The Solution
January 31, 2017
Living in Ontario, it’s easy to get depressed about the state of our economy. With excessively high electricity rates, additional “cap and trade” costs under the new Climate Change Action Plan, and higher corporate tax rates when compared to Trump’s proposed 15% U.S. rate, it is getting tougher to control costs and remain profitable.
As an industry we can complain all we want, but I believe that there is little we can do to implement change. There can be some fine-tuning to the above factors, but our federal and provincial governments’ strategic direction is set and they will be shoved down our throats.
In this tough economic climate, what can/should we do? I suggest we focus on the emerging growth segments. Traditional products and markets are shrinking and under attack. However, there are definite growth opportunities.
With our government’s sustainability push, our industry is ripe with potential for selling new electrical solutions:
- Our municipal, provincial and federal governments want increased implementation and usage of energy-efficient products. They are offering incentives to encourage early adoption.
- Our products help generate and transmit renewable power — solar, wind and geothermal. We also offer battery storage solutions that will make these renewables more feasible.
- We have leading-edge products to charge electric vehicles.
- More effective performing products, such as LED lighting, motors and transformers.
- Safer electrical products, such as AFCI breakers and outlets and tamper resistant receptacles.
- Through the IoT and low-voltage DC power, we offer smarter products, that enhance communication. These products have created intelligent buildings, the smart-home, smart-grid and smart-cities. We will be following these trends more closely in EFC’s upcoming research report, due out in June at our San Diego conference.
I have always believed that it is better to swim with the tide rather than fight against it. It is time that our industry truly gets serious about promoting sustainability. Our future growth depends upon it.
Jim Taggart is President, Electro-Federation Canada.
