Oireachtas Joint and Select Committees

Tuesday, 27 March 2018

Select Committee on Jobs, Enterprise and Innovation

Estimates for Public Services 2018
Vote 32 - Business, Enterprise and Innovation (Revised)

5:00 pm

Photo of John HalliganJohn Halligan (Waterford, Independent) | Oireachtas source

That is no problem. I am looking forward to it. As Minister of State with responsibility for research, development and innovation issues, I am happy to outline to members what is being delivered through our activities in the programme B expenditure area. As we are all aware, the evidence clearly shows that research and innovation are key drivers of productivity and economic growth. In turn, innovation is central to Ireland's competitiveness and the ability of companies based in Ireland to compete internationally. It is vital, therefore, that Ireland has the capabilities needed to develop, grow and attract innovative enterprises. Our investment in research and development and a highly educated workforce is crucial to developing an ecosystem in which success can be achieved.

Over the past decade and a half, we have built up a strong science and innovation base which has yielded economic and social results. I was pleased to note last year that according to the most recently published European Innovation Scoreboard, Ireland is currently ranked number one for SME innovation and the employment impacts of innovation.

In addition, Ireland is placed 11th overall in global scientific ranking and ranked second in nanotechnology, immunology, and animal and dairy science disciplines. We are in the top ten for both maths and chemistry. This is phenomenal for a country with a relatively small population.

Investment in research and innovation from my Department is all about delivering tangible economic impacts. Investment and these successes are particularly important today, given the many global challenges we now face, including Brexit. In 2018, under programme B expenditure, approximately €328 million will be invested in research, development and innovation programmes by my Department through its enterprise agencies, primarily Science Foundation Ireland, SFI, and Enterprise Ireland. Further investments are being made through the Tyndall National Institute and the European Space Agency, as well as the programme for research in third level institutions, PRTLI. We have ambitious plans for the innovation programme throughout 2018.

SFI is the national foundation for investment in excellent scientific and engineering research. As the largest competitive funder of science in Ireland, SFI supports the Government's vision of Ireland as a global innovative leader, driving a strong, sustainable economy that is better in serving and informing society. In 2018, SFI will focus on establishing four new world-class research centres launched in September 2017, in addition to completing the review process for phase 2 funding for the first seven SFI research centres. The budgetary allocation to SFI in 2018 also includes €4.25 million to develop the SFI future milk research centre. The new centre will be led by Teagasc, in partnership with the Tyndall National Institute, as well as 11 universities and institutes of technology throughout the country. Up to 45 industry partners have committed €16 million to the new centre, which will be a world leader in research for precision pasture-based dairying and an agent of growth for the Irish dairy industry. This will bring to 17 the number of SFI-funded research centres of excellence in operation, supporting cutting-edge basic and applied research with strong industry engagement, economic and social impacts. SFI will also commence a postgraduate programme in 2018, funding both PhD and research masters. The 2018 budgetary allocation will provide for approximately 120 additional enrolments in areas of economic priority.

In 2018, Enterprise Ireland will continue to support research, development and innovation across our indigenous enterprise base. In doing so, it will drive innovation in Ireland's enterprise sector to reach the Enterprise Ireland strategy target of €1.25 billion in research and development expenditure per annum by 2020. Enterprise Ireland will also deliver more than 1,000 collaborative innovation projects between companies and the higher education sector to help companies increase their innovative capacities. Enterprise Ireland continues to support its client companies in securing Horizon 2020 funding. The agency plans to secure an additional €15 million in 2018 through the SME instrument. Promotion and communication of the new agile innovation fund offer, launched in November 2017 and which supports companies and sectors with rapid design cycles to maintain their technology position, will continue throughout 2018. Enterprise Ireland is responsible for the co-ordination of Ireland's engagement with the European Space Agency. It is on track to reach its target of €12 million in contracts secured by Irish industry from the European Space Agency for this year.

The Tyndall National Institute is the country's largest dedicated research centre, specialising in ICT hardware and systems, a sector of significant economic importance globally. It is highly recognised not just across Europe but across the world. The institute undertakes scientific research that translates research into technologies which will directly impact industry in Ireland. In 2018, investment of €4.5 million will enable the institute to grow its interactions with industry substantially, both at home and internationally, targeting additional industry income of up to €6 million. In addition, the institute plans to build its current impressive Horizon 2020 wins to date and secure an additional €7 million in EU moneys through funding of 20 new projects.

The increased capital budget for innovation 2018 will allow Ireland to join the European Southern Observatory, ESO. The benefits of ESO membership are significant, including creation of advanced enterprise relevant skills in areas such as data analytics, software and photonics. Membership will ensure Irish companies can compete for ESO contracts to develop innovative products and services.

To become a global innovation leader, Ireland must continually invest in research, development and innovation to ensure we have excellent research, a strong innovative enterprise base, growing employment, sales and exports, a renowned pool of talent in academia and industry, as well as internationally competitive research. Ireland's status in science is recognised across the world. Being in the top ten shows Ireland is doing exceptionally well.

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