BRINGING KNOWLEDGE TO LIFE Annual Report 2002/3 Annual Report of the National Research Foundation (NRF) PO Box 2600 Pretoria 0001 Tel: +27 12 481 4003 Fax: +27 12 481 4134 Email: [email protected] www.nrf.ac.za contents VISION 1 CORPORATE HIGHLIGHTS 2 CHAIRPERSON’S OVERVIEW 4 PRESIDENT’S STATEMENT 6 BOARD REPORT CORPORATE OVERVIEW 10 Clustering of corporate activities 11 Corporate governance 12 Corporate finance 13 Corporate human resources and transformation 15 PERFORMANCE OVERVIEW OF NRF BUSINESS UNITS 17 Research and Innovation Support Agency (RISA) 18 Project Portfolio (some examples) 28 South African Agency for Science and Technology Advancement (SAASTA) 36 National Research Facilities: 39 Hartebeesthoek Radio Astronomy Observatory (HartRAO) 40 Hermanus Magnetic Observatory (HMO) 43 South African Astronomical Observatory (SAAO) 45 South African Environmental Observation Network (SAEON) 48 South African Institute for Aquatic Biodiversity (SAIAB) 49 iThemba Laboratory for Accelerator Based Sciences (iThemba LABS) 52 KEY PERFORMANCE INDICATOR REPORT 54 NRF approach to KPIs and benchmarks 55 FINANCIAL REPORT 57 Statement of responsibility by the Board of Directors 58 Report of the Auditor-General 60 Income statement 62 Balance sheet 63 Statement of changes in funds 64 Cash flow statement 65 Accounting policies 66 Notes to the annual financial statements 69 board members (as at 31 March 2003) Professor B D Reddy (Chairperson) Dean of Science: University of Cape Town Professor S F Coetzee Centre for Leadership Studies: University of Stellenbosch Mr W W Cooper CEO: Dorbyl Ltd Professor C A Hamilton Director: Graduate School for Humanities and Social Sciences, University of the Witwatersrand Dr J L Job Chairman: SAPPI SA Dr T Mdaka Nuclear Physician Professor C C Mokadi Vice-Chancellor and Principal: Technikon Witwatersrand Professor P E Ngoepe Director: Materials Modelling Centre, University of the North Mr M M Nxumalo Director: Global Industries Mrs B D Radebe Executive Chairperson: Mmakau Mining Professor J van Zyl CEO: Sanlam Professor H W Vilakazi Independent Electoral Commission Dr K Mokhele NRF President (ex-officio) 4 vision The NRF aims for a prosperous South Africa and African continent steeped in a knowledge culture, free of widespread diseases and poverty, and proud contributors to the well-being of humanity. Fundamental to this vision is quality education, wealth creation and an improvement in the quality of life for all. In modern economies these achievements are dependent on innovation, research and development (ie knowledge creation and utilisation). The CORPORATE CORE MISSIONS of the NRF are to develop and support: high-quality human resources in aggressively increasing quantities; the generation of high-quality knowledge in prioritised areas that respond to national and continental development needs; the utilisation of knowledge, technology transfer and innovation to ensure tangible benefits to society from the knowledge created; and the provision of state-of-the-art research infrastructure that is so essential to facilitating the development of high-quality human resources and knowledge. CORPORATE STRATEGIC PRIORITIES include: redressing and ensuring equity in race and gender; adhering to quality; focusing on Africa; internationalising research; positioning the NRF within the National System of Innovation; and transforming the NRF organisationally. 1 corporate highlights for 2002/03 Output of researchers supported by RISA through its Focus Area Programmes equals close to half of the total research output of higher education subsidised by the Department of ON CD Education. For more information on our highlights, kindly refer to the The NRF’s strategic KPI report on CD. planning process was concluded, and the corporate vision and mission adopted. The first round of evaluation and rating of researchers in the social sciences and humanities was The launch of the National implemented. Astrophysics and Space Science Programme (NASSP) took place at the University of Cape Town with major input from facilities. An agreement was reached with the Department of Labour to manage the Scarce Skills Fund. 30% There was a 30% increase in the number of researchers supported by RISA, mostly in development programmes. 2 FEST was incorporated within the NRF by Minister Ngubane in December 2002. Staff development efforts at the National Research Facilities resulted in 24 higher degrees completed, with 7 doctoral and 14 master’s degrees. The construction of SALT is advancing on time and on schedule with the first The National Research of the 91 mirror segments Facilities increased their installed. support of postgraduate training by 17% to 183. 17% The official launch Cabinet gave support for of the Coelacanth SA’s bid to host the Square Project took place Kilometre Array (SKA). at Sodwana in April 2002. The first three President Awardees in social sciences and humanities 3 were identified and honoured. Research output of the National Research Facilities include 104 refereed ISI-listed publications. 104 3 chairperson’s overview he past year has seen some significant developments in the research and development landscape in this country, particularly in areas of relevance to the NRF. Chief among these has been the adoption by government of the National Research and Development Strategy (R&D Strategy); this provides the context in which researchers, working with others in industry, government, and agencies such as the NRF, Twill address challenges that are of national importance. The NRF’s own strategic plan is well aligned with the R&D Strategy, and envisages for the organisation a central role in giving substance to the national strategy. Government has in the recent past adopted various other strategies for the achievement of national goals in the areas of economic growth, job creation, and social upliftment. The successful implementation of these strategies depends critically on the close involvement of highly skilled researchers and other professionals, and on the ability to address in an innovative manner the research issues that have a direct impact on these areas. It is in this domain that the NRF together with the higher education sector play a major role. TRENDS CAUSE CONCERN There are some serious concerns, though, about the country’s readiness to respond to these needs. More particularly, some disturbing trends make clear the magnitude of the challenge facing us all. We have an ageing research community. Around half of the research produced in Prof BD Reddy South Africa may be attributed to researchers who are over 50 years of age; ten years Chairperson: NRF Board ago the proportion was of the order of 30%. In addition, data in the annual report shows that there has been a decline for two consecutive years in the number of rated scientists in the natural sciences and engineering, a phenomenon which can be ascribed largely to ageing. And, to give further emphasis to the nature of this trend, half of our A-rated researchers are 60 years and over in age, and will therefore formally have left the system within the next five years. These worrying trends indicate an inability to ensure replenishment of the community of researchers in sufficient numbers, and of sufficiently high quality, to ensure satisfactory levels of growth in research activity in the country. As it is, within the higher education sector fewer than 15% of approximately 15 000 academic and professional staff can be classified as active researchers. MAKE RESEARCH ATTRACTIVE Bold and decisive action is required to reverse these adverse trends. In the shorter term it is vital that conditions for the pursuit of research, both fundamental and applied, be made more attractive. For students, and for postdoctoral researchers too, a key factor will be the value of bursaries and fellowships enabling them to pursue a research career. 4 Success in retaining researchers, and in attracting young people into academia and research, will require that the conditions for carrying out scholarly work are improved. “Economic growth, In this regard, an area that requires urgent attention is that of renewal and growth of job creation, and social the equipment base in the country. upliftment depend A further development that will serve as a catalyst to growth in research is the implementation of the system for establishing Centres of Excellence, which has been critically on the close proposed in the national R&D Strategy. involvement of highly The NRF will be calling for the first round of proposals for the establishment of such skilled researchers centres in August 2003, with a view to funding these from 2004 onwards. The amount and other professionals, available for this first round – R24m – is a first step toward the goal expressed in the and on the ability to R&D Strategy of ultimately investing Rl50m in this way. address in an innovative EDUCATION IS THE KEY manner the research In the medium to longer term, by far the biggest challenge lies in the promotion issues that impact on of Mathematics and Science in our schools. It will require further concerted and these areas.” imaginative steps by government, NGOs, and the private sector, working in collaboration, to ensure that we make real progress. Significant in this regard is the decision by government to transfer FEST (now SAASTA) to the NRF, which identifies the NRF as a key participant in the promotion of Science and Mathematics in schools, and also in the process of improving the understanding of the importance of Science and Technology within the broader community. This places a significant responsibility on the shoulders of the NRF. But it is a challenge that the NRF will approach effectively and enthusiastically, working with researchers in higher education, the national facilities, science councils, and others. APPRECIATION AND ACKNOWLEDGEMENT It is with pleasure that I acknowledge the commitment and diligence shown by the staff members of the NRF, both within the Research and Innovation Support Agency (RISA) and in the National Research Facilities. It is due to their efforts that so much has been achieved, in circumstances that are at times not easy.