Blog Post<\/span><\/h3><\/span><\/div><\/div><\/div><\/div><\/div><\/div><\/div>This blog was authored by Nick <\/span>Sehls<\/span>, PhD<\/span>, <\/span>Policy<\/span> and Strategic Communications Manager<\/span>,<\/span> Fredericton Chamber of Commerce<\/span><\/span><\/em><\/p>\nDriving Clean Growth for Atlantic SMEs: Collaboration and Communication in Action<\/span><\/span><\/h3>\nThe Fredericton Chamber of Commerce\u2019s vision is an innovative, productive community where all can prosper. As part of this vision, the transition to a cleaner economy is no longer solely a matter of environmental stewardship, <\/span>it is a cornerstone of Canada\u2019s economic strategy, allowing for growth through business efficiency and global competitiveness.<\/span><\/b><\/p>\nIn recent years, however, the path to this transition has been largely communicated as an imposed burden, instead of as a mutually shared opportunity for economic and societal good. Research and policy must highlight both practical benefits and ethical imperatives.<\/span><\/p>\nFor a truly equitable transition to green innovation, this process must develop consistent communication intended to foster true collaboration between researchers, government, and the business community, <\/span>especially focusing on the legitimate considerations of SMEs.<\/span><\/b><\/p>\n<\/div><\/div><\/div>Why the Green Transition Matters<\/span><\/b><\/p>\nSmall and medium-sized enterprises (SMEs) are at a critical juncture. Limited resources and expertise make adapting to the evolving regulatory landscape challenging. Canada\u2019s climate goals for 2030 and 2050 demand action, and for SMEs, compliance is only part of the story. <\/span>Greening operations is not just about environmental stewardship, it\u2019s about unlocking new economic opportunities, improving efficiency, and gaining a competitive edge.<\/span><\/b><\/p>\nBusiness decisions require clear, practical benefits, so researchers and advocates must demonstrate how green innovation drives growth, resilience, and profitability. This requires direct communication, education, and partnership with the business community.<\/span><\/p>\n<\/div><\/div><\/div>![](\"https:\/\/ponddeshpande.ca\/wp-content\/uploads\/2025\/12\/43-scaled.png\" "\\"43\\"")
<\/span><\/div><\/div><\/div><\/div><\/div>The Reality for SMEs<\/span><\/b><\/p>\nThe Fredericton Chamber of Commerce understands that small and medium-sized enterprises (SMEs) continue to face significant pressures on their time and capacity\u2014even before entering this current era of economic uncertainty. Rising costs of doing business, financing challenges, and compliance obligations now top the list of barriers to growth.<\/span><\/p>\nLabour shortages remain a pressing concern, while weakening consumer sentiment and demand has emerged as the most persistent issues for businesses. Although some smaller firms are seeing improved borrowing capacity, mid-sized enterprises continue to face tight financial constraints, highlighting the uneven nature of recovery and the need for targeted support.<\/span><\/p>\nTo accelerate private-sector investment in green technologies and infrastructure, especially among SMEs, governments must engage businesses as partners through clear, regionally tailored communication and policy design.<\/span><\/p>\nTo overcome these challenges and accelerate green adoption, we emphasize:<\/span><\/p>\n\n- The importance of clarity in messaging and goal setting to counter misinformation and foster trust.<\/span><\/li>\n
- Presenting sustainability regulations or new technology within the context of efficiency and competitiveness.<\/span><\/li>\n
- Opportunities for innovation and growth supported by easily accessible programs in which the incentives are immediately made clear.<\/span><\/li>\n<\/ul>\n
Effective collaboration requires removing barriers to entry, such as complex reporting requirements or ambiguous program descriptions, and ensuring businesses see themselves reflected in the process.<\/span><\/p>\n<\/span><\/p>\nRemoving Regulatory Burdens<\/p>\n<\/div><\/div><\/div><\/div><\/div>
![](\"https:\/\/ponddeshpande.ca\/wp-content\/uploads\/2025\/12\/42-scaled.png\" "\\"42\\"")
<\/span><\/div><\/div><\/div>A Government of Canada study:\u202f<\/span>The Impact of Regulatory Compliance Costs on Business Performance<\/span><\/i>\u202f identifies that regulatory burden significantly constrains SME growth and productivity. Using data from Statistics Canada and CRA, the analysis found that a one percent increase in compliance cost intensity reduces revenue growth by 1.6%, employment growth by 0.5%, and labour productivity by 0.1% (<\/span>Government of Canada, 2020<\/span><\/a>). Furthermore, smaller firms bear a heavier burden than larger ones, and unnecessary red tape further erodes competitiveness.<\/span><\/p>\n<\/span><\/p>\nWhile regulations protect workers, consumers, and the environment, the report underscores the need for streamlined processes and clarity, initiatives like the Paperwork Burden Reduction Initiative and Red Tape Reduction Action Plan aim to address these challenges.<\/p>\n<\/div><\/div><\/div><\/div><\/div>
Nova Scotia has emerged as a leader in regulatory modernization through its Office of Regulatory Affairs and Service Effectiveness. The province has saved businesses over\u202f$21 million since 2021\u202fby streamlining processes and reducing unnecessary red tape, earning an\u202fA- grade\u202fin CFIB\u2019s 2025 Red Tape Report Card (<\/span>Government of Nova Scotia, 2025<\/span><\/a>). Its new\u202f<\/span>Making Business Easier Act<\/span><\/i> (2025)\u202faccelerates these efforts by eliminating low risk permits, modernizing outdated regulations, and simplifying approval processes, changes projected to save businesses an additional\u202f$800,000 annually (<\/span>NS Legislature, 2025<\/span><\/a>).<\/span><\/p>\nThese examples highlight that reducing regulatory complexity is not just an administrative exercise, it is a strategic imperative for unlocking SME capacity, fostering innovation, and ensuring that sustainability and growth objectives are achievable in practice.<\/span><\/p>\n<\/div>Budget 2025: Context and Opportunity<\/p>\n
The federal government\u2019s\u202fClimate Competitiveness Strategy, outlined in Budget 2025, reframes sustainability as a driver of productivity and security. With over\u202f$1 trillion in projected investment over five years, Canada is positioning clean growth as both a moral imperative and a commercial opportunity. These investments aim to modernize grid infrastructure, expand renewable energy, and strengthen Canada\u2019s leadership in clean technology (<\/span>Canadian Climate Institute, 2025<\/span><\/a>).<\/span><\/p>\nKey measures include:<\/span><\/p>\n\n- Clean Economy Investment Tax Credits\u202ffor low-carbon technologies.<\/span><\/li>\n
- Expanded eligibility for clean electricity and hydrogen production.<\/span><\/li>\n
- Carbon Capture, Utilization, and Storage (CCUS)\u202fincentives extended through 2035.<\/span><\/li>\n
- Modernized industrial carbon pricing for long-term certainty.<\/span><\/li>\n<\/ul>\n
For Fredericton, New Brunswick and Atlantic Canada, this is a moment of opportunity<\/span>. <\/span><\/b>Our region is well-positioned to lead in clean energy innovation, attract investment, and support Indigenous equity ownership in renewable projects. Sustainability is no longer a cost, it\u2019s a competitive advantage.<\/span><\/p>\nAccording to the\u202fAtlantic Economic Council, Budget 2025 reconfirms Canada\u2019s net-zero target by 2050 and advances regulatory reforms that will reshape energy production and compliance.<\/span><\/p>\nThese measures align environmental policy with economic opportunity, offering Atlantic Canada, and New Brunswick in particular, a pathway to lead in the emerging clean economy.<\/span><\/p>\n<\/div>The Knowledge Industry Shift: Policy, Partnership, and Clarity<\/span><\/b><\/p>\nAt\u202f<\/span>Shaping the Debate: The Knowledge Industry Shift<\/span><\/i>, a two-day event co-hosted by UNB and the Fredericton Chamber in September 2025, experts emphasized the need for coordination and predictable communication.<\/span><\/p>\nBy fostering a reciprocal relationship grounded in transparency, shared goals, and mutual efficiency, public and private sectors can co-create impactful solutions. On the first night of the event, a panel discussing \u201cThe New Brunswick Advantage: Harnessing a Knowledge Industry powered by Digital for Transformative Change\u201d, addressed the need for coordination, predictable communication and expectations.<\/span><\/p>\nTechnology adoption often feels risky for SMEs. As Francis P. McGuire, President of 797insights Ltd. noted \u201cthe number 1 problem is the fear of the businessperson saying, I don\u2019t understand this\u2026 this is risky\u201d. Clear communication and predictable policy can reduce that fear.<\/span><\/p>\nOn the same panel, Dr. Herb Emery, Vaughan Chair in Regional Economics UNB, presented the need for predictability and stability for both SME businesses, and larger firms. As Dr. Emery stated, \u201cif you want SMEs to scale, you\u2019re going to have to think differently about how you\u2019re going to give them the advantage\u201d.<\/span><\/p>\nFor example, if a huge portion of a business costs is predicting what property taxes, or power rates, will be next year, how can we expect a business to invest in a new electricity saving project?<\/span><\/b> We must work to coordinate the opportunity for new programs with creating the predictable conditions for a business to adopt them.<\/span><\/p>\n
This blog was authored by Nick <\/span>Sehls<\/span>, PhD<\/span>, <\/span>Policy<\/span> and Strategic Communications Manager<\/span>,<\/span> Fredericton Chamber of Commerce<\/span><\/span><\/em><\/p>\n The Fredericton Chamber of Commerce\u2019s vision is an innovative, productive community where all can prosper. As part of this vision, the transition to a cleaner economy is no longer solely a matter of environmental stewardship, <\/span>it is a cornerstone of Canada\u2019s economic strategy, allowing for growth through business efficiency and global competitiveness.<\/span><\/b><\/p>\n In recent years, however, the path to this transition has been largely communicated as an imposed burden, instead of as a mutually shared opportunity for economic and societal good. Research and policy must highlight both practical benefits and ethical imperatives.<\/span><\/p>\n For a truly equitable transition to green innovation, this process must develop consistent communication intended to foster true collaboration between researchers, government, and the business community, <\/span>especially focusing on the legitimate considerations of SMEs.<\/span><\/b><\/p>\n<\/div><\/div><\/div> Why the Green Transition Matters<\/span><\/b><\/p>\n Small and medium-sized enterprises (SMEs) are at a critical juncture. Limited resources and expertise make adapting to the evolving regulatory landscape challenging. Canada\u2019s climate goals for 2030 and 2050 demand action, and for SMEs, compliance is only part of the story. <\/span>Greening operations is not just about environmental stewardship, it\u2019s about unlocking new economic opportunities, improving efficiency, and gaining a competitive edge.<\/span><\/b><\/p>\n Business decisions require clear, practical benefits, so researchers and advocates must demonstrate how green innovation drives growth, resilience, and profitability. This requires direct communication, education, and partnership with the business community.<\/span><\/p>\n<\/div><\/div><\/div> The Reality for SMEs<\/span><\/b><\/p>\n The Fredericton Chamber of Commerce understands that small and medium-sized enterprises (SMEs) continue to face significant pressures on their time and capacity\u2014even before entering this current era of economic uncertainty. Rising costs of doing business, financing challenges, and compliance obligations now top the list of barriers to growth.<\/span><\/p>\n Labour shortages remain a pressing concern, while weakening consumer sentiment and demand has emerged as the most persistent issues for businesses. Although some smaller firms are seeing improved borrowing capacity, mid-sized enterprises continue to face tight financial constraints, highlighting the uneven nature of recovery and the need for targeted support.<\/span><\/p>\n To accelerate private-sector investment in green technologies and infrastructure, especially among SMEs, governments must engage businesses as partners through clear, regionally tailored communication and policy design.<\/span><\/p>\n To overcome these challenges and accelerate green adoption, we emphasize:<\/span><\/p>\n Effective collaboration requires removing barriers to entry, such as complex reporting requirements or ambiguous program descriptions, and ensuring businesses see themselves reflected in the process.<\/span><\/p>\n <\/span><\/p>\n Removing Regulatory Burdens<\/p>\n<\/div><\/div><\/div><\/div><\/div> A Government of Canada study:\u202f<\/span>The Impact of Regulatory Compliance Costs on Business Performance<\/span><\/i>\u202f identifies that regulatory burden significantly constrains SME growth and productivity. Using data from Statistics Canada and CRA, the analysis found that a one percent increase in compliance cost intensity reduces revenue growth by 1.6%, employment growth by 0.5%, and labour productivity by 0.1% (<\/span>Government of Canada, 2020<\/span><\/a>). Furthermore, smaller firms bear a heavier burden than larger ones, and unnecessary red tape further erodes competitiveness.<\/span><\/p>\n <\/span><\/p>\n While regulations protect workers, consumers, and the environment, the report underscores the need for streamlined processes and clarity, initiatives like the Paperwork Burden Reduction Initiative and Red Tape Reduction Action Plan aim to address these challenges.<\/p>\n<\/div><\/div><\/div><\/div><\/div> Nova Scotia has emerged as a leader in regulatory modernization through its Office of Regulatory Affairs and Service Effectiveness. The province has saved businesses over\u202f$21 million since 2021\u202fby streamlining processes and reducing unnecessary red tape, earning an\u202fA- grade\u202fin CFIB\u2019s 2025 Red Tape Report Card (<\/span>Government of Nova Scotia, 2025<\/span><\/a>). Its new\u202f<\/span>Making Business Easier Act<\/span><\/i> (2025)\u202faccelerates these efforts by eliminating low risk permits, modernizing outdated regulations, and simplifying approval processes, changes projected to save businesses an additional\u202f$800,000 annually (<\/span>NS Legislature, 2025<\/span><\/a>).<\/span><\/p>\n These examples highlight that reducing regulatory complexity is not just an administrative exercise, it is a strategic imperative for unlocking SME capacity, fostering innovation, and ensuring that sustainability and growth objectives are achievable in practice.<\/span><\/p>\n<\/div> Budget 2025: Context and Opportunity<\/p>\n The federal government\u2019s\u202fClimate Competitiveness Strategy, outlined in Budget 2025, reframes sustainability as a driver of productivity and security. With over\u202f$1 trillion in projected investment over five years, Canada is positioning clean growth as both a moral imperative and a commercial opportunity. These investments aim to modernize grid infrastructure, expand renewable energy, and strengthen Canada\u2019s leadership in clean technology (<\/span>Canadian Climate Institute, 2025<\/span><\/a>).<\/span><\/p>\n Key measures include:<\/span><\/p>\n For Fredericton, New Brunswick and Atlantic Canada, this is a moment of opportunity<\/span>. <\/span><\/b>Our region is well-positioned to lead in clean energy innovation, attract investment, and support Indigenous equity ownership in renewable projects. Sustainability is no longer a cost, it\u2019s a competitive advantage.<\/span><\/p>\n According to the\u202fAtlantic Economic Council, Budget 2025 reconfirms Canada\u2019s net-zero target by 2050 and advances regulatory reforms that will reshape energy production and compliance.<\/span><\/p>\n These measures align environmental policy with economic opportunity, offering Atlantic Canada, and New Brunswick in particular, a pathway to lead in the emerging clean economy.<\/span><\/p>\n<\/div> The Knowledge Industry Shift: Policy, Partnership, and Clarity<\/span><\/b><\/p>\n At\u202f<\/span>Shaping the Debate: The Knowledge Industry Shift<\/span><\/i>, a two-day event co-hosted by UNB and the Fredericton Chamber in September 2025, experts emphasized the need for coordination and predictable communication.<\/span><\/p>\n By fostering a reciprocal relationship grounded in transparency, shared goals, and mutual efficiency, public and private sectors can co-create impactful solutions. On the first night of the event, a panel discussing \u201cThe New Brunswick Advantage: Harnessing a Knowledge Industry powered by Digital for Transformative Change\u201d, addressed the need for coordination, predictable communication and expectations.<\/span><\/p>\n Technology adoption often feels risky for SMEs. As Francis P. McGuire, President of 797insights Ltd. noted \u201cthe number 1 problem is the fear of the businessperson saying, I don\u2019t understand this\u2026 this is risky\u201d. Clear communication and predictable policy can reduce that fear.<\/span><\/p>\n On the same panel, Dr. Herb Emery, Vaughan Chair in Regional Economics UNB, presented the need for predictability and stability for both SME businesses, and larger firms. As Dr. Emery stated, \u201cif you want SMEs to scale, you\u2019re going to have to think differently about how you\u2019re going to give them the advantage\u201d.<\/span><\/p>\n For example, if a huge portion of a business costs is predicting what property taxes, or power rates, will be next year, how can we expect a business to invest in a new electricity saving project?<\/span><\/b> We must work to coordinate the opportunity for new programs with creating the predictable conditions for a business to adopt them.<\/span><\/p>\nDriving Clean Growth for Atlantic SMEs: Collaboration and Communication in Action<\/span><\/span><\/h3>\n
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