1. Presented to the Portfolio Committee May 2008

2. Outline Introduction: Strategic overview Key strategic objectives Recent outputs Ten year innovation Plan Performance indicators Resources: Human and financial Public entities reporting to DST Conclusion

3. Vision and mission Vision –To create a prosperous society that derives enduring and equitable benefits from science and technology Mission –To develop, coordinate and manage a National System of Innovation that will bring about maximum human capital, sustainable economic growth and improved quality of life for all

4. Strategic Overview and key Policy Developments Creation of DST Creation of DST OECD Review of SA NSI OECD Review of SA NSI NSI SWOT Benchmarked S&T White Paper S&T White Paper 19962002 2004 2007 Developing the NSI NR&D Strategy S&T missions NR&D Strategy S&T missions Public S&T missions, HCD…  Biotechnology, ICT  Advanced manufacturing  Astronomy  Poverty Alleviation, etc.  Quality of life  Wealth creation 10Yr Innovation Plan 10Yr Innovation Plan Knowledge- based economy  Grand challenges  Human capital development, etc. ST&I investment plan based on strategic priorities

5. 1 1 2 2 1 3 Information age Bio-economy Age of steam Degree of technological maturity and market saturation 2007 Stage of technology development 1 = Early phase 2 = Growth phase 3 = Efficiency phase 1829 1850s 1971 3 Time Strategic Overview and key Policy Developments

6. Strategic Overview and key Policy Developments: 2004/5-2010/11 Emerging areas (DST Should..) Sector specific (DST May…) Mature areas (Should not…) Take the lead E.g. biotech, nanotech etc. Be involved but not be the leader e.g. health, agric, minerals DST responsibility Sector Departments lead Not be involved, but know what goes on Standard technology-based services E.g. Weather services Strategic Management Framework sets specific areas of DST involvement across NSI

7. DST five principle goals To develop the innovation capacity of the science system and contribute to socio- economic development To develop appropriate human capital for research, development and innovation (RDI) To build world-class RDI infrastructure Position SA as a strategic international RDI partner and destination Develop South Africa’s knowledge-generation capacity

8. Key deliverables linked to goals Development of strong innovation chains in biotech, nanotech, the H 2 economy, space science, ICT and manufacturing; Application of technologies to address poverty and improve the quality of life of South Africans; Development of a healthy and diverse flux of young people seeking and finding careers in science and engineering; Accomplishment of notable successes in turning trends in global science to the national advantage, for example in astronomy and space science.

9. Some recent outputs… BRICs led to: –Establishment of 3 drug discovery companies working on compounds for the potential treatment of HIV and TB (Elevation Biotech, Arvir and iThemba Pharmaceuticals) and BEE clinical organisation (African Clinical Research Organisation) –Complete sequencing of genome of a strain of extremely drug resistant TB ICGEB was launched by President Thabo Mbeki on 10 September 2007 SARCHI awarded 72 Research Chairs – 1/3 of target of 210 chairs

10. Innovation Honours Bursary awarded to 280 students –83% are blacks, 55% women –Pilot with R10m, 98% used on core project, 2% on admin –70% students to pursue MSc and PhD studies 125 unemployed SET graduates were deployed to 22 Science Centres Centres of excellence (CoEs) attracted 313 postgraduate students since 2004 and produced publications Some recent outputs…

11. Some recent outputs IKS Research Chair (on traditional medicines and health systems) awarded to the University of KwaZulu Natal Launch of SA Earth Observation System Strategy –Coordinate earth observation data to assist with planning DST’s continuing participation in EU framework programmes –R70m leveraged, 47 projects approved in 07/08 Nanotechnology and nanoscience programme –2 innovation centres set up

12. R&D survey results The 2005/06 R&D survey results indicate: –GERD is 0.92% of GDP – on target for 1% by 2008 –business continues to be the major performer of in- house research (58.3 percent) –57 000 researchers and support staff in the public and private sectors, with about 17 000 FTE researchers. HRD is one the DST’s main focus area, with a concerted effort to increase innovation and engineering skills –1/3 of programme money to HCD ~R200m

13. Ten year innovation plan Investment plan based on strategic priorities Enablers Farmer to pharma Human & social science Climate change Energy Space science Technology development and innovation Human capital - Centres of excellence, South African research chairs initiative, professional development programme, etc. Cross- cutting enablers Grand challenges Knowledge infrastructure – Science councils, state-owned enterprises, global projects

14. Medium term initiatives Establish and operationalise TIA Establish and operationalise the Space Agency Implement innovation plan –Grand challenge implementation plans –Human capital development strategy –International engagement strategy –Technology transfer strategy IPR bill

15. Performance indicators… Indicator Projected 2008/092009/102010/11 Amount leveraged from international sources R189mR246mR313m Number of new international bilateral projects 86106124 Number of learners who attend the science week awareness programme 190 000210 000220 000 Number of students on the innovative bursary programme 415470550 Number of interns supported100110130 Total number of CoEs established888

16. Performance indicators Indicator Projected 2008/092009/102010/11 Total number of research chairs established 72 Number of PhDs and postdoctoral fellowships supported 155180200 Number of joint S&T project activities between the DST and other departments 14 Number of innovationflagship projects supporting strategic areas of R&D 131415

17. Selected output targets OutputMeasure/IndicatorTarget Establishment of National Space Agency The National Space Agency established and operational Mar 2009 TIA and IPR in Place as key enablers for the NSI to innovate and commercialise locally Functioning TIA in place IPR Bill in place TIA business case approved by National Treasury HR migration strategies for DST innovation agencies implemented Aug 2008 Mar 2009 Aug 2008 International resources (incl research funds, location of global infrastructure & HCD for S&T) International funds leveraged for SA S&T R50 million in funds and in kind from international sources

18. Selected output targets OutputMeasure/IndicatorTarget Youth into Science Strategy implemented Maths and Science camps conducted in all nine provinces and best learners selected for tertiary studies support 1800 learners from across the country 18 first entry SET student bursaries Energy RDI masterplan Biofuels strategy 2010 Green transport Plan Launch of H 2 & Fuel cell technology RDI strategy 2 nd quarter of the financial year Legislation on protection of IKS Task team appointed and convenedDraft legislation presented to DST

19. Selected output targets OutputMeasure/IndicatorTarget Directed SET programme advancing implementation of the NRDS technology missions RBIs: Development of a local titanium industry. National investment plan and centre of competence model adopted Incubation plan for industry value-chain elements finalised and operationalised Oct 2008 Competency for metal production demonstrated by 2011, industry development ongoing over 10 year period partnership in the Competitive Supplier Development Programme Manufacturers to exploit 20% of the SOEs' (Eskom and Transnet) capital procurement Companies identified by July and development programme started by the end of Aug 2008

20. Financial resources Programme Medium-term expenditure estimate 2008/092009/102010/11 R'000 1.Administration 105 505123 197 133 496 2. Research, Development and Innovation 873 0971 139 004 1 227 005 3. International Cooperation and Resources 129 315132 339 139 354 4. Human Capital and Knowledge Systems 1 449 0241 614 422 1 769 155 5.Socio-Economic Partnership 1 147 0311 188 098 1 280 229 Total 3 703 9724 197 060 4 549 239 Change to 2007 Budget estimate 64 475108 699 215 576

21. Growth in financial resources

22. 2008/09 per programme distr (R’000)

23. 2008/09 Economic classification (R’000)

24. Human Resources Minister & Dep Min DG Corp ServRDIICRHC&KSSEP SPM

25. Public Entities and Agencies Reporting to DST Council for Scientific and Industrial Research (CSIR) National Research Foundation (NRF) Human Sciences Research Council (HSRC) Africa institute of South Africa (AISA) Tshumisano South African National Energy Research Academy of Science of South Africa

26. Conclusion Medium term outputs driven by –National R&D strategy –Ten year innovation plan Performance satisfactory Steady growth in resources Establishment of innovation instruments Continued focus on HCD and innovation skills Public entities aligned to implement innovation plan

27. Dankie Enkosi Ha khensa Re a leboga Ro livhuwa Siyabonga Siyathokoza Thank you