Industry Research and Development Act 1986 - Section 19 - Additional Functions of Innovation Australia (04/11/2009)

Overview

The Industry Research and Development Act 1986 was enacted to facilitate and support research and development activities in Australia, aiming to foster innovation and enhance the competitiveness of Australian industry. This Act establishes the Board, also known as Innovation Australia, which is responsible for administering and advising on government programs related to innovation, venture capital, and industry development. The Additional Functions Direction issued in 2009 by the Minister for Innovation, Industry, Science and Research under section 19 of the Act, seeks to address gaps in the commercialisation of Australian ideas and technology by directing the Board to provide advice on overcoming systematic and market failures in the commercialisation pathway. This Direction does not impose financial implications and serves to enhance the efficiency and international competitiveness of Australian industry by encouraging research, development, innovation, and venture capital activities.

Scope and Application

The Industry Research and Development Act 1986 establishes Innovation Australia, also known as the Board, as a body responsible for administering and providing advice on the Government’s innovation and venture capital programs. The Act applies to Innovation Australia as an entity, and the Minister for Innovation, Industry, Science and Research, who issues directions to the Board, has the authority to do so under section 19 of the Act. This legislative instrument is issued to direct Innovation Australia to undertake additional functions, specifically relating to promoting the development and improving the efficiency and international competitiveness of Australian industry by encouraging research and development activities, innovation activities, and venture capital activities. The direction issued on 4 November 2009, supersedes the previous direction given on 17 December 2004, and it requires the Board to provide advice on options to support the commercialisation of Australian ideas and technology, and to address systematic and market failures along the pathway to commercialisation. There are no financial implications arising from this direction, and it does not require prior consultation with Innovation Australia.

Key Provisions

The key operative sections of the Additional Functions Direction under the Industry Research and Development Act 1986 (section 19) establish the functions that Innovation Australia, referred to as the Board, must undertake. These functions include providing advice to the Minister for Innovation, Industry, Science and Research on promoting the development and improving the efficiency and international competitiveness of Australian industry through research, development, and innovation activities, as well as venture capital activities (section 19). Additionally, the Board is tasked with advising on options to support the commercialisation of Australian ideas and technology and addressing systematic and market failures along the commercialisation pathway. This directive, which supersedes a previous one issued on 17 December 2004, introduces a new function to the Board's portfolio. Innovation Australia, as governed by this Act, has specific obligations to the Minister. These include providing comprehensive advice on the implementation and operation of government programs aimed at enhancing industry efficiency and competitiveness through research, development, and innovation. The Board must also focus on strategies for commercialising Australian ideas and technologies, ensuring they effectively address existing systematic and market failures that impede the commercialisation process. The Direction does not require prior consultation with the Board before issuance, streamlining the process of implementing new functions. Failure to comply with the provisions of the Direction may lead to various consequences. While the Explanatory Statement does not detail specific penalties or sanctions for non-compliance, it is understood that such breaches could potentially lead to civil or criminal consequences depending on the severity and nature of the non-compliance. The exact penalties would be determined by the relevant laws and regulations in place at the time of the breach, which may include fines or other forms of enforcement action against Innovation Australia or its officers.