Seanad debates
Thursday, 27 February 2003
Adjournment Matter. - National Development Plan.
10:30 am
Joanna Tuffy (Labour)
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I asked the Tánaiste to come to the House to outline the approach of the Government to managing the spend of €2.5 billion allocated to research and development in the national development plan. This country is committed to continuing to develop the knowledge based economy. The Tánaiste has often said that to sustain Ireland's economic growth we need to make the change from the investment driven economy we now have to an innovation driven economy. I strongly agree and have raised the issue on a number of occasions in the Seanad.
This change requires investment in research and development at a level we have not witnessed in the past. The funding allocated under the national development plan is most welcome. We need this investment both for research and development in industry, Irish owned and international Irish based, and our third level colleges and research institutions. The Government has signalled that it recognises the crucial role of research and development by including this proposed spend in the national development plan.
My concern, however, is that we are now half way through the plan and the Government appears, from media reports, to be at odds about how best to strategically manage the spend on research and development and how to use that huge resource wisely and achieve the best value for money. At the end of last year the Tánaiste received the report of the special commission established, at the Government's request, by the Irish Council for Science, Technology and Innovation. According to media reports, the report makes far reaching recommendations on how the Government should marshal State funding to maximise the return on investment in research and development. It also makes recommendations that would greatly affect the relative roles of the Tánaiste's Department and other Departments, especially the Department of Education and Science.
It has been alleged in the press that there is a turf war between Ministers and representatives of a number of State agencies which currently run research and development programmes. Last week's The Irish Times, for example, reported that the report on the €2.5 billion science fund might not survive an interdepartmental turf war. It is worrying if the Government cannot agree how an important part of the national development plan is to be implemented. It is important that the Tánaiste and her Department decide on the recommendations as soon as possible.
It is also important that there is a new and strategic approach different from previous approaches because the amount of money being spent is greater and progress in this area is important to our type of economy. Differences of opinion must not be allowed to stall the implementation of the report's decisions.
[The Government] will work to ensure that Ireland develops a world-class research capacity. We also recognise the importance of encouraging a dynamic research culture and will continue to support research on the basis of recognising the distinct, but also inter-connected roles of different programmes, from individual grants up to more targeted support for areas of national strategic interest.
Frank Fahey (Galway West, Fianna Fail)
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I thank the Senator for raising this matter on the Adjournment.
Government investment in research, technological development and innovation, RTDI, is central to the national development plan strategy of building new sources of competitive advantage for indigenous companies, of embedding multinational companies, moving industry up the value chain and building a world-class, knowledge-driven economy in Ireland. Industry and related international investment are becoming increasingly knowledge-based as new research and technologies translate into globally marketable products and services. In this context we need to focus on building competitive advantage through research, technological development and innovation, by ensuring that Ireland becomes one of Europe's most attractive locations for knowledge-based enterprise. The outcome of this would be to achieve the greatest economic and social benefit and sustain industrial competitiveness in the long term.
To generate economic and social well-being, each of the elements of the national innovation system and the interactions between them must be strong and constructive. Ireland has made significant and rapid progress in increasing public research investment over recent years. It faces the challenge of ensuring that these investments deliver the economic and social benefits they are intended to achieve. A feature of the system must be the ability to monitor and review continuously and demonstrate clearly that cost effectiveness, efficiency and coherence are being achieved in all aspects of science, technology and innovation policy formulation and implementation.
The importance of investment in science, technology and innovation to Ireland's future economic and social development and well-being is well recognised by Government. The RTDI investment of €2.5 billion as set out in the national development plan is of such a scale that the allocation can be regarded as a major milestone in economic development policy. Expenditure of this scale is necessary to secure Ireland's global competitive position at a time when other leading economies are significantly strengthening their advanced scientific and technological capabilities.
In the context of this substantial NDP expenditure, the range of activities and sectors involved are very wide. This includes basic science through to applied research and technological development and incorporates industry, education, health, agriculture, marine and other sectors. A range of organisations, existing and new, is also involved in allocating the NDP funds. Ensuring relevance, synergy and coherence in this complex environment is a major challenge.
It is therefore vital that we ensure the best possible return from our NDP investment. We must ensure co-ordination and synergy across all the RTDI sectors and activities involved. For this reason the Government agreed that we should assess the existing situation and ensure that the RTDI support from Government in the NDP is implemented in the most efficient and effective way. The Government therefore asked the Irish Council for Science, Technology and Innovation, ICSTI, to convene a commission to bring forward specific proposals for an appropriate framework for an over-arching national policy for research and technological development.
The commission was asked to examine the situation in Ireland relating to the structures, policies and implementation mechanisms for research and technological development that underpin innovation for economic and social development; analyse the structures, policies and implementation mechanisms for research and technological development in other relevant countries with a view to the identification of the most appropriate best practice for Ireland; consult widely with industry, Departments, State agencies, the higher education sector, research and technological institutes and other relevant organisations; and make recommendations for improving the structures and mechanisms for the formulation and implementation of national policy for research and technological development, including co-ordination, synergy and linkages across the sectors and activities in the national development plan and securing an appropriate funding balance.
The commission, composed of key officials in the science, technology and innovation funding system, academia, enterprise, and overseas experts, completed its task in December. It had a broad remit and took a comprehensive view of science, technology and innovation involving all areas of scholarship, including the social sciences and humanities. The commission based its deliberations on a consultative exercise, comprising requests for submissions and interviews with interested parties in administration, academia and enterprise. It received 45 formal submissions and received a number of background reports on the Irish innovation system. More than 60 face-to-face interviews were completed with key stakeholders. The commission received cross-cutting analyses of research and development and innovation governance in a range of countries, and undertook study visits to assess governance systems in the United Kingdom and Finland.