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Mixed responses to new Bill forming state technology agency

By Sabinet Online
Johannesburg, 25 Jan 2008

There have been mixed responses to the introduction of the new Technology Innovation Agency Bill in Parliament. The portfolio committee on science and technology started its deliberations on the legislation last week.

Included among public hearings was a briefing by the Director-General of science and technology, Dr Phil Mjwara. He said the Bill had the objective of creating a public entity to be known as the Technology Innovation Agency, formed in order to encourage and stimulate innovation and invention in South Africa's technological and scientific environment.

The rationale behind such a move was to create innovation as a national competence, Dr Mjwara said. In the process, the South African Inventions Development Corporation would be disestablished.

He said the Bill had its origins in a white paper of 1996 and was part of government's research and development strategy introduced in 2002. This was developed as a result of the challenges in South Africa arising from past lack of access to venture capital; poor management of intellectual property rights; and a lack of business development skills. This particularly applied to issues such as technology invention and marketing.

Dr Mjwara said the body, with the acronym TIA, would work with private sector partners, supporting the state in the "stimulation and intensification of technological innovation". It would also provide an intellectual property support platform, stimulate investment by means of its own venture capital and help to direct foreign investment.

Among those making submissions to Parliament regarding the Bill was AfricaBio, which submission found the new proposals to be both "authoritarian and oppressive". It raised the specific point that in no case should the new body be allowed to take up equity, claim intellectual property ownership or participate in royalties as part of any investment pattern in the form of a support mechanism. AfricaBio concluded: "The taking of board seats must not impede the flexibility of any small or medium business."

Also making submissions were the Council for Science and Industrial Research, which called for more specific definitions in a number of areas; the Innovation Hub, which expressed certain concerns that the new body may be perceived as being in competition with the private sector; the Industrial Designers Association; and the Centre for International Political Studies.

The Bill can be found in Sabinet's Bill Tracker and submissions in Policy Documents.

Sabinet Parliamentary Product More information: www.sabinet.co.za, e-mail: sanet@sabinet.co.za

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