Innovation Future for Australian Industry
Media Statement - 21st November 2007
Innovation is a key driver of productivity and economic growth, particularly for advanced economies such as Australia. Innovation drives the creation of new businesses and sectors and revitalises existing industries.
Problem solving, creative ideas and new technologies are also vital to meeting the social and environmental challenges we face as a nation – from population ageing to climate change. Yet the Howard Government has ignored the innovation imperative.
After 11 years, Australia compares poorly with competitor countries on too many indicators, including: business investment in research and development (R&D); the number of PhDs in the workforce; and low growth in business productivity and exports of goods and services.
Australia’s innovation system is weakened by a cultural divide between public research and private business, and a lack of national policy coordination. A Rudd Labor Government will build a truly national innovation system.
Federal Labor will put the right policy framework in place, implementing a range of initiatives to: bridge the divide between industry and research; ensure that business has better access to new ideas and new technology; and increase innovation incentives across the economy.
A key initiative is Federal Labor’s $200 million Enterprise Connect network, aimed at connecting businesses to new ideas and new technologies. This will include a national network of Manufacturing Centres, a Clean Energy Innovation Centre, a Creative Industries Innovation Centre and a Remote Enterprise Centre.
In addition, Federal Labor’s Enterprise Connect initiative will include:
- An Innovative Regions Centre with funding of $20 million to provide hands-on support to small and medium sized companies, boost local economies and create new jobs in areas that are experiencing adjustment pressures.
- $10 million for a Researchers in Business initiative, to build strong research links and develop the commercial potential of news ideas.
Federal Labor will restore the key place of science and innovation in our community, with a full time Chief Scientist and a reinvigorated CSIRO.
A Rudd Labor Government will value the breadth of Australian research effort across the humanities, creative arts and social sciences as well as scientific and technological disciplines and will revitalise Australia’s public research sector.
This includes doubling the number of Australian Postgraduate Awards for PhD and Masters by Research students, and creating 1,000 new four year Future Fellowships to keep our best and brightest mid-career researchers in Australia.
To help address Australia’s chronic shortage of qualified mathematicians and scientists, Federal Labor has committed to halving HECS fees for maths and science students, and halving their repayments if they take up jobs in key fields, like teaching.
Federal Labor’s Education Revolution also includes a clear commitment to early childhood education; the creation of 450,000 additional training places; a $2.5 billion investment over ten years to build Trades Training Centres in each of Australia’s secondary schools; and putting a computer on the desk of every student in Years 9 to 12.
High speed broadband is a vital underpinning for an innovation economy. A Rudd Labor Government will invest up to $4.7 billion to establish the National Broadband Network in partnership with the private sector.
A Rudd Labor Government will also work in partnership with industry to support innovation that addresses the challenge of climate change, by establishing:
- Clean Business Australia, with an investment of $240 million to support: a Re-tooling for Climate Change grants program; Climate Ready support for R&D and early stage commercialisation of environmentally friendly products; and a Green Building Fund.
- A $150 million Energy Innovation Fund and a $50 million geothermal initiative.
- A $15 million Clean Energy Export Strategy to help Australian businesses take a larger slice of the renewable energy market, working alongside the Innovation Centre.
- A $500 million Green Car Innovation Fund to develop and build fuel efficient vehicles in Australia.
In the 21st century, innovation policy is industry policy. Federal Labor’s approach will therefore be underpinned by bringing responsibility for innovation, industry, science and research into one Department to provide national leadership.
Federal Labor will also establish Industry Innovation Councils to foster ongoing partnerships across the value chain in key sectors and develop a long-term approach to boosting productivity.