Directions in Respect of Competitive Grants for Research and Development (Variation No. 1 of 1996)

Overview

The Industry Research and Development Act 1986 was enacted to address the need for promoting and facilitating research and development in various industries within Australia, thereby fostering innovation and economic growth. The Act established a framework for competitive grants aimed at supporting research and development activities. In 1996, a variation to the directions concerning these competitive grants was introduced by John Colinton Moore, the Minister for Industry, Science and Tourism, under the authority granted by subsection 20(1) of the Act. This variation was made to adjust the operational aspects of the competitive grants program, ensuring it remains effective and aligned with the evolving needs of the industry. The policy objective behind these changes was to streamline and eventually sunset the competitive grants program to better focus resources on other forms of industry support.

Scope and Application

The Industry Research and Development Act 1986, as varied by the Directions in respect of Competitive Grants for Research and Development (Variation No. 1 of 1996), applies to entities and individuals engaged in research and development activities within Australia. The Act, through this variation, specifically targets the Board responsible for administering competitive grants for research and development, imposing restrictions on the consideration of new applications and the entering into agreements for such grants beyond specified dates. The geographic reach of this legislation is national, applying uniformly across the Commonwealth of Australia. The stated exclusions within this variation include any competitive grants for research and development applications made or agreements entered into after the specified dates of 31 March 1997 for consideration and 31 December 1997 for agreement. This legislative instrument extends the application of the original Act by introducing a sunset clause that effectively terminates the competitive grants program for research and development beyond the prescribed timeframe.

Key Provisions

The primary operative section of this legislative instrument is the introduction of a new clause, Clause 53.1, which is inserted after Clause 4 of the original direction (section 1). This new clause mandates that the Board must not consider applications for a Competitive Grant for Research and Development made after 31 March 1997, nor enter into agreements to provide such grants after 31 December 1997, except for varying agreements made before that date. This effectively sunsets the Competitive Grants Program, bringing it to an end and ensuring no new grants are processed or agreed upon beyond the specified dates (section 3). The Act imposes specific obligations on the Board, including the cessation of processing new applications for Competitive Grants for Research and Development as of 31 March 1997, and refraining from entering into new grant agreements after 31 December 1997 (section 5.a and 5.b). The Board must adhere strictly to these timelines to ensure compliance with the legislative changes. The Act also mandates the publication of particulars of the variation in the Gazette, ensuring transparency and informing stakeholders of the changes (section 2). Breaching the provisions outlined in this legislative instrument could lead to civil or administrative penalties, although the specific penalties are not detailed within the text. The Act's silence on penalties suggests that the primary enforcement mechanism is compliance through adherence to the new timelines set out. The introduction of this variation and its sunsetting clause is likely intended to streamline and conclude the Competitive Grants Program in a controlled manner, ensuring a clear end date and preventing any ambiguity or continued obligations beyond the specified period.