Investment Attraction for Industrial Zones

Issue

In order for Alberta to compete on the global stage, we need to address issues such as regulatory uncertainty and cost competitiveness so that industry has the tools it needs to maintain a competitive advantage and so that the province and regions can attract new investment opportunities. 

Background

The concept of cluster development was introduced in Michael E. Porter’s paper, The Competitive Advantage of Nations published in the Harvard Business Review in the March-April 1990 edition. This paper references a study that aimed to determine the differentiating factors in what makes a country successfully competitive on the global scale. It consisted of a detailed, four-year analysis of 10 different countries with different cultures, strategies, and success in various industries. The paper discusses four Determinants of National Competitive Advantage: Firm Strategy, Structure, and Rivalry; Demand Conditions; Factor conditions; and Related and Supporting Industries (p.77). The last determinant references, in essence, cluster development.

Our Recommendations

1. Work with municipalities to clarify the process of obtaining an industrial zone designation in support of expanding the number of industrial zones across our province; 
2. Assist and facilitate qualifying municipalities to better understand the requirements associated with streamlining regulatory approvals; 
3. Create a "concierge service" for large industrial projects to remove barriers and guide them through the permitting and regulatory processes while requiring high standards for safety and environmental performance; 
4. Provide investment attraction support programs with fair and equitable opportunity to any company that meets the eligibility criteria in alignment with existing economic development partners.