R&D challenges
The article by John H. Howard was of particular interest.
He found that the nation needs a co-ordinated, cohesive and strategic approach to R&D. He cited findings of successive reports in support. His article omitted comment on Australian industry’s structure and ownership. Both remain significant factors.
The 150% tax concession for IR&D was introduced in 1985 to induce industry to raise its performance. The decline in IR&D suggest that it was ineffective. Its detractors predicted this. Nevertheless, the government was persuaded of the need to raise IR&D and exploit the findings of publicly funded basic research, while limiting grants schemes with their inherent challenges of “picking winners”.
Circumstances have changed. Sunlight is now recognised as an essential substitute for hydrocarbons. Australia’s natural endowment affords it competitive advantage and opportunities. The need to exploit this advantage is compelling.
The body that advises/implements policy should have authority across all Australian jurisdictions and work internationally to ensure co-ordination of research efforts and integration of supply and demand. Within Australia, barriers to implementation must be lowered, regulation harmonised, necessary infrastructure provided, and disruptive competitive arguments settled. Here’s hoping our leaders unite and act.
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