NATIONAL SCIENCE AND TECHNOLOGY BOARD (AMENDMENT) BILL

Order for Second Reading read.

The Senior Minister of State for Trade and Industry (Mr Tharman Shanmugaratnam): Mr Speaker, Sir, I beg to move, "That the Bill be now read a Second time."

The National Science and Technology Board (NSTB) was established in 1991 to help upgrade the level of technology in industry and promote R&D in the private sector. Its core activities were promoting and supporting private sector R&D through grants, and establishing research institutes and centres to support technology development in industry. The emphasis was on downstream technology development, aligned to the needs of the manufacturing sector.

Our economy has advanced rapidly over the past four decades, bringing fresh challenges and priorities at each stage of development. In the 1990s, an important priority was to raise levels of technology in industry and move to higher value added productive activities. NSTB's focus was in supporting industry upgrading and promoting the development of technopreneurship.

As we move up the economic ladder and into the knowledge-based arena, Singapore faces new and more complex challenges. Science and technology are advancing relentlessly. Established centres of R&D are moving ahead, and new players are emerging. Singapore has to step up the pace in building a knowledge-based economy, or be left behind. Our window of opportunity is narrowing.

The development of human and intellectual capital is the key to our future economic growth. We have to move beyond the adoption of new technologies developed elsewhere. We have to create, own and exploit intellectual capital. To do so, we must broaden and deepen our scientific capabilities. Only then can we nurture and attract high value knowledge-based activities, anchor them in Singapore and provide rewarding jobs for our people.

NSTB has been restructured to support this objective by moving from downstream technology development towards the promotion and encouragement of science, engineering and biomedical research. Its roles in co-funding industry R&D and technopreneurship development have been transferred to EDB. NSTB will place greater emphasis on nurturing research talent, that can create intellectual property to develop and attract higher value, knowledge-based industries.

NSTB has therefore refined its mission to that of fostering world-class scientific research and talent so as to create a vibrant knowledge-based economy. It will pay particular attention to:

(1) integrating public sector R&D with the development of industry clusters;

(2) nurturing local R&D talent (with particular emphasis on our youth), in addition to recruiting foreign talent; and

(3) promoting the exploitation of intellectual property created by our research institutes.

To reflect this new mission, NSTB has been renamed the Agency for Science, Technology and Research or A*STAR, since 1st January of this year. The new name symbolises the organisation's role as an agent of change, and in providing the guiding direction for upgrading in science, technology and research for the development of Singapore's economy.

The amendments to the NSTB Act thus reflect the refinement or re-focusing of the mandate, powers and functions of A*STAR, and also the new name. Let me now touch on the key aspects of the Bill.

Change of Name

Clause 5 effects the change of name to the "Agency for Science, Technology and Research" or such other business name as the Minister may by notification specify. The agency may carry out its functions and duties under the new name and the acronym ASTAR. This will give the ASTAR the flexibility to change its business name as and when the circumstances require, without having to change its legal name - Agency for Science, Technology and Research.

Changes in Functions and Powers

Clause 7 widens the mission and direction of A*STAR to include the following objectives:

(1) to spearhead the creation of a knowledge-based economy by encouraging research and development and nurturing talent in research and development in the areas of science, engineering and biomedical sciences;

(2) to promote the creation and management of intellectual property through research by the various research institutes under A*STAR and through collaboration with other research institutes, universities or industry partners; and

(3) to provide and facilitate the commercial application of the intellectual property created by these research and development activities.

Powers of the Agency

Clause 8 empowers A*STAR to carry out its expanded functions, including a power to establish research institutes and councils. It also includes the power to provide grants and financial assistance for R&D and commercial applications in areas defined by the agency.

Deletion of the Third Schedule

Given the lapse of 11 years since the Science Council was taken over by the agency, all references to that transfer provided for by the Third Schedule are no longer relevant or applicable. Therefore, clause 10 repeals the Third Schedule.

Mr Speaker, Sir, the proposed amendments to the NSTB Act will allow A*STAR to focus its energies on building a critical mass of research manpower and developing core capabilities in the fields of science, engineering and biomedical sciences. This nurturing of scientific talent and R&D capabilities will be crucial to Singapore's drive to move up the economic ladder and establish itself as a hub in the global knowledge-based economy.

Sir, I beg to move.

Question put, and agreed to.

Bill accordingly read a Second time and committed to a Committee of the whole House.

The House immediately resolved itself into a Committee on the Bill. - [Mr Tharman Shanmugaratnam].

Bill considered in Committee; reported without amendment; read a Third time and passed.

Mr Speaker: Order. I propose to take the break now. I suspend the Sitting and will take the Chair again at 2.45 pm.

Sitting accordingly suspended at 2.15 pm until 2.45 pm. Sitting resumed at 2.45 pm