John Halligan (Waterford, Independent) | Oireachtas source

I will be as brief as I can as I understand there is a vote at 6 p.m. Investment in research and innovation through the Department is all about delivering tangible economic impacts. In 2016, approximately €356 million was invested in research, development and innovation by the Department through its enterprise agencies, primarily Science Foundation Ireland and Enterprise Ireland. Further investment was made through the programme for research in third level institutions, the PRTLI, the Tyndall National Institute and the European Space Agency.

I highlight just a few of the key achievements in 2016. During 2016, Ireland broke into the top ten global scientific ranking for the first time. We continue to excel in certain disciplines. For example, we are currently No. 1 in nanotechnology, No. 2 in animal and dairy products and No. 3 in immunology. A record 1,036 collaborative projects were undertaken between Irish-based companies and higher education institutions. A new meat technology centre was established by Enterprise Ireland to create a strategic research and innovation base in sheep and beef meat processing in the country. Some 101 high-potential start-ups were approved for support by Enterprise Ireland with plans for these to create over 1,000 new jobs by 2019. Over €47 million was invested by Science Foundation Ireland in 36 infrastructure projects. Approximately €40 million was granted to 29 awardees under the SFI investigators programme to support the development of world-class research capability in key areas of economic and social importance. Awards totalling €2.8 million were also made to support the education and engagement of the Irish public in STEM. Contracts worth €12.5 million were secured by Irish companies as a result of our engagement with the European Space Agency and I am pleased to highlight the fact that over €156 million in EU Horizon 2020 awards were made to Irish companies and academics last year, including €11 million for SMEs.

Looking ahead to 2017, we have ambitious plans for the innovation programme. The budget allocation by my Department for innovation increased to approximately €323 million this year from €307 million in 2016, which is a significant increase of 5%. I am also pleased that my Department's innovation budget allocation benefited from the Supplementary Estimate of €49 million at the end of 2016, allowing additional critically needed SFI research infrastructure awards to be made as well as additional funding for the PRTLI programme. During 2017, Science Foundation Ireland plans to increase the number of research centres of scale and excellence, increase the number of international star researchers leading research teams in this country, drive greater links between academia and industry and, importantly, increase its focus on the UK market by continuing its partnerships and collaborations among researchers in both countries.

Enterprise Ireland's 2017 focus is on driving innovation in Irish enterprise at unprecedented levels. Indeed, its new strategy sets a target to increase research and development expenditure by client firms by up to 50% per annum by 2020. Enterprise Ireland's 2017 funding allocation will ensure continued funding for critical existing innovative supports as well as for a number of new initiatives, including a new programme for business innovation to drive innovation and customer-focused process and service solutions; a small business innovation research programme to leverage the national public procurement budget to drive innovation in SMEs; initiatives to equip graduates and researchers in the higher education system with the key skills required by our enterprise base; and enhanced support to help companies access the funding available in Horizon 2020. The 2017 capital investment will also allow the Tyndall National Institute substantially to grow its interactions with industry in Ireland and internationally. Ireland's engagement with the European Space Agency will continue in 2017 to support approximately 50 Irish space technology companies.

To become an global innovation leader, Ireland must continually invest in research, development and innovation to ensure it has excellent research, a strong innovative enterprise base, growing employment, sales and exports, a renowned pool of talent in academia and industry and an internationally competitive research system. We are on our way but a great deal remains to be done. I thank the Chair for the opportunity to make these opening remarks. Hopefully, they assist the committee. I am happy to take any questions.