10 May 2006

Funding novel technologies

Australia's research universities received additional funding in this year's budget. For example, the government announced Aus$200M in new initiatives to assist small to medium sized businesses to commercialize new technologies.

Virginia Walsh, executive director of Australia's Group of Eight top research universities, welcomed the increased spending. But Walsh also highlighted the lack of funding for so-called "proof of concept", pre-commercial research investment, arguing that this lack "restricts the flow of new technology ventures".

It's a brave advocate of research that raises such a point during the relatively tight economic conditions that prevail today. But if Walsh is right, shifting investment from pre-commercial to commercial "innovation investment" might stymie the very conditions necessary for such investment to be a success.

The Group of Eight has also been outspoken about the way research budgets are allocated, giving special attention to the Research Quality Framework. Group of Eight Chair Glyn Davis pointed to the “lack of detail about the amount of funding to be distributed on the basis of RQF performance”.

I found Davis’ quote most interesting of all. When performance measures are used to determine funding levels, one should be reassured that performance would be rewarded. Otherwise, it would seem that the stick remains in place, but the carrot is nowhere to be seen.