Canadian businesses have failed to embrace opportunities to sell technologies that reduce greenhouse gas (GHG) emissions despite soaring global demand, according a Conference Board of Canada report released Thursday.

Examples of existing climate-friendly technologies include wind and solar power, hybrid cars, more efficient electrical appliances, and waste minimization technologies. Carbon capture and storage, tidal and wave energy, and advanced electric cars are examples of technologies that are expected to become available soon.

World trade in climate-friendly technologies grew by 10 per cent on average annually over 2002-08, the report explains, with European and Asian businesses and governments the leading traders.

In contrast, Canada’s climate-friendly exports did not grow at all during this six-year period. When inflation is accounted for, Canadian exports actually fell.

Moreover, while Canadian businesses are slowly increasing their adoption of other countries’ climate-friendly technologies, they are doing so at a much slower rate than the world average, the report says.

On the positive side, the report points out that Canada has global strengths in several specific climate-friendly technologies.

“The good news is that Canada does certain things well,” said Danielle Goldfarb, associate director, international trade and investment centre and author of the report.

“Canada will not be a leader in everything, but it is not too late for this country to be a leader in some technologies, parts of technologies, or related services. We have areas of relative strength due to our geography and resource base that we could harness to become world leaders in specific climate-friendly technologies and services,” Goldfarb said.

Canada’s strengths tend to be in areas associated with the country’s geography and resource base, notably waste management and energy technologies.

The report finds that Canada “overtrades”, or has relative global strengths, in 13 categories of climate-friendly technologies.

The report suggests “with clear policy signals and more globally oriented business strategies, Canada can become a world leader in specific climate-friendly technologies and related services.”

It calls on governments to eliminate domestic and international barriers to developing, trading, and investing in climate-friendly technologies.

The report calls on Canadian businesses to identify technologies, parts of technologies, and related services in which they have the potential to be world leaders, and become more willing to adopt global technologies in other areas.

IE