Home : Innovation : Environmental Technologies : Report On The Environmental Technology Sector In Western Canada - November 2003
The environment sector in Saskatchewan is composed of approximately 286 companies generating nearly a quarter billion dollars per year in revenues. Over the last two years 66% of the firms have seen an increase in sales and the future holds excellent prospects for more growth. Firms tend to be small in this sector, with 66% having less than 15 full time employees and 18% with greater than 50 employees. Total employment is roughly 3700 people. Technology and equipment manufacturing companies represent a small percentage of the industry but generate nearly 50% of the total environmental revenues. Oil and gas and mining are the largest sectors serviced by the environmental industry, which is reasonable considering they represent 14% of Saskatchewan’s GDP. Agriculture, forestry, transportation and utilities are the next largest sectors serviced. In the environmental sector the primary market is local (provincially), though for some companies their primary markets are outside of the province and outside Canada. Seven market areas account for almost all of Saskatchewan's environment industry activity. The local market accounts for 82% of business, followed by Western Canada, Central Canada, Atlantic Canada, the Northern Territories, the United States and Mexico. The United States and Mexico stand out significantly from the other export markets in terms of rate of return on investment and market potential.
The top areas of expertise are in ecosystem management, audit and site assessments, and environmental remediation. Saskatchewan’s arid environment has resulted in a cluster of world-renowned expertise in the area of water supply, wastewater treatment and groundwater. With 60% of the world experiencing similar arid conditions and environmental challenges this is also a marketable strength within Saskatchewan’s environmental technology. Eighty five percent of environmental technology activity in Saskatchewan comes from small businesses, which tend to be more flexible when seeking out opportunities. This flexibility is seen as a key driver of innovation. In Saskatchewan 35% - 40% of the exporting market is now non-traditional. This includes environmental knowledge, services and technology.
Saskatchewan’s size and limited resources have often been considered as barriers to economic growth. However out of these challenges have emerged the talent and ability for industry, government and research institutions to collaborate. There are a number of collaborative projects occurring in Saskatchewan that have an environmental focus. These include:
Three key strategies that Saskatchewan environmental companies see as possible tools to overcome impediments to growth include; developmental financing to meet the needs of SME's; program development to assist with stakeholder education; and more self regulation of the industry by the industry.
5 Saskatchewan Regional Analysis for the Environmental Industry, Prepared For Western Economic Diversification by SEIMA, Saskatchewan Environmental Industry and Managers Association, November, 2003