1. `

2. Presentation to the Portfolio Committee on Science and Technology
National Advisory Council on Innovation Annual Report 2011/12
Dr Steve Lennon
Chairperson of Council
17 October 2012

3. Presentation Outline 1. Introduction 1.1 NACI’s Mandate
1.2 Context of NACI’s Work
2. NACI Council Overview
2.1 Management and Committee Structure
2.2 NACI Key Outputs
Workshops and Events
Research Projects Completed
Publications Finalised
Policy Advice Generated
NACI Highlights
2.3 Commentary on the state of the NSI
3. NACI Resources
3.1 NACI Secretariat
3.2 Financial Report
4. Way Forward

4. 1. INTRODUCTION

5. Introduction NACI’S Mandate
NACI ACT (Act No. 55 of 1997):
NACI shall advise the Minister of Science and Technology, and through the Minister the Cabinet, on the role and contribution of science, mathematics, innovation and technology, including indigenous technologies, in promoting and achieving national objectives, namely to;
improve and sustain the quality of life of all South Africans,
develop human resources for science and technology,
build the economy, and
strengthen the country’s competitiveness in the international sphere.

6. 2. NACI COUNCIL OVERVIEW

7. ST Indicators/Policy studies/Policy Development/Admin Support
NACI Council Overview
2.1. Management and Committee Structure
ST Indicators/Policy studies/Policy Development/Admin Support
Secretariat
Executive Committee
Council
Minister
National Advisory Committees:
- NBAC
- SET4W
- IRG
-INNO4DEV
-NACI SKILLS

8. NACI Council Members

9. NACI Key Outputs
2.2.1 Overview of NACI Workshops and Events – 2011/12

10. NACI Key Outputs… (Cont)
Research Projects Completed

11. NACI Key Outputs (Cont…)
2.2.3 Publications Finalised

12. NACI Key Outputs (Cont…)
2.2.4 Summary of Policy Advice Generated – 2011/12
Advice
Key Elements
Human capacity for the National System of Innovation
The findings highlight continued problems with sufficiently capacitating the NSI
Education and skills challenges can be addressed through strategies to align information availability and dissemination, in addition to addressing the quality of teaching and teaching content, financial support and value chain interventions
Genomic Sovereignty
It is the capacity of a people, a country or nation to own, to control both access to and use of, samples, data and knowledge concerning or emanating from genomic material.
That measures are put into place to regulate and monitor the flow of genetic/genomic material into and out of the country
That national legislation be introduced to address the legislative gap with respect to human genetic/genomic material
Information letter: The role of biotechnology on food security
Sustainable, safe GM technologies hold great potential for South African agriculture and the end consumer, and have already contributed to food security in the sub-continent.
DST should play a leading role in establishing such an enabling environment in which the development, utilisation and management of GM technology could be done efficiently
Scalable Social innovations to enhance impact
Interventions that will promote a countrywide replication of sustainable social innovations to improve the quality of life for all
Engage all relevant stakeholders involved in social innovation space to facilitate the establishment of a national innovation database
Facilitate the establishment of Social Innovation Fund (SIF) dedicated to expanding roll-out of innovations

13. NACI Key Outputs (Cont…) Policy Advice Generated – 2011/12 (Cont…)
Key Elements
Public understanding of biotechnology by the media
Biotechnology is generally under-reported in the South African media, particularly the print media.
Public awareness of biotechnology and scientifically accurate reporting are important in advancing biotechnology
Various activities / initiatives suggested above could improve the quality of the relationship between scientists, journalist, business and government, and it will undoubtedly improve the quality of science coverage in the media
Advice on GMO appeal process (GMO Act)
The appeal process is taking far too long, leading to the de facto and threatened loss of major funding for the development of new and improved crops.
Time frames should be adhered to (decisions should be made in 180 days )
Minister bring this matter to the attention of Minister Tina Joemat-Pettersson
Basic research and biotechnology incentives
Biotechnology presents an opportunity for a major strategic competitive edge for South Africa, and as such it needs to be funded appropriately.
Technological advances in biotechnology have to a large extent come from basic research
Entrepreneurial skills are a prerequisite for the development of biotechnologists
DST, through TIA, should establish a programme that will bridge the divide between research and commercial exploitation of biotechnology.
Addressing barriers for women in science
Interventions to respond to barriers that hinder women from participating equitably in science, engineering and technology sector
At school level: Emphasis be placed on encouraging school students to choose SET careers through capacitating Life Orientation educators
At HE-Level: Access to funding by African women in SET fields needs to be improved

14. NACI Key Outputs… (Cont)
2.2.5 NACI Highlights
Completed the SET Gender Policy Framework
Published the South African Science and Technology Indicators 2010 booklet
NACI continued focus on NSI performance:
NACI’s Response to:
National Development Plan
DST’s Ministerial Review Report

15. Higher Education SET enrolments and graduations (2000-2010)
Commentary on the state of the NSI (Cont…)
Inputs
Higher Education SET enrolments and graduations ( )

16. R&D Expenditure and R&D as a percentage of GDP (1991-2009)
Commentary on the state of the NSI (Cont…)
Inputs
R&D Expenditure and R&D as a percentage of GDP ( )

17. SA publications and world share (1995-2010)
Commentary on the state of the NSI (Cont…)
Outputs
SA publications and world share ( )

18. SA patents & world share by USPTO (1995-2010)
Commentary on the state of the NSI (Cont…)
Outputs
SA patents & world share by USPTO ( )

19. SA Technology Balance of Payments(2000-2009)
Commentary on the state of the NSI (Cont…)
Impact
SA Technology Balance of Payments( )

20. High tech manufacturing Exports and Imports (2005-2010)
Commentary on the state of the NSI (Cont…)
Impact
High tech manufacturing Exports and Imports ( )
2005
2006
2007
2008
2009
2010
Exports
High-technology manufacturing exports
13,930
16,638
19,985
24,207
15,085
13,468
Total manufacturing exports
212,775
252,601
316,193
417,286
287,373
321,117
Percentage
6.5
6.6
6.3
5.8
5.2
4.2
Imports
High-technology manufacturing imports
80,573
95,425
101,357
122,778
100,567
105,380
Total manufacturing imports
295,409
381,822
462,400
561,388
428,418
477,195
27.3 25
21.9
23.5
22.1

21. Commentary on the state of the NSI (Cont…)
Summary
Overall, the South African NSI has shown good record on measures of SET enrolments and graduations
However some weaknesses in the system persist with regard to:
A low and declining R&D intensity (R&D as a percentage of GDP)
Declining world share of patents
Heavy reliance on imported knowledge and products

22. Key Issues to Highlight
The education value chain needs urgent attention, from basic education, Further Education and Training (FET) colleges and technical high schools, through to higher education and beyond.
Better co-ordination across government departments, associated structures and institutions is essential. A single view of the NSI, outlining the current status and future prospects, is essential to optimally position for a globally competitive economy
Continued public and private investment in the NSI, from expenditure on R&D, to venture capital allocations and flagship projects, is necessary to build on the well-established base. South Africa’s successful bid to host the Square Kilometre Array (SKA) is an excellent example of how big-science projects can be approached.

23. 3. NACI RESOURCES

24. NACI Resources
3.1 NACI Secretariat

25. NACI Resources… (Cont…)
3.2 Financial Report
Approved drawings
Actual Expenditure
Forecast Expenditure

26. 4. WAY FORWARD

27. Way Forward
Recent reviews of NACI (and the NSI) highlighted challenges facing NACI in its structure and mode of operation:
NACI’s mandate was hamstrung by the fact that it reported to the DST and thus had no structural location that would afford it the authority needed for effective coordination of a national innovation system,
 NACI has been effectively constrained to “advise” only in the limited NSI domains in which the DST can operate.
 “In order for NACI to be effective, it needs a strong, efficient and effective Secretariat with substantial professional, technical and analytical capability (beyond mere administrative competence)” (OECD 2007).
Secretariat is now a lot stronger and the CEO issue has been addressed in the S&T General Laws Amendment Act 2011
Proposed several new ways in which NACI should be structured and conduct its business
Development of a National Innovation Framework
Adoption of a Project Team Approach to conduct NACI business
Development of professional, technical and analytical skills within the Secretariat
Ministerial task team findings
All of the above will inform NACI’s future role and NACI is working with the Minister and DST in defining this future

28. Way Forward Projects to be implemented during 2012/13 financial year:
Development of a National Innovation Framework
Monitoring, Evaluation and Indicators
Strengthening Skills in Mathematics, Science and Technology
Infrastructure for Research and Innovation
Innovation for Economic Development and Social Upliftment
Bioeconomy Policies and Strategies
Gender Mainstreaming

29. THANK YOU Outgoing Minister Naledi Pandor Minister Derek Hanekom
S&T Portfolio Committee
Department of Science and Technology
Director General
NACI Councilors
NACI Secretariat
Krish Bharuth Ram and Kelebogile Dilotsotlhe