $500-mln allocation for establishing clean-tech venture capital fund.
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