NACI Annual Report 2005/06 Briefing of the Parliamentary Portfolio Committee on S&T

1. NACI Annual Report 2005/06 Briefing of the Parliamentary Portfolio Committee on S&T 24 October 2006

2. NACI delegation • Prof Calie Pistorius (NACI Chair) • Prof Tshilidzi Marwala (NACI Councillor) • Dr Sagren Moodley (NACI Secretariat) • Mr Tjaart van der Walt (DST)

3. Overview • NACI Act • Objectives and functions • Composition and structure • Meetings and management • Annual Report 2005/06 • Advice to the Minister • Extending NACI’s reach • Research projects in progress • Financial report • Way forward • (NACI in context – providing science advice to government)

4. NACI Act National Advisory Council on Innovation Act, No 55 of 1997

5. NACI Act NACI’s objectives Shall advise the Minister and through the Minister, the Ministers Committee and the Cabinet, on: • The role and contribution of science, mathematics, innovation and technology (including indigenous technologies) • Promoting and achieving national objectives, namely • Improve and sustain the quality of life of all South Africans • Develop human resources for S&T • Build the economy • Strengthen the country’s competitiveness in the international sphere

6. NACI Act NACI’s functions May or shall on request of the Minister, advise on: • Coordination and stimulation of the National System of Innovation (NSI) • Promotion of co-operation within the NSI • Development and maintenance of human resources for innovation through selective support for education, training and R&D in the HE sector and at science councils, science and technology institutions (SETIs) and private institutions

7. NACI Act NACI’s functions • Strategies for the promotion of technology innovation, development, acquisition, transfer and implementation in all sectors • International liaison and co-operation in the fields of science, technology and innovation • Co-ordination of S&T policy and strategies with policies and strategies within policies and strategies in other environments • Structuring, governance and co-ordination of the S&T system • Identification of R&D priorities in consultation with provincial departments and interested parties, and their incorporation in the process of government funding of R&D

8. NACI Act NACI’s functions • Funding of the science and technology system in respect of its contributions to innovation, including: • Framework for national and government expenditure on R&D • Building and maintenance of S&T capacity by way of selective funding of training and R&D • Distribution of funds allocated to science councils • Funding of R&D in all sectors • Funding of national facilities utilised for research

9. NACI Act NACI’s functions • Establishment, phasing out, rationalizing and management of: • Science councils • National facilities utilised for research • National R&D programmes conducted by science councils • SETIs within the NSI • Promotion of mathematics, the natural sciences and technology in the education sector in consultation with the Minister of Education and the Minister of Labour

10. NACI Act NACI’s functions • Strategies for • Promotion of the dissemination and accessibility of scientific knowledge and technology • Promotion of the public understanding of S&T and their understanding and their supportive role in innovation for development and progress • Establishment and maintenance of IT systems to support • Monitoring and evaluation of the overall management and functioning of the S&T system and the NSI • Continuous revision of S&T policy to address changing and new circumstances

11. NACI Act NACI’s functions • Developments in the fields of science technology and innovation which may require new legislation • Any other matter relating to science, mathematics, innovation and technology including indigenous technologies, which the Minister may refer to NACI

12. Structure of NACI • NACI Plenary Council • Exco • Working groups • SET4W subcommittee • Previously SARG • Biotechnology subcommittee • Indicators group • Link to DST • CEO of NACI is the DG of DST • Secretariat appointed in DST

13. Structure of NACI • NACI is currently organized internally in 5 working groups (strategic thrusts) • Infrastructure for innovation promotion • Human capital and knowledge base • Science, technology and innovation for competitiveness • Social dimensions of innovation • Position and role of NACI in the NSI • New strategic plan for next phase

14. NACI Act Composition of NACI • Chairperson appointed by the Minister • 16 to 20 members appointed by the Minister (after consultation with the Minister’s Committee and submission to the Cabinet for notification) • CEO of NACI (DG of DST) • Officer from DTI (appointed by Minister with the concurrence of the Minister of Trade & Industry)

15. Composition of NACI • Chair: Prof Calie Pistorius (VC, UP) • ExCo: Prof Pistorius, Ms Abrahams, Dr Mjwara, Dr Potgieter, Dr Tsengwa • Composition of Council • Sector • Business: 8; • Higher Education: 7; • Science Councils: 4; • Government: 3 • Black: 13 White: 9; • Female: 6 Male: 16 • Resources (staff and finances) are provided and administered within the DST system

16. What NACI is and is not • NACI is not: • Science council (such as the CSIR, HSRC or the NRF), Think tank or R&D organisation, university • NGOs or a public forum (NSTF) • Learned body or society (such as ASSAf, RSSA or SAAE) • Government department (particularly DST, DTI, DoL, DoE) • NACI is a statutory advice body • Advice to the Minister (Minister’s Council and Cabinet, as opposed to the Head of State, Parliament, Government) • Minister also has other options for advice, such as personal advisor(s), DG and Department and others • Comparison to the Council of Higher Education

17. Meetings and management • Meetings • Council: four times p.a. • ExCo:10 times p.a. • Sub-committees: As needed • National: SET4W (4x); Biotech (2x); Indicators Reference Group (2x) • Annual Corporate Business Plan as framework • Finances, procurement and human resources within DST administrative and control systems

18. Annual Report 2005-2006 • This Annual Report covers 2nd year of the present Council’s term of office (2004-2007) • Year ending 31 March 2006 • Implementation of planning done in August 2004 • Activities during the year 2005/06 • Task group approach • Establishment of advice framework and priorities • Evidence-based advice: Research projects, leading to advice in next year (…way forward) • A number of advices rendered to Minister • Extending NACI’s reach

19. Advice to Minister • Improving the utilisation of research findings: increasing the return on R&D investment • Shortage of technical skills: the potential impact of skills shortages on large engineering construction projects • Mobility of research workers: to minimise negative effects and optimise positive effects

20. Extending NACI’s reach • Parliamentary Portfolio Committee briefing • ASSAf, NSTF • International liaison • OECD, peer advisory bodies, GLOBELICS • National advisory committees • SET4W • ASGISA and JIPSA • Contributions to international conferences

21. Evidence-based advice: Research projects • Tracking of R&D expenditure (suite of 8 projects) • Required physical infrastructure for NSI • Mapping the knowledge base of South Africa • Competitiveness in large, medium, small and micro enterprises • Gender equity policy • Dynamic modelling of human resources • Best practices in STI policy and governance • OECD report

22. Identification of priority Service provider initiates and undertakes project Scoping exercise –objectives, existing information, feasibility: Secretariat Contract signed by NACI or delegated DST official: Secretariat Provisional approval as priority: Subcommittee Contract to service provider for signature: Secretariat Draft ToR – objectives, design and methodology, expected outcomes, estimated budget: Secretariat Approval of contract by Legal Services (DST): Secretariat Contract drafted: Secretariat Approval of ToR by ExCo / Council ExCo / Council approves service provider and gives final approval: ExCo Call for proposals – Media call, liaison with Supply Chain management (DST): Secretariat Evaluation of proposals according to the rules of the Public Finance Management Act: Secretariat rules: Secretariat Subcommittee considers proposals and evaluation reports Project approvals

24. Financial report

25. Expenditure 2005 - 2006 • Notes • Resources are allocated by DST as a sub-programme • Processing and control is done by DST

26. The way forward…. • Advice already handed to the Minister this year (2006/07) • OECD report • Three advisory notes (August 2006) • Research outputs (ASSAf) • Proposed IPR legislation • Tax incentives for R&D

27. The way forward… • Advice/briefings scheduled for presentation to Minister in November 2006: • Gender policy • Best practices in the NSI • Required infrastructure for the NSI • Tracking of R&D expenditure • Innovation and competitiveness • Dynamic modelling of human resources • Optimising NACI’s advisory role: Providing science advice to government

28. The way forward…. • Strategic planning session • Setting the agenda for the next phase • NACI’s format and operation • Optimising NACI’s role within a system of providing science advice to government