Embed Size (px)
Citation preview
I n d u s t r y I n n o v a t i o n P a r t n e r s h i p s
Innovation for Sustainable Industry Development22 July 2015Isaac Maredi
Presentation Outline System Wide Challenges
Technology Balance of Payments Manufacturing Trade Deficit
Private Sector R&D Investment Rationale for Funding Industry R&D GERD Trends
DST Interventions Industry Innovation Partnerships Programme Environmental Innovation Programme
2
www.dst.gov.za
SA Technology Balance of Payments
3
1997
1998
1999
2000
2001
2002
2003
2004
2005
2006
2007
2008
2009
2010
2011
2012
-
500.0
1,000.0
1,500.0
2,000.0
2,500.0
Figure 2(a)
Payments Receipts
Paym
ents
and
rece
ipts
• SA is a net importer of technology• The gap between imports and exports has
been increasing • Points to increasing local demand for
technology
www.dst.gov.za
SA’s current account deficit
4
Manufacturing Trade Deficit
• Manufactured goods made up 52% of merchandise exported in 2012, up from 41% in 1994
• SA’s growing trade deficit in the manufacturing sector is a structural concern for the economy
5
Rational for industry R&D funding
?R&D / Technology / New Knowledge: direct impact on competitiveness & innovation
NDP & NGP: Role of RDI in
economic growth
TYIP : Develop and capacitate a knowledge economy
IPAP: invest in innovation & technology to ramp up competitiveness in production &
services sectors of the economy
Investors and Flows, 2011/12 R&D survey
39%43%
15%
8
Technology Localisation Programme (TLP): • Leverage public procurement opportunities• Improve the technological capability of local firms leading to
Increased competitiveness (quality, cost, customisation) Expanded capability (new products, services) Expanded market (local and global)
• Industry Innovation Partnerships Programme• Sector Innovation Funds
DST Interventions
DST tax incentive programme
Industry Innovation Partnerships
Sector Innovation Fund
Motivation for IIP
DST allocated R500 million over 2013/14 MTEF to develop and implement the Industry Innovation Partnership (IIP) Programme
Key goals:
Leverage industry investment in RDI by stimulating increased RDI co-funding & participation by industry players in projects to maintain and increase their export market share
Mitigate against under-investment in technology & innovation in identified niche and strategic sectors of SA economy so as to improve their competitiveness
Key long-term outcomes measure will be increased sector contribution to GDP through stronger RDI-based industrial development
IIP Initiatives
Titanium Development (existing CoC)
Satellite Development & Manufacturing CSIR (Bio-manufacturing, Nano-upscaling, Bio-refinery & Photonics)
ICT Industry Partnerships (CSIR Meraka)
Nanotechnology Innovation Centre
Sector Innovation Fund (SIF)
Sector Innovation Funds
DST intervention to enhance economic competitiveness of participating sectors
Encourages private sector to co-invest with government in RDI activities that address competitiveness and sustainability of participating sectors
Managed by Industry associations or bodies
Formal entities
representing interest of members
Industry identifies challenges & determines own RDI agenda
Key Performance Indicators
RDI outputs (HCD, knowledge products, scientific publications)
Absorption capacity and/or rate iro HCD
Knowledge/technology transfer No. of knowledge products
transferred
To whom (big companies/SMMEs; previously disadvantaged players; etc)
Jobs created or sustained
New enterprises created or supported
Amount of funding contributed by sector
Increase/sustaining of market share,
including exports
Increased contribution to GDP (long term)
Measured at impact, outcomes and output levels
Some key performance indicators:
Complexities and considerations
Must use the process to better understand and appreciate the complexities of R&D funding in the private sector
Signaled that performance measure is not simply matching funding for the SIF but increases in the level of R&D within the sector (even in-house funding)
SIF is a crucial initiative under the proposed MTSF target 1.5% GERD by 2019
DST aims to secure continued public funding beyond the ECSP and at significantly higher levels
2014/15 IF APPLICANTS Industry Association Initiative/ProgrammeSouth African Minerals to Metals Research Institute
Mineral Processing
Citrus Research International Research for Citrus Export
Marine Finfish Farmers’ Association of South Africa
South African Marine Aquaculture Research Centre
Paper Manufacturing Association of South Africa
Paper Manufacturing
Forestry South Africa Future Plantation Forests for the South African Bio economy
Sugar Milling Research Institute Sugarcane Bio-refinery Research Programme
Fresh Produce Exporters’ Forum Post Harvest Innovation Programme
Marine Industry Association of South Africa
Marine Manufacturing innovation
Wine Industry Network of Expertise and Technology
Wine Industry Innovation
Sectors Supported
9 SIFs established by end 2014/15
Sectors’ Contribution to GDP
SA’s GDPSAMMRI (8.8%)
CRI (0.16%)
MFFASA (0.026%)
PAMSA (0.6%)
FSA (1.2%) SMRI
(0.7%)
FPEF (1%)
MIASA
WINETECH (2.2%)
Future plans Permanent budget line item - MTEF
Industry innovation partnerships with direct (mandatory) industry participation
Sector Innovation Fund aimed at transformation in key sector(s):
Existing SIF objectives
Localisation of RDI capacity and services
Technology driven industry development and competitiveness
Transformation within the NSI Institutions, researchers, etc
Contribute to other industry and economic development imperatives E.g., Black Industrialists Programme
Overview of Environmental Innovation at DST
Environmental Services & Technologies
Water RDI Roadmap Waste RDI Roadmap Environmental Services
WADER Waste RDI Implementation Unit Ecological Infrastructure
Biomimicry Platform
Water RDI RoadmapHow
Problem Statement:• 98% of all
water resources already allocated
• Non-revenue water is 36% on average ~R7 billion / yr
• By 2030 demand will outstrip supply by 17%
Problem
Human Capital
Development (HCD)(Skills)
Innovation (technological and non-
technological)
(Technology)
Research and
Development (R&D)(Evidence)
Means
Opportunities:Better coordination and improved decision making supported by the translation of research into practise
More products and services to reach the market through a better coordinated water innovation pipeline
National savings through targeted RDI investments (e.g. By reducing water losses to 15%, through innovation interventions, an approximate R3.5 bil would become available for investment in other needs/areas)
Opportunities
Use of sources
Govern, plan & manage
Supply infrastructure
Operational performance
Govern, plan & manage
Efficiency
Monitoring and collection
Increase ability to make use of more sources of water, including alternatives.
Improve governance, planning and management of supply and delivery.
Improve adequacy of performance of supply infrastructure.
Run water as a financially sustainable business by improving operational performance.
Improve governance, planning and management of demand and use.
Reduce losses and increase efficiency of productive use.
Improve performance of pricing, monitoring, metering, billing and collection.
Environmental Innovation Programme
Pull together the research and commercialisation stages of the water innovation continuum. • Demonstrate water technologies in
operational environments (piloted at scale).
• Assess the performance, validity, impact (social, environmental, etc.) and suitability of the technology.
• Build multi-sectoral and cross-disciplinary partnerships in support of technology demonstrators.
• Disseminate information widely to promote technology adoption, investment, and user-confidence as well as communicate gaps in research, etc.
• Promote and support water entrepreneurship and relevant skills development in the water technologies space.
Market Entry
Commercialisation
Market-ready product
Development
WADER
Demonstration
Fundamental Research
Research
Bench Scale
Taking technologies out of the laboratory and proving them in real-
world test situations
Image: Adapted from SDTC, 2014
Water Technology Demonstration Programme
Waste and Environment
Waste Logistics Performance
Strategic Planning
Modelling and Analytics
Technology Solutions
Waste and Society
Waste RDI Roadmap
Strengthen skills and generate evidence to optimise decision-making around the movement of waste across the country (logistics, assets, resources)
Develop, evaluate, demonstrate, localise and deploy technologies to support municipalities and industry in diverting waste away from landfill towards value-add
Strengthen skills in methods, tools, models and techniques and apply these to generate evidence to inform the management of waste
Strengthen skills and generate evidence to inform decision-making, planning and policy development by government and industry
Strengthen skills, generate evidence, deploy technologies to reduce the impacts of waste on receiving environments
Deepen understanding of the socio-economic opportunities provided by waste, but also the threats that waste poses to human health
How
Problem Statement:• 90% of
South Africa’s waste goes to landfill
• Resulting in loss of resources to the economy
• Resulting in social (human health) and environmental impacts
• Municipalities face challenges in delivering services and diverting waste from landfill
• Alternative waste treatment typically more expensive than landfilling
Opportunities:• Preventing
waste creates opportunities for industry to increase value-addition and competitiveness
• Diverting waste from landfill creates opportunities for new direct and indirect jobs and enterprises
• Improved management of waste reduces risks to human health and environment
Human Capital
Development (HCD)(Skills)
Innovation (technological and non-
technological)
(Technology)
Research and
Development (R&D)(Evidence)
OpportunitiesMeansProble
m
Environmental Services
Environment & Society
•Citizen Science – MiniSASS app•SARVA
Ecological Infrastructure
•Evaluation of NRM funding window of the Green Fund•Developing a data and institution management portal for the Ntabalenga Catchment - DEA
Biomimicry Platform
•Being developed with WRC – creating a community of practice on Biomimicry
