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Date : 05/09/2003
Source: Ministry of Arts, Culture, Science and Technology
Title: Ngubane: Parliamentary Media Briefing, September 2003


ADDRESS BY DR BEN NGUBANE, MINISTER OF ARTS, CULTURE, SCIENCE AND TECHNOLOGY, GCIS MEDIA BRIEFING, Rainforest Room, Parliament, Cape Town, 5 September 2003

SCIENCE AND TECHNOLOGY PORTFOLIO

Ladies and gentlemen, it is a great pleasure and privilege to address you today on some key highlights and challenges of the Department of Science and Technology (DST). As a department that seeks to realise the full potential of science and technology in social and economic development, through the development of human resources, research and innovation, we have identified the following as key drivers of socio-economic development:

* Targeted implementation of the National Research and Development Strategy (NRDS);
* Investment in infrastructure, technology advancement, innovation and industrial expansion in partnership with the private sector and other government departments;
* Coordination of Government Science and Technology (S&T) systems; and
* Joint planning to address scarce skills and Human Resource Development (HRD) in S&T shared with Department of Education.

However, we also have a number of challenges that we cannot be oblivious to, these being,

Research and Development (R&D) Supply:

* National investment in R&D as a percentage of GDP is a low 0.69% and substantially below the international norm of 1 percent and Organisation of Economic Cooperation and Development (OECD) norm of 2.33 % (2001); and
* South Africa has 7.5 researchers per 10 000 of labour force, as compared to Australia (48.5), Korea (27.5) and Canada (47). Countries with high national R&D capacity are characterised by a high degree of innovativeness; and South Africa is under performing with regards to the amount of proceeds received from royalties and licence fees.

Absorptive capacity:

* South Africa's Human Development Index is rated medium, meaning that there is a need to aggressively accelerate development of HR in order to be competitive in the global markets; and
* In 2001, 14% of the working population were employed as professionals and technicians (Census 2001). The number of engineering graduates has been declining over the past few years.

Technology diffusion:

In 2001, only 42% of households in SA had access to telephone landlines or cellular phones (Census 2001). Adoption of new technologies continues to be slow and only 4.1% of the total population were Internet users in 2002 (UNDP).

System fragmentation:

There is a need to improve the regulation and management of public entities.

I would now like to focus on other system developments, with particular focus on the NRDS and the restructured DST. The publication of the National Research and Development Strategy represented a milestone in the National System of Innovation. The strategic objectives of this strategy are to increase innovation through mastery of technological change in our economy and society; to develop sufficient human capital and bring about transformation through increased investment in South Africa's science and technology base; and to ensure alignment and delivery through the creation of an effective government science and technology system.

The important role that the science councils and other actors and stakeholders play in the innovation system remains critical in ensuring that maximum benefit is derived from Government's R&D expenditure. The acceptance of the National Research and Development Strategy led to an increase in real terms of Government Science and Technology spending. This increase in the science vote has been applied to a number of important strategic areas, which were identified in the National R&D strategy.

The main focus of our spending this year was in the setting up of Biotechnology Regional Innovation Centres (BRICS) and the National Bioinformatics Network. The BRICS are an investment that promotes research and development, entrepreneurial services, technology platforms, intellectual property management, and business incubation in Biotechnology. The Bioinformatics Network forms a strong bioinformatics data management foundation required for innovation and advancement of Biotechnology.

Within the other technology missions identified in the R&D strategy, an Advanced Manufacturing Technology Strategy has been completed and the Nanotechnology Strategy is in the process of being developed. In the Resource Based Industry's arena, initiatives are underway to develop the strategy to ensure that South Africa leverages its natural resources appropriately. In addition to this the department is also in the process of developing a framework for the establishment of the National Energy Research Institute (NERI).

In the Information and Communication Technology (ICT) sphere the focus is on the development of open source software and various initiatives have been undertaken in this regard. Our Department, together with Department of Communications, Department of Education and Department of Labour is currently in the process of establishing the Advanced Institute for Information and Communication Technology (AIICT). The major objective of this AIICT is to facilitate national economic and social development through human resource development and needs based research leading to innovative products and services based on ICT. The CSIR is earmarked to play a leading role in the AIICT. The Tshumisano Technology Stations Programme and the Godisa Incubator Programme which is hosted at the CSIR received substantial increases in resources to strengthen their ability to support the creation and servicing of SMMEs.

We have also dedicated resources to improve the use of technology and innovation in poverty alleviation. At the beginning of this year we placed emphasis on the transfer of technology for poverty reduction in line with the NRDS. Projects that currently address this departmental mandate are the Medicinal Plant Processing, Cashew Apple Juice and Boat Building technologies. The Medical Research Council and the Agricultural Research Centre have embarked on the production of medicinal plants that help reduce the effect of HIV/AIDS in rural communities and, the propagation of Devil's claw respectively.

The R&D Strategy recognises that the global best practice in generating human resources is to focus on excellence. My Department has initiated a "Centres of Excellence Programme" in partnership with the National Research Foundation, which is intended to strengthen post-graduate production in key areas of relevance and importance to our nation. This has the positive benefit of making a larger contribution over a shorter time period, as well as creating a more interesting and challenging environment for post-graduate students.

In addition to this, we have been strengthening our investment in key science areas of enduring value to South Africa, including astronomy, palaeontology, the Antarctic and the Islands Research Programmes, Indigenous Knowledge and key bio-resources. My Department will be taking over the management of the research component of the South African National Antarctic Programme (SANAP), which was previously managed by the Department of Environmental Affairs and Tourism. This will ensure South Africa remains at the forefront of Antarctic and Islands research.

As a country we are continuing to position the region as a premier destination for globally significant, cutting-edge astronomy projects, because of our important natural or knowledge advantages. Some of the exciting initiatives in astronomy include the construction of the South African Large Telescope (SALT), which is making good progress and the bid to host the Square Kilometre Array (SKA), which was announced in May 2003. This giant radio telescope will be built at a cost of $1 billion, and the nation that hosts this facility is expected to derive a direct economic benefit of about half of this investment. Final decision regarding both the site and the preferred technology for SKA will be made by 2005.

There have been a number of positive developments in international relations: I wish to mention our ongoing interaction with the European Union and the ACP countries to secure new financing for science and technology programmes. We have also successfully signed a science and technology bilateral agreement with Iran. The two countries have identified four areas for future co-operation, that is, fuel co-operation through National Energy Research Institute; micro-satellites; lasers; and emerging ICT and biotechnology. I have also signed a bilateral agreement with the vice-president of Japan prioritising science and technology.

We will report the full outcome of these processes during the course of the year, but the very practical and targeted nature of science and technology international relations is critical in terms of strategically positioning the S&T system to impact on quality of life and economic growth.

In order to facilitate more effective performance reporting by institutions, the department has completed its review of the 2001/02 Key Performance Indicator Reports and Annual Reports of Public SET Institutions. The report recommended the retention of the five balanced-scorecard perspectives. It further suggested some reconfiguration amongst these perspectives and set out, in tabular format, additional requirements for annual reporting. The adoption of these suggestions will assist the department in gaining systemic insight and improve consolidation of reporting to our stakeholders.

We have a dedicated branch, Government Science & Technology System, responsible for the funding and governance of the science & technology system in government. It also attempts to proactively stay abreast of latest developments in governance, and two of its officials recently attended the Annual International Corporate Governance Network Conference in Amsterdam, where they, together with Mervyn King (of King Code II fame), were the only South Africans present.

The lessons learnt are captured in the new Governance Framework, which is currently being developed in this branch. The main purpose of this framework will be to strengthen governance and address the fragmented SET system.

To establish a more effective innovation system, we are also in the process of developing legislation to harmonise the governance of research councils and agencies, and government science and technology institutions. The requirement for this legislation resulted from a lack of a single coherent picture of government spending on science and technology. An early success for this year, has been the approval of the Natural Scientific Professions Bill by both the NCOP and National Assembly, which seeks to govern the registration of natural scientists in the country.

In conclusion, ladies and gentlemen, DST is committed to strategically increase investment in science and technology so that we can generate the next generation of inventors and innovators who will bring new benefits and quality of life to our people. We invite the broader public and the scientific community at large to continuously engage us in the effective implementation of the National Research and Development Strategy.

For more information contact: Nhlanhla Nyide on (012) 3378555 or 082 871 6767
Issued by Ministry of Arts, Culture, Science and Technology
5 September 2003

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