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Canada must accelerate commercialization of domestic clean technology to meet climate goals

Press Release

Jan 17, 2023

TORONTO – Canada cannot meet its 2030 emission reduction target and 2050 net-zero goals without accelerated commercialization and adoption of clean technology, according to a report released today by Deloitte Canada.

Canada’s 2030 Emissions Reduction Plan identifies a path for Canada to reach its emissions reduction target of 40 to 45 per cent below 2005 levels by 2030 and net-zero emissions by 2050. While much has been written about the ambition and feasibility of the plan and the investment required to meet its targets, one piece missing from the analysis is the scale at which made-in-Canada clean technology needs to be deployed domestically to meet the 2030 and 2050 goals.

“Achieving Canada’s 2030 emission reduction target requires the rapidly accelerated deployment of clean technology that is commercially available today,” says Karen Hamberg, Partner in Financial Advisory for Deloitte Canada and National Clean Technology Leader. “Questions around technical performance, cost, and greenhouse gas (GHG) abatement potential are critical. The leaders in Canada’s clean technology industry export to, and compete in, global markets that have developed commercial ecosystems and associated structures that fast-track the deployment and use of climate solutions. There is a critical role for the public and private sector to do  the same right here at home.”

According to the report, building coherent commercial ecosystems requires an assessment of four key requirements:  technical readiness; market readiness; policy readiness; and organizational readiness. These readiness indicators measure and forecast the conditions that may support—or restrain—the deployment of a climate solution that displaces the high-carbon status quo.

Deloitte’s Technology, Media and Entertainment & Telecom (TMT) practice has developed a unique commercial readiness framework to assess clean technology innovation in reference to commercial objectives. Published today, Scaling Solutions: Accelerating the commercialization of made-in-Canada clean technology, the report extends the concept of readiness beyond technical performance, to include market viability, supportive policy and regulatory frameworks, and the capacity of the company itself.

“If Canada intends to rely on its cleantech industry to compete in a decarbonizing world, we must quickly and effectively equip those leading companies so they can be globally competitive and dominant,” says Michael Tang, Managing Partner, TMT Industry for Deloitte Canada. “A clean technology industrial strategy that identifies economic priorities and a roadmap to implement it is needed; however, it should also include ambitious targets specific to global market share, economic impact, job creation, indigenous reconciliation, environmental benefits, realization of climate goals, and Canada’s continued social prosperity.”

The full report includes an overview of the commercial challenges and market accelerants for the seven economic sectors identified in Canada’s 2030 Emissions Reduction Plan; a call to action for corporate and industrial Canada and the public sector; and a market focused perspective on a globally competitive clean technology industry to realize our climate goals.

About Deloitte

Deloitte provides audit and assurance, consulting, financial advisory, risk advisory, tax, and related services to public and private clients spanning multiple industries. Deloitte serves four out of five Fortune Global 500® companies through a globally connected network of member firms in more than 150 countries and territories bringing world-class capabilities, insights, and service to address clients’ most complex business challenges. Deloitte LLP, an Ontario limited liability partnership, is the Canadian member firm of Deloitte Touche Tohmatsu Limited. Deloitte refers to one or more of Deloitte Touche Tohmatsu Limited, a UK private company limited by guarantee, and its network of member firms, each of which is a legally separate and independent entity. Please see www.deloitte.com/about for a detailed description of the legal structure of Deloitte Touche Tohmatsu Limited and its member firms.

Our global Purpose is making an impact that matters. At Deloitte Canada, that translates into building a better future by accelerating and expanding access to knowledge. We believe we can achieve this Purpose by living our shared values to lead the way, serve with integrity, take care of each other, foster inclusion, and collaborate for measurable impact.

To learn more about Deloitte’s approximately 330,000 professionals, over 11,000 of whom are part of the Canadian firm, please connect with us on LinkedIn, Twitter, Instagram, or Facebook.

For further information: Media Contacts: Katie Watkins, Deloitte Canada, [email protected], 437-778-6339; Marie-Hélène Thibeault, Deloitte Canada, [email protected], 514-516-7061

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