Bills Digest no. 19 2008–09
Australian Research Council Amendment Bill 2008
WARNING:
This Digest was prepared for debate. It reflects the legislation as introduced
and does not canvass subsequent amendments. This Digest does not have
any official legal status. Other sources should be consulted to determine
the subsequent official status of the Bill.
CONTENTS
Passage history
Purpose
Background
Financial implications
Main provisions
Concluding comments
Contact officer & copyright details
Passage history
Date introduced:
4 September 2008
House:
House of Representatives
Portfolio:
Innovation, Industry, Science and Research
Commencement:
On Royal Assent
Links: The relevant
links to the Bill, Explanatory Memorandum and second reading speech
can be accessed via BillsNet, which is at http://www.aph.gov.au/bills/. When Bills
have been passed they can be found at ComLaw, which is at http://www.comlaw.gov.au/.
The Bill amends the Australian Research
Council Act 2001 (the Act) to provide increased funding in the financial
years 2008–09, 2009–10, 2010–11; and provide funding for the new financial
year 2011–12.
The Australian Research Council
(ARC) was originally created through the Employment, Education and
Training Act 1988, but subsequently became an independent statutory
body under the Act. Governance of the ARC was reformed through the Australian
Research Council Amendment Act 2006.[1]
The ARC provides advice to
the Government on research matters; makes recommendations to the Minister
on the allocation of funds within the National Competitive Grants Program
(NCGP); and administers the NCGP. [2]
The National Competitive Grants Program (NCGP)
In 2006–07 NCGP grants amounted to $570.3 million, nine
per cent of the total Australian Government assistance for research and
development.[3] The NCGP
comprises two main elements: Discovery and Linkage. Discovery Projects
fund individual researchers and projects across a broad range of disciplines.
Linkage Projects support cooperative research between higher education
providers and industry, government and community organisations.
Future Fellowships
At the last election, the Government promised to introduce
a Future Fellowships funding scheme to promote research in areas
of critical national importance by giving world class researchers incentives
to keep doing their research in Australia.
In the 2008–09 Budget the Government met the election
commitment through the budget measure Future Fellowships – establishment,
estimated at $326.2 million over four years to 2011–12.[4]
Future Fellowships will be administered as a new scheme
under the Discovery element of the National Competitive Grants Program
(NCGP).
Commencing in 2009, up to 200 new Future Fellowships
will be awarded per year. Over a five-year period (2009–13), Future Fellowships
will offer four-year Fellowships of up to $140,000 a year to 1000 Australian
and international top researchers in the middle of their career. In addition,
each researcher’s administering organisation will receive funding of up
to $50,000 per year to support related infrastructure, equipment, travel
and relocation costs.[5]
The Hon. Julia Gillard MP, Minister for Education representing
the relevant Minister, says the Bill ‘provides approximately an extra
$950 million over the forward estimates’.[6]
The Bill appropriates an extra $943.1 million over four
years, the majority of which is the $731.6 million appropriated through
proposed paragraph 49(l) for the newly inserted forward estimate
year 2011–12.
If the appropriations in the four years, 2007–08 to 2010–11,
in existing paragraphs 49(h), (i), (j) and (k) of the Act are compared
with the proposed four years of appropriations in the Bill, the Bill provides
an extra $371.3 million. This increased appropriation will meet the Government’s
commitment to establish the new Future Fellowships.
Schedule 1
Existing section 49 of the Act sets out the annual cap on ARC grants funding
for future years. Item 2 repeals paragraphs 49(i), (j) and (k)
and substitutes new paragraphs 49(i), (j), (k) and (l) which set
out the funding caps for the financial years starting 1 July 2008 up to
1 July 2011. New paragraph 49(l) adds an addition year of funding
– the 2011–12 financial year. That year has a cap of $731.649 million.
Concluding
comments
The Bill provides for total additional
appropriations of $943.1 million to fund the ARC’s existing competitive
grants scheme, indexation and meet the Government’s election commitment
to establish a new competitive grant category–Future Fellowships–estimated
to cost $326.2 million over four years.
[2]. Australian Research
Council, Annual Report, 2006–07, p. 12.
Coral Dow
15 September 2008
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