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Maquetación 1 R&D AND INNOVATION IN SPAIN: IMPROVING THE POLICY MIX EDITA Fundación Española para la Ciencia y la Tecnología (FECYT) © OECD, 2007 MAQUETACIÓN Jorge del Barrio IMPRIME Lettergraf DEPÓSITO LEGAL M-25962-2007 FECHA DE PUBLICACIÓN 15 de Mayo de 2007 La traducción de este documento se ha realizado bajo la responsabilidad de la FECYT. FOREWORD This peer review of Spain’s “policy mix for R&D and innovation” is the second such review carried out by the OECD Working Party on Innovation and Technology Policy (TIP) as part of its effort to assess the policy mix for research and innovation policies. This review, requested by the Spanish authorities, complements the larger OECD country reviews of innovation policy underway in the TIP’s mother committee, the Committee for Scientific and Technological Policy (CSTP) as well as the recent OECD Economic Survey of Spain 2006 which contained a special chapter on innovation. The report reflects the findings that emerged from meetings in Madrid between an international panel of experts and the key stakeholders in the areas of R&D and innovation policy on 6-9 November 2006. It also draws on and reflects the input from a background paper commissioned by the Spanish Foundation for Science and Technology (FECYT), on behalf of the Spanish government. The background paper is attached as an annex to the main report. A first draft of this report was discussed at a meeting of OECD’s Working Party on Technology and Innovation Policy at The Hague, the Netherlands in December 2006 and was subsequently reviewed by policy makers and other stakeholders in Madrid on 22 January 2007. The Secretariat revised the draft to take into account discussions at the meeting and comments by the Spanish authorities and other key stakeholders. The revised report was then presented by the OECD to the Spanish authorities in Madrid at a press conference on 2 April 2007. This is the final report to be published jointly by the OECD and the FECYT in English and in Spanish. Table of contents Part I Introduction............................................................................................................................................................7 1. Improving the functioning of the innovation system as a whole.............................................................9 2. Policy mix for the science and technology base .....................................................................................12 3. Policy mix for business R&D and innovation ............................................................................................15 4. Policy mix for science-industry linkages ....................................................................................................21 5. Policy mix for human resources in science and technology.................................................................23 6. Governance and evaluation..........................................................................................................................26 7. Conclusions......................................................................................................................................................29 References ..........................................................................................................................................................30 Part II Annex 1 BACKGROUND AND ISSUES.........................................................................................................31 Annex 2 SELECTED ACTORS...........................................................................................................................63 Annex3 POLICY INSTRUMENTS......................................................................................................................66 Annex 4 THE INGENIO 2010 INITIATIVE........................................................................................................75 Annex 5 ORGANISATION OF THE REVIEW ................................................................................................79 Annex 6 INTERVIEW SCHEDULE FOR OECD REVIEW OF POLICY MIX .........................................80 Boxes Box 1. Recommendations to improve Spain’s R&D and Innovation Policy Mix........................................8 Box 2. Enhancing policy coordination across governments.......................................................................11 Box 3. Funding for infrastructure: An example from Canada .....................................................................14 Box 4. Tax incentives for labour and social charges of R&D personnel ..................................................19 Box 5. Simplifying access to capital schemes – an example from the Netherlands............................20 Box 6. Recent policy initiatives in OECD countries to enhance links between science and business.....22 Box 7. Measures to promote human resources in science and technology in Spain..........................24 Box 8. Regional Agencies in Canada...............................................................................................................27 Box A1. Public funding for universities in Spain...............................................................................................63 7 Part I - Introduction Part I Introduction In 1986 Spain enacted the Bill on Science and Technology which set the modern foundation for science and technology policy at a time when the country was still in the process of re-industrialisation and modernisation. Twenty years later Spain is again at a crossroads, both in terms of its general economic outlook but also in terms of its national innovation strategy, recently revamped under the Spanish National Plan for Scientific Research, Development and Technological Innovation (2004-2007) and Ingenio 2010, the current government’s key strategy for increasing public support to R&D and innovation. Having successfully generated sustained economic growth over the past decade, Spain has succeeded in closing the gap in per capita GDP with her leading EU partners, despite persistent lags in productivity growth. To increase productivity in the future, maintain the trajectory of economic convergence in the euro area and help address a range of social objectives, Spain is focusing policy attention and public investment on enhancing science and innovation. As Spain moves ahead to develop a new national plan for science and technology, the government has requested that the OECD undertake a peer review of the “policy mix” for R&D and innovation. The main purpose of the review by the OECD is to assess the recent changes in the policy mix for R&D and innovation, including the individual policy instruments, drawing on international experience. This paper presents the main findings from the peer review undertaken by an OECD panel of experts1 and reflects input from the Spanish authorities and stakeholders in the national Research and Development (R&D) and innovation system. It also draws on the background report submitted by the Spanish authorities, which is attached in Annexes 1 to 4.2 The findings from the review are intended to provide the Spanish government and stakeholders with fresh insights and recommendations on priorities that could help develop a more coherent and effective R&D and innovation policy mix. This report is intended to complement the recent OECD Economic Survey of Spain (OECD, 2006c), which also provided recommendations on policies to strengthen innovation performance. That report focused primarily on the framework conditions for innovation, while this report is primarily focused on policy instruments in the area of science and innovation policy. The main policy recommendations to enhance Spain’s policy mix for R&D and innovation are shown in Box 1 and are elaborated further in the remainder of this report. Concrete examples from other OECD countries as regards possible approaches to follow are provided in the text. The background report in Annexes 1 to 4 provides more information on the Spanish R&D and innovation system. 1. The OECD panel consisted of Dirk Pilat and Mario Cervantes of the OECD Secretariat, Pierre Therrien of Industry Canada; Sveinn Thorgrimsson of the Icelandic Ministry of Industry; Ilan Peled of the Ministry of Industry, Israel; and Enrico Martínez, consultant to CONACYT, Mexico (see Annex 5). 2. The background report (Martínez et al., 2006) was commissioned by the Spanish Foundation for Science and Technology (FECYT), on behalf of the Spanish government. It was drafted by Catalina Martínez, with the collaboration of Laura Cruz-Castro and under the supervision of Luis Sanz-Menéndez, Spanish representative to the OECD Committee for Scientific and Technological Policy (CSTP) and its Working Party on Technology and Innovation Policy (TIP). 8 R&D and innovation in Spain: improving the policy mix Box 1. Recommendations to improve Spain’s R&D and Innovation Policy Mix Strengthen the science and technology base; focus on achieving excellence and critical mass • Reduce the fragmentation of funding for research teams and projects. • Encourage greater accountability of universities and public research organisations (PROs) with regard to research outputs through improved financial incentives and via performance measures and goals. • Strengthen the ability of universities and PROs to recruit highly-qualified research talent and excellent technology transfer professionals. • Promote legal changes to enable public research institutions to hire and appoint researchers from
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