Pre-Budget announcements overshadow new S&T initiatives in Ontario Budget

The Ontario Budget may have been short on specific initiatives related to S&T and innovation, but the Harris government is clearly preparing for a province-wide economic and innovation strategy for implementation in the months ahead. Broad strokes for the future direction that the government plans to take was contained in the April 19 provincial Speech from the Throne with its theme of “21 Steps Into the 21st Century”, and a May 7 address by Ministry of Energy, Science and Technology (MEST) minister Jim Wilson before the provincial legislature.

The Throne Speech’s ploy of releasing each of the government’s 21 steps each day over the 21-day period between the Throne Speech and the May 9 Budget smacked more of a public relations gimmickry than sound policy. But it did disclose the creation of a new task force to examine ways for improving Ontario’s productivity and competitiveness. The task force will be headed by Roger Martin, dean of the Joseph L Rotman School of Management and will compare its findings to other provinces and various US states and issue public reports on a regular basis. Martin is co-author of the landmark study Canada At the Crossroads, and its recent follow-up (R$, May 10/01).

Wilson’s address to the legislature announced the province’s goal to build the third largest biotechnology industry in North America after California and New England. He also publicly affirmed his government’s commitment to Canada’s bid to host the International ITER fusion energy project (R$, February 12/01) and pledged to continue fostering new commercialization partnerships between business and research institutions.

As for the Budget, the Harris government projects FY01-02 revenue of $64.9 billion (up $2.9 billion from estimates one year ago), while spending was pegged at $61.9 billion, $877 million higher than expected. The high-tech sector now accounts for nearly 8% of provincial gross domestic product.

In the area of S&T, innovation and higher education, there were few announcements of note, but a few stand out. A new category has been added to the Premier’s Research Excellence Awards (PREA) program for outstanding senior researchers. The Budget provides $10 million over the next six years to grant two awards annually worth up to $1 million each. To be called the Premier’s Platinum Awards, it will most likely follow the eligibility criteria used by PREA, covering researchers in the broader public sector, post-secondary institutions and not-for-profit institutions.

“The details still have to be sorted out and reviewed by the PREA board,” says Dr Chris Riddle MEST’s acting assistant DM. “We intend to inaugurate the awards as soon as possible, definitely in this fiscal year. This is a companion component to existing PREA awards but for senior researchers. Its intent is the same, which is to retain and attract the best and the brightest.”

The Budget also moved on a long-standing request by Durham College in Oshawa, announcing the creation of the Ontario Institute of Technology (OIT) with a $60-million capital grant. Described as the province’s newest university, it will focus on applied health sciences, business, information technology and advanced manufacturing, the OIT is intended to give students the opportunity to blend practical and theoretical training and will offer college diplomas and university degrees.

“Durham has been evolving towards a different sort of institution for years but it’s become very serious about it over the past year,” says David Trick, assistant DM for post-secondary education at the Ministry of Training, Colleges and Universities. “We should have a detailed business plan within the next two months.”

In the area of education, the Budget also announced an increase in operating grants to account for a projected increase in post-secondary enrolment. Operating grants will rise by $293 million by FY03-04, with a portion to be distributed based on performance and accountability measures. The projected increase in enrolment is calculated based on population growth, the expectation that a larger proportion of residents will pursue post-secondary education and a double cohort created by the elimination of grade 13. The latter move will create a bulge in entry-level students in FY03-04.

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