Review of Innovation and Technology Fund Presentation by Mr

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Transcript Review of Innovation and Technology Fund Presentation by Mr

Use of Innovation and Technology in Environmental Protection and Testing Review of Innovation and Technology Fund

19 January 2011 1

I)

Existing Support for Innovation and Technology Development

II)

Promote Use of Innovation and Technology in Public Sector

III)

Refine Funding Mechanism for Facilitating Technology Realisation/Commercialisation

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I) Existing Support for Innovation and Technology Development

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Hardware

(Infrastructure)

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Innovation and Technology Commission (230) Hong Kong Science and Technology Parks Corporation (185) Hong Kong Productivity Council (607) Hong Kong Applied Science and Technology Research Institute Company Ltd (570) Hong Kong Jockey Club Institute of Chinese Medicine (20) Automotive Parts and Accessory Systems (24) Logistics and Supply Chain Management Enabling Technologies (38) Nano and Advanced Materials Institute Limited (39) Hong Kong Research Institute of Textiles and Apparel (18)

Note: Numbers in bracket refer to the number of establishment in the organisation/centre

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Hong Kong Science and Technology Park

  Home to over 300 companies Phase 3     Expenditure: HKD 4.9 billion Work to be commenced in 2011 Completion in phases between 2013-2016 Additional GFA ~105,000 sq m; 4,000 R&D related jobs 6

Hong Kong Science and Technology Park

 Green Technology Cluster  Focused industries: photovoltaic technology, LED lighting, etc.

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Software

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1) Funding Support (ITF)

  Launched in 1999 with fund HK$5 bn 4 funding programmes a) Innovation & Technology Support Programme (Two major types:   b) Platform Projects:   10% from industry; 90% from ITF Industry does NOT own IPs Collaborative Projects:  50% from industry; 50% from ITF  Industry will own IPs University-Industry Collaboration Programme (50 % from industry; 50% from ITF; Industry will own IPs) 9

c) General Support Programme (for non-R&D activities)   • Project scope: contribute to fostering innovation and technology culture in Hong Kong; Project grant: up to 90% of total approved project cost d) Small Entrepreneur Research Assistance Programme (SERAP)  Dollar-to-dollar matching basis; maximum HK$4 million from ITF) 10

2) R&D Centre Programme

 5 R&D Centres 1) Nano & Advanced Materials Institute (NAMI) — Nanotechnology and advanced materials 2) 3) 4) 5) Research Institute of Textiles and Apparel (RITA) — Textiles and clothing Automotive Parts and Accessory Systems (APAS) — Automotive parts and accessory systems Logistics & Supply Chain Management Enabling Technologies (LSCM) — Logistics and supply chain management Applied Science and Technology Research Institute (ASTRI) — ICT [Note: under ASTRI  HKJCICM] 11

3)

-

Cash Rebate Scheme

10% rebate for ITF projects and projects undertaken with local R&D institutions e.g. a $1mn Collaboration Project:

HK$

(a) R&D expenditure borne by the company (b) Profit tax saved (16.5%) 500,000 (82,500) (a x 16.5%) (c) Cash rebate (10%) (d) Taxable part of the cash rebate (16.5%)

Actual R&D expenditure

(50,000) (a x 10%) 8,250 ( c x 16.5%)

375,750 ( a–b–c+d) Only 37% of total cost

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4) Liaison with key players Government

(官)

Industry

( 產 )

Academic

( 學 )

Research Institute

( 研 )

ITC

Innovation & Technology in Public Sector Programme

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II) Promotion of Innovation and Technology in Public Sector

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一 條龍

One-Stop Support

      ITC serves as a conduit to match user needs with technology know-how developed by innovators/researchers; ITC provides funding: ITF and Cash Rebate Scheme; Government users to provide inputs on user requirements to I&T suppliers, ie. matching demand with supply; Government departments and public bodies to conduct trial use of research deliverables; User feedback after trial use would facilitate innovators/researchers to fine-tune research outputs to products more in line with market demand; I&T suppliers build referencebility.

Examples 1) LED lighting  Highways Department, Housing Department 2) E-Learning Pilot Scheme  Education Bureau 3) RFID Technology for workplace automation and operational efficiency  Customs & Excise Dept, Correctional Services Dept, Radio Television Hong Kong 16

4) Health Care and Welfare Sector  Hospital Authority  Hong Kong Council of Social Service 17

4) Health Care and Welfare Sector  Projects         Handy device for community nurses for home visits Drug dispenser for elderly patients Special computer with Skype capability for bed-ridden senior citizens RFID Tags and Management System for tracking new born babies in hospital RFID Tags and Management System for tracking tools and gauzes used in operating theatre in hospital Digitization and e-copy of pathology slides for easy retrieval/ examination by doctors in hospital Computer designed for easy sterile for Paediatric Ward Convenient login device for doctors/nurses to login HA main system 18

III.Refine Funding Mechanism for Facilitating Technology Realisation/Commercialisation

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Extending ITF “Vertically”

 Provide funding support for production of tools/prototypes/samples and conducting trial use in public sector;  Provide “Follow-On” Funding – advanced approval mechanism.

Extending ITF “Horizontally”

 Adopt “cluster project approach” for project consideration. 20

Vetting Criteria

       Scientific component; Technical capability; Financial considerations; Existence of a holistic plan to realisation / commercialisation; Relevance with Government policies or in overall interest of the community; Proposal on IP rights and benefit sharing; and Management capability.

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Creation of a Ecological Environment Which is Conducive to the Realisation of R&D Results Overseas Local Govt departments

(except ITC) Industry

/companies Universities

R&D Centres

(HKPC, VTC) CEDB/ITC (Policy formulator, co ordinator and facilitator)

Ensure availability of hardware

- Science Park - Industrial Estates - leveraging the availability of land in Mainland e.g. the DuPont model under the Shenzhen Hong Kong Innovation Circle

Ensure availability of software

- ITF funding - linkage with Mainland and overseas contacts - Cash Rebate Scheme - ensure fair system on IP/ benefit sharing to motivate parties concerned - interface with RGC so that good projects, which migrate to the stage of applied research can continue under ITF funding

Current ITF funding scope Inception of good project

With all stakeholders on board and support on both hardware and software fronts, proceed to develop good R&D projects

Project Stakeholders:

Companies industry sponsors/future partner to pursue commercialisation Universities/R&D Centres to provide research support Government department(s)/ quango(s) etc to provide input on users' requirements as well as agree to participate in future pilot scheme(s) Submission of application for R&D R&D Completed Submission of report to ITC (paper report) Funding approved for conducting R&D Comprehensive system of vetting under ITF to ensure projects with higher chance of realisation be given priority funding support Applicants can apply for funding to cover tooling / prototypes / samples / trial schemes Funding approved Production of tooling / prototypes / samples Trial Run by Government department(s) / quango(s) / welfare agency & client(s) / chamber(s) of commerce and trade association(s) Feedback to further improve process Fine tune product to meet market needs Obtain reference from ITC / Government department(s) or quango(s) Enter market successfully Feedback with good field experience Realisation / commercialisation achieved Feedback with unacceptable field experience To rectify deficiencies / improve products based on feedback

Stakeholders Role of CEDB/ITC Process for R&D to Realisation

Overseas Local Govt departments

(except ITC) Industry

/companies Universities

R&D Centres

(HKPC, VTC) Stakeholders CEDB/ITC (Policy formulator, co-ordinator and facilitator)

Ensure availability of hardware

- Science Park - Industrial Estates - leveraging the availability of land in Mainland e.g. the DuPont model under the Shenzhen Hong Kong Innovation Circle

Ensure availability of software

- ITF funding - linkage with Mainland and overseas contacts - Cash Rebate Scheme - ensure fair system on IP/ benefit sharing to motivate parties concerned - interface with RGC so that good projects, which migrate to the stage of applied research can continue under ITF funding

Role of CEDB/ITC

With all stakeholders on board and support on both hardware and software fronts, proceed to develop good R&D projects

Inception of good project

Project Stakeholders :

Companies industry sponsors/future partner to pursue commercialisation Universities/R&D Centres to provide research support Government department(s)/ quango(s) etc to provide input on users' requirements as well as agree to participate in future pilot scheme(s) Submission of application for R&D

Current ITF Funding Scope

R&D Completed Submission of report to ITC (paper report) Funding approved for conducting R&D Comprehensive system of vetting under ITF to ensure projects with higher chance of realisation be given priority funding support Applicants can apply for funding to cover tooling / prototypes / samples / trial schemes Funding approved Production of tooling / prototypes / samples Fine tune product to meet market needs Obtain reference from ITC / Government department(s) or quango(s) Enter market successfully Trial Run by Government department(s) / quango(s) / welfare agency & client(s) / chamber(s) of commerce and trade association(s) Feedback with good field experience Feedback with unacceptable field experience

Realisation / commercialisation

To rectify deficiencies / improve products based on feedback

achieved

Feedback to further improve process

Process for R&D to Realisation

Thank you!

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