Commercialising cleantech innovation, Finnish national support instruments

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1 Commercialising cleantech innovation, Finnish national support instruments Cleantech Incubation Europe Seminar in Helsinki Dr. Pirjo Kutinlahti, Ministerial Adviser

2 Content Finnish innovation policy framework National support instruments for promoting cleantech innovations A new strategic programme for environment-based business initiated by Ministry of Employment and the Economy

3 Finnish innovation environment = public-private partnership Parliament of Finland Government Research and Innovation Council Ministry of Education and Culture Ministry of Employment and the Economy Other ministries The Finnish Funding Agency for Basic Research The Finnish Funding Agency for Technology and Innovation The Finnish Innovation Fund Universities and other research centers Finpro Finnvera Industry Investment Industries & Enterprises Regional ELY-Centers

4 Science and innovation profile of Finland HRST occupatons as % of total employment Science and engineering degrees of all new degrees Researchers per thousand total employment GERD as % of GDP BERD as % of GDP Venture capital as % of GDP Triadic patents per million pop. Finland OECD % of GERD financed by abroad Scientific articles per million pop. Patents with foreign co-inventors % of firms collaborating % of firms with new-to-market product innovations % of firms undertaking nontechnological innovation

5 Finland is the leading country regarding innovation cooperation between companies and academia FINLAND Austria Belgium Denmark Netherlands Sweden Norway France Germany Portugal Italy Universities Research organisations Share of innovating companies

6 SMEs participating in innovation cooperation in 2008 Great Britain Denmark Estonia Belgium Sweden Finland Austria France Portugal Norway Netherlands Germany Czechia EU Ireland Switzerland Lithuania Hungary Poland Italy Slovakia Spain Source: Innovation Union Scoreboard 2010

7 National R&D Programmes Platforms for national, EU and international co-operation SHOK = National Strategic Centers for Science, Technology & Innovation OSKE = Regional Centres of Expertise Programme EU FP7 JTI, ETP, EIT Eureka ERANET, art. 169 OSKE (13) National R&D Programs (Tekes & Academy) (approx 40) SHOK (6)

8 Centre of Expertise Programme ( ) Governments programme that promotes commerzialisation of knowledge and know-how that generates new products and services. Programmes objective is to combine high level research with technology, design and know-how Aim is to boost new business and jobs as well as international competitiveness based on regional strenghts and specialisation Implemented by 22 regional-based Centres of Expertise Cross-regional cluster cooperation is run by 13 National Competence Clusters Annual funding is about 23 M, half of it is government funding

9 FINNISH CLEANTECH CLUSTER PROGRAMME - Coordinated by Lahti Mandated by the Ministry of Employment and the Economy Combines forces of four most notable Cleantech regions in Finland: Lahti, Oulu, Kuopio and Uusimaa Serves over 400 companies, research institutions and investors Special focus on early stage companies and SMEs Finnish Cleantech Cluster was ranked the 3rd best Cleantech organization globally in 2010 by Sustainable World Capital, USA.

10 Finnish Cleantech Cluster NEW BUSINESS OPPORTUNITIES Weak market signals - foresight Conceptualization of business opportunities e.g. Smart Cleantech Living Labs ja demo-platforms Roles GROWTH - PROMOTION OF VENTURE CAPITAL INTO CLEANTECH Incubation and Coaching Competions: Nordic Cleantech Open & Later Stage Award Events: Cleantech Venture Day INTERNATIONALIZATION Authority services for SMEs China and Russia Finnish Environmental Cluster for China Russia: International Advanced Water Technology Centre India, USA etc. on ad hoc basis POSITIONING OF THE CLEANTECH CLUSTER Nordic Countries: Cleantech Scandinavia and Nordic Cleantech Alliance EU: Networks and influencing policy frameworks via EU initiatives and projects Global: Global Cleantech Cluster Association - GCCA

11 Strategic Centres for Science, Technology and Innovation (SHOKs) Forest Cluster Metal products and mechanical engineering Industry steered research plans and agendas M per SHOK p.a., from private and public funding sources Basis for stronger international partnerships Built environment Energy and environment Radical renewal Focus & Impact Visibility Attractiveness Health and wellbeing ICT industry and services

12 Tekes funding for energy and climate technology Million euros DM DM

13 Tekes R&D funding by sectors Million euros Construction is included in the industrial figures. DM DM

14 Government s Strategic Programme for Cleantech activity

15 CLEANTECH IN FINLAND RETURN ON EQUITY AND A CLEANER ENVIRONMENT 2500 companies; market leaders, innovative SMEs Turnover 18 Billion in 2010 Growth rate estimate 2011: 9,7 % Target growth rate in 2013 :15 % Finnish Cleantech employs appr people Economy built around forest industry, then mobile technology (1990-) and now cleantech (2010-)

16 The Global Cleantech and Innovation Index 2012 Global Cleantech Group and WWF ranked four globally best Cleantech innovation countries: 1. Denmark, 2. Israel, 3. Sweden, 4. Finland Finland scores second on both general and cleantech drivers. It has very strong general innovation inputs and the top score for public R&D, though its government policy score is slightly below average. Finland is not as successful in commercialising cleantech innovation, though it has strong renewable consumpition.

17 Prime Minister Jyrki Katainen s Government is committed to protoming cleantech business Cleantech activity based on environmental and energy technology is one of the Government economic policy priorities. An environment-related business programme will be initiated under the Ministry of Employment and the Economy, promoting growth, business activity, innovations, and the internationalisation of the sector in Finland by bringing together the measures concerning the development of the sector as well as the actors involved.

18 A Strategic Programme for Environment-based business Promotes growth, business activity, innovations, and the internationalisation of the sector by bringing measures and actors together. Joint roadmap Measures and actions by different actors TEM YM MMM STM TEKES LVM SM EK Sitra TeTe ry Vision Finland as one of the leading cleantech country UM PLM MT ry OKM Vision as part of Finland s Sustainable Growth MTT SYKE RYM SHOK VTT Metla Municipalit ies Motiva Invest in Finland Lead companies Industrial Associations Universities

19 Action plan Best homemarket for internationally focused cleantech companies Strenthening education, research and training New business through university and research organsation spin-offs International innovation hubs Establishing homemarket references for internationally-focused cleantech companies Public procurement activities pilot- and demonstration platforms Incentives to market-oriented cleantech solutions Specific cleantech-solutions Promoting start ups and scaling of SMEs in commercialising innovation with industry

20 Action plan Growth and renewal from international markets Promoting Cleantech export networks, pilot targets: China and Russia Removal of bottlenecks for foreign investments Promoting Cleantech Finland marketing and branding

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