Special Economic Zones

Issue

There are a variety of development regions in Alberta that, if transformed into Special Economic Zones (SEZ), would create environments conducive to greater business and industry success where there are otherwise great difficulties doing so.

Background

SEZs (Special Economic Zones) are geographically delineated areas subject to differentiated regulation and administration for the purpose of attracting foreign direct investment in economic activity that may not be otherwise achieved.

Direct benefits include employment generation, foreign direct investment, government revenue, and export growth. Indirect benefits include skills upgrading, technology transfer & adoption, export diversification, enhancing trade for domestic firms, cluster facilitation, and urban and regional development. However, SEZs are only successful when all levels of government
coordinate in the structuring of regulations and policies that support the zone itself.

Recommendations

The Alberta Chambers of Commerce recommends that the Government of Alberta:

1. Identify where additional Special Economic Zones should be considered and implemented;
2. Create a provincial Special Economic Zones strategy to incent diversification of Alberta's economy and attract investment through a coordinated approach with all levels of government;
3. Ensure municipalities, regional economic organizations, indigenous partners, and existing designated industrial regions are meaningfully consulted in the development of any provincial Special Economic Zones strategy, including the establishment of transparent criteria for designation, incentives, governance, and performance measurement.