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A n n u a l R e p o r t 2 0 0 4 / 0 5

E n a b l i n g t h e s e e d s o f k n o w l e d g e t o t a k e f l i g h t

Annual Report of the

National Research Foundation

PO Box 2600

Pretoria 0001

Tel: +27 12 481-4000

Fax: +27 12 349-1179

Email: [email protected]

www.nrf.ac.za

NRF Annual Report 2004/05

ISBN: 1-86868-055-X

Produced by: Words’worth

+27 11 381-7700

All seed visuals are courtesy of

Creative Gardening with Indigenous Plants,

by Pitta Joffe, published by Briza Publications

A f o r e s t s t a r t s w i t h j u s t o n e s m a l l s e e d .

A k n o w l e d g e e c o n o m y s t a r t s

w i t h o n e p a s s i o n a t e t e a c h e r .

T h e N R F ’ s o u t r e a c h p r o g r a m m e s

s e e k w a y s t o i g n i t e t h i s f i r e w i t h i n .

Today

1 NRF VISION

2 CORPORATE HIGHLIGHTS

4 CHAIRPERSON’S OVERVIEW

6 PRESIDENT’S STATEMENT

8 BOARD REPORT: CORPORATE OVERVIEW

10 Corporate core missions and strategic priorities

10 Composition of the NRF

10 Clustering of NRF business units and activities

11 Corporate governance

13 Corporate finance

15 Corporate human resources and transformation

18 New business development

19 NRF BOARD MEMBERS

20 BOARD REPORT:

PERFORMANCE OVERVIEW OF BUSINESS UNITS

22 Research and Innovation Support and Advancement (RISA)

22 Introduction

22 RISA achievements

22 Human resource development

23 Grantholder support

23 Student support

24 Staff development grants

25 Knowledge generation in the Focus Area Portfolio

26 Centres of Excellence

27 Social Sciences, Humanities and Law

27 Utilisation of research results, technology transfer

and innovation

28 Provision of state-of-the-art equipment and

infrastructure

28 Internationalisation

30 Africa interaction

31 Adherence to quality

32 Positioning RISA in the NSI

33 RISA as service provider

33 Science and Technology Agreements Fund

33 The Technology and Human Resources for

Industry Programme

34 Innovation Fund

35 Scarce Skills Development Fund

35 Biodiversity Programmes

35 Indigenous Knowledge Systems

35 Palaeoanthropology Scientific Trust

36 Centres of Excellence – overview

Tomorrow

38 South African Agency for Science

and Technology Advancement

38 Introduction

40 Science Advancement – overview

42 National Research Facilities

42 Introduction

44 South African Astronomical Observatory

46 Hartebeesthoek Radio Astronomy Observatory

48 Hermanus Magnetic Observatory

50 South African Institute for Aquatic Biodiversity

52 South African Environmental Observation

Network

55 National Zoological Gardens

56 iThemba Laboratory for Accelerator Based Sciences

58 PROJECT HIGHLIGHTS

60 Tough, tasty … and a new currency

62 … and the fly was the detective

64 Anything under the sun is now possible …

66 KEY PERFORMANCE INDICATOR REPORT

68 NRF core missions and strategic priorities

68 Rationale for adopting the core missions

and strategic priorities

70 The NRF approach to Key Performance Indicators

72 KPI Report summary

78 FINANCIAL REPORT

80 Statement of responsibility by the Board of Directors

81 Report of the Audit Committee

82 Report of the Auditor-General

84 Income statement

85 Balance sheet

86 Statement of changes in funds

87 Cash flow statement

88 Accounting policies

90 Notes to the annual financial statements

106 LIST OF ACRONYMS

108 CONTACT INFORMATION

T h e s e e d s o f k n o w l e d g e n e e d a n

a p p r o p r i a t e c a r r i e r t o u n l o c k t h e i r p o t e n t i a l

Zulu – I-National Research Foundation inentokozo ngokwethula imiphumela yayo yonyaka ka-2004/05,

etshengisa kafushane imisebenzi yenhlangano yayo, RISA, kanye neZinsiza Zocwaningo Lukazwelon

Xhosa – ISiseko soPhando sikaZwelonke sinovuyo ukunika iziphumo zonyaka ka-2004/05,

ezibeka imisebenzi ye-arhente yayo, iRISA kunye namaNcedo oPhando kaZwelonke.

Venda – Dzangano la National Research Foundation li divhadza mvelele dzalo dza nwaha nga nwaha dza 2004/05,

dzine dza gaganya kushumele kwa RISA, ine ya vha murado wayo, na kushumele kwa National Research Facilities.

Tsonga – Nhlangano wa Ndzavisiso wa Rixaka wu tsakela ku nyiketa mimbuyelo ya wona ya lembe ra 2004/05,

leyi hlamuselaka migingiriko ya muyimeri wa wona, RISA ni Swipfuno swa Ndzavisiso wa Rixaka.

Swati – INhlangano yekuPhenya yaVelonkhe (I-National Research Foundation) itsandza kutsatsa lelitfuba kutsi

yetfule imiphumela yayo yemnyaka wa-2004/05, lechaza imisebenti yelihhovisi layo,

yeRISA kanye neyetiNsita tekuPhenya taVelonkhe.

Setswana – Setheo sa Ditlhotlhomiso sa Bosetšhaba se motlotlo go tlhagisa dipholo tsa sona tsa ngwaga le ngwaga

tsa 2004/05, tse di thadisang ditiro tsa boemedi jwa sona, RISA, le Dibebofatsi tsa Ditlhotlhomiso tsa Bosetšhaba.

Sesotho – Ba National Research Foundation (Letlole la Diphuputso la Naha) ba motlotlo ho hlahisa diphetho

tsa selemo sa 2004/05, tse hlalosang mesebetsi ya baemedi ba rona, e leng RISA le National Research Facilities

(Menyetla ya Diphuputso ya Naha).

Sepedi – Mokgatlo wa Dinyakišišo wa Setšhaba o thabela go neelana ka dipoelo tša ka ngwaga tša 2004/05

tšeo di akaretšago lefaphathušo la wona e lego RISA le Dinolofatši tša Dinyakišišo tša Setšhaba.

Ndebele – IsiKhungo sezamaRhubhululo wesiTjhaba sithabela khulu ukwethula imiphumela waso wonyaka

ka-2004/05, eveza okwenziwe basebenzeli baso, i-RISA, kanye nabamaThuba wezamaRhubhululo wesiTjhaba.

Afrikaans – Die Nasionale Navorsingstigting bied met trots hul jaarlikse uitslae vir 2004/05 aan,

wat die aktiwiteite van hul agentskap, RISA, en die Nasionale Navorsingsfasiliteite in breë trekke voorlê.

The National Research Foundation takes pleasurein presenting its annual results for 2004/05,

which outline the activities of its agency,RISA, and the National Research Facilities.

NRF vision

1

T h e N R F a i m s f o r

a p r o s p e r o u s S o u t h A f r i c a a n d A f r i c a n c o n t i n e n t

s t e e p e d i n a k n o w l e d g e c u l t u r e ,

f r e e o f w i d e s p r e a d d i s e a s e s a n d p o v e r t y ,

a n d p r o u d c o n t r i b u t o r s t o t h e w e l l - b e i n g o f h u m a n i t y .

F u n d a m e n t a l t o t h i s v i s i o n i s q u a l i t y e d u c a t i o n ,

w e a l t h c r e a t i o n a n d a n i m p r o v e m e n t i n t h e

q u a l i t y o f l i f e f o r a l l .

I n m o d e r n e c o n o m i e s t h e s e a c h i e v e m e n t s a r e d e p e n d e n t

o n i n n o v a t i o n , r e s e a r c h a n d d e v e l o p m e n t .

The seeds of the Coral Tree

are eagerly awaited by the

whole bird community.

The seeds of knowledge

hold the promise of a better

future for all.

2

Corporate highl ights for 2004/05

The number of rated

researchers increased

by 5% to 1 385.

The first ever social science

project of a black woman

grantholder was funded

through the South African

National Antarctic Programme

(SANAP).

A countrywide consultation

process was initiated to develop

a national research agenda for

the Social Sciences, Humanities

and Law in order to stimulate

research and the participation

of researchers in these

disciplines in NRF programmes.

The number of doctoral

students increased to 1 100.

iThemba LABS won

an award for Best

Curriculum-based

Workshop at the SASOL

Scifest.

The NRF created Grants

Management and Support

Administration to streamline

grant making and funding.

The Dr TW Kambule NRF

Research Awards were

launched in partnership with

the NSTF. This is an annual

event to acknowledge national

achievements in Science and

Technology in two categories:

one for an established scientist,

and one for a junior black

researcher.

In August 2004 a report by an

international panel was issued

containing recommendations to

revitalise physics in the country.

A five-yearly review of

the strategic direction and

operational performance of

the NRF was concluded before

year-end.

3

The first six Centres

of Excellence were

selected and formally

announced by the

Minister in June 2004.

The first SAEON node, the

Ndlovu Node for the Savanna,

was launched and established

at Phalaborwa.

SAAO commissioned and

delivered to the University

of Wisconsin the detector

package for the Prime

Focus Imaging Spectrograph

(PFIS) for SALT.

An Equipment Strategy for

South Africa was finalised in

anticipation of earmarked funds

becoming available for this

purpose in accordance with the

National R&D Strategy.

Piloting of the Thuthuka

mentoring programme resulted

in 12 Thuthuka grantholders

being rated, achieving the aim

of Thuthuka to build research

capacity of staff members at

HEIs and Science Councils.

The ICSU regional office for

Africa was launched and is

housed at the NRF.

The NRF Annual Report

2003/04 was judged the Best

Annual Report in a corporate

publication competition

organised under the auspices of

the Press Club of South Africa.

SAAO received an award of

excellence from the Cape

Peninsula University of

Technology for its role in

the experiential training of

students.

The second phase of the NRF/

Royal Society programme was

launched by Minister Mangena,

with the quality of entries spur-

ring the Royal Society to fund

five additional projects.

The SAEON launch received

two PRISM awards from the

Public Relations Institute of

South Africa (PRISA): for the

category “Special Events

Under Eight Days”, and the

prestigious “Chairman’s

Award”.

Chairperson’s overview

4

In the beginningThe 2002/03 – 2004/05 Board inherited a young organisation

which was established on 1 April 1999. The NRF is a national asset,

aligned with national policies and strategies, and this positioning

of the organisation has been central to the thinking of the Board.

Thus the Board has not opted for steering the NRF in such a way

as to score “quick wins” based on short-term expediency. Instead, it

took its cue from the recommendations of the System Wide Review

of the Science and Technology Institutions (SETIs), the groundwork

laid by the first Board of the NRF, the challenges posed by the

National Research and Development Strategy, and the changes in

the Higher Education landscape. It is within this broad context that

the Board has exercised its accountability, as the NRF has found its

own identity and has pursued its major strategic objectives.

Not everything could be done simultaneously. Lively debates

conducted among Board members, among colleagues in the

organisation, as well as the stakeholder community have

contributed significantly towards a clarification of the role of the

NRF. Steady practical progress was made in shaping the young

organisation, by successfully settling a range of issues relating to

human resource development and organisational culture.

Programmes and interventions for the Research and Innovation

Support and Advancement (RISA) were developed by drawing on

examples and the experience of international best practice, but

with the unique South African context in mind. Structural and

operational changes followed, some of which were only concluded

during the 2004/05 review period. For example, the Grants

Management and Systems Administration (GMSA), which provides

one central port of call for the administration of applications for

funding, was established only recently.

At the same time, the complexity of the organisation increased with

the incorporation of the Hermanus Magnetic Observatory (HMO),

the establishment of the South African Agency for Science and

Technology Advancement (SAASTA), the acquisition of the National

Zoological Gardens (NZG) as a National Research Facility, and the

use by several government departments of RISA as service provider.

Assessment of the presentDespite, or perhaps because of, the many daunting challenges it

faces, the NRF has come of age. The review panel that conducted

the five-yearly institutional review of the NRF acknowledged

the many achievements of the organisation in its first five years

of existence. We can with confidence refer to the NRF as an

integrated organisation that focuses – from different angles, and

through different interventions – on one set of clear corporate core

missions and strategic priorities. I believe that the 2004/05 NRF

Annual Report supports this assertion.

Challenges for the future As expected, there is always room for further internal growth,

progress and improvement. In this respect the many sound

The term of the current National Research Foundation Board expires on

30 June 2005. In this final year of the current Board, it is opportune to

reflect on the challenges that have been faced, the harvests yielded, and

the tasks that remain, as the NRF continues on its path of working with

government and civil society towards the transformation of South Africa

into a knowledge society that competes effectively in a global system. Professor BD Reddy

5

recommendations of the institutional review will define the

scope and range of work of the Board in particular, and the NRF

as a whole, for the next few years. By way of example these

recommendations relate to:

l the powers and responsibilities of the NRF Board in the broader

National System of Innovation (NSI), also in relation to the

Department of Science and Technology (DST) as line department

responsible for the NRF, the Department of Education, and other

government departments;

l the development of a better understanding of the place and role

of the Social Sciences, Humanities and Law in generating relevant

research that contributes to societal innovation and well-being,

with implementation of plans and policies that will ensure that

these goals are addressed optimally;

l the creation of even more synergy among the NRF programmes

and business units;

l the importance of nurturing stakeholder relationships and

partnerships through closer consultation and cooperation on

strategic and operational issues; and

l improvement in the coordination of international relations.

Some of the issues highlighted by the review panel have already

been addressed through targeted internal interventions as outlined

in the Annual Report. However, the NRF needs to address a range of

challenges in the external stakeholder environment. One of these

concerns human resource development. There remains a desperate

need to bolster our community of researchers by recruiting and

retaining a new generation of young scholars of high quality.

The NRF implements a seamless approach of developing human

resource capacity through promotion of science advancement at

schools, and provision of support for developing student capacity,

research expertise, entrepreneurship, technological capacity,

innovation and eventual commercialisation: activities which in

turn will assist the process of economic growth and will ensure

improved quality of life.

The development of human resources is a long and arduous task

that only yields its harvest after prolonged and persistent efforts.

Here one may be reminded of the Hawaiian saying:

If you plan for one year, plant kalo

(a food crop harvested in one year);

If you plan for 10 years, plant koa

(a large tree used for canoe building);

But if you plan for 100 years,

teach your children.

I trust that the efforts of the NRF and its stakeholders will stand

our country in good stead in the years to come.

AppreciationIt is with pleasure that I record my sincere appreciation of the

unstinting efforts of Dr Khotso Mokhele, his management team,

and the entire staff of the NRF in ensuring another successful

year for the organisation. I congratulate Dr Mokhele and the

NRF staff on these achievements. I am confident that the team

that constitutes the organisation will continue to draw on its

considerable talents in facing the challenges of the future.

I would single out for special mention Dr Gerhard von Gruenewaldt,

former Vice-President, who retired at the end of the financial year.

His strong and capable leadership have contributed in no small

measure to the successes of the NRF, and I thank him most warmly

for his devotion beyond the call of duty.

It is with pleasure that I record my sincere thanks and appreciation

to Minister Mosibudi Mangena and Deputy Minister Derek

Hanekom for their support and accessibility, and for their many

efforts aimed at establishing and promoting an open working

relationship.

Finally, I express my deep appreciation to my fellow members of

the NRF Board for their wisdom, sound counsel, and the generosity

with which they have given of their time and expertise. They have

each in their own way played an invaluable role in directing the

organisation strategically and in governing the NRF prudently

during the period of their tenure.

6

Focus on the mandateThe main goals and objectives outlined in the NRF business plan

were largely met, but systemic challenges remain ample. Vigilance

was therefore again required to remain focused on core business

while being flexible enough to handle a variety of challenges. The

NRF, under the guidance of the NRF Board, regularly reviews its

strategic direction. It is therefore pleasing to note that the five-

yearly institutional review of the NRF, which was undertaken by

an evaluation panel comprising local and international reviewers,

concluded that the strategic direction and operations of the NRF

are still aligned to – and well within – its mandate.

Creating a productive environmentSeamless approach: The mandate of the NRF covers the promotion

of the full range of activities in the research and innovation chain.

The mandate requires the expansion of the strategic knowledge

base in all fields of science through disciplinary and multidisciplinary,

basic, and applied research, thereby facilitating technology

development, innovation and eventual commercialisation. The

knowledge base is built through the concomitant development of

high-quality human resources and the provision of state-of-the-

art research facilities. The NRF committed itself in the 2004/05

business plan to identify the synergies between funding modalities

and programmes, science advancement activities and the provision

of “Big Science” infrastructure. By housing programmes such as

the Scarce Skills Development Fund, the Technology and Human

Resources for Industry Programme (THRIP) and the Innovation

Fund (IF), and new and emerging National Research Facilities such

as the National Zoological Gardens (NZG) and the South African

Environmental Observation Network (SAEON), the NRF moved

closer to the seamless approach in discharging its mandate.

Key driver: During 2004/05 the NRF identified the importance

of increasing the PhD intensity as central to building a sustain-

able National System of Innovation. To this end the NRF currently

focuses on the production of large numbers of high-quality doctoral

graduates. Doctorates are the platform upon which transformation

of our knowledge system can commence to eventually make a real

difference to the lives of all South Africans. Resources and a variety

of interventions within the seamless approach are required to make

doctoral graduates available to the benefit of the country.

Resources: It is gratifying to note an increase in the NRF core

grant funding of 9%, while contract and other funding escalated by

29%. Total funding of R914,3m represents a 20% growth over the

previous year. To further leverage funds and create fruitful relations,

a corporate function for new business development was created.

The main purpose of this function is to forge partnerships through

research-oriented international relations, interaction with industry

and government, and corporate communication. I am convinced

that this structure will provide an environment in which the shared

interests of the NRF customers and respective partners will flourish.

Improving efficiencies: The internal efficiencies and service

delivery of the NRF are key to facilitating growth in the NSI. The

NRF reviewed its internal efficiencies and made some structural

changes to improve delivery. In the Research and Innovation

Support Advancement (RISA), grant management was historically

decentralised across directorates. As of January 2005 all grant

management activities have been centralised into a new division

President’s statement

Just as a productive forest starts with one small seed falling in the

right spot, a knowledge economy starts with a focused effort in an

environment conducive to growth. The NRF is proud to report that the

year under review was indeed a productive one, promising a rewarding

harvest in years to come.

Dr K Mokhele

7

called Grants Management and Systems Administration (GMSA).

GMSA is responsible for the effective support of research through

the management of granting, and provides a first point of contact

to RISA customers. The success of this model lies in high-quality

communication across divisional boundaries.

The NRF institutional review has identified the following issues that

will be addressed to achieve optimal results:

l Increased stakeholder participation in the development of NRF

initiatives, research agendas, business process and systems

development; and

l Successful finalisation of the NRF online system.

Nurturing the seedsScience Advancement: The NRF is instrumental in cultivating a

mind-set of wonderment in the fertile minds of the innovators of

the future. The science promotion potential of the South African

Agency for Science and Technology Advancement (SAASTA) was

raised significantly with the incorporation of the NZG into the NRF

on 1 April 2004. The NZG, together with the Museum of Science

and Technology and the Johannesburg Observatory Site, provide

greater scope for comprehensive and integrated science awareness

programmes. The respective National Research Facilities, through

a conscious effort to make big science equipment accessible to

the youth and the public at large, energised the interface between

science and society.

Flagship programmes: The NRF is proud of the establishment of

the Ndlovu Node of SAEON and the continued progress in flagship

programmes such as the Southern African Large Telescope (SALT),

the South African National Antarctic Programme (SANAP) and the

African Coelacanth Ecosystem Programme (ACEP).

The NRF institutional review panel suggested the expansion of

the activities of the South African Institute for Aquatic Biodiversity

(SAIAB) to fully embrace the field of aquatic biodiversity while

taking the developments regarding the South African National

Biodiversity Institute (SANBI) into consideration.

The HMO will further develop the Inkaba ye Africa (or Earth

Systems Science of Africa) project and the Antarctic Southern

Hemisphere Auroral Radar Experiment (SHARE) project. This

collaborative project will focus on the study of the rapid decrease

of the geomagnetic field in the southern African region, using

satellite data and ground-based data.

Approval for the establishment of the flagship programme of

iThemba LABS, the Major Radiation Medicine Centre (MRMC), will

be the task of the incoming NRF Board. We trust that the 2007

announcement regarding the hosting of the Square Kilometre Array

(SKA) will be in favour of South Africa.

Research and Innovation Support and Advancement (RISA):

Within RISA, 2004/05 saw the establishment of the first six

DST/NRF Centres of Excellence. The first phase of the Shifting the

Boundaries of Knowledge Initiative to promote Social Sciences,

Humanities and Law, was completed. The NRF is working to create

the appropriate space for these science domains to flourish.

Current harvestThe 2004/05 Annual Report tells the proud story of the current

harvest, based on past efforts. The NRF congratulates every student,

researcher, research team and institution that made progress during

the year under review and I trust that their achievements will be

only one of many steps in producing a rich harvest for the future.

AcknowledgementsMy personal appreciation goes to the staff of the NRF for their

desire, dedication and determination to create an enabling

environment for our clients and stakeholders. Their quest for

excellence underpinned the progress of yet another successful year.

In March 2005 it was time to take leave of Dr Gerhard von

Gruenewaldt in his capacity as Vice-President of the NRF and

Managing Director (MD) of RISA after years of invaluable service

to the organisation, the science community and the country. His

insightful leadership and accessibility will be missed, but we realise

that we must reluctantly release one of the giant trees in the forest

to enjoy a healthy and prosperous retirement.

As the term of the current NRF Board expires in June 2005, it is

thus opportune to thank each of the NRF Board members for their

commitment, integrity and hard work through which they brought

vision and leadership to the organisation during turbulent times.

8

BOARD REPORT: CORPORATE OVERVIEW

10 Corporate core missions and strategic priorities

10 Composition of the NRF

10 Clustering of NRF business units and activities

11 Corporate governance

13 Corporate finance

15 Corporate human resources and transformation

18 New business development

9

Board report:

Corporate overview

R a i s e e x p e c t a t i o n s ,

f r e e f r o m s t e r e o t y p e s ,

The pod of the African rosewood

(Guibourtia coleosperma) encloses a fleshy

aril from which an edible oil is extracted,

and the single seed is a staple food of the

San people. Abundance from a single seed;

wealth from indigenous knowledge.

a n d w a t c h t h e p o t e n t i a l o f o u r n a t i o n s o a r .

10

Corporate core missions and strategic priorities

The four corporate core missions of the NRF are to develop and

support:

l High-quality human resources in substantially increased numbers;

l The generation of high-quality knowledge in prioritised areas that

address national and continental development needs;

l The utilisation of knowledge, technology transfer and innovation

to ensure tangible benefits to society from the knowledge

created; and

l The provision of state-of-the-art research infrastructure that is

essential to develop high-quality human resources and knowledge.

The six cross-cutting corporate strategic priorities are:

l Redressing inequalities in race and gender;

l Adhering to quality;

l Internationalising research;

l Focusing on Africa;

l Positioning the NRF within the NSI; and

l Transforming the NRF organisationally.

The rationale for adopting the NRF core missions and strategic

priorities is provided in the KPI Report (see page 68).

Composition of the NRF

The NRF consists of an agency function, Research and Innovation

Support and Advancement (RISA), and seven National Research

Facilities. Within prioritised areas RISA supports the full range of

activities in the innovation chain. The National Research Facilities

provide unique research infrastructure and create multi-locational

networks that make infrastructure accessible to local and interna-

tional research communities.

Clustering of NRF business units and activities

The activities of the NRF are clustered as follows:

A Research and Innovation Support and Advancement (RISA)

l Programmes and functions largely supported by the

Parliamentary Core Grant;

l Programmes managed by the NRF as a service provider:

– Science and Technology Agreements Fund (STAF), funded by

the Department of Science and Technology (DST);

– Innovation Fund, managed for the Innovation Fund Board of

Trustees (up until 31 March 2005) and funded by the DST;

NRF Board

Corporate SecretaryPresident/CEO

NRF

Corporate OfficeResearch & Innovation

Support & AdvancementNational Research Facilities

NuclearSciences

iThemba LABS(MRMC)

Astro/Space/Geosciences

HartRAO (SKA)

SAAO (SALT)

HMO

Biodiversity & Conservation

SAIAB (ACEP)

NZG

SAEON

RISA:Core Grant

KFD

ICD

KM&S

InnovationFund (DST)

THRIP(the dti)

STAF (DST)

RISA:Service provision

Scarce Skills Development Fund (DoL)

KFD: Knowledge Field DevelopmentICD: Institutional Capacity DevelopmentKM&S: Knowledge Management and StrategyMRMC: Major Radiation Medicine Centre

SKA: Square Kilometre ArraySALT: Southern African Large TelescopeACEP: African Coelacanth Ecosystems Programme

Clustering of NRF business units and activities

Board report:

Corporate overview

SAASTA

S&T Advancement

1 1

– Technology and Human Resources for Industry

Programme (THRIP), funded by the Department of Trade and

Industry (the dti);

– Scarce Skills Development Fund of the Department of Labour

(DoL); and

l Programmes to facilitate the interface between science and

society (SAASTA):

– SAASTA’s main function is to stimulate the interface between

science and society and to coordinate Science and Technology

(S&T) advancement across the business units of the NRF.

B National Research Facilities

The facilities are clustered in terms of the area of knowledge

production or of the national need that is being serviced.

Astro/Space/Geo Sciences

l South African Astronomical Observatory (SAAO), also responsible

for managing the Southern African Large Telescope (SALT);

l Hartebeesthoek Radio Astronomy Observatory (HartRAO); and

l Hermanus Magnetic Observatory (HMO).

Biodiversity/Conservation

l South African Institute for Aquatic Biodiversity (SAIAB);

l South African Environmental Observation Network (SAEON), an

emerging National Research Facility; and

l The National Zoological Gardens (NZG), which was added to the

NRF management portfolio on 1 April 2004.

Nuclear Sciences

l iThemba Laboratory for Accelerator Based Sciences

(iThemba LABS).

C Corporate office

l Corporate governance;

l Corporate finance;

l Corporate human resources; and

l New business development, including marketing and corporate

communication.

Corporate governance

The NRF receives its mandate from the National Research

Foundation Act, No 23 of 1998, which came into effect on

1 April 1999 and established the NRF as an autonomous statutory

body. According to the Act, the object of the NRF is to support and

promote research by funding the development of human resources,

and providing the necessary research facilities to facilitate the

creation of knowledge, innovation and development in all fields of

Science and Technology, including indigenous knowledge. Through

these actions, the NRF will contribute to improving the quality of

life of all the people of the Republic.

Table 1: NRF Board and Committee meetings: 1 April 2004 – 31 March 2005

NR

F Bo

ard

NRF Board Audit Committee HR Committee

1/42004

6/72004

16/112004

16/22005

30/42005

14/62004

21/102004

17/32005

3/62004

2/112004

4/32005

Chairperson Prof BD Reddy n n n n n u u u u u u

Audit Committee

Dr JL Job* (Chairperson) l l l n n l l n

Prof SF Coetzee n l l n l n n n

Mrs BD Radebe l n l n n l n n

Dr J van Zyl l l l l l n l l

Remuneration and Human Resources Committee

Prof PE Ngoepe (Chairperson) n n n l n n n n

Prof CA Hamilton n n n n l n l n

Mr MM Nxumalo n n n n n n n n

Prof HW Vilakazi l l n l l n l l

Dr T Mdaka n l n n l

Prof CC Mokadi n n n l n

Ex-officio Dr K Mokhele n n n n n l n l n n l

* Dr JL Job was on secondment to the USA – April to December 2004 n In attendance l Absent u Not member of the Committee

12

The NRF Board, appointed by the Minister responsible for Science

and Technology, provides strategic direction and monitors the

compliance of the NRF with the Act and other legal and regulatory

obligations that govern statutory bodies. The Board also exercises

its governance responsibility in terms of the Public Finance and

Management Act (Act 1 of 1999 as amended by Act 29 of 1999)

and ensures compliance with the relevant requirements of the King

Report on Corporate Governance for South Africa 2002.

Committees of the NRF BoardThe Board appointed two standing committees – the Audit

Committee and Remuneration and Human Resources Committee

– to deal with relevant issues on a regular basis. These committees

comprise:

Audit Committee: Remuneration and Human

Resources Committee:

Dr JL Job (chairperson) Prof PE Ngoepe (chairperson)

Prof SF Coetzee Prof CA Hamilton

Mrs BD Radebe Mr M Nxumalo

Dr J van Zyl Prof HW Vilakazi

Prof BD Reddy (ex-officio) Prof BD Reddy (ex-officio)

Dr K Mokhele (ex-officio) Dr K Mokhele (ex-officio)

Meetings of the Board and its committeesThe NRF Board met five times during the 2004/05 financial year.

Over the same period the Audit Committee and the Remuneration

and Human Resources Committee held three meetings each. The

schedule on the previous page indicates the dates of the meetings

and their attendance by Board members (see Table 1).

Other governance structuresIn accordance with the National Research Foundation Act, the NRF

performs an agency function on behalf of its line department, the

DST, and acts as service provider for the following government

departments:

l the dti for THRIP;

l DoL for the Scarce Skills Development Fund; and

l Department of Environmental Affairs and Tourism (DEAT) for

marine research.

The relationship between the NRF and those departments that

choose the NRF as agency, is usually managed through Memoranda

Table 2: Actual remuneration of non-executive Board members

Non-executive Board members Honorarium

Prof BD Reddy (Chair) R 25 196

Prof SF Coetzee R 6 168

Prof CA Hamilton R 6 168

Dr JL Job R 6 168

Dr T Mdaka R 6 168

Prof CC Mokadi R 6 168

Prof PE Ngoepe R 6 168

Mr MM Nxumalo R 6 168

Mrs BD Radebe R 6 168

Dr J van Zyl R 6 168

Prof HW Vilakazi R 6 168

of Understanding containing specific service level agreements. In

accordance with, or in addition to, these formal agreements, the

following governance structures are in place:

l a steering committee for the Innovation Fund;

l the THRIP Board, appointed jointly by the NRF President and the

Director-General of the dti; and

l various advisory boards/committees for the National Research

Facilities.

The role definitions of all governance structures are reviewed from

time to time to streamline operations according to best practice.

Governance supportThe NRF Board is serviced by the corporate governance unit. The

corporate secretary provides governance guidance and administrative

support to the NRF Board and its committees as well as to the Chief

Executive Officer (CEO) and the NRF Executive.

The corporate governance unit ensures that the NRF has

appropriate and transparent indicators to measure the performance

of both individual business units and of the organisation in its

entirety. The unit has to:

l Ensure the high-level strategic alignment across the diverse

functions of the NRF;

l Manage the implementation of performance measures and

procedures in the business cycle of the organisation, such as

performance planning, progress monitoring and the eventual

annual reporting;

l Prepare the Annual Report for the approval of the Board of

Board report:

Corporate overview

13

Table 3: Remuneration packages of executive management

Executive management Remuneration – Total Annual Package (Basic & Benefits)

Dr K Mokhele R 1 062 401

Dr G von Gruenewaldt R 795 439

Mr PB Thompson R 732 768

Dr PA Nevhutalu R 639 599

Prof JF Sharpey-Schafer R 621 620

Dr M Singh R 617 413

Prof PA Charles R 607 440

Dr E Lottering R 570 000

Mr B Singh R 570 000

Dr NSR Skeef R 570 000

Dr A Kaniki R 558 540

Dr T Marcus R 548 196

Dr R Drennan R 548 000

Prof PH Skelton R 524 779

Mrs BA Damonse R 510 625

Mr W Labuschagne R 500 486

Prof JL Jonas R 491 006

the NRF for submission to Parliament via the DST as line

department;

l Submit an annual Key Performance Indicator Report to the DST

according to the principles of the Balanced Scorecard;

l Obtain and apply comparable international benchmarks for

specific aspects of the work of the NRF; and

l Provide the Board with access to all information to assist them in

discharging their duties and taking informed decisions.

RemunerationNon-executive Board members of the NRF are paid honoraria

instead of remuneration. The honoraria paid (see Table 2) are in

terms of the guidelines provided by National Treasury.

NRF executive management and general staff are remunerated

according to the Total Package approach.

In order to attract and retain high calibre staff, the NRF ensures that

average salaries for good performers are positioned at the median

of the Higher Education market, and of the general market for spe-

cific key positions. Through the implementation of this policy and

the NRF Integrated Performance Management System, a portion of

an individual’s annual salary adjustment is based on performance.

The chairperson of the Board appraises the performance of the

Chief Executive Officer (CEO) on an annual basis. The result of the

appraisal is communicated to the Board. The Remuneration and

Human Resources Committee takes these results into consideration

when evaluating the CEO. The Board also reviews and approves

the recommendations of the Remuneration and Human Resources

Committee on the remuneration of executive management (see

Table 3).

Pertinent governance issuesThe NRF is committed to the health and safety of its staff,

contractors and visitors as well as to the protection of the

environment. To this end, all business units have established

structures to contribute to the development of a sound culture of

risk management including occupational health and safety as well

as environmental conservation.

The organisation complies with all safety and environmental laws

and regulatory requirements and the best international practices

for research facilities. For example, iThemba LABS is in compliance

with radiation protection requirements.

Issues that will require the attention of the NRF Board during

2005/06 are, among others, succession planning for the CEO and

risk management.

Corporate finance

The corporate finance function is responsible for ensuring that

the NRF has, and maintains, effective and transparent systems

of financial and risk management and internal control. It also

ensures that the NRF takes effective and appropriate steps to

prevent irregular, fruitless and wasteful expenditure, losses resulting

from criminal conduct, and expenditure not complying with the

operational policies of the NRF.

During the financial year under review the following amounts were

allocated to the NRF from the DST to enable the NRF to achieve

its objectives:

14

2004/05 2003/04

R’000 R’000

Research and Innovation

Support and Advancement 289 734 255 568

SALT Foundation 3 000 –

iThemba LABS 79 762 69 261

South African Astronomical Observatory 21 152 17 478

Hartebeesthoek Radio Astronomy

Observatory 11 864 10 751

South African Institute for Aquatic

Biodiversity 9 640 7 764

Hermanus Magnetic Observatory 4 248 4 311

South African Agency for Science and

Technology Advancement 10 876 9 130

National Zoological Gardens of South

Africa 24 012 -

Total (Refer note 3 to the

annual financial statements) 454 288 374 263

In addition to the funds allocated to the NRF from the DST, the

NRF received additional contract and other income of R500,6m

(2003/04: R353,8m).

The NRF’s total expenditure increased from R736,6m in 2003/04

to R915,8m in 2004/05, with detail concerning expenditure per

business unit as follows:

2004/05 2003/04

R’000 R’000

Research and Innovation Support and

Advancement 684 998 564 494

iThemba LABS 94 277 92 957

South African Astronomical Observatory 28 238 24 069


Observatory 14 994 11 428






National Zoological Gardens of South Africa 46 237 –

Total expenditure per income statement 915 800 736 655

Within Research and Innovation Support and Advancement (RISA)

the increase in programme expenditure can mainly be attributed to

the taking on of new programmes. This has resulted in an increase

in agency grants of 20% (2003/04: 22,7%), a programme expen-

diture of 44% and salary expenditure of 11% (2003/04: 11%).

The increase in programme expenditure within the South African

Astronomical Observatory (SAAO) is largely due to absorption

of SALT operating expenditure, of which the total expenditure is

recovered.

The increase in programme expenditure within the Hartebeesthoek

Radio Astronomy Observatory (HartRAO) is mainly due to SKA

operating expenditure. However, the total expenditure is recovered

from the funds received from the DST.

Expenditure for the National Zoological Gardens of South Africa

(NZG) for 2003/04 is not reflected above as the NZG was declared

a National Research Facility of the NRF only with effect from

1 April 2004.

The deficit of R1,5m for 2004/05 (2003/04 deficit: R3,8m) was

made up as follows:

2004/05 2003/04

R’000 R’000


Advancement (10 915) 14 441

iThemba LABS 10 100 (8 468)

South African Astronomical Observatory 495 (3 402)


Observatory (758) (2 320)


Biodiversity (1 406) (903)

Hermanus Magnetic Observatory (741) 286


Technology Advancement 2 896 (3 473)


Africa (1 163) -

Total (1 492) (3 839)

Board report:

Corporate overview

15

The total accumulated funds of the NRF at the end of the year

amounted to R121,4m (2003/04: R121,6m) which were made up

as follows:

2004/05 2003/04

R’000 R’000

Accumulated unspent funds 54 281 59 478

Southern African Large

Telescope (SALT) funds 60 283 58 250

Contingency funds 2 015 2 016

General capital funds 4 839 1 903

Total 121 418 121 647

The accumulated unspent funds of R54,3m (2003/04: R59,5m)

were made up as follows:

2004/05 2003/04

R’000 R’000


Advancement 55 079 75 871

iThemba LABS (9 700) (19 880)

South African Astronomical Observatory (6 318) (6 823)


Observatory (1 994) (1 595)







Africa (5 172) -

Total 54 281 59 478

Included in the accumulated unspent funds to the amount of

R55,1m of RISA, is the share of the Post-retirement Medical

Benefit Provision, amounting to R29,5m (2003/04: R27,6m), which

is distributed to the National Research Facilities. The distribution

of the provision to the National Research Facilities accounts for

the deficit shown for iThemba LABS, SAAO and HartRAO in the

breakdown of unspent funds for the year. Also included in the

accumulated unspent funds of R55,1m of RISA is an amount of

R25,5m reserved for various projects (see table that follows).

R’000 R’000

Facilities’ portion of Post-retirement

Medical Benefit 29 500 29 500

Funds reserved for: 25 579

Budgeted Deficit for 2006 10 000

Research Equipment Grants 7 000

NRF Online Grant Management System 2 958

Pension Fund Deficit 1 330

Building Improvements 2 000

Infrastructure Requirements for SAAO 2 291

Total 55 079 55 079

AcquisitionsThe NRF holds 38,33% (2003/04: 40,7%) of the issued shares in

the SALT Foundation (Pty) Ltd, an unlisted company. In terms of

the SALT Shareholders Agreement, the NRF will have a 34% share-

holding in the company once all the partners have purchased their

share capital. Details of the investment are included in note 5 to

the annual financial statements. The investment has not been con-

solidated, nor equity accounted, as the NRF holds only two out of

12 (2003/04: 11) seats on the Board of the SALT Foundation. This

results in an effective 17% (2003/04: 18,2%) control.

The Innovation Fund has made the following investments to

previously funded projects in line with the authority provided in the

Innovation Fund Deed of Trust:

Organisation R’000

Geratech Investments (Pty) Ltd (14% shareholding) 15 000

Electric Genetics (Pty) Ltd (5,5% shareholding) 1 000

Cerdak (Pty) Ltd (bridging loan) 275

Total 16 275

Corporate human resources and transformation

During 2004/05 the organisation moved closer to the realisation

of its long-term human resources and transformation goals and

objectives. The Human Resources (HR) function had to grapple

with balancing the dichotomy of a growing organisation with its

attendant integration issues, and dealing with consolidation and

improvement of HR policies and systems.

16

Table 4: Performance assessment outcomes by business unit

Business Unit Need to improve Perform at acceptable levels Perform above average Total Staff

2004/05 2003/04 2004/05 2003/04 2004/05 2003/04 2004/05 2003/04

No % No % No % No % No % No % No No

RISA 6 3,40 13 8,8 165 93,70 113 76,9 5 2,80 21 14,3 176 147

SAASTA 0 0,00 24 80,00 6 20,00 30

SAAO 5 7,81 - - 37 57,81 53 88,3 22 34,38 7 11,7 64 60

HartRAO 1 2,04 9 23,7 43 87,76 17 44,7 5 10,20 12 31,5 49 38

HMO 0 0,00 14 77,78 4 22,20 18

SAIAB 3 7,50 2 6,25 17 42,50 11 34,3 20 50,00 19 59,3 40 32

SAEON 1 25,00 1 25,00 2 50,00 4

iThemba LABS 2 0,85 35 15,9 156 66,38 110 50,0 77 32,77 75 34,0 235 220

Total 18 2,90 59 11,9 457 74,18 304 61,1 141 22,80 134 27 616 497

Staff recruitment, turnover and succession planningTurnover in the NRF almost halved although this figure is still

relatively high (7,4% compared to 14% in 2003/04). Overall, some

123 employees joined the organisation while 77 left for a variety

of reasons. Of those who left 46 were resignations, 15 contracts

expiring, 13 retirements and three dismissals. Retention remains a

challenge in RISA where turnover was 13%, having reduced from

20,6% in 2003/04. The current national average turnover stands at

12,4%.

A succession planning process was approved by the NRF Board

in 2004. The process has been designed to ensure the availability

of a pool of staff for key positions and to identify high potential

individuals in all business units. This process will have been taken

one full cycle in 2005.

Performance managementThe NRF Integrated Performance Management System entered

its second cycle of implementation. A total of 616 staff members

across the organisation (excluding the NZG) were assessed in

2004/05 compared to a total of 497 in 2003/04.

The commitment to, and quality of, assessments improved in the

2004/05 cycle following training and retraining of both staff and

management. However, moderation across all business units will

be required in future years to ensure consistency. The comparative

analysis of the 2003/04 and 2004/05 assessments is shown in Table

4 below.

Staff profileFollowing the incorporation of the National Zoological Gardens

(NZG) into the NRF in April 2004, and the growth in the number of

the Innovation Fund’s staff, the staff complement of the organisa-

tion increased from 642 to 1 022. Table 5 reflects the status and

representation by occupational level as at 31 March 2005.

Overall, the representation of designated individuals has increased

from 53,3% in 2003/04 to 66,1%, well ahead of the targeted

overall increase of 60% for the year under review (see Figure 1).

This increase can largely be attributed to the incorporation of the

NZG into the NRF in April 2004. The representation of women has

declined from 42,2% in 2003/04 to 35,3% due to the inclusion

of the NZG, where men form a substantial part of the staff

component.

The representation of people with disabilities still requires attention

with only six staff members across the organisation being people

with disabilities.

TrainingA total of 381 staff members received training in 2004/05 through

short seminars, structured courses and enrolment for undergraduate

and postgraduate degrees. The NRF invested some R3,1m in

2004/05, representing approximately 2% of payroll expenditure.

This amount is well within what would otherwise be contributed to

the Skills Development Levy.

Board report:

Corporate overview

17

Table 5: Summary of NRF race and gender representation by occupational level

Occupational level

Men Women Grand totalSA

AfrSA

Clrd SA Ind

SA White

Non SA

from Africa

Non SA

other

Total SA Afr

SA Clrd

SA Ind

SA White

Non SA

from Africa

Non SA

other

Total

Top management 4 2 1 6 0 2 15 0 1 1 1 0 0 3 18

Senior management

17 4 2 33 0 0 56 5 3 1 18 0 0 27 83

Professionally qualified and experienced specialists and mid-management

19 14 6 53 4 2 98 12 8 3 25 1 3 52 150

Skilled technical and academically qualified workers, junior management, supervisors, foremen and superintendents

35 29 1 60 0 1 126 20 19 3 36 0 0 78 204

Semi-skilled staff with discretionary decision-making

43 28 0 13 0 0 84 50 16 4 51 0 0 121 205

Unskilled staff with defined decision-making

157 32 0 3 2 0 194 29 18 0 0 0 0 47 241

Total Permanent 275 109 10 168 6 5 573 116 65 12 131 1 3 328 901

Non-permanent employees

61 1 5 19 0 2 88 19 3 0 11 0 0 33 121

Total 336 110 15 187 6 7 661 135 68 12 142 1 3 361 1 022

Labour relations climateThe labour relations climate in the organisation remains stable

despite the increase in the number of unions following the incor-

poration of the NZG. Union membership has grown from 42,2% to

54,4%. Union representation in the NRF is now as follows:

Union Membership

NEHAWU 219

SAMMU 182

PSA 95

SOLIDARITY 57

Total union membership 553

Response to the HIV/AIDS pandemicThe NRF regards HIV/AIDS as a serious threat to its mission

and to the country in general. To improve its current approach,

activities and response to the pandemic, the NRF developed a more

structured strategic framework for dealing with HIV/AIDS. This is in

the initial phases of implementation.

All business units have established HIV/AIDS committees, which

are responsible for strategy implementation. A corporate-wide

committee, which sits twice a year, has also been established to

coordinate HIV/AIDS in the various business units. World AIDS Day

was commemorated at all business units to mark the importance of

the day and to remember those who have succumbed to HIV/AIDS.

Plans are being finalised for the training of managers and staff

in the management of the disease. Training will be facilitated by

experts and will be conducted in all business units.

New business development

During the latter part of the 2004/05 financial year, the corporate

office was restructured, and a new business development function

was established. The rationale for this restructuring was to bring

together those functions that focus on positioning the NRF and

provide specialist support across the organisation. The following

operational units form part of the new business development

function:

Corporate communication In the year under review, the communication function was

relocated from SAASTA to the NRF corporate office. The unit

has succeeded in securing extensive press coverage of NRF

activities through a wide range of communication media, and has

contributed to organising and publicising high-profile NRF events.

The unit has received one of the highest accolades in South African

public relations and communication by being not only the category

winners of the Public Relations Institute of Southern Africa’s (PRISA)

PRISM Awards, but also the recipients of the PRISA Chairman’s

Award for excellence in public relations and communication.

Corporate brandingCorporate branding is a newly created function for which a brand

manager has been appointed. The brand manager has embarked

on a process of developing a brand strategy to set standards and

provide guidelines for the branding of the NRF.

International relations The purpose of this function is to facilitate access to, and interac-

tion with, international S&T capacity. This function did not perform

optimally and it is foreseen that more dedicated attention will

be given to international relations within the new structure. More

information on international relations is provided in the KPI Report.

Government relationsThe role of the unit is to strengthen strategic government relations

and to facilitate the visibility and influence of the NRF within the

National System of Innovation.

Industry relations The new business development function strengthens the NRF’s

mutually beneficial ties with industry and aims to attract the

resources required to optimally pursue objectives. More information

on this function as well as government relations is provided in the

KPI Report.

18

Figure 1: Race representation by level of employment

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Board report:

Corporate overview

19

Professor BD Reddy (Chairperson of the Board)

Dean of Science, University of Cape Town

Professor SF Coetzee

Centre for Leadership Studies, University of Stellenbosch

Professor CA Hamilton

Graduate School for Humanities and Social Sciences, University of

the Witwatersrand

Dr JL Job

Executive Director, SAPPI Limited

Dr T Mdaka

Nuclear Physician

Professor CC Mokadi

Vice-Chancellor, University of Johannesburg

Professor PE Ngoepe

Director, Materials Modelling Centre, University of the North

Mr MM Nxumalo

Director, Business Development and Corporate Affairs, SAP

Mrs BD Radebe

Executive Chairperson, Mmakau Mining

Dr J van Zyl

CEO, Sanlam

Professor HW Vilakazi

Special Advisor, Premier of KwaZulu-Natal

Dr K Mokhele

NRF President (ex-officio)

NRF Board Members as at 31 March 2005

20

BOARD REPORT:

PERFORMANCE OVERVIEW OF BUSINESS UNITS

22 Research and Innovation Support and Advancement (RISA)

22 Introduction

22 RISA achievements

22 Human resource development

23 Grantholder support

23 Student support

24 Staff development grants

25 Knowledge generation in the Focus Area Portfolio

26 Centres of Excellence

27 Social Sciences, Humanities and Law

27 Utilisation of research results, technology transfer

and innovation

28 Provision of state-of-the-art equipment and

infrastructure

28 Internationalisation

30 Africa interaction

31 Adherence to quality

32 Positioning RISA in the NSI

33 RISA as service provider

33 Science and Technology Agreements Fund

33 The Technology and Human Resources for

Industry Programme

34 Innovation Fund

35 Scarce Skills Development Fund

35 Biodiversity Programmes

35 Indigenous Knowledge Systems

35 Palaeoanthropology Scientific Trust

36 Centres of Excellence – overview

38 South African Agency for Science and Technology

Advancement (SAASTA)

40 Science Advancement – overview

42 National Research Facilities

21

Board report:

Performance overview of business units

A i m h i g h , c o a c h w e l l

. Th a t ’ s

l i f e ’ s g a m e

h a l f - w o n .

The seed of the Red Mahogany

(Khaya anthotheca) must be

soaked before propagation.

Knowledge needs to be steeped in

innovative thought to impact on life.

22

Introduction

The purpose of RISA is to lead the promotion and support of

research and research capacity development in all fields of

knowledge and technology. This is done by:

l Investing in knowledge, people and infrastructure;

l Promoting basic and applied research and innovation;

l Developing research capacity and advancing equity and redress

to unlock the full creative potential of the research community;

l Facilitating strategic partnerships and knowledge networks; and

l Upholding research excellence.

RISA supports and promotes the full range of activities in the

innovation chain, from building the knowledge base (by developing

human resources, generating and using knowledge, and providing

research facilities), to promoting value-added research, technology

development, innovation and eventual commercialisation.

RISA activities are clustered around:

l Funding researchers and research students from the

Parliamentary Core Grant;

l Managing/administering the following programmes as service

provider:

– STAF;

– Innovation Fund;

– THRIP;

– Scarce Skills Development Fund; and

l Advancing the interface between science and society and

coordinating S&T advancement across the business units of the

NRF, through SAASTA.

This report gives an account of RISA activities according to the

clustering outlined above.

The Parliamentary Core GrantRISA allocates the Parliamentary Core Grant mainly to granting

functions built around nine focus areas which address national

needs and priorities and build on strategic advantages. The focus

areas are:

l Unlocking the Future: Advancing and Strengthening Strategic

Knowledge;

l Distinct South African Research Opportunities;

l Conservation and Management of Ecosystems and Biodiversity;

l Economic Growth and International Competitiveness;

l Education and the Challenges for Change;

l Indigenous Knowledge Systems (IKS);

l Information and Communication Technology and the Information

Society in South Africa;

l Socio-political Impact of Globalisation: The Challenge for South

Africa; and

l Sustainable Livelihoods: The Eradication of Poverty.

The focus areas form the landscape for interventions addressing

the uniquely South African requirements for human resource

development, knowledge generation, research utilisation,

technology transfer and innovation, and the provision of research

equipment and infrastructure. Interventions during the year under

review include:

l Maintenance and revision of Institutional Development

Programmes to develop research capacity in the changed HE

sector;

l Thuthuka, which offers opportunities for researchers in training,

women in research, and the training of black staff;

l Focus Area Programmes (FAPs), which provide grants to

researchers and grantholder-linked students;

l Science liaison grants, enabling internationalisation of science;

l Equipment and mobility grants; and

l Free-standing scholarships and bursaries to address, for example,

scarce skills.

RISA achievements

The interventions of RISA are aimed at addressing the core missions

and strategic priorities of the NRF, and a short summary of RISA

achievements against these goals follows.

Human resource developmentRISA has an important role in delivering on the key driver of

the NRF, which is: to produce large numbers of high-quality PhDs

required to provide the bedrock for an innovative and entrepreneurial

knowledge society.

The premium RISA places on developing appropriately skilled high-

level human resources is evident from the focus and the diversity

Board report: Performance overview of business unitsResearch and Innovation Support and Advancement

23

of categories of support for human resource development as well

as the proportion of the RISA Parliamentary Core Grant and ring-

fenced funds (61%) allocated for this purpose (Fig. 2 and 3).

The funding programmes of RISA are designed to increase,

deepen and strengthen the HR pool, by supporting students and

researchers, thereby developing them into established researchers

of national and international renown.

Grantholder support

Grantholder-linked support is a major component of direct capacity

development of the next generation. The number of grantholders

supported from the core grant (excluding Thuthuka mentorship

grants) increased by 12% from 1 327 to 1 481. Proportionately

more grantholders were unrated than rated. This is in keeping with

NRF support to researchers who are in the process of establishing

themselves as rated scientists. The number of black grantholders

increased by 12%, representing a slow but steady increase. Black

grantholders now constitute 26% of all grantholders. Women

grantholders again increased, this year by 26%, and women now

constitute 34% of all grantholders compared with 30% in the

previous year.

The value of grants claimed by grantholders, and by institutions

on behalf of grantholders (Thuthuka Mentorship Grants), increased

to R164,3m. This increase can firstly be ascribed to the increase in

grant values (the average grant size increased by 17%), but also to

an increase in the take-up of grants allocated. The latter is due to a

deliberate effort by RISA to reverse the previous trend and to curb

the amount of unspent funds.

Student support

Student support provided from Parliamentary Core Grant

The total number of students supported in both grantholder-

linked and free-standing bursaries increased by 4% from 4 576 in

2003/04 to 4 740 in 2004/05. This can be ascribed to the increase

in the grantholder-linked budget. Bursary values at Master’s and

doctoral level were increased by 43% as from 2004 with a view to

attract more students. The amount claimed increased by 22% from

R73,0m in 2003/04 to R89,0m in 2004/05. The R89,0m includes an

amount of R2,6m which was allocated as Honours block grants to

20 HEIs.

Figure 2: Distribution of amounts claimed for human

resource development from the Parliamentary

Core Grant (R255m)

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Figure 3: Number of grantholders supported through core grant

funding

24

The 5% decrease in Master’s students during 2003/04 was arrested

during 2004/05 to a decline of only 1% (2 069 in 2003/04 to

2 048 in 2004/05). There is, however, a modest increase of 3%

in BTech and Honours students from 882 in 2003/04 to 910 in

2004/05. A special effort was made to stimulate the development

of capacity at these levels to form the feeder system for future

doctoral and postdoctoral studies. The overall increase of 24%

in the number of third- and fourth-year level students looks

promising, provided these students can be retained for further

studies.

A positive development is the increase in doctoral students from

1 072 to 1 100. This growth is seen across the board (with the

exception of white women), and black students now constitute

46% of the total number of doctoral students.

Postdoctoral grants increased by 22% from 172 to 210. This

increase is less dramatic than the previous year when an increase of

51% was reported. Postdoctoral grants to black students constitute

37% of the total grants in this category, compared to 31% in

the previous year. An additional amount of R30,0m was made

available for 100 postdoctoral grants to be disbursed mainly in

2005/06. (Equity targets include 80% to black and 60% to women

postgraduates.)

Overall, R89,0m was spent on student support, which constitutes

35% of the total core grant spending on human resource

development (R255,0m).

Discussions with NSFAS have strengthened RISA cooperation

in student support. However, the issue of support for Honours

students by NSFAS has not been resolved as yet.

With regard to equity and redress, the number of black students

supported increased by 5% while the proportion of black students

to the total number of students only moderately increased over

the previous year. The number of women students increased from

2 210 to 2 301.

Student support in scarce skills with funds from

the Department of Labour (DoL)

The NRF has successfully leveraged additional funding from the

DoL to increase the budget from R20,0m in 2003/04 to R29,4m in

2004/05, representing an increase of 47%. The total amount was

allocated and made available to address scarce skills in identified

areas and for the first time also to fund postgraduate disabled

students. Due to the increase in grant values, the number of

students supported declined from 866 to 594, but the amount

claimed increased by 14% from R20,6m to R23,3m. At the

inception of the programme in 2002/03, the competition by, and

allocation to, white students and the concomitant commitment to

white students at the Master’s and doctoral level were high. This

limited adherence to equity targets of 85% black students and

54% women students. In view of these commitments, few white

students will be funded in future.

Comparative data of fields supported shows that most grants

were made in Biotechnology, Chemistry, Engineering and Physics.

Growth was also seen in grants for Agriculture, Actuarial Science

and Demography.

Staff development

Assistance for the development of staff in higher education to

improve their qualifications is given as part of the research grants

to grantholders. The amount claimed decreased by 6% (from R1,7m

Figure 4: Total amount claimed for student support from the

core grant and Scarce Skills Development Fund

(excluding THRIP) (R114,9m)


25

in 2003/04 to R1,6m in 2004/05). Likewise, the number of grants

decreased by 8% (from 143 in 2003/04 to 131 in 2004/05 with

the exception of grants to black women which increased by 12%.

Twenty-five staff members completed their degrees – eight at

doctoral level and 17 at Master’s level.

In addition to staff development grants as part of the research

grants of grantholders, the Thuthuka Programme is a specific

intervention for staff development. The programme has three sub-

divisions:

l Researchers in Training (RiT) for staff with a Master’s degree as

highest qualification;

l Women in Research (WiR) for women with a doctoral degree as

highest qualification; and

l Research Development Initiative for Black Academics (REDIBA)

for young black academics.

Five institutions claimed Thuthuka grants on behalf of grantholders

at those institutions.

The amount invested in Thuthuka grantholders increased from

R7,8m in 2003/04 to R11,8m in 2004/05. The number of grants

increased from 170 to 268. This demand clearly demonstrates the

need for a special staff development programme at all HEIs.

Knowledge generation in the Focus Area PortfolioThe Focus Area framework for research makes provision for

knowledge generation in nine areas that respond to societal

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Figure 5: Focus Area Programme grants claimed (R’000)

26

need. It also provides a framework within which disciplinary and

multidisciplinary research, both basic and applied, is accommodated.

Trends regarding the demand for funding within focus areas were

reviewed to better understand research community responses to

enable the strengthening of weak disciplines and to provide support

in new and strategic research areas. These review reports will inform

the business plan of the next financial year.

Within the Focus Area framework, awards were made to research

individuals and groups in the Development Programmes, such as

the Institutional Development Programmes and Thuthuka; the Focus

Area Programmes and Centres of Excellence.

In the FAPs, the total amount claimed in the year under review

increased by 37% to R118,0m (see Figure 5). In the Development

Programmes, the total amount claimed increased from R40,0m to

R45,0m. In accordance with the strategy to provide more substan-

tive grants, the average grant size of grants in all Focus Area and

Development Programmes increased by 17% from R87 000 in the

previous year to R102 000 in 2004/05.

Research funded by RISA through its FAPs resulted in the

publication of 2 118 peer-reviewed journal articles, 143 books and

114 chapters in books in 2004/05. In addition, their research work

was published as 844 conference proceedings and 381 technical

reports and produced 56 products, artefacts or patents.

Research funded through the Development Programmes resulted

in the following outputs: 217 peer-reviewed articles, 46 chapters in

books, 146 published conference proceedings, 60 technical reports

and 36 artefacts, products or patents.

Centres of Excellence

Six Centres of Excellence (CoEs) – driven through RISA – were

launched by Minister Mangena in June 2004:

l Centre for Biomedical TB Research, co-hosted by the University

of Stellenbosch and the University of the Witwatersrand;

l Centre for Invasion Biology, hosted by the University of

Stellenbosch;

l Centre of Excellence in Strong Materials, hosted by the University

of the Witwatersrand;

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Figure 6: Value of grants awarded in the SSH and NSE (R’000) Figure 7: Number of grants awarded in the SSH and NSE


27

l Centre of Excellence in Birds as Keys to Biodiversity Conservation,

at the Percy FitzPatrick Institute;

l Centre of Excellence for Catalysis, hosted by the University of

Cape Town; and

l Centre of Excellence in Tree Health Biotechnology at FABI, hosted

at the University of Pretoria.

All the centres are in the forming stage. The CoE initiative is an

innovative model of funding, providing leading scientists from

across the knowledge spectrum an opportunity to systematically

address pressing problems or future knowledge challenges in a

sustained and complex way. In order to understand the value as

well as the impacts of the CoE initiative on the larger national

science and innovation system, a baseline study was commissioned

and conducted. The results of this research will become available

during 2005 and 2006.

More detail on the work of these centres appears on page 36.

Social Sciences, Humanities and Law

The Focus Area framework is reviewed on a continuous basis in

order to be responsive to the strengthening of weak disciplines

and to provide support for new and strategic research areas. This is

particularly critical in a healthy and functional innovation system.

Although there should be a better ratio in the funding of the

different science domains in the NRF, the number of grantholders

and grant amounts remain skewed in favour of the Natural

Sciences and Engineering (NSE). In the review period there has been

a small growth in both the number and value of resources awarded

to the Social Sciences, Humanities and Law (SSH&L). Stimulation

of demand among the SSH&L research community, and making the

contribution of SSH&L to the larger NSI system explicit and visible,

are critical steps to achieving greater equity in public funding. The

SSH&L Shifting Boundaries of Knowledge initiative is designed

to build the SSH&L science domains. This has gained momentum

during the year and the first phase has been completed.

The purpose of the SSH&L Shifting Boundaries of Knowledge

project is to stimulate research initiatives in SSH&L in South Africa

to demonstrate the contribution that this spectrum of the scientific

community makes to knowledge creation and societal well-being.

As an NRF initiative it is designed to support and develop the

national science and innovation system in a way that both

accounts for and stimulates the contribution made by researchers

and academics in the Social Sciences, Humanities and Law.

The goals of the initiative are to:

l Identify and make visible the critical research issues and

challenges that are considered to be of the highest importance

to South African society;

l Mobilise the South African SSH&L research community to engage

in scholarly debate around their position and contribution to

national challenges;

l Provide a focus for future research priorities within and between

disciplines, not only within SSH&L but also across the whole

sciences and knowledge system;

l Open up a healthy dialogue around the place and relevance of

knowledge creation and dissemination in society; and

l Inform policy and practice.

Utilisation of research results, technology transfer and innovationRISA has initiated a seamless approach to research funding to

ensure closure of the “innovation gap”. Several mechanisms have

been put in place. The first was a conscious attempt to identify

projects (funded from the RISA core grant) that may be of interest

to THRIP and the Innovation Fund. The second included ongoing

discussions between THRIP and the Innovation Fund to find modes

of cooperation. Thirdly, there was an agreement between the NRF

and the Board of Trustees of the Innovation Fund to create the

Near Market Technology Opportunities Partnership. This illustrates

the importance of the synergies that can emerge from managing

different funding modalities within one agency and signals that

all RISA programmes within the Focus Area framework are seen as

incubators of ideas for innovation.

Two programmes in the RISA stable are of special importance

in addressing the NRF core mission of knowledge utilisation,

technology transfer and innovation: THRIP and the Innovation Fund.

The outcomes of THRIP and the Innovation Fund are detailed in

their respective annual reports to their principals. The NRF managed

these two funds by way of agreements with the Department of

Trade and Industry (the dti) and the Board of Trustees of the

28

Innovation Fund. It is, however, interesting to note to what extent

THRIP promoted the participation of SMMEs and large firms over

the last five years (see Figure 8).

Provision of state-of-the-art research equipment and infrastructureThe NRF was instrumental in the development of an Equipment

Strategy for South Africa in anticipation of earmarked funds

becoming available for this purpose in accordance with the R&D

Strategy.

Research equipment

No funds were made available for the acquisition of multi-user

research equipment in HEIs.

Mobility grants

The take-up of mobility grants by researchers and research students

wishing to access equipment, either locally or internationally,

increased from 41 to 59. This necessitated an increase of funds

(from R653 000 in 2003/04 to R949 000 in 2004/05). The bulk of

these funds (R542 000) was taken up for accessing state-of-the-art

equipment abroad, and R350 000 to access equipment locally. The

remainder of the amount was spent on training.

Provision of research information infrastructure

The data and information provided by RISA are intended to

support informed decision-making and promote and facilitate the

production of new knowledge. The RISA Resource Centre continued

to provide access to a variety of information sources through key

national and international databases such as the South African

Information Network (SABINET) Online, and the International

Scientific Information (ISI) Web of Knowledge.

A total of 116 404 searches were conducted on the Current and

Completed Research Database within the Nexus Database System.

This database contributes significantly to the research capacity

development of the country by giving access to grey literature

such as dissertations, theses and research projects. It also facilitates

research networking and collaboration between researchers and

research organisations.

The South African Data Archives (SADA) provided datasets for

analysis by researchers, and there were 298 requests for data from

this database.

The South African Network of Skills Abroad (SANSA) serves as a

platform for collaboration between local researchers and South

Africans abroad.

InternationalisationInternationalisation of science through collaborative research,

networking and international conference attendance remains a high

priority to benchmark the quality of South African research and its

international competitiveness.

To promote internationalisation, RISA:

l Provides grants from the RISA core grant in support of

conference attendance;

l Manages the bilateral Science and Technology Agreements Fund

(STAF) on behalf of the DST; and

l Manages the national International Council for Science (ICSU)

committees and provides the necessary support to South African

members to participate in ICSU activities.

RISA grants

In accordance with a decision to provide block grants to HEIs for

international conference attendance, the number of grants to

individuals from the RISA budget declined sharply. However, a total

of 28 block grants to the amount of R2,6m was allocated to HEIs

for conference attendance. These block grants resulted in support

to 339 grantholders to attend international conferences and short

courses, and undertake research visits.

Figure 8: Number of industries participating in THRIP

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Examples of international collaboration to promote South African research and researchers

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World map courtesy of the Department of Geography, Geoinformatics & Meteorology, University of Pretoria.

30


Science and Technology Agreements Fund (STAF)

During 2004/05 fourteen bilateral agreements were operational.

Important developments include the renewal for another three

years of both the Norway-SA Bilateral collaborative research

programme and the SA-Flanders Bilateral Agreement. A workshop

between the NRF and the CNRS was held to discuss the renewal

and development of a framework for bilateral cooperation. A

successful joint seminar between the NRF and the Swiss National

Science Foundation (SNSF) on trans-disciplinary research enhanced

the collaboration between the two countries.

South Africa has approved a membership fee of R125 000 for

South African researchers in the field of Geology to participate

in the Inter-Continental Drilling Programme (ICDP). The benefits

accruing from the membership will include opportunities for

student training, participation of South African researchers in the

programme, and access to data generated from this programme.

International Council for Science (ICSU)

The NRF and ICSU were involved in a workshop to finalise the

framework as well as launch the ICSU regional office for Africa. The

workshop in Harare was attended by members of the ICSU Africa

Interim Steering Committee and representatives from other African

countries. The establishment of the ICSU regional office for Africa

at the NRF in Pretoria gained momentum with the appointment of

the Director, Professor SM Muhongo, and the secondment of NRF

staff to this function.

During the year 317 grants were made to South African members

of ICSU-affiliated organisations to attend the three local meetings,

as well as 323 (299 in 2003/04) grants to attend four planning

meetings and workshops abroad. Capacity development support

was given to 70 delegates (31 in 2003/04) to attend meetings in

order to learn and thereby enable them to take their seats as fully

fledged members of ICSU scientific committees in due course.

Several initiatives to internationalise South African science are

vested within granting programmes and other sections of RISA.

These include:

l Inkaba ye Africa, a multi-institutional German-South African

collaborative research programme in the Earth and Space

Sciences;

l The Royal Society-NRF programme, of which the second phase

was launched with the announcement by Minister Mangena of

the new beneficiaries of the grants;

l South Africa’s participation on the steering committee of the

International Group of Funding Agencies for Global Change

Research (IGFA); and

l the National Science Foundation-NRF collaboration in science

education research, which involves partners in the United

Kingdom (UK), United States of America (USA) and Australia.

Africa interactionIn terms of grants, interaction with Africa remains at a low level

and only five grants to the value of R372 236 were supported in

2004/05. The grants include support for several workshops and

contributions to participants from neighbouring countries to attend

these workshops.

The establishment of the new business development directorate with

responsibility for international relations will be in a better position

to turn the low level of grant funding for Africa interaction around.

Nevertheless, during the year under review, RISA was involved in

several value-adding activities related to Africa interaction.

RISA was represented on the Advisory Committee for the

Knowledge Management (KM) Africa 2005 Conference, where the

implementation of the KM Africa Initiative spearheaded by NEPAD,

was planned.

Given the experience and value of South Africa’s National Laser

Centre (NLC), South Africa has strongly supported the establish-

ment of the African Laser Centre (ALC) as one of the flagship

projects of NEPAD. ALC will provide grants in support of laser

research and technology development and application across Africa.

The Advisory Board resolved that RISA should be contracted to

manage and administer the granting and monitoring processes.

Participation in the seminar on NSF-Africa Materials Research

Group cooperation resulted in a commitment by most of the

participants (NSF and several African country representatives,

including the NRF) to call for joint proposals during 2005, which

will hopefully benefit researchers in this field across Africa.

31

Another positive development was a technical visit to Kenya during

which a bilateral agreement between SA and Kenya was signed.

The NRF will now arrange a workshop to bring together researchers

from both countries.

South Africa, through the NRF, is still involved with the

International Group of Funding Agencies for Global Change

Research (IGFA). Discussions about north-south collaboration, and

assistance to NEPAD for establishing the networks required to

engage in Global Change Research (GCR) across Africa, are ongoing.

This is important as GCR and an understanding of the forces

responsible for global change, is key in feeding into policies for

sustainable development.

Adherence to qualityFunding decisions within all RISA programmes are based on peer

review, with expert advisory panels assessing the peer reviewers’

reports for quality and merit and providing advice on funding

decisions where appropriate. This approach has been adopted for

the evaluation and rating of researchers, assessment of research

niche areas, research proposals and research plans.

The evaluation and rating of researchers

The results of the evaluation and rating of researchers on the basis

of their research outputs indicate the standing of the researchers

and the quality of South African science in the international arena.

By virtue of their rating, rated researchers have demonstrated their

ability to conduct quality research and hence qualify for research

grants for periods up to five years on the basis of a competitive

research proposal. Rated researchers are invited to submit docu-

mentation for re-rating every five years.

In the year under review there was an increase in the number of

rated researchers in all rating categories with the exception of the

P-category. The highest increases were in the A-category and the

L-category. The total increase in the number of rated researchers

per rating category in all disciplines is shown in Figure 9.

The increase in the number of rated researchers was largely due

to the increase of rated researchers at universities. This reflects an

increase in capacity within higher education for the training of the

next generation. There has been a steady growth in the number

of rated researchers at Universities of Technology (11%); this can

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Figure 9: Number of rated researchers in all disciplines at South African HEIs and museums as well as gender and race profile

32

be ascribed to the intervention of the Institutional Development

Programmes at former Technikons. Significant increases in the

number of rated black researchers (11%) and women researchers

(14%) were noted.

Of the total number of rated researchers (1 385), 987 researchers

are in the NSE disciplines and 399 in the SSH&L. These numbers

indicate a reversal in the decline experienced in the number of

rated scientists in the NSE disciplines over the previous three

years (2001/02 – 2003/04). The number of rated researchers in

the SSH&L disciplines increased by 47 over 2003/04. The overall

number of rated researchers increased (from 1 324 to 1 385). It is

hoped that the outcomes of RISA’s various development initiatives

will further support this positive trend of an increase in the number

of research-active scientists.

Assessment of research proposals

During the year under review, RISA received 4 422 applications for

funding of which 52% were funded subsequent to the assessment

of applications.

Positioning RISA in the NSIVarious activities positioned RISA and the NRF within the NSI.

These include:

l Participation in the South African Research and Innovation

Managers’ Association (SARIMA), the National Science and

Technology Forum, and other bodies within the NSI;

l Representation on various boards, such as the Tertiary Education

Network (TENET) and the Council for Higher Education (CHE);

and

l Input into the system at a strategic level: for example, the

International Council for Science (ICSU) Board accepted the

RISA document Scientific Data and Information: A report of the

CSPR Assessment Panel (Paris: ICSU, 2004) and the report was

distributed to ICSU members and organisations worldwide. In

South Africa the document has been distributed to all Science

Councils in preparation for a workshop within the South Africa

National Research Information Centres (SANRIC), which is to be

hosted by the NRF.

Positioning regarding global change research (GCR)

FP6 Global change and ecosystems

RISA is the SA National Contact Point for FP6 Global Change and

Ecosystems and has established links with the relevant European

Commission (EC) officers administrating the FP6 specifically in

Sustainable Development, Global Change and Ecosystems. As a

result, a mapping of SA’s research interests with leading European

players has been initiated and workshops in the Atmospheric

Sciences and on the Biodiversity theme have taken place.

International Human Dimensions Programme (IHDP)

on Global Change

A workshop was held to share information and to consider the

value of developing a network or committee on human dimensions

of global environmental change either locally or regionally. It

concluded that an IHDP Southern Africa network could shape

current programmes in a coordinated and intelligent fashion to

provide information comparable to international global information.

The IHDP was externally reviewed during 2004/05 and RISA was

represented on the review panel.

New partnerships

The NRF, with its special mandate within the NSI, cannot

effectively achieve its objectives with resources from the science

vote alone. Thus, the NRF needs to secure and/or leverage resources

from a broader base, such as from the DST and other government

departments, Science Councils, the private sector and non-

governmental organisations.

Initiatives which will be taken further are:

l Expansion of the Centres of Excellence Programme, including the

Centres of Excellence in Industrial Research and Development

(CEIRD), based on the recognition by the dti for the need of

greater innovation and skills development with focus on national

priorities and sectors for which this department is the primary

custodian;

l Research Chairs in general, including Chairs in Entrepreneurship

and Enterprise Development (CEED), in support of the dti’s

mission to support the creation of small, medium and micro

enterprises (SMMEs); and

l Mathematics and Science Teachers’ Training (MASTT) programme,

aimed at enhancing the teaching skills of science and


33

mathematics educators in order to increase, on a sustainable

basis, the flow of learners in Science, Engineering and Technology

(SET) to higher education. This initiative is being considered by

the dti for support.

In respect of the dti the strategic importance of CEED, CEIRD

and MASTT remains a priority. However, availability of additional

funding and the complexity of establishing new programmes are

problematic. Part of the solution is to establish CEIRD and MASTT

as sub-programmes of THRIP. Both programmes will be rolled out

during 2005/06, pending the final approval from National Treasury.

Negotiations about CEED with the dti are ongoing.

RISA as service provider

Some of the major programmes that RISA manages and

administers as service provider include:

l Science and Technology Agreements Fund (STAF);

l Innovation Fund;

l Technology and Human Resources for Industry Programme

(THRIP);

l Scarce Skills Development Fund; and

l Programmes in special fields, such as biodiversity, indigenous

knowledge, and so forth.

The NRF has recognised management and administrative

competencies that allow research development funders to use

the agency as preferred service provider. Usually the funder and

the NRF enter into a longer-term Memorandum of Understanding

(MoU) and/or Service Level Agreement (SLA) which outlines the

management strategy and objectives of the programme. These

programmes have to contribute to the core missions and strategic

priorities of the NRF, such as internationalisation of research;

technology development, innovation and commercialisation;

industry collaboration; and human resource development. By

taking on these programmes RISA can obtain economies of scale.

In addition, these programmes allow RISA to achieve a seamless

approach in discharging its mandate of supporting the creation of

knowledge, innovation and development in all fields of S&T.

Science and Technology Agreements FundThe main purpose of the S&T Agreements Fund (STAF) is to support

projects of scientific excellence. STAF activities allow the exchange

of researchers and stimulate interaction between scientific

communities with a view to long-term sustainable scientific

cooperation and networks. Emphasis is placed on training, the

inclusion of PhD students, and postdoctoral fellows within approved

projects.

The DST has appointed the NRF to develop policies, processes, and

procedures for the management and administration of the STAF

obligations. The DST remains responsible for negotiating bilateral

or multilateral agreements with international partners, drafting

Framework Programmes of Action (which entail priority setting,

conditions and criteria), and negotiating funding levels for each

agreement. These agreements serve to develop scientific relations

between the research communities of the inter-governmental

signatories.

The inclusion of STAF activities within the ambit of RISA supports

its strategic priority, Internationalisation of science. The outputs

and outcomes of STAF are recorded on page 28 under the heading

Internationalisation.

The Technology and Human Resources for Industry Programme (THRIP)The Technology and Human Resources for Industry Programme

(THRIP) is a research and development programme funded by

the dti, advised by the THRIP Board and operationally managed by

the NRF. THRIP supports SET research collaboration that addresses

the technology and human resource needs of South African

industry. Industry and the dti share the cost and risk of developing

commercial technology on a default R2 : R1 basis.

The mission of THRIP is to improve the competitiveness of South

African industry. This is achieved by pursuing three objectives:

l To help increase the quantity and quality of people with

appropriate skills in the development and management of

technology for industry;

l To promote increased interaction and mobility among

researchers and technology managers in industry, HEIs and SETIs,

with the aim of developing skills for the commercial exploitation

of S&T; and

34


l To stimulate industry and government to increase their

investment in research, technology development, diffusion and

the promotion of innovation.

Transformational priorities identified by THRIP are to:

l Support an increase in the number of black and women students

who intend to pursue technological and engineering careers; and

l Promote technological know-how within SMMEs and black

economic empowerment (BEE) enterprises, by deploying skills

vested in HEIs and SETIs.

THRIP contributes to more than one core mission and strategic

priority of the NRF, but the main focus is on human resource

development, and knowledge utilisation and technological

development. Information on achievements in these areas is

included in the KPI Report. THRIP added R131,0m to the 2004/05

Medium-term Expenditure Framework (MTEF) RISA budget.

Innovation FundThe Innovation Fund (IF), a policy instrument of the DST, exists

to facilitate the transfer of technologically innovative and

commercially viable projects that promise to have significant

national benefit, into the marketplace. As such it spans the

innovation chasm, investing in projects through a variety of funding

instruments, from supporting the research and development (R&D)

phase into the start-up phase.

High-level objectives of the Innovation Fund are to promote

technological innovation, networking and cross-sectoral

collaboration with the following in mind:

l Competitiveness;

l Quality of life;

l Environmental sustainability; and

l Harnessing information technology.

In realising these objectives, intervention strategies have been put

in place through the various funding instruments of the Innovation

Fund. These instruments invest in projects that:

l Involve technological innovation with a large component being

R&D that results in new knowledge;

l Build on existing research, that is, they are at a stage where a real

or potential product, process, or service has been identified and

the R&D proposed will enable progress to the prototype stage or

equivalent;

l Are in areas that will deliver a significant benefit to South Africa;

and

l Represent, within a consortium arrangement, the appropriate

combination of research, business, or non-governmental

organisation (NGO) partners (BEE included) to achieve the

benefit.

Interventions

Innovation Fund Commercialisation Office (IFCO)

The Deloitte Innovation Technology Commercialisation Programme

(DITCP) is a collaborative initiative between the Deloitte Strategic

Business Development division and the Innovation Fund with three

major objectives: commercialisation of Innovation Fund projects,

training of contract commercialisation officers, and establish-

ment of private-public partnerships (venture capital companies).

Technology transfer offices establishment is currently at the pilot

stage at Tshwane University of Technology (TUT), but there are

additional plans to establish regional presence/incubation centres in

the Western Cape and KwaZulu-Natal for a Master’s programme in

Technology Transfer.

Intellectual Property Management Office (IPMO)

The purpose of this office is to establish a:

l Patent Attorney development programme;

l Patent Incentive Fund and the Patent Support Fund (incentives

for patenting at HEIs and Science Councils, and provide funds for

patenting costs of SMMEs); and

l Chair in Intellectual Property at HEIs.

Other initiatives

National Innovation Competition (NIC)

NIC develops innovation and entrepreneurship among students

at HEIs and high schools by soliciting student business plans via a

competition, and marketing these plans to potential investors at a

national function.

Investment into the National Youth Innovation Campaign (NYIC)

The campaign was set up to establish a national framework for

science and innovation in high schools. Creative multimedia exhibi-

tions and business advice activities form the core of this initiative,

35

followed by an Innovation Competition. SAASTA has been contract-

ed to implement the concept via an initial R6,0m investment.

The Innovation Fund is crucial for RISA performance in knowledge

utilisation, technological development and innovation. The

Innovation Fund added R210,0m to the 2004/05 MTEF RISA

budget.

Scarce Skills Development FundThe Skills Development Act (Act No 97 of 1998) provides a

framework for addressing a severe shortage of skills required for

national development and competitiveness. The Department of

Labour (DoL), in conjunction with the Department of Education

(DoE) and the DST, has been mandated to accelerate training

to address scarce skills, both in higher education and other

training institutions, especially in the fields of SET. The NRF, as a

national agency with a mandate to support skills development at

postgraduate level, has become the implementing agency for the

DoL to support postgraduates in SET, and to manage grants to

postgraduate students with disabilities.

Taking on this fund within RISA, which added R29,4m to the

2004/05 MTEF RISA budget, resulted in one of the core missions of

the NRF – human resource development – being more effectively

addressed. For an overview of the performance of this fund, please

refer to page 24.

Biodiversity programmesThe NRF has been requested by the DST to manage two initia-

tives linked to the Biodiversity Science Thrust of the National R&D

Strategy, namely the South African Biosystemic Initiative (SABI) and

the South African Biodiversity Information Facility (SABIF).

The SA Network for Coastal and Oceanic Research (SANCOR)

RISA is a partner with the Department of Environmental Affairs

and Tourism (DEAT) in the Sea and Coast Programme developed by

SANCOR. RISA participated in reviewing researcher progress of each

of the Sea and Coast thrusts supported in this joint venture.

South African National Antarctic Programme (SANAP)

SANAP is a partnership programme of the NRF with DEAT and the

DST. Review and panel processes of 29 applications resulted in a

success rate of 41%. The first ever social science project funded

through SANAP was approved and initiatives to develop new and

young capacity are being implemented.

Indigenous Knowledge Systems (IKS) The NRF receives a ring-fenced grant from the DST to support

research and human resource development in the field of

Indigenous Knowledge. IKS has been identified as a Focus Area

within RISA and all IKS activities have been integrated in the RISA

activities. During 2004/05 the IKS programme was externally

reviewed.

Palaeoanthropology Scientific Trust (PAST)The NRF administers the transfer of funds from the DST to PAST.

For the 2004/05 financial year these funds amounted to R1,0m.

The financial statement from PAST shows that 24 grants were

awarded. Of these, the following were supported:

l 12 white women (R361 600);

l two black women (R100 000);

l nine white men (R287 500);

l one black man (R50 000); and

l five projects for exhibitions, equipment, conferences and

workshops (R159 941).

In addition to making grants, PAST launched an educational

programme, Walking Tall: from Apeman to Spaceman. Primarily

aimed at previously disadvantaged schools, this programme seeks

to create awareness around palaeontology, anthropology and

related disciplines and to encourage learners to pursue science-

related careers. PAST was also instrumental in establishing the first

commercially viable excavation company, called Fossil Trackers.

36

The National Research and Development Strategy identifies

the need for “centres and networks of excellence” in science

and technology to stimulate sustained distinction in research

while developing highly qualified individuals who can impact

meaningfully on key national and global areas of knowledge.

RISA has a variety of well-defined initiatives to support the NRF’s

mandate of promoting the creation of knowledge and innovation,

eg the Focus Area Programmes.

The location of six DST/NRF Centres of Excellence at the pinnacle

of the Focus Area framework is designed to raise the research

and capacity development ceiling of existing top-level scientists

and further enhance their contribution to the regeneration of the

broader science community.

The aim of the funding of the NRF-driven Centres of Excellence is to:

l Exploit the competitive advantage vested in outstanding

researchers;

l Reward, sustain and improve scientific excellence;

l Integrate smaller and related research initiatives into one

programme;

l Achieve economies of scale through the optimisation of

resources and effort by sharing personnel, equipment, data and

ideas;

l Provide secure and stable funding for research and knowledge

dissemination;

l Support strategic, long-term research; and

l Reduce micro-management of academics and their resources by

the funding agency.

The six DST/NRF Centres of Excellence currently managed by the

NRF are:

Centre of Excellence for Invasion Biology

(hosted by the University of Stellenbosch)

The centre is concerned with the biology of invasive species, with

special emphasis on the impact that invasive species have on

southern Africa’s biodiversity, agriculture and eco-tourism.

Centre of Excellence in Strong Materials

(hosted by the University of the Witwatersrand)

This centre studies materials such as hard metals, metal alloys,

metal oxides, ceramics, diamond and diamond-like materials and

composites, including carbon nanotubes. Strong materials retain

their distinctive properties under extreme conditions and thus have

wide applications in the manufacturing and mining industries in

South Africa and abroad.

It is crucial to improve the properties of currently used materials

for higher efficiency and cost reduction. In the longer term, the

burgeoning fields of advanced strong materials being newly

synthesised or in the process of further development, are potentially

of great commercial value. This centre will address both objectives

and its variety of programmes fall within an area identified as being

of major importance in the Advanced Manufacturing Technology

Strategy of the South African government.

Centre of Excellence in Birds as Keys to

Biodiversity Conservation at the Percy FitzPatrick Institute

(hosted by the University of Cape Town)

Research is based on two interlinked themes: understanding and

maintaining biodiversity. The first investigates the composition and

structure of biodiversity, the processes responsible for its generation,

and how relationships between organisms and their environments

influence the form and functioning of biological systems.

The second theme builds on the strong theoretical and empirical

foundation of the first theme and assesses, predicts and manages

human impacts on biodiversity. The second theme focuses on the

dynamic links that lead to biodiversity loss, developing effective

strategies to stem this loss, and discovering ways to use components

of biodiversity sustainability to the benefit of South Africa.

Research and Innovation Support and Advancement (RISA)

Centres of Excel lence

37

Centre of Excellence in Catalysis

(hosted by the University of Cape Town)

Research at this centre focuses on chemical catalysis mainly for the

conversion of gas to liquid fuels and for downstream processing

that adds value to bulk chemicals.

With the manufacturing sector being the largest contributor to

South Africa’s and with chemical manufacturing the largest single

contributor to the South African manufacturing sector, chemical

processing is recognised as a distinct field for targeted innovation

initiatives as emphasised in the National R&D Strategy – and

catalysis lies at the heart of 90% of all chemical transformation

processes.

Centre of Excellence for Biomedical TB Research (co-hosted

by the University of Stellenbosch and the University of the

Witwatersrand)

Research at this centre includes all aspects of TB diagnosis,

testing and treatment. With the third-highest incidence rate and

second-highest mortality rate in the world, South Africa is facing a

tuberculosis (TB) problem of such magnitude that this disease has

been declared a national health emergency.

The rampant HIV co-epidemic plaguing this country has

exacerbated the problem enormously. Although some

improvements could be made in controlling TB through reform

of existing control programmes, it is widely acknowledged that a

quantum leap in the quality of tools for the diagnosis, prevention

and treatment of TB will be required if there is to be any hope at all

of eradicating this devastating disease.

Centre of Excellence in Tree Health Biotechnology at FABI

(hosted by the University of Pretoria)

This centre acknowledges the outstanding contribution made by

the Forestry and Agriculture Biotechnology Institute (FABI) to the

field of biotechnology as applied to trees. The centre focuses on

the field of tree health, which is of tremendous importance, both

nationally and internationally.

Other than being highly relevant to South Africa, a country that

depends heavily on agriculture and forestry, this field has the

attraction of being strongly multidisciplinary. This is because the

environment, the inherent nature of trees themselves, and a wide

range of organisms crucially affect tree health. Thus the fields of

silviculture, agronomy, genetics, plant pathology, microbiology,

entomology, and molecular genetics are all important and relevant

to this domain. The centre will seek to integrate research in these

fields.

38

Board report: Performance overview of business units – South African

Agency for Science and Technology Advancement

RationaleThe South African Agency for Science and Technology’s (SAASTA’s)

mandate is to promote public awareness, appreciation and engage-

ment of Science, Engineering and Technology (SET) in South Africa.

SAASTA is the official NRF vehicle for facilitating the promotion of

Science and Technology in our society. Science, mathematics and

technology education – through pre-tertiary, tertiary and lifelong

learning initiatives – provide the base for creating the required

human capital. There is also clearly a need to enhance and increase

opportunities for public engagement with Science and Technology

and to provide accurate and timely information about the effects

on our daily lives. SAASTA can thus make a major contribution by

growing the size and raising the quality of the feeder system that

will input into the NRF human resource development opportunities.

As a result, a bigger pool of people can be built to become eligible

for, and benefit from, NRF research support at tertiary level.

ScopeThe scope for SAASTA was broadened when the National Zoological

Gardens (NZG) was incorporated into the NRF on 1 April 2004. The

NZG, together with the Museum of Science and Technology and

the Johannesburg Observatory site, provide a unique opportunity to

devise a comprehensive strategy that maximises the use of these

sites as part of a national science promotion platform. All science

engagement or awareness programmes within the NRF will rest on

three key strategic pillars that combine to form an integrated and

seamless approach:

l Education-related programmes (to prepare tomorrow’s scientists

and innovators);

l SET awareness, incorporating a reconstituted museum, the NZG

and the Johannesburg Observatory, and infrastructure available

through the National Research Facilities (to engage the public

with the phenomena of science); and

l Science communication (to communicate the advances of

science to the public).

SAASTA works closely with other NRF business units and the

broader sector to establish well coordinated and integrated

science outreach programmes that address the challenges of the

education system. SAASTA also cooperates with the Network of

Science Centres and is the implementing agency for national public

awareness campaigns on behalf of the DST.

High-level objectivesSAASTA has three main objectives:

l Developing SET human capital, especially through mathematics

and science outputs at school level;

l Strengthening the SET culture through enhanced public

engagement with science; and

l Bringing science and scientists closer to civil society through

improved science communication.

The three identified sub-thrusts use the NRF SET awareness

platforms and infrastructure provided by the National Research

Facilities, which include:

Education platform to:

l Enhance school science support;

l Develop and provide curriculum resources; and

l Promote SET careers.

Science communication platform using:

l Science and media;

l Communication of research and research results; and

l Communication products and networks.

SET Awareness platform for the:

l Direct engagement through exhibits; and

l Use of infrastructure in support of education and science

communication.

HighlightsDevelopment of an integrated science promotion platform

The external international panel advising on an integrated strategy

for science promotion, recommended that the SAASTA Museum

of Science and Technology be integrated into other existing

structures such as the Observatory site, the NZG and possible

travelling exhibits for use in science centres around the country.

SAASTA led a process which included stakeholder consultation,

site and operational reviews, architectural evaluations and legal

compliance issues for the Observatory site. NRF Board approval was

obtained for the development of a Multidisciplinary Science Park

at the Johannesburg Observatory site. Funding for the initial site

developments, as part of a phased approach to the development

of the Observatory site, was approved from the 2004/05 SAASTA

39

budget and this will facilitate realisation of development goals

during 2005. Full utilisation of the site holds great excitement for

future programmes to enhance public access to, and engagement

with, science infrastructure. The museum continues to function

in its present format, concentrating largely on its valuable

outreach programmes, and will be phased out in alignment with

infrastructure developments.

An existing building on the NZG premises has been identified as an

ideal site for the development of an interactive Life Science Centre.

The integration of a zoo, aquarium and reptile park with a science

centre holds tremendous potential to raise the profile of science in

South Africa and will be the first of its kind internationally. Themes

will be distinctive and aligned to the research priority areas of NZG.

Integration of science outreach and communication across NRF

SAASTA hosted the first two NRF science outreach workshops

that included relevant staff from all NRF business units, who are

involved in science outreach and communication. The aim is to

drive a more coordinated approach to the NRF science and society

interface. This approach has improved strategic understanding,

interaction and cooperation, especially between SAASTA and the

National Research Facilities. SAASTA, in conjunction with the

facilities, supported various successful programmes and activities

in celebration of Ten Years of Democracy. The facilities also have

become active participants in national programmes implemented

by SAASTA on behalf of the DST, such as National Science Week

and International Year of Physics. In addition, SAASTA has been

appointed by the Innovation Fund as the implementing agency for

a National Youth Innovation Campaign in 2005. The development

of a number of cross-cutting communication initiatives with

research programmes such as SANAP and the NRF/DST Centres of

Excellence has begun.

Programme expansion through increased funding partnerships

SAASTA’S core budget for 2004/05 (R10,9m) was supplemented by

additional contact funding of R13,3m. This included ISPAT/ ISCOR’s

sponsorship of the National Science Olympiad, DST programmatic

support for PUB, National Science Week, International Year of

Physics and various science platform months. In addition, SAASTA

provided accounting support to NRF Corporate Communications

and internal income of R2,9m was transferred to SAASTA to cover

the additional expenditures. There is now an increasing awareness

of SAASTA and its role in driving public engagement with science,

and the challenge remains to increase funding for targeted projects

such as the Observatory site and the NZG Life Science Centre

developments.

As SAASTA continues to explore the enhanced role within the

public engagement of science, there is a need for an appropriately

skilled staff complement with the ability to conceptualise and

implement large, high impact programmes at both the local and

national level and serve as major role-players in the science,

mathematics and technology education debate in our country.

Revitalised relationships with both the national and provincial

departments of education to impact more effectively on the poor

mathematics and science education delivery remain crucial.

Key developments for 2005/06l Positioning and improved marketing of SAASTA in relation to its

new strategy;

l Developing new infrastructure and innovative integrated science

awareness programmes for the Multidisciplinary Science Park at

the Observatory;

l Developing the Life Science Centre concept at NZG;

l Developing of science communication programmes for large

national imperatives that are linked to major research funding

programmes, such as SANAP;

l Enhancing the monitoring and evaluation of SAASTA projects and

staff capability; and

l Investigating and developing new programmes that encourage

NRF grantholders, bursars and industry partners to become more

active in science communication and advancement. This will

include investigating appropriate collaboration with Centres of

Excellence on issues of science communication and outreach.

40

The future of South Africa is currently being trained in primary and

secondary schools. How these children interact with subjects will

determine their future study and career possibilities, and impact

upon the human resource and skills base that the country can tap

into in the next decade. We highlight a very small portion of how

young minds are being stimulated and encouraged to view science

in a whole new light …

Right vs readDuring 2004/05, about 200 researchers and more than 100

journalists and journalism students participated in science

communication workshops aimed at “bridging the gap” between

scientists and journalists. One of the presenters succinctly captured

the need for better training on both sides: “Scientists want to be

right; journalists want to be read”.

Biotechnology – positive, negative, dunnoFunded by the DST and implemented through SAASTA, this

programme aims to promote a clear, balanced understanding

of the potential benefits and risks of biotechnology. Innovative

and interactive tools include cartoon poster kits, educator kits,

competitions, drama, school debates and exhibitions.

In conjunction with the HSRC, Public Understanding of

Biotechnology (PUB) has conducted South Africa’s most

comprehensive survey on public perceptions of biotechnology to

date, involving 7 000 adults from urban and rural communities.

Seventy-three percent of respondents did not know if genetic

modification is positive or negative, highlighting the need for

communication.

Sleeping with the fishesLukhanyiso Vumazonka, a young SAIAB scientist, used the

International Collaborative Expedition to collect and study Fish

Indigenous to Sub-Antarctic Habitats (ICEFISH) and the internet

to get learners in Grahamstown interested in aquatic research.

The learners asked the scientists on board the cruise questions

relating to their daily life on board the research vessel and the

research they were undertaking. ICEFISH 2004 was the first ever

international multidisciplinary expedition to study the fishes of the

Southern Ocean.

SAIAB’s Fantastic Fish Tank tours rural schools several times a year

to bring them information on fishes and aquatic biodiversity.

Seeds of knowledge need fertile minds to take root. The NRF, through its National

Research Facilities and the South African Agency for Science and Technology

Advancement, has been cultivating a mind-set of wonderment and innovation.

South African Agency for Science and Technology Advancement (SAASTA)

Science Advancement

41

Magical mutiMuti Inc is a drama that explains the traditional use of

biotechnology and the differences remaining between the historical

users of this technology and the modern-day private sector aiming

to commercialise the use of traditional medicines.

Ndlovu Node trumpets its entrySAEON and its first node, the Ndlovu Node, were officially launched

by the Minister of Science and Technology. SAEON went out of its

way to involve local schools and communities at the launch:

l SAEON awards were given to the winning entries being displayed

and performed at the launch function of a schools art and drama

competition based on the environmental phrases from State

President Mbeki’s speech “I am an African”; and

l The winning Vuxeni High School drama group was adopted by

the NRF President, Dr Khotso Mokhele.

Bringing science one step closer The DiscoveryMobile is a bus that serves as a mobile science

centre containing science exhibits with a focus on electricity and

magnetism.

The SALT collateral benefits plan has partnered with the Discovery

Centre Trust to take science awareness to schools in the Hantam

area of the Northern Cape. Coupled with the DiscoveryMobile

have been astronomy workshops on the design, assembly and use

of hand-held telescopes that learners and educators assemble

themselves.

Out of sight!HartRAO has seen a dramatic increase in its interaction with school

children, reaching almost 18 000 learners in 2004/05. A visit to the

observatory is a hands-on experience to help learners understand

astronomy and space-related concepts that appear in their school

syllabus.

Nature on wheelsThe National Zoological Gardens’ mobile programme brings the

excitement and fascination of the zoo to communities who will

never have the opportunity to visit the NZG. A total of 55 schools

were visited, with 7 712 learners attending. The ZooMobile presents

outcomes-based education programmes on animals and nature,

integrating different learning areas from the curriculum.

Teaching the teacherRecognised for its quality outreach activities, iThemba LABS has a

strong educator focus. In 2004/05 more than 140 teachers were

exposed to new skills and teaching techniques through dedicated

workshops.

In the year under review, iThemba LABS won an award for Best

Curriculum-based Workshop at the SASOL Scifest for its fun,

hands-on approach.

4242

For facilities to qualify as National Research Facilities, they must

reflect the following characteristics:

l They should have a unique position in South African knowledge

production;

l The core technologies, research methods, or data

pools/collections should live up to international standards;

l Their goals should be well aligned with the overall objectives of

the NSI, especially with regard to the diffusion of new knowledge;

l They should have critical mass of equipment, skills and users;

l They must have potential for networking and for attracting

international collaborators to South Africa;

l They must offer opportunities for human resource development,

with special efforts to involve researchers from the former

disadvantaged communities; and

l They must provide opportunities for the advancement of science

and for the interface between science and society.

The National Research Facilities managed by the NRF are clustered

on the basis of their areas of specialisation into three broad

categories aligned to the science missions of the National R&D

Strategy, namely:

Astro/Space/Geo Sciences

l The South African Astronomical Observatory (SAAO), which

is also responsible for managing the Southern African Large

Telescope (SALT);

l The Hartebeesthoek Radio Astronomy Observatory (HartRAO);

and

l The Hermanus Magnetic Observatory (HMO).

Biodiversity/Conservation

l The South African Institute for Aquatic Biodiversity (SAIAB);

l The South African Environmental Observation Network (SAEON),

an emerging National Research Facility; and

l The National Zoological Gardens (NZG).

Nuclear Sciences

l iThemba Laboratory for Accelerator Based Sciences (iThemba

LABS).

NATIONAL RESEARCH FACILITIES

42 Introduction

44 South African Astronomical Observatory

46 Hartebeesthoek Radio Astronomy Observatory

48 Hermanus Magnetic Observatory

50 South African Institute for Aquatic Biodiversity

52 South African Environmental Observation

Network

55 National Zoological Gardens

56 iThemba Laboratory for Accelerator Based Sciences

4343

Board report: Performance overview of business units

National Research Facil it ies

The weeping boerbean (Schotia brachypetala)

becomes a moving mass as pollinating insects and

birds squabble over its copious quantities of nectar.

Through the dedicated efforts of our scientists,

science and technology can provide similar

abundance for South Africa and her people.

A s t r o n g

f o u n d a t i o n

i s a l l w e n e e d

t o c o n f i d e n t l y

e m b r a c e o u r f u t u r e .

44

SAAO … the premier optical and infrared astronomy facility in Africa

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Figure 10: MTEF and contract funding – SAAO (R’000)



RationaleThe South African Astronomical Observatory (SAAO) is the National

Research Facility for optical/infrared astronomy in South Africa. Its

core mission is to further fundamental research in astronomy and

astrophysics in the national and international arena, through the

provision and utilisation of world-class astronomical facilities.

ScopeAs the premier optical and infrared astronomy facility in Africa,

SAAO plays a leading role in the promotion of astronomy on the

African continent. Its research excellence is underpinned by strong

technical competencies in certain niche areas. SAAO has made a

significant contribution to the Southern African Large Telescope

(SALT) by designing, manufacturing and commissioning first-

generation instruments for the telescope, and has been recognised

for producing world-class, cost-effective research.

The remote observing station just outside Sutherland provides

strategic advantages such as geographical position, climate and

geological stability. For these reasons the station hosts, and

operates many international facilities which are part of the

organisation’s international networks.

SAAO consistently provides experiential training for students and

has received the Award of Excellence from the Cape Peninsula

University of Technology for its efforts in this regard.

High-level objectivesTo ensure that the SAAO operations staff were ready to take over

SALT from the project team, technical staff were recruited as early

as possible to allow a maximum overlap with the project team. This

had obvious cost savings for the project team but also ensured a

smooth transfer of knowledge to the operations staff.

The success of the SALT/SAAO collaboration lies in the complete

integration of SALT into the operations and infrastructure of the

SAAO. SALT’s IT infrastructure is key to the successful operation of

the telescope. It was decided to retain two IT hubs within SAAO.

One in Sutherland, including the SALT IT infrastructure, and the

other at the SAAO Cape Town site. A contract has been negotiated

with TENET to provide a high-speed data link for the Sutherland

site. Bandwidth shapers are to be installed, thereby ensuring that

all Sutherland facilities can share the bandwidth without affecting

the priority of SALT. A further initiative to integrate SALT into

the operations and infrastructure of the SAAO is the decision

to use the 74-inch telescope to support SALT by designing and

manufacturing a Newtonian Focus camera.

The SALT collateral benefits plan is being driven by a member of

the SAAO executive, who has initiated a variety of programmes.

These programmes focus on the role of astronomy in science

education through curriculum development, providing resources for

classrooms, and being a “shop window” for science through public

outreach activities which draw young people into scientific careers.

The mechanical and electronic workshops at SAAO have changed

their focus from the maintenance, repair and upgrade of existing

instrumentation, to the design and construction of state-of-the-art

astronomy instrumentation. SAAO’s instrumentation division was

awarded the contract to design and build Salticam, which is the

verification and commissioning instrument for SALT, as well as the

detector package for Prime Focus Imaging Spectrograph (PFIS), the

45

SALT prime focus imaging spectrograph under construction by the

University of Wisconsin.

The concept of an African Institute of Space Science (AISS) was

developed in 2001 as a way to mobilise the space sciences,

including astronomy, in support of the national development

agenda. Because of their multidisciplinary and cross-disciplinary

nature, the space sciences can act as catalysts for innovation

and technological development. AISS will combine a number

of disparate activities to provide a coordinated programme

for developing space science in the region. The AISS concept

has initiated a wider discussion among the Departments of

Communications, Foreign Affairs, Trade and Industry and Science

and Technology, with a working group being coordinated by a

member of the SAAO Executive.

SALT will be officially inaugurated on 10 November 2005 and

SAAO is involved in the planning and preparation for this occasion.

HighlightsSALT represents a paradigm shift for SAAO in terms of the level

and complexity of technology, the science that will be done,

the operations model and concomitant support requirements.

The appointment of a new managing director has created an

opportunity for restructuring and realigning the organisation.

SAAO has begun to expose South African astronomers to the

varied scientific interests of the SALT partners. A series of SALT

workshops have been initiated in Cape Town to help the astronomy

community prepare for the practicalities of using SALT, as well as to

introduce them to the range of science of which it is capable.

Other highlights include:

l On-sky tracking of SALT and obtaining image quality very close

to specification;

l The installation of the first batch of edge sensors on the mirror

segments of SALT;

l The publication of SAAO’s latest contribution towards the

understanding of eta Car, a unique hypergiant and possible

gamma-ray progenitor. SAAO is the only place in the world able

to monitor this star at near-infra-red (IR) wavelengths;

l The fabrication, commissioning and delivery to the University of

Wisconsin of the detector package for the PFIS for SALT, valued

at R4 million; and

l The design, fabrication and operation of a Charged Couple Device

(CCD) mosaicing facility, capable of producing a CCD mosaic flat

to better than 20 microns.

Future plansSalticam will be commissioned in the Acquisition Camera and

Science Imager (ACSI) mode early in the new financial year. The

PFIS will also be commissioned on the telescope in 2005. These

eagerly awaited instruments will give the astronomy community

the first glimpses of SALT’s capabilities.

With the creation of the small telescopes division, SAAO will

continue to reorient the operations of the existing small telescopes

in support of SALT. The operators of the 0,5m and 0,75m telescopes

have been retained during the commissioning phase of SALT

to become SALT operators. The 1,0m and 1,9m telescopes will

continue operations but be redirected in support of SALT science.

SAAO scientists will be responsible for spearheading the South

African scientific use of SALT and training the southern African

user community. SAAO scientists have been preparing research

programmes for making use of SALT. Three postdoctoral staff

members have been appointed, who have specific research interests

in using SALT. With the commencement of SALT astronomy

operations, there will be collaborative research teams involving

SAAO scientists and SALT partner scientists.

SAAO has forged a partnership with the Karoo Hoogland to develop

the tourism potential of SALT, and to manage this growth in a

manner that benefits the local community without compromising

the astronomy conditions that attracted SALT to the area in the

first place. Plans have been drawn up for a visitor centre at SAAO

in Sutherland, linked to an activity centre and a science and

mathematics academy in the town.

During 2005/06 the first National Astrophysics and Space Science

Programme (NASSP) MSc graduates will commence with their PhD

research programmes in the various NASSP partner universities.

As the postgraduate student enrolment in astronomy in the

universities increases, student training at SAAO will increase.

46



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Figure 11: MTEF and contract funding – HartRAO (R’000)

HartRAO … the only radio astronomy observatory in Africa

RationaleThe Hartebeesthoek Radio Astronomy Observatory (HartRAO)

offers research and training opportunities in radio astronomy and

space geodesy in South Africa. It provides facilities for South African

and foreign scientists to participate in research in these fields. The

radio telescope may be used either as a stand-alone, independent

instrument or as part of global networks of radio telescopes using

the technique of Very Long Baseline Interferometry (VLBI).

HartRAO is one of only five permanent fundamental space geodesy

stations worldwide and participates in geodetic VLBI through the

International VLBI Service (IVS); in satellite laser ranging (SLR)

through the International Laser Ranging Service (ILRS); and in the

Global Positioning System (GPS) through the International GPS

Service (IGS). All data are available to the international community.

The bid by South Africa to host the Square Kilometre Array (SKA)

next-generation radio telescope is strongly supported by HartRAO,

as the only radio astronomy observatory in Africa. While first prize

in this mega-science project would be to win the bid for siting the

telescope, the new technology development essential to make it

possible makes it an excellent vehicle for promoting cutting edge

research and development at universities and industries in South

Africa.

ScopeRadio astronomy is carried out using the 26m radio telescope,

operating independently or in VLBI networks, for both astronomy

and geodetic research. The completion and alignment of the new

surface of the telescope has greatly improved its performance at

high frequencies. This has permitted new research to be carried out

with existing receivers, which doubles the useful frequency range

of the telescope. As a result, components were ordered for the

construction of a new receiver to exploit this capability.

The geodesy programme also operates the NASA MOBLAS-6

Satellite Laser Ranger for satellite orbit determination, and a

network of GPS base-stations for accurate position determination.

The scope of work has expanded to support the initiative to bring

the Square Kilometre Array (SKA) to South Africa, and to build an

SKA technology demonstrator telescope in South Africa. HartRAO

has been providing a work environment and human resources for

the SKA team based at HartRAO to develop and build the Radio

Frequency Interference measurement systems for deployment in the

Northern Cape. The director of HartRAO is chief scientist for South

Africa’s SKA bid, and for the development of the SKA demonstrator.

As part of the densification of the International Terrestrial Reference

Frame (ITRF) in Africa, a stronger drive towards the establishment

of permanent GPS stations in the Southern African Development

Community (SADC) region has been initiated. This project will

include training scientists from Africa, aiding the establishment

of GPS stations and related equipment, and participation in the

African Reference Frame (AFREF) project.

High-level objectivesHartRAO has six high-level objectives:

l To provide, operate, maintain and develop research facilities for

radio astronomy and space geodesy of an international standard;

l To conduct and support research programmes which address

relevant problems in astronomy, astrophysics and space geodesy,

and which provide a platform for the training of postgraduate

47

students up to PhD level through collaboration in local and

international projects;

l To extend the user base of the facility and promote equity and

redress through increased collaboration with tertiary institutions

and other African countries;

l To encourage an interest and awareness in S&T among the

general public and particularly among school learners through

visits to the Observatory and by organising workshops for

educators;

l To drive South Africa’s bid for the SKA project; and

l To establish a new space geodetic facility for the southern

hemisphere.

Highlights HartRAO is in a stage of transformation where, apart from a

change in the directorship, a change in the objectives of the facility

to include a student and training focus has been met with vigour.

Student support and training received a boost by refitting the old

library archive as a geodesy computer and research laboratory and

several additional students were appointed on contract basis. At the

end of the reporting period, the laboratory housed one postdoctoral

student, three PhD students, two MSc students, one Honours and

one undergraduate student. These students did research using the

GPS network in the fields of integrated atmospheric water vapour

content, ionospheric total electron content and crustal deformation.

Future expansion includes accommodating two NASSP students

to further their studies towards PhD level and increase HartRAO’s

research capacity in geodetic VLBI.

HartRAO is participating extensively in the work on the SKA and

the SKA demonstrator. At the same time, demand from local

and international users for the existing capabilities of the radio

telescope, after expansion of its capabilities at high frequencies

through completion of the surface upgrade, remain high.

The Space Geodesy Programme has investigated the suitability and

potential of several sites where a new Space Geodesy Facility can

be built. This includes a site in Lesotho, the SAAO site at Sutherland

and a possible site at Matjiesfontein in the Karoo. An appropriate

location would comply with requirements such as accessibility,

clear and dry skies, altitude, stable tectonics and permission to

use and/or acquire land. There is a possibility that the town of

Matjiesfontein will revert to an educational trust, and the owner

has forwarded the suggestion that a new research facility, located

on the Matjiesfontein farm, would be beneficial and expedient in

light of these developments.

Currently the Space Geodesy Programme has five postgraduate

students. The projects of these students should lead to capacity

in certain fields, which are required to productively participate in

global research projects.

The link between space geodesy data applications within the earth

science and atmospheric science is being developed synergistically

to add value to current projects and provide active networking

locally and internationally.

A request to explore the possibility of co-locating an Australian

SLR/Space debris tracking station with the proposed International

Institute for Space Geodesy and Earth Observation (IISGEO) has

been received from Electro Optical Systems (EOS) of Australia. This

opportunity will be beneficial to South Africa and will support the

establishment of IISGEO.

Future plansFuture plans of HartRAO include:

l Construction of a 22GHz/1,3cm receiver system for the 26m

telescope to exploit the capabilities of the upgraded surface;

l Automation of cryogenic receiver cooldowns on the radio

telescope, enabling continuous observation instead of having to

park the telescope;

l Introduction of the interim pulsar timer to improve pulsar timing;

l Increased work on SKA and the SKA demonstrator;

l Purchase of new GPS base-station receivers to expand the GPS

network over southern Africa;

l Installation of a tide-gauge/GPS system and a first-order survey

network on Marion Island;

l Commencement of construction phase of IISGEO in preparation

for SLR2000;

l Training courses in space geodesy and satellite dynamics for

African scientists; and

l Participation and support for East African Rift studies in

collaboration with University of Portugal, University of Delft and

Purdue University.



48

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Figure 12: MTEF and contract funding – HMO (R’000)

HMO … part of a worldwide network of magnetic observatories

RationaleThe Hermanus Magnetic Observatory (HMO) functions as part of

the worldwide network of magnetic observatories; its core function

in this regard is to monitor and model variations of the Earth’s

magnetic field. It is primarily the HMO’s critical location, unique

facilities, and high-quality data that make it indispensable in the

global network of magnetic observatories. Evidence of this includes:

l The continuous recording stations operated by the HMO are the

only operational sources of ground-based geomagnetic field data

south of the equator in Africa; and

l Hermanus is one of only four geomagnetic observatories whose

data are used by the World Data Center for Geomagnetism in

Kyoto, Japan, for the generation of the Dst ring-current index,

which is the most commonly used measure of geomagnetic

storm intensity.

Besides providing geomagnetic field information for academic

research and as a public service, the HMO also provides

geomagnetic field-related services on a commercial basis.

ScopeTo facilitate the achievement of its objectives, the HMO is

structured into four operational groups:

l The Geomagnetism Group is responsible for studying and

monitoring variations of the Earth’s magnetic field, the derivation

of geomagnetic field models and indices, and the distribution of

geomagnetic field information;

l The Space Physics Group carries out research to improve

the understanding of dynamic processes in the Earth’s space

environment and their effects on space weather;

l The Science Outreach Group strives to create a better

understanding and appreciation of science and technology

among school educators and learners and to promote a public

understanding of geomagnetism and space physics; and

l The Technology Group utilises the unique magnetic field

calibration facilities and infrastructure, located in a magnetically

clean environment, to provide quality-controlled magnetic field

and sensor-related services to clients on a commercial basis.

High-level objectivesThe Geomagnetism Group continued to operate magnetometers at

Hermanus, Hartebeesthoek, and Tsumeb (Namibia) to obtain data

in accordance with INTERMAGNET standards. Observations from

secular variation field stations and magnetic field data from the

Danish Ørsted and the German CHAMP low-Earth orbit satellites

were used to derive geomagnetic field models for the southern

African region.

Since the establishment of the HMO in 1941, the total

geomagnetic field intensity has decreased by 20%, which is greater

than the decrease at any other magnetic observatory. As part of

the investigation of this rapid decrease it was proposed that HMO’s

network of 10 secular variation field stations distributed over

southern Africa should be increased to 40 field stations. Surveys will

be carried out at all of the identified field stations during 2005.

Major objectives of the Space Physics Group have been to

collaborate with researchers at universities and research institutes,

locally and internationally, and to assist in the training of

postgraduate students.

The Science Outreach Group has established a good working

49

relationship with the Breederiver/Overberg Education Management

Development Centre (EMDC) of the Western Cape Education

Department. Consequently, educator workshops and various

interactions with learners were held in consultation with the EMDC.

Local and overseas visitors were also taken on guided tours of the

observatory facilities and the magnetometer museum, to enhance

their appreciation of S&T.

The Technology Group’s activities during the past year included

services and support, the development of products, and the training

of personnel for clients in the defence and aerospace industries.

Highlights The HMO’s science outreach programme is well aligned to help

alleviate some of the problems in the teaching of physics at

secondary school level, which were highlighted by an international

panel in their recent report, Shaping the Future of Physics in South

Africa. In particular, the HMO’s programme:

l Is primarily directed at rural and township schools;

l Runs educator workshops to improve their understanding of

physics concepts; and

l Runs workshops for learners, primarily in Grades 10 – 12,

to clarify physics and chemistry concepts, to give them the

opportunity to experiment with equipment in the Interactive

Science Centre, and to complete work-sheets based on these

activities.

The HMO opened its new Interactive Science Centre, which was

a highlight of the Ten Years of Democracy celebrations. The main

purpose of the centre is to provide learners from rural areas with

an opportunity to enhance their science skills. Over 30 exhibits,

relating to the current physical science curriculum, were developed

by students from the universities of Stellenbosch, Venda, Cape

Town, and Cape Peninsula University of Technology.

A key objective of the Space Physics Group is to increase the

number of postgraduate students and researchers trained in basic

plasma physics, geomagnetism, ionospheric physics, and magneto-

spheric physics. Over the past year, a variety of student training

activities has developed:

l Students from the NASSP programme benefited from HMO for

Honours and Master’s studies;

l A winter school on Introduction to Space Physics was held for

final-year BSc students majoring in physics;

l A summer school on Introduction to Computer Programming and

Digital Signal Processing was held for final-year BSc students; and

l Two University of Technology students in Electronic Engineering

completed six-month experiential training at the HMO.

Future plansFuture plans for the HMO include:

l Management of the Hermann Ohlthaver Institute for Aeronomy

(HOIA) was transferred to the HMO in October 2004. Key

objectives during 2005/06 will be to consolidate South Africa’s

ionospheric research activities and to increase the number of

postgraduate students entering this research field;

l Steps toward the HMO’s re-entry into Antarctic-based research

commenced during 2004/05. The HMO officially takes over

responsibility for the technical maintenance and development

of the SHARE HF-Radar facility at the SA Antarctic base from

North-West University in April 2005;

l The international and local geophysics communities have

expressed significant interest in the rapid decrease of the

geomagnetic field in the southern African region. The HMO and

the GFZ previously submitted a proposal for a collaborative

project, called Inkaba ye Africa, to study this phenomenon using

satellite and ground-based data. It is hoped that funding will be

forthcoming to implement this project in 2005/06; and

l The HMO will play an important role in contributing toward the

SKA bid.



50

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Figure 13: MTEF and contract funding – SAIAB (R’000)

SAIAB … facilitating the conservation and wise use of African aquatic biodiversity

RationaleSAIAB is an interactive hub focused on serving the nation through

generating, disseminating and applying knowledge to understand

and solve problems related to the conservation and wise use of

African aquatic biodiversity.

SAIAB is operating within a five-year strategic cycle that aims

to transform and establish itself as a National Research Facility

and has initiated several projects that serve as vehicles for its

development and transformation. The flagship African Coelacanth

Ecosystem Project (ACEP) has contributed extensively to generating

knowledge; building capacity through training, education and

resource development; and growing the public awareness of science

throughout the southern African region.

ScopeSAIAB has three main operational areas: research, collection

management, and communication. Core competencies include

research in the fields of systematic biology, aquatic ecology and

conservation biology; development and care of collections and

databases of aquatic organisms, documents, illustrations and images;

communication and public awareness of science; and education and

training of aquatic scientists and collection custodians.

High-level objectivesSome of the main objectives of SAIAB include:

l Training of postgraduate students;

l Development of the rural schools outreach programme;

l Development and use of the National Fish Collection, the

Margaret Smith Library, and the SAIAB image collection;

l Development of the aquatic biodiversity information “hub”;

l Extension of the Food and Agriculture Organisation (FAO) African

library document programme;

l Production of an in-house publication series and books;

l Development of the African Coelacanth Ecosystem Programme

(ACEP) as a national and international flagship programme;

l Involvement with the South African National Antarctic

Programme (SANAP) through participation in the ICEFISH

project; and

l Establishment of operational linkages with the new South African

National Biodiversity Institute (SANBI).

HighlightsA major challenge is to develop young black systematic biologists

and to provide employment opportunities within SAIAB to service

the capacity demand. SAIAB was thus pleased to have appointed

two young black researchers in 2003.

SAIAB commenced with the development of an effective aquatic

biodiversity information centre that connects the generation

and development of aquatic biodiversity knowledge products by

SAIAB to the demands of the user community and public. A skilled

information officer was appointed during the year and began the

task of developing an efficient information system for SAIAB.

The biodiversity crisis and new demands for research on threatened

species, ecosystems and alien invasive organisms required by

new biodiversity legislation creates a special challenge for SAIAB.

The facility has to identify and initiate ways to effectively train

African graduates in the area of biodiversity management and

conservation. Agreement has been reached with the Department

of Zoology at the University of Fort Hare for SAIAB to deliver a

51

course in aquatic biodiversity to the third-year and the Honours

students in 2005. Interest for a similar arrangement has been

received from the University of Venda, leading to SAIAB staff

exploring the concept of a postgraduate Winter School in aquatic

biodiversity for students at all HEIs.

ACEP conducted a Western Indian Ocean expedition during which

coelacanth tissue was collected from Tanzania and Comoros and

a whole coelacanth was brought from Madagascar to South Africa

for proper fixing and preservation. The expedition was a success

in terms of capacity building and strengthening of international

relationships. Representatives from 14 countries attended an

Information, Data and GIS workshop hosted jointly by ACEP, the

Global Environment Facility (GEF) Agulhas and Somali Large Marine

Ecosystem Project and the Census of Marine Life, in SAIAB. The

65 delegates agreed that the role of coordinating data and data

sharing in the western Indian Ocean should be taken on by ACEP

until a formally mandated institution assumed responsibility.

In November ACEP was represented at the DST Insight Expo, and

also held a science presentation day hosted by the DST. As part

of the event, the Minister of Science and Technology, Minister

Mosibudi Mangena, hosted a press and donor dinner for ACEP.

An ACEP partnership with Canadian institutions was launched at

a major event hosted by the University of British Columbia and

the Vancouver Aquarium. The University of British Columbia is a

Canadian Centre of Excellence in Biotechnology and works with

ACEP on developing tags for long-term monitoring of coelacanth

activities. The Vancouver Aquarium assists with capacity building,

education and public awareness.

An ICEFISH cruise in the Southern Ocean between South America

and southern Africa took place from May-June 2004. Two SAIAB

scientists, Dr Eric Anderson and Mr Lukhanyiso Vumazonke, joined

the RV Palmer and made valuable collections and contacts with

other researchers. The exercise provided an innovative opportunity

in science awareness and communication when the scientists

linked with a local school via email during the expedition.

The Tsitsikamma long-term tagging programme continued

successfully with six visits by research teams to the park. The

database has been extended to include comparisons between

the protected area and nearby exploited areas. The telemetry

fieldwork on the Great Fish and the East Kleinemonde estuaries

was completed in December 2004 and the results written up as

two MSc projects. The collaboration with Norwegian Institute for

Nature Research (NINA) researchers was extended during 2004

through a sabbatical visit by Dr Tor Naesje. This led to a new fish

telemetry project on Langebaan lagoon, in collaboration with

Marine and Coastal Management scientists.

Field work for a cool-temperate estuaries study was completed,

and laboratory and data analyses have begun. A new rocky shore

habitat study assessing the nursery function of these areas

commenced in 2004. The pilot phase for this project has been

completed and the results will be presented at a national marine

conference in 2005.

The new Biodiversity Act was promulgated in 2004 and SAIAB is

reviewing its inland research programme towards issues raised

by the legislation. Threatened species and ecosystems, and the

impacts and management of alien invasive organisms, have been

adopted as the priority focus areas for inland research projects

within SAIAB.

Future plansKey developments for SAIAB in 2005/06 include:

l The recruitment of a freshwater researcher with skills in

systematics and genetics. Arising from this post will be the

development of the genetic tissue bank and a basic genetic

laboratory for bio-systematic research;

l Institution of an active internship programme that will introduce

qualified candidates to various aspects of SAIAB operations;

l Development of newly negotiated large multi-institutional

research programmes in coastal and freshwater areas;

l New partnerships for the ACEP programme include two Global

Environment Facility (GEF) Large Marine Ecosystem programmes

that will open further opportunities for major international

collaboration;

l The construction of a new off-site collection facility that will

considerably reduce occupational health and safety risks; and

l The planning of new facilities within the existing building of

SAIAB once the National Fish Collection has been moved to the

new collection facility.



52

RationaleIt is SAEON’s vision to help generations of South Africans to know

their natural environment and how it is changing over time. The

knowledge, information and human resources produced by SAEON

will contribute to policies, regulations and lifestyle guidelines for

sustaining a competitive natural environment in South Africa.

SAEON is designed to provide an infrastructure for ecosystem

observations that will mainly be used by visiting researchers (local

and international). SAEON is not based on large and expensive

equipment but provides field stations or observatories necessary for

ecosystem observations.

The DST is the co-chair of the Group on Earth Observation

(GEO), an international intergovernmental initiative to establish

a Global Observation System of Systems (GEOSS). DST signed a

declaration to contribute to the initiative and, with a mandate from

Cabinet, has commissioned the drafting of a South African Earth

Observation Strategy. SAEON is a key instrument supporting the

DST based on its in situ observation systems.

ScopeSAEON is establishing innovative observation platforms and

information management systems for long-term multidisciplinary,

multi-institutional and participatory ecosystem studies with

strong regional and global linkages. These observation platforms

are coordinated as nodes. As ecosystem understanding is improved

through SAEON, it will be transferred into new policies and

strategies to promote wise use and management of the goods

and services that are provided by ecosystems, as well as into

negotiations on global climate change management and economics.

In addition, SAEON is working towards improved environmental

science education and awareness, environmental quality,

sustainable development and livelihoods practices, and early

warning systems for the prediction of hazardous environmental

change. Through its mere existence, SAEON has created a new

national Long-term Ecological Research (LTER) network of systems

ecologists, environmental sociologists and human geographers,

and through its leadership role in Environmental Long-term

Observatories of Southern Africa (ELTOSA) will do the same for the

southern African region.

SAEON nodes and partners will be linked via an information man-

agement system on the Internet. SAEON’s data is freely accessible

as will be certain non-sensitive components of the data holdings

of its partners. Applicable data will be used to prepare information

products (eg maps, indices, etc) for the local and national authori-

ties for their use in policy and management decision-making, as

well as state-of-the-environment reporting.

High-level objectivesSAEON will apply its resources to:

l Offer leadership in long-term data systems;

l Support long-term observations on crucial variables;

l Archive and make long-term data (own and other) accessible;

l Broker and partner long-term data;

l Integrate and package long-term data;

l Secure the SAEON system and long-term data collections;

l Communicate with local and international stakeholders; and

l Provide a platform for capacity building, outreach and education.

HighlightsSuccessful launch of the first node

The SAEON Ndlovu Node was officially launched by the

Minister of Science and Technology on 21 September 2004, at

Phalaborwa. Phalaborwa was the national host of World Tourism

Day in September and SAEON’s launch was part of week-long

celebrations. The obvious link between SAEON and tourism is

natural heritage, which is the main tourism attraction.

One of the main features of this highly successful launch was the

visible and effective participation of local schools and communities.

The launch served to bring SAEON, the NRF, the DST and science

to a remote corner of South Africa, while keeping a national profile

and to some extent even an international profile. The launch

function received two awards from the Public Relations Institute of

South Africa (PRISA): for the category “Special Events Under Eight

SAEON … generating knowledge and understanding of environmental change

53

Days”, and the prestigious “Chairman’s Award”.

A legal agreement on the hosting of the SAEON Ndlovu Node was

signed by the CEOs of the South African National Parks and the

NRF. This is the first agreement of its kind for SAEON and the NRF,

resulting in the outsourcing of SAEON’s essential management

services, and paves the way for other nodes. Another crucial step in

the establishment of the SAEON Ndlovu Node was the appointment

of the first node manager, who assumed the position in March 2005.

Innovation in education

SAEON has made excellent progress in demonstrating an

innovative approach to education outreach. The education outreach

coordinator has successfully created a network of SAEON partners

in the Phalaborwa area, including officials from the provincial

Department of Education and the Phalaborwa Foundation. For the

first time ever National Science Week was celebrated at Phalaborwa

in May 2005 through a programme sponsored by SAASTA and

coordinated by the Phalaborwa Foundation. SAEON played a

leading role in the development and planning of this initiative.

The primary outcome of this networking in Phalaborwa was

the participation of several local schools in the art and drama

competition that preceded the SAEON launch. The main innovation

was to bring together the arts and environmental science.

An education outreach strategy was developed and submitted

to the SAEON technical steering committee who subsequently

endorsed it. Environmental science and ecology, as multidisciplinary

fields, will be used as a platform for teaching a broad range of

disciplines. Grade 9 – 12 learners and teachers at Phalaborwa are

being led to develop their own hands-on monitoring programmes.

Other innovative actions include:

l Establishing a national advisory committee to advise the SAEON

education outreach coordinator at national level;

l Being involved in Higher Education through developing nature

conservation curricula for HEIs;

l Supporting the DST Eco-informatics Learnership Programme by

organising, funding and facilitating a week-long field visit for

eight Honours and Master’s students to work with SAEON data

as part of their training; and

l Supporting four young scientists to participate in an international

meeting at the National Science Foundation of the USA.

SAEON’s relevance demonstrated

The first work on SAEON data has started with the design of a

database for the Agricultural Research Council (ARC) on vegetation

data of Lowveld private reserves. This is to be followed by the

digitisation and analysis of the data. Seven research groups have

approached the SAEON Ndlovu Node, including three from the

USA. A postdoctoral research project to identify and assess long-

term environmental datasets has also emanated from this.

The SAEON Advisory Board suggested an important change to

SAEON’s approach by advising that nodes should be developed in

parallel instead of in succession. The consultative process to establish

a Fynbos Node is now about 75% complete and the process to

establish one or more coastal nodes is about 50% complete.

SAEON is also facilitating a project to coordinate the joint delivery

of climate data by the Department of Water Affairs and Forestry

(DWAF), the ARC and South African Weather Service.

Future plansMajor developments for the coming financial year include:

l Appointment of support staff for the SAEON Ndlovu Node;

the construction of a building; the financial arrangements

with Kruger National Park; the signing of agreements with

the University of the Witwatersrand, ARC and the Council for

Scientific and Industrial Research (CSIR); the inauguration of the

node liaison committee and the scientific design of the node;

l Designation of SAEON Fynbos, Marine and Coastal Nodes and

their respective hosts;

l Implementation of an innovative information management

system that will allow for the archiving, retrieval and visualisation

of environmental data;

l Convening of the first SAEON summit – a conference of Long-

term Environmental Research;

l Establishment of an ELTOSA network office to facilitate joint

regional programmes; and

l The provision of funds for a venture by government organisations

to jointly deliver climate data.

RationaleThe National Zoological Gardens (NZG) was established more than

100 years ago as part of the Zuid-Afrikaansche Museum and was

instituted as a Cultural Institution in 1969. In 1999 it was declared a

Public Entity, and subsequently a National Research Facility in April

2004. The declaration required the institution to transform from a

traditional zoological garden to a national facility for research in ter-

restrial biodiversity. As a research facility, the NZG is well positioned

to make a critical contribution to South Africa’s quest to create and

utilise new knowledge in all fields of Science and Technology. The

NZG aims to make this contribution through the development and

provision of world-class research infrastructure and expertise.

The facility is also well placed to promote and facilitate science

education and awareness, receiving close to 600 000 visitors a year.

In the 2004/05 financial year, the NZG continued to interact with

learners, educators and the public, influencing and encouraging the

pursuit of careers in science, thereby contributing to the achieve-

ment of the goals of the NRF.

ScopePrior to the declaration of the NZG as a National Research Facility,

it operated as, and offered the typical services of, a traditional

zoological garden: recreational and educational activities and

animal exhibits. Its focus on research activities was confined to the

organisation’s own research agenda and included the provision of

access to the animal collection, biological material and data, as well

as staff participation in data collection and collation.

Subsequent to its declaration as a National Research Facility,

the organisation focused on redefining its scope of activities

and functions in terms of research, science awareness and

education. The organisation also investigated appropriate business

development and recreational activities that could be undertaken

without compromising the primary research, science awareness and

education activities and functions.

Engagements with SAASTA were initiated to determine areas of

cooperation regarding science awareness and education. Similarly,

a series of seminars and workshops was undertaken with the

NRF business units and other relevant stakeholders to inform the

development of a research agenda for the NZG which is to be

concluded in 2005/06.

High-level objectivesDuring the 2003/04 financial year, the NZG was transferred

from the Department of Arts and Culture to the Department of

Science and Technology (DST). This transfer saw the NZG being

de-proclaimed as a Cultural Institution and being incorporated into

the NRF as a National Research Facility.

In 2004/05 the NZG concerned itself primarily with the redefinition

of its core competencies as a National Research Facility. The

NZG was engaged in an in-depth strategic planning process to

define its core competencies and to determine how best these

may be employed to address the mandate of the NRF. As an

ongoing objective, the organisation also aimed to ensure financial

sustainability through growth in revenue, among other strategies.

Highlights The NZG took measures to address specific challenges facing the

facility. Highlights include:



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Figure 14: MTEF and contract funding – NZG (R’000)

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NZG … from traditional zoo to world-class research facility in terrestrial biodiversity

55

l Initiation of a strategic planning process towards the alignment

of the institution with the mandate, vision, core missions and

strategic priorities of the NRF. Key components of this process

included a new vision and mission for the NZG as well as the

interrogation of its core competencies, functions and operations;

l Adoption of the Balanced Scorecard framework for business

planning and performance reporting purposes;

l Review and realignment of systems, policies and procedures in

terms of Human Resources, Finance and Information Technology;

l A comprehensive global investigation undertaken to inform the

development of a research mission and agenda for the NZG; and

l Initial investigations into the business development, market

positioning and stakeholder relations strategies required to

advance the strategic interests of the organisation.

Future plansIn the 2005/06 financial year, the NZG aims to progress and

complete the strategic reorientation process commenced in

2004/05. This will entail the restructuring and realignment of core

competencies, functions and operations. Processes, policies and

procedures will be reviewed to align with the facility’s redefined core

business. Likewise, market positioning and stakeholder strategies

will also be revised. More specifically, the establishment of a fully

functional research department will be initiated, as well as the

establishment of a Life Sciences Centre in collaboration with SAASTA.



56

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Figure 15: MTEF and contract funding – iThemba LABS (R’000)

iThemba LABS … provides scientifically and medically useful radiation

RationaleiThemba LABS provides scientifically and medically useful radiation

through the acceleration of charged particles using the Separated

Sector Cyclotron, the Van De Graaff Accelerator and appropriate

technologies. It is the primary centre of expertise in radiation

medicine and nuclear science and technologies in South Africa.

ScopeThe challenge in the past financial year was to provide a balanced

beam usage programme that satisfied all users while at the same

time ensuring that progress on major projects proceeded as per

plans. All activities were in line with the objectives for the year

although some delays were experienced due to external factors.

Examples include funding for the Major Radiation Medicine Centre

(MRMC) and the Innovation Fund Project for F-18 production,

which are dependent on responses from external role-players or

potential partners whose deadlines are not aligned to those of

iThemba LABS and whose lead times for responses are long.

During 2004/05, funding was received for the following projects:

l Transfer of Schonland Research Institute from the University of

the Witwatersrand to iThemba LABS as from 1 January 2005. The

DST granted R16,0m for refurbishment and R9,0m per annum for

normal operations;

l R6,5m was received from the DST for the Second Proton Beam

Line. This will be a prototype line for the MRMC; and

l R15,0m was received from the Innovation Fund for the production

of Fluorine-18 and radio-gallium projects (over three years).

High-level objectivesAs a National Research Facility working within the National

System of Innovation, it is iThemba LABS’ intention to achieve the

following strategic objectives:

l Grow the research facilities to increase training, human resource

development, international collaborations (especially with Africa)

and the S&T profile of South Africa; and

l To spin off economic units that are self-sustaining and benefit

from the skills, sciences and technologies that have been

developed by, and are available at, iThemba LABS.

To these ends iThemba LABS expects to:

l Realise the MRMC project;

l Grow radionuclide production into a substantial business which is

self-sufficient;

l Substantially improve its training and research outputs;

l Strengthen its strongly beneficial collaborations with the Higher

Education sector;

l Forge closer ties with South African and African S&T institutions;

l Position the facility to be able to have the skills and capacity to

respond to the sub-atomic technology needs of 2005 – 2010. For

example, in this period fourth-generation synchrotron radiation

sources and accelerator-based free electron lasers may well be

needed by the African S&T community to impact advances in

chemistry and biology;

l Quickly expand the IT, electronics and instrumentation capacity

at iThemba LABS. Current capacity extends barely meet the

facility’s basic needs. Skills and capacity in these disciplines are

vital to the national interest;

l Acquire the capacity to technically and scientifically service

university research groups that wish to use international facilities

such as CERN, ILL, ESRS, SESAME, CEBAF, SPring-8, and so forth.

This servicing activity is one of the key functions of national

laboratories internationally; and

l Substantially expand its number of postdoctoral fellowship and

research assistant posts to increase opportunities for young

South Africans to establish international research reputations.

HighlightsThere were four major highlights during the year:

l The acquisition of the Schonland Research Institute from the

University of the Witwatersrand as from 1 January 2005. As a

national facility situated in Gauteng, the Schonland laboratory

will be instrumental in several national initiatives supporting the

Science and Technology missions of the National R&D Strategy.

Essential components of the laboratory’s strategy include human

resources development and the strengthening of research and

innovation in the sub-atomic fields by way of local and inter-

national collaborations;

l The Radiotherapy programme was internationally recognised

by the publication of a clinical paper (co-authored by iThemba

LABS’ JP Slabbert, FJ Vernimmen and J Wilson) on the use of

stereotactic proton therapy for large intracranial arteriovenous

malformations. The study covered 10 years of patient treatment

and proves that such radio surgery is successful, with an

obliteration rate of 67%. The paper was published in the

International Journal of Radiation Oncology and Biology Physics;

l The Nuclear Physics Group had the findings of an experiment on

the AFRODITE detector system published in Physics Letters B593

(2004, 61-65). The experiment, led by the group’s postdoctoral

student, Matej Lipoglavsek, involved the unique high-resolution

measurement of high-energy gamma-ray photons. Nine

postgraduates (eight black) were also involved in this project; and

l The Nuclear Physics Group also had its first publication in

the Physics Review Letters with the lead contributor being

A Schevchenko from Technical University of Darmstadt, Germany.

The University of the Witwatersrand was also a collaborator on

this project which utilised iThemba LABS’ spectrometer as well as

the wavelet analysing method to the set of data obtained from

the experiment. The researchers were able to locate the strength

of various components of the fine structure of giant resonances

on an energy scale. To distinguish the different energy scales,

inelastic scattering of 200 MeV protons at forward angles with

a resolution of 45 keV was performed on a number of nuclei, a

unique technique.

Future plansThe key goals for 2005/06 are to:

l Secure funding for the MRMC project;

l Commence the refurbishment and integration of Schonland;

l Commence F-18[FDG] production and develop a beam splitter;

l Develop a pro-type beam line for the MRMC project;

l Commence production on the Vertical Beam Target Station to

accommodate the higher beam current; and

l Enter into quality collaborations with existing/new partners to

facilitate an increase in innovation and research activity.

57

58

PROJECT HIGHLIGHTS

60 CASSAVA

Tough, tasty … and a new currency

62 FORENSIC ENTOMOLOGY

… and the fly was the detective

64 SOLAR POWER

Anything under the sun is now possible …

59

Project highl ights

The oil-rich seeds of the Lowveld Chestnut

(Sterculia murex) are a highly valued food

source for local populations.

Similarly, the NRF strives to facilitate a

wealth of local research talent that is highly

valued by the international community.

Cassava: Food for Africa, uses for the world

Worldwide consumption of starch is approximately 40 million

tonnes per annum and growing at a rate of 5% per annum.

Starch plays a prominent role in our daily lives and since

cassava roots contain a high starch content, they are an

excellent source of pure starch suitable for a wide range of

applications. Cassava starch is odourless, and its paste is clear

and sticky, making it ideal for: fast food, sweets, tablets, paper

and corrugated board. The pulp is used as cattle feed, while its

juice and spent process water are valuable fertilisers.

60

But Africa needs more than imagination. It needs innovation.

Innovation that comes from the likes of Prof Chrissie Rey and her

team at the School of Molecular and Cell Biology, University of

the Witwatersrand, whose research aims to ensure that there will

be sufficient cassava for the myriad applications that fertile minds

may generate.

Cassava, while extremely versatile, is also highly susceptible to virus

diseases, which have proved untreatable by chemicals. One of the

most important constraints to cassava production in sub-Saharan

Africa is virus diseases caused by begomoviruses, which result in

enormous yield losses. Consequently, farmers are severely affected

and it is thus important that approaches are developed to try to

control this disease.

Cassava, a tropical plant with tuberous roots, is grown as a primary

staple food in Africa and a secondary crop in South Africa by small-

scale farmers. Starch extracted from cassava tubers has many

industrial applications, including food processing and in the paper,

wood, textile, pharmaceutical, chemical and feed industries. South

Africa produces 20 000 tonnes of cassava starch commercially,

which could also be applied in the manufacturing of ethanol.

The worldwide consumption of starch is approximately 40 million

tonnes per annum and growing at a rate of 5% per annum. This

growth trend is likely to continue and cassava can play a vital role

as a source of raw material for starch production.

Cassava starch production relies on virus-free plants with high

starch yield and Prof Rey’s project focuses on improving cassava

in this regard. Greater production will also support the many

proposals to extend cassava factories and to convert unmodified

Imagine a plant that feeds the family, creates an industry for the community and an

export product for the country. Imagine a plant that can grow in marginal soil, but is rich

enough to be used in pharmaceutical products. Imagine cassava.

Tough, tasty … and a new currency

61

starch into different types of glucose.

Prof Rey’s research involves studying several begomoviruses, includ-

ing a novel virus (South African cassava mosaic virus) isolated in

South Africa, in order to understand their biodiversity and evolution.

The aim is also to determine how these viruses are transmitted

from plant to plant by their whitefly vectors.

The work is critical in trying to develop strategies to control the

viruses affecting cassava production. A significant aspect of the

research is developing genetic engineering strategies to produce

plants that are resistant to viruses and have a high starch yield.

Cassava offers the exciting and unique potential to address food

security and commercial industrial growth in Africa, a need that

has been identified by NEPAD as a priority for agriculture on the

continent.

A conference, jointly organised by NEPAD and the International

Food Policy and Research Institute (IFPRI), strongly recommended

that cassava be promoted as a poverty fighter across Africa. This

drive is facilitated by a Pan African Cassava Initiative, based on a

transformation strategy which emphasises better markets, better

organisation of producers for collective action, and increased private

sector investment. With the theme “Cassava – A Poverty Fighter in

Africa”, the initiative aims to tap the enormous potential of cassava

to work for food security and income generation and support the

vision of “Increased contribution of cassava as a food security crop

and a major source of industrial raw materials for income generation

in Africa by 2015”.

Several initiatives which are linked to this project, both in South

Africa and Moçambique, will involve local communities. Cassava

lines from Columbia and Brazil have been brought in for a cassava

breeding programme which will take an integrated approach

for improvement of virus-resistant and high-starch or improved

nutritional cassava cultivars. Small-scale farmers will be trained to

do cassava germplasm selection and cultivation, while women in

the communities will be further trained in food preparation.

From a commercial point of view cassava cultivation can employ

one person for every three hectares and therefore expansion of the

cassava market will not only provide food security but employment

and economic opportunities.

Rural communities can become involved in all aspects of cassava

production and plant breeding – whether on a subsistence, small-

scale or commercial level. Cassava’s promise to relieve poverty is

thus not an empty one.

A true example of growing the economy.

Funding:

Project funded by the

NRF to the amount

of R468 000 from

2003 – 2005.

Relevant NRF Focus Areas

which address national needs

and priorities:

l Sustainable Livelihoods:

The Eradication of Poverty

l Economic Growth

and International

CompetitivenessPostgraduate students

trained:

l 3 doctoral

l 9 Master’s

Prof Chrissie Rey from the

University of the Witwatersrand

is trying to develop virus-free

cassava plants that have a high

starch yield.

62

The science of Forensic Entomology, the use of insects in criminal

investigations, was only established in South Africa in the

early 1990s. A decade later there are just two official forensic

entomologists in South Africa and also in Africa: Prof Theuns van der

Linde from the University of the Free State and Dr Mervyn Mansell,

previously from the ARC – Plant Protection Research Institute, and

now a private consultant. Together they have probably attended

more autopsies and investigated more criminal cases together than

any other forensic entomologist in the world.

Prof Van der Linde has been funded by the NRF for the past three

years to train postgraduates to become forensic entomologists to

help the South African Police Services combat and solve criminal

cases. Furthermore, through constant research Prof Van der Linde

hopes to create a better understanding of the roles various insect

Blowflies or their maggots on a decomposing corpse make one of the

best detectives around as their presence can hold clues that the smartest

investigators might have overlooked.

species play on the crime scene and on decomposing bodies. This

will enable investigators to calculate the postmortem interval (PMI)

or time since death more accurately. This, in turn, will help the

police and the pathologists involved in violent crime investigations

as well as in cases of child and elderly neglect.

Insects are super-sleuths. They are the first organisms to find a dead

body, even if an effort was made to conceal or hide it. The first

insects will arrive at the body within minutes after a person has

died. According to Prof Van der Linde: “These insects do not simply

pitch up at the death scene like a lot of gate-crashers at a party.

They arrive in an orderly fashion, called insect succession. This is the

basis on which forensic entomology works.”

As the body starts to decompose (which happens from the time

the person dies), the body emits chemical odours which attract the

various dead flesh-eating insects. First the blowflies and other fly

species appear and later – when the tissues are drying out – the

beetles will arrive.

Insects found on recently-deceased humans, can also be used in

forensic investigations. People living under poor health and socio-

economic conditions are often infested with ectoparasites (fleas,

bedbugs, lice and mites). If a fresh body is found and immediately

examined by the pathologist and entomologist, much information

can be sourced on the living conditions of the deceased. Insects

have also proved valuable in rape investigations when blood-feeding

insects, such as pubic lice, are found on the body of the victim.

Insects are not just interested in the dead, though. Cases have

… and the f ly was the detective

63

come to light where patients were infested with insects in

hospitals, even in intensive care units. Insects are thus also useful in

investigations of child and elderly neglect.

And, with the help of insects, even Daisy de Melcker with her

long, slow poisoning tactics, would have been caught out much

sooner. If a decomposing body is found and poisoning or drug

abuse is suspected, but the body is less than three days old, the

traditional toxicological analyses from stomach content, blood

and urine can still be done. But if the body is older than three

days, the mentioned analyses can no longer be done. However, if

insects are present on the body, they will feed on the poisoned or

drugged tissue and metabolise it, incorporating it into their own

tissue. These insects can be collected and used as fresh material for

toxicological analyses.

Forensic entomology can also be used in investigations in the

misuse of insects. Traditional healers sometimes use insects in their

“muti” preparations. Many insects are poisonous and can cause

human death. Should this happen, toxicological analyses on the

“muti” may reveal what insects were used.

Forensic entomology can even be used to track down transit

robberies. The insects found on the grilles and windscreens of the

getaway cars can give an indication if the car was driven during

the day or night, because day-flying insects differ from night-flying

insects. They can also indicate whether the car travelled over

provincial borders, because insects found in KwaZulu-Natal differ

from those in, for example, the Free State.

With the high crime rate in South Africa, forensic entomology

has the potential to be practised at a higher level than elsewhere

in the world. Regular training courses are presented to members

of the South African Police Services, but a lot of education must

still be done. A case was once investigated where maggots were

found in a car that was probably used to transport the body of a

murder victim. Unfortunately, the police did not treat the maggots

correctly and Prof Van der Linde and his team could not do the

appropriate analysis (by removing the gut content and determining

whether it contains human DNA). The female police officer was

afraid that the maggots might die, so she fed them on mutton.

A case where kindness freed the killer …

Funding:

Project funded by the

NRF (2003 – 2005) to

the amount of R391 200.

Prof Theuns van der Linde,

project leader of the

forensic entomology

project at the University

of the Free State.

Relevant NRF Focus Area

which addresses national

needs and priorities:

l Distinct South African

Research Opportunities

Postgraduate students trained:

l Three students are busy with their PhD studies in various

aspects of forensic entomology.

l Two MSc students have already completed their studies

in forensic entomology. One of these received the Junior

Captain Scott Medal from the South African Academy for

Science and Art for the best MSc thesis.

l Two students are currently busy with their MSc studies.

There are three broad categories of Forensic Entomology:l Urban entomology: if your neighbour keeps animals which

create a fly problem, a forensic entomologist may be

approached for help in any lawsuits.

l Stored products entomology: If you buy food or sweets

from a grocer and discover that the items are infested with

insects, a forensic entomologist can be called in to mediate.

l Medico-legal entomology: For many years police at crime

scenes realised that insects and decomposing bodies go

together, but these insects were seen as disgusting elements

of decay that should be washed off as soon as possible,

before the autopsy could start. However, other scientific and

forensic investigation techniques such as blood and blood

spatter analyses, DNA finger printing techniques, ballistic

and gunpowder analyses were developed and refined and are

used daily in forensic investigations.

64

For a small rural community in Kliprand, life’s path is looking a lot

smoother. They have captured the world’s attention for being the

only solar sewing station, they are stitching furiously to fill orders

for school clothing … and it hasn’t rained much in the past year.

When your livelihood depends on the sun, rain is not a welcome

visitor.

Not so long ago, this community in the Northern Cape had a

bleak outlook. With most of its 400 residents earning less than the

current minimum wage, and no chance of getting electricity and

tapping into its benefits, the people seemed doomed to eke out an

existence like so many other forgotten communities.

But Prof Ernst Uken, of the Cape Peninsula University of

Technology, had other plans. Combine abundant sunshine in the

area with the enthusiasm of the community and you have the

power to transform lives.

Photovoltaic (PV) research being undertaken by the Energy

Technology Unit (ETU) at the Cape Peninsula University of

Technology has revealed many opportunities to generate sustain-

able income by harnessing the sun’s energy. It also holds exciting

possibilities for residents of rural villages that fall outside of the

national electricity grid.

Professor Uken, project leader, explains: “Just over 70% of South

African households have access to the electricity grid. The remaining

one quarter is in urgent need of creative power solutions to enable

the residents of those areas to earn a living without travelling long

distances every day. Given the increasing pressure of conventional

electrification on South Africa’s non-renewable fossil fuel supply, we

decided to look at ways of utilising renewable energy sources to run

appliances that will help rural people to earn a living.”

The project team has developed a sewing machine that runs on PV

(solar) energy. South Africa enjoys one of the highest degrees of

solar irradiation found anywhere in the world, making PV power an

ideal energy form.

To date, 20 sewing machines and three overlockers have been

converted by the ETU to PV power. The converted machines

have a variety of operational modes: there is an inexpensive,

Combine abundant sunshine with the enthusiasm of people desperate to improve their

circumstances, add elements of science, and you have the power to transform lives.

The ETU team examining an in-house

manufactured circuit board, a 12V DC

wiper motor and a converted footpedal

for speed control.

Anything under the sun

is now possible …

Prof Ernst Uken of the Cape Peninsula University of Technology, has

captured world attention with his solar-powered sewing machines.

65

low-maintenance option of daytime operation only; or the more

expensive, conventional way of storing power in batteries, if night-

time or operation on cloudy days is required. The ETU developed

a way of feeding power from the PV panels directly into the

converted 12V DC solar sewing machines to eliminate battery

maintenance, use of regulators, and so forth. This innovation is

important, especially in remote rural areas with little water.

In addition, excess power harnessed while sewing can be stored in a

12V DC battery connected to the machine. This power can then be

used to operate a small fridge, a radio, or other small appliance.

The converted sewing machines have been patented, and the patent

(SA Pat. 96/3405) includes this unique, built-in energy management

system. The invention has attracted enormous attention worldwide,

with a recent order from the State Department in the United States

of America for over 6 000 solar sewing machines. This equates to a

turnover of just under R30m for the project. Consequently, a factory

is being set up at the Cape Peninsula University of Technology to

meet the demand. The USA order is intended for distribution to

seven developing countries, and may be increased in the future.

The project team has also developed a PV-driven dehumidifier.

Essentially, this device uses the sun’s energy to cool small,

enclosed spaces. An “intelligent” hybrid solar-electric ceiling fan

was also developed to assist the modern home environment. The

device could reduce the demand in certain geographic areas on

conventional energy forms to cool living spaces in the summer,

thereby assisting Eskom’s demand side management programme,

which aims to manage power utilisation by consumers.

Rural electrification, by itself, does not guarantee economic

development, but it often stimulates and supports other

interventions. Supplying country schools with solar or wind power,

for example, will enable these institutions to install computers for

purposes of teaching, learning and better administration. In villages

where there is no employment, domestic power may help to

stimulate the creation of small businesses.

The Kliprand community project has been professionally structured,

with a detailed business plan to ensure that procedures are

mapped out correctly. This is overseen by the local authorities at

the West Coast District Municipality. Training was provided by the

Cape Peninsula University of Technology to many people who had

previously not even laid eyes on a sewing machine. Today these same

people are aiming to supply up to 10 000 learners on the West Coast

with school uniforms. They are also processing orders for overalls for

workers in mines and businesses some 70km from Kliprand.

The solar sewing station, the first of its kind in the world, is now

well on its way to being fully self-sustainable, and the district

municipality has opened a separate savings account for the project

to build up funds for possible future expansion.

The seed funding from THRIP for PV research attracted funding for

commercialisation from USAID and DEAT, making a huge difference

in the lives of Kliprand’s residents. It has also opened doors to many

unexpected opportunities for the country. Thanks to a germ of an

idea that was nurtured by the right R&D environment, everyone is

harvesting the rewards.

Funding:

Project funded by the Technology

and Human Resources for Industry

Programme to the amount of

R70 000 from 2001 – 2003.

Relevant NRF Focus

Areas which address

national needs and

priorities:

l Sustainable

Livelihoods: The

Eradication of

Poverty

l Economic Growth

and International

Competitiveness

Postgraduate students trained:

l Two DTechs (still in progress)

l Three MTechs

l Six BTechs

66

KEY PERFORMANCE INDICATOR REPORT

68 NRF core missions and strategic priorities

68 Rationale for adopting the NRF core missions

and strategic priorities

70 The NRF approach to Key Performance Indicators

72 KPI Report summary

67

Key Performance

Indicator report

P r o m i s e b e c k o n s o n t h e h o r i z o n .

T h e r o a d a h e a d i s c h a l l e n g i n g .

M a k e e v e r y s t e p c o u n t .

Because of its resemblance to blood, the red

sap of the kiaat (Pterocarpus angolensis)

is believed to have magical properties for

curing problems concerning blood. Similar

beliefs, rooted in indigenous knowledge, are

the subject of considerable research studies.

Key Performance Indicator report

68

NRF corporate core missions and strategic priorities

The four corporate core missions of the NRF are to develop and

support:

l High-quality human resources in substantially increased numbers;

l The generation of high-quality knowledge in prioritised areas that

address national and continental development needs;

l The utilisation of knowledge, technology transfer and innovation

to ensure tangible benefits to society from the knowledge

created; and

l The provision of state-of-the-art research infrastructure that

is essential to develop high-quality human resources and

knowledge.

The six cross-cutting corporate strategic priorities are:

l Redressing inequalities in race and gender;

l Adhering to quality;

l Internationalising research;

l Focusing on Africa;

l Positioning the NRF within the NSI; and

l Transforming the NRF organisationally.

Rationale for adopting the NRF core missions and strategic priorities

Several policy documents (among them South Africa’s National

R&D Strategy of August 2002) underpin the NRF corporate core

missions and strategic priorities. Key illustrative arguments for

adopting these missions and priorities as areas of key performance

are outlined below.

Corporate core missionsHuman resource development

To ensure quality of life and wealth creation, South Africa has to

transform itself into a knowledge society that competes effectively

in the global system. For this transformation, highly skilled people

are required in sufficient numbers to create, and impart to others,

new knowledge and technologies, and to utilise and apply existing

knowledge and technologies in innovative ways.

Given the mandate of the NRF, the key driver identified for the NRF

is: The production of large numbers of high-quality PhDs to provide

the bedrock for an innovative and entrepreneurial society.

The current human resource capacity for research and innovation

in South Africa is way below what the country requires to achieve

its objectives. Some statistics on the available capacity include the

following:

l From the South African Innovation Key Facts and Figures

(Discussion Document, NACI, October 2003: 10) it is clear that

most South Africans in the age group 20 and older have achieved

only Grade 12 or lower, and only 8,4% have a qualification

higher than Grade 12/Std 10.

l When comparing the number of researchers per 1 000 of the

labour force, South Africa needs to improve its performance

significantly to be competitive (see Figure 16 below).

l Only 18,6 PhDs per million of population graduate in

Figure 16: Number of researchers per 1 000 of the labour force

Finland 9,1 Japan 7,3 Australia 4,85 Canada 4,7 South Korea 2,75 South Africa 0,75 China 0,7 Chile 0,5 Malaysia 0,3 India 0,2

Source: WCY 2001/OECD/R&D Survey in NACI 2003: 22.

69

South Africa each year, compared with 170 in Australia and 118

in Korea (NACI Report, 2002: 30-31).

l The potential R&D human resource capacity for research,

technology development and innovation is also under threat. A

major concern is the impact of HIV/AIDS which affects mainly

young adults who are the capital base of knowledge generation

and regeneration. In addition, the secondary school pass rates of

learners with university exemptions in science and mathematics

who enrol as students in science and engineering, are

unacceptably low. The recent addition of functions and facilities

to the NRF – such as SAASTA and the NZG – affords the NRF

unparalleled opportunities to influence the supply of human

resources required for a knowledge society.

Knowledge generation (research and

development in prioritised areas)

Global competitiveness is dependent on new knowledge that

delivers competitive advantage. South Africa produces, in terms

of the Institute for Scientific Information (ISI) indexed articles,

about 0,5% of the global published research output. Between 1997

and 1999, South Africa’s citations per million of the population

ranged between 81 and 87 citations (NACI Report, 2002: 26).

When compared with Australia’s 1 072 or Korea’s 259, a significant

improvement is called for. Knowledge generation in prioritised areas

and shifting the boundaries of all knowledge domains are imperative

for finding solutions to local and continental problems. National

expenditure in R&D by major research fields is listed below:

Natural Sciences 22,2%

Engineering Sciences 20%

Applied Sciences and Technologies 15%

Information, Computer and

Communication Technologies 12,9%

Social Sciences and Humanities 10,6%

Medical and Health Sciences 10,1%

Agricultural Sciences 9,2%

(Reference: National R&D Survey, 2004: 3)

Through funding research in nine Focus Areas and at the National

Research Facilities, the NRF promotes knowledge generation in

all fields of Science and Technology, taking into consideration the

national priorities, and complementing other knowledge generation

initiatives.

Utilisation of research results,

technology transfer and innovation

Publicly funded science is regarded as a driving force behind

technological and economic advancement. This implies that

there should be a knowledge dissemination or transfer linkage

between science and industry. Currently, only 10% of South Africa’s

economic growth is attributable to technological progress. High

and medium technology exports still constitute only around 30%

of total goods exported (NACI, 2003: 35). In comparison with

other countries, South Africa is underperforming as regards the

proceeds received from royalties and licence fees (NACI, 2003:

28). South Africa’s score on the Technology Achievement Index

(TAI), developed by the United Nations Development Programme

as a measure of technology development that includes measures

of technology penetration in society, is far from optimal. The

country has a long way to go in creating an environment steeped

in technology and geared toward innovation. NRF programmes that

strive to promote the linkage between science and industry and

near-market innovations include THRIP and the Innovation Fund.

Provision of state-of-the-art

research equipment infrastructure

Equipment renewal to arrest the ageing of research equipment and

the attendant marginalising of South Africa’s scientific endeavours

is fundamental to the R&D strategy of the country. State-of-the-

art research equipment is essential for technological innovation,

training of highly skilled human resources and enabling South

African scientists to conduct internationally competitive research.

Corporate cross-cutting strategic prioritiesRedress and equity: race and gender

Within South Africa the only means to build a quality research

system is to open access to all and thereby maximise the

opportunity to develop a critical mass of researchers reflecting our

demographic and cultural diversity. Equally, the sustainability of

a quality-based knowledge system requires that it systematically

creates opportunities for young people to enter and progress

through the system.

Currently, 94% of scientific publications recorded in the South

African Knowledgebase (SAK) are authored by white researchers.

South African Post-secondary Education (SAPSE) data indicate

70

that women produce only 17% of the total research publications

recorded (NACI Report, 2002: 27-28). Women researchers

constitute 35,3% of the total of 8 661 FTE researchers (National

R&D Survey, 2004: 3).

Adherence to quality

To compete internationally, quality and excellence in the creation,

application and transfer of knowledge may not be compromised.

Hence, a fundamental principle for the NRF in exercising its

mandate is that resources – research, human resource development

or expensive facilities – are made available to the research

community on a competitive basis in a system where independent

assessment of quality is a critical factor.

Internationalisation of research

South Africa’s goal of becoming competitive in the global economy

requires professionals and intellectuals who are able to compete

with the best in the world. It is the NRF’s task to build the capacity

of South African researchers to become leaders in the international

research context. To achieve this, opportunities must be created

for constructive international collaboration with researchers in the

generation, transfer and exchange of knowledge.

Focus on Africa

South Africa’s fortunes are inextricably linked with the continent

of Africa. Strategies to move South Africa onto a high-growth path

cannot be achieved in isolation. NEPAD, with the support of many

developed countries, will undoubtedly create opportunities for the

NRF to link up with special R&D interventions to optimise the

competitive advantages of the region.

Positioning the NRF within the

National System of Innovation (NSI)

The NRF’s mandate covers the entire spectrum of the innovation

chain, from the most fundamental research to technology

development. This, in addition to managing the National Research

Facilities and its task to service the entire spectrum of disciplines,

gives the NRF a unique and central role within the NSI. With the

incorporation of SAASTA and the NZG, the NRF has consolidated

its role as intermediary between science and society. The success

of positioning the NRF within the NSI depends both on the ability

of the NRF to become a knowledge organisation servicing national

needs and on its ability to leverage sufficient resources in pursuit of

its mandate.

Organisational transformation

There are a few critical elements in the strategy for transformation

of the NRF:

l Financial sustainability;

l Improved business processes and procedures;

l Organisational learning and growth; and

l Human resources transformation that allows the organisation to

benefit fully from the cultural and ethnic diversity in the country

and thereby to attain employment equity.

The NRF approach to Key Performance Indicators (KPIs)

Given the synergy between, and diversity of, the two main functions

of the NRF – the Research and Innovation Support and Awareness

(RISA) Agency and the National Research Facilities – common

objectives are set, but different interventions are implemented.

Therefore, it stands to reason that each set of interventions requires

a separate set of concomitant performance measures.

The approach of the NRF to the Balanced Scorecard dictates that

the stakeholder perspective be regarded as the category that

captures most of its KPIs. In the case of the National Research

Facilities, which have research as one of their in-house activities,

some core missions and strategic priorities are achieved by the

facilities themselves. Others may be achieved in collaboration

with, or by members of, the stakeholder community, supported

by the interventions and infrastructure provided by the facility.

In the case of RISA, the outcomes of its activities – such as the

disbursement of funds – are only achieved in the ambit of the

stakeholder community. Performance indicators thus include the

performance in the stakeholder community as a measure of the

effectiveness of RISA.

The other Balanced Scorecard perspectives, namely, the financial/

investment perspective, organisational learning and growth, and

human resources and transformation, are regarded as corporate,

internal NRF performance areas that support the NRF’s ability to

fulfil its mission (see Figure 17).


Financial perspective

Business processes and procedures

Organisational learning and growth

Human resources and transformation

71

Core missions Human Resource Development Knowledge generation

(research and development)

in prioritised areas

Utilisation of research

results, technology

transfer and innovation

Provision of

state-of-the-art-research

equipment infrastructure

Hig

h-le

vel o

bjec

tive

s

To stimulate undergraduate and

Honours students’ interest in

postgraduate studies

To promote and support knowledge

production

To promote utilisation of

knowledge, technology

transfer and innovation

To provide a research

infrastructure

To support Master’s and PhD

student training in higher

education

R&D staff development

Science Advancement

Perf

orm

ance

indi

cato

rs

Outputs The expected outputs for RISA and the National Research Facilities differ

Outcomes Increased enrolment and

completion rates of SET students

at Honours degree level

Increased number of quality research

outputs

Visibility (of relevance) of RISA-funded

research

Increase in quality patents

Increase in knowledge and

technology dissemination

and uptake

Improved quality and

quantity of research output

Increased completion rate of NRF-

funded higher degrees, especially

doctoral students in prioritised

areas

New/expanded research activities,

in line with national priorities, by

staff with improved qualifications

Increase in number of NRF

grantholders with good track

record

Impacts Increase in number of Master’s

and doctoral graduates in

workforce

Increase in global share of relevant

knowledge production and

exploitation

Societal benefit of research

Greater participation in

global knowledge economy

Improved rating in UN

Technology Achievement

Index

Increased competitiveness

Increased number of doctorates

per million population

Increase in number and quality of

R&D staff per million population

Strategic

priorities

Redress and

equity: race,

gender, etc.

Adherence to

quality

Focus on Africa Internationalisation

of research

Positioning

in the NSI

Organisational

transformation

Figure 17: Summary of the NRF core missions, strategic priorities and high-level objectives

72

The NRF regularly reviews the ability of its performance measures

to be a proxy of real performance. Developing and defining

indicators for science outreach and awareness are on the agenda

for 2005/06.

KPI Report summary

Please note that the full KPI Report can be accessed at

www.nrf.ac.za.

Stakeholder perspectiveKey Result Area: Fulfilling the mandate

of the National Research Foundation

During 2004/05 the NRF Board continuously monitored the

alignment of the activities of the Foundation with its mandate as

stipulated in the National Research Foundation Act, No 23 of 1998.

The Board also consciously guarded against a shift in priorities

that could weaken the ability of the NRF to deliver on its primary

goals. The review of the NRF indicated that the organisation is still

fulfilling its mandate without digression into areas not within its

mandated ambit. The mandate of the NRF is:

“… to support and promote research through funding, human

resource development and the provision of the necessary research

facilities in order to facilitate the creation of knowledge, innovation

and development in all fields of Science and Technology, including

indigenous knowledge, and thereby to contribute to the improve-

ment of the quality of life of all the people of the Republic”.

Key Result Area: Support of the

NSI and R&D Strategy and goals

As the reason for the NRF’s existence is to advance certain national

priorities in accordance with its mandate, the NRF identified, under

the guidance of its Board, core missions and strategic priorities.

As indicated in the introduction to the KPI Report, all the business

units of the NRF are aligned to support the NSI and to address the

issues raised in the National R&D Strategy. The NRF’s performance

related to the R&D Strategy is measured and managed through the

respective Key Performance Indicators used.

The themes of the Focus Areas funded by RISA, and the clustering

of National Research Facilities according to areas of importance

(see page 10), reflect the commitment of the organisation to

address areas of national priority. The organisation also has a good

track record for bringing new entities, such as SAASTA and the

NZG, in line with its core missions and strategic priorities.

In addition to properly aligning with national priorities, the NRF

also promotes a seamless approach in its operations to ensure

closure of the “innovation gap”. Several mechanisms are in place

for this purpose. The Focus Area framework for research makes

provision for knowledge generation in nine areas responsive

to societal need. It also provides a framework within which

disciplinary and multidisciplinary research, both basic and applied,

is accommodated. Within the Focus Area framework, awards

were made to researchers, individually and in groups, both in the

Development Programmes – such as the Institutional Development

Programme and Thuthuka – the Focus Area Programmes, and

Centres of Excellence. Centres of Excellence are at the pinnacle

of the system of generating new knowledge as they are the

vehicle to raise the ceiling of sustained systematic enquiry. All

these programmes and mechanisms were designed to build the

knowledge system by embedding the development of human

capacity into the process of generating new knowledge.

By housing programmes such as THRIP and the Innovation

Fund, the NRF also supports value-adding research, technology

development, innovation and eventual commercialisation. Hence,

a major challenge is to identify the synergies that need to emerge

from the various funding programmes.

In the year under review the NRF again made strides in finding

synergies between the activities and orientation of the different

programmes and facilities. A process of actively bridging gaps in the

service delivery within the NSI, is ongoing.

Key Result Area: Ensuring quality of policy/decision-making

All business units of the NRF made use of external expertise

from academia, industry and government to guide policy and

decision-making. Several Advisory Panels or Boards were involved

and the input of external peer reviewers formed the backbone of

the decision-making process in RISA and in the National Research

Facilities. Sound and auditable business procedures and processes,

in line with international best practice, have been adopted to


73

RISA

DST RISA core grant + Ring-fenced 255 754 250 998 -2%

RISA Contracts, Sundry & Other 30 770 54 142 76%

DTI THRIP 140 418 131 045 -7%

DoL Scarce Skills Development Fund 21 366 23 665 11%

DST Innovation Fund 125 526 209 874 67%

DEAT Marine & Coastal Programmes 5 100 4 359 -15%

SAA

STA

*

SAASTA MTEF 8 058 11 078 37%

SAASTA Contracts & Other 12 701 15 968 26%

Nat

iona

l Res

earc

h Fa

cilit

ies

iThemba MTEF 77 827 86 411 11%

iThemba Contracts & Other 6 663 17 967 170%

SAAO MTEF 17 193 20 781 21%

SAAO Contracts & Other 3 475 7 953 129%

HartRAO MTEF 8 950 10 199 14%

HartRAO Contracts & Other 158 4 035 2 445%

SAIAB MTEF 7 625 9 296 22%

SAIAB Contracts & Other 5 108 4 834 -5%

HMO MTEF 3 559 3 316 -7%

HMO Contracts & Other 2 566 3 313 29%

NZG MTEF – 21 590 100%

NZG Contracts & Other – 23 484 100%

SUM

MA

RY Total NRF Science Vote Funding 378 966 413 669 9%

Contract & other funding 353 850 500 639 41%

Total Funding 732 816 914 308 25%

* The 2003/04 figures have been adjusted for deferred income and correspond with the actual results of the 2003/04 financial year.

Figure 18: Comparison of actual sources of funding received (R’000)

n 2003/04* n 2004/05 % Change

74

ensure the implementation of these decisions. The impact of

decisions are monitored through the performance information, and

changes are made should trends be detected that may not be fully

aligned with the National R&D Strategy in support of the NSI.

Financial perspectiveKey Result Area: Financial sustainability

During 2004/05 the financial function has, through appropriate

control mechanisms, policy implementation and timely reporting,

complied in all material respects with the PFMA, Treasury

Regulations and all other applicable legal and accounting principles,

(with the exception of AC116 of Generally Accepted Accounting

Practice (GAAP)) . This is substantiated in internal and external

audit reports. Funds have been prudently utilised to an almost

breakeven situation, excluding ring-fenced activities where

discussions with key stakeholders regarding action plans, are

ongoing. The newly implemented financial system (Great Plains)

has been functioning optimally. A company-wide risk assessment

was undertaken and various interventions are ongoing.

Although the raison d’être of a Science Council is not to make

money, sound financial management, creating economies of

scale and obtaining additional sources of income to discharge its

mandate, remain objectives of, and challenges for, the NRF.

Figure 18 on page 73 outlines the sources of income and the ratio

of contract income to total income for both RISA and the National

Research Facilities.

The use of finances as indicated in the financial report enabled and

supported the attainment of NSI goals.

Organisational perspectiveSome of the standard efficiency indicators for organisational

performance are:

l Ratio of overhead cost to total cost;

l Proportion of researchers to total staff; and

l Salaries to total expenditure.

Key Result Area: Overhead efficiency

Table 6: Ratio overhead to total cost

Entity No in R’000 %

Ratio overhead to total cost*

RISA (including SAASTA) 65 790 : 706 791 9,3

National Research Facilities

(including SAEON)70 910 : 204 295 34,7

* Total overhead costs exclude salaries and grants

Table 7: Salaries to total expenditure

Entity No in R’000 %

Salaries to total expenditure

RISA (including SAASTA) 47 310 : 706 791 6,7

National Research Facilities

(including SAEON)121 262 : 204 295 59,4

Table 8: Proportion of researchers to total staff

2003/04 2004/05

No % No %

RISA* 0 : 172 0 0 : 176 0

SAASTA* 0 : 33 0 0 : 37 0

National Research Facilities (excluding SAEON and NZG)*

SAAO 14 : 81 17 17 : 79 22

HartRAO 4 : 50 8 4 : 50 8

HMO 5 : 22 23 6 : 23 26

SAIAB 12 : 40 30 12 : 50 24

iThemba LABS 41 : 302† 14 44 : 271 16

National Research Facilities Total

76 : 495 15 83 : 473 18

* RISA, SAASTA, SAEON and NZG currently have no research staff.

† iThemba LABS’ staff number for 2003/04 included students and the

correction of this issue in 2004/05 accounts for the decrease shown in

the table above.

Key Result Area: Customer service

One of the indicators of organisational performance is stakeholder

satisfaction. During 2004/05 a stakeholder survey for RISA was

conducted as part of the NRF Institutional Review. Results showed

that the performance of staff is rated highly, but problems with

implementing the NRF on-line system created frustration in the

stakeholder community.


75

Regular feedback is received from stakeholders in the broad

scientific community through the NRF/talk, which is a listserv-type,

email discussion group where stakeholders and NRF staff discuss

NRF-related issues. Information about research opportunities is

posted to the list. The list is immediate and accessible for providing

feedback on NRF issues. It has proved to be an extremely useful

communication tool, which will be developed further in future.

Learning and growth perspectiveCompetitiveness of an organisation is largely determined by the

availability of suitably qualified staff and the results delivered. For

a research facility, the quality and quantity of research output is a

performance indicator for possible growth and learning, while at an

agency function such as RISA, the research output of researchers

funded is used as measure of its indirect success.

Key Result Area: Quality of scientific output

Table 9: Scientific output of the National Research Facilities

(excluding SAEON and the NZG)

Category No No per

researcher

No per

employee

Research reports 205 2,46 0,43

Journal articles (ISI & other refereed)

102 1,22 0,21

Full-length conference proceedings

169 2,03 0,35

Chapters in books 5 0,06 0

Books 1 0,01 0

Publications with external co-authors

135 1,62 0,28

Patents awarded 0 0 0

Table 10: Quality of scientific output through RISA stake-

holders in Focus Area and Development Programmes

Outputs Focus Area

Programmes

Development

Programmes

Total

Peer-reviewed publications

2 118 217 2 335

Books 143 – 143

Chapters in books 114 46 160

Patents, artefacts and products

56 36 92

Technical reports 381 60 441

Published conference proceedings

844 146 990

Key Result Area: Quality of staff capacity

The numbers of staff with PhD and Master’s degrees, and those

who have enrolled for PhD and Master’s degrees as at March 2005,

are outlined below:

Table 11: Staff capacity

Entity Number Percentage

Master’s PhD Master’s PhD

RISA (incl. SAASTA) 5 : 213 16 : 213 2,3 8

National Research Facilities 45 : 805 57 : 805 6 7

Staff capacity is enhanced through extensive collaboration with

industry, government departments and international partners.

76

Table 12: The status and representation of NRF employees by occupational level as at 31 March 2005

Occupational level Men Women Grand Total

SA A

fr

SA C

lrd

SA In

d

SA W

hite

No

n SA

fro

m

Afr

ica

No

n SA

Oth

er

Tota

l

SA A

fr

SA C

lrd

SA In

d

SA W

hite

No

n SA

fro

m

Afr

ica

No

n SA

Oth

er

Tota

l

Top management 4 2 1 6 0 2 15 0 1 1 1 0 0 3 18

Senior management 17 4 2 33 0 0 56 5 3 1 18 0 0 27 83

Professionally qualified and experienced specialists and mid-management

19 14 6 53 4 2 98 12 8 3 25 1 3 52 150

Skilled technical and academically qualified workers, junior management, supervisors, foremen and superintendents

35 29 1 60 0 1 126 20 19 3 36 0 0 78 204

Semi-skilled and discretionary decision-making

43 28 0 13 0 0 84 50 16 4 51 0 0 121 205

Unskilled and defined decision-making 157 32 0 3 2 0 194 29 18 0 0 0 0 47 241

Total Permanent 275 109 10 168 6 5 573 116 65 12 131 1 3 328 901

Non-permanent employees 61 1 5 19 0 2 88 19 3 0 11 0 0 33 121

Total 336 110 15 187 6 7 661 135 68 12 142 1 3 361 1 022

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Figure 19: Gender representation by level of employment Figure 20: Race representation by level of employment

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77

Human resources and transformation perspectiveTransformation, in particular changing the demographic profile of

the organisation, is one of the foci of the NRF strategic priority,

organisational transformation. The graphs that follow give an

indication of organisational demographics:

Key Result Area: Organisational demographics

l Overall, the representation of designated individuals has

increased from 53,3% in 2003/04 to 66,1%, well ahead of the

targeted overall of 60% in the year under review. This increase is

largely attributed to the incorporation of the NZG into the NRF

in April 2004 (see Table 12).

l The representation of women has declined from 42,2% in

2003/04 to 35,3% due to the inclusion of the NZG, where men

form a substantial part of the staff component.

l The representation of people with disabilities still requires

attention, with only six staff members across the organisation

being people with disabilities.

The race and gender representation movement over 2003/04 and

2004/05 is depicted in Figures 19 and 20.

The average age in the organisation stands at 41. The age

distribution is represented in Figure 21 below.

Figure 21: Average age of NRF staff

78

FINANCIAL REPORT

80 Statement of responsibility by the Board of Directors

81 Report of the Audit Committee

82 Report of the Auditor-General

84 Income statement

85 Balance sheet

86 Statement of changes in funds

87 Cash flow statement

88 Accounting policies

90 Notes to the annual financial statements

One tree’s multiple uses is indicative of the vast volumes

of indigenous knowledge to be studied. The timber of the

Natal Mahogany (Trichilia emetica) is used to make furniture,

ornaments, dugout canoes and musical instruments. Oil

from the bean-like seeds relieves rheumatism and is used as

cosmetic oil, while candles are made from the kernel remains.

Financial report

79

S u p p o r t o u r c h i l d r e n t o d a y ;

c r e a t e b r a v e a d v e n t u r e r s f o r t o m o r r o w ’ s c h a l l e n g e s .

Statement of responsibi l ity

by the Board of Directors

The Board is responsible for the preparation, integrity and fair

presentation of the annual financial statements of the National

Research Foundation (NRF).

The Auditor-General is responsible for independently reviewing and

reporting on these financial statements to Parliament. The Auditor-

General was given unrestricted access to all financial records and

minutes of meetings of the Board of directors and committees of

the Board. The Board believes that all the representations made

to the independent auditors during their audit were valid and

appropriate. The report of the Auditor-General is presented on

page 82. As reported, the NRF is complying with the Public Finance

Management Act, 1999 (PFMA) in all material aspects.

The annual financial statements for the year ended 31 March 2005

presented on pages 84 to 105 have been prepared in accordance

with South African Statements of Generally Accepted Accounting

Practice, with the exception of AC116 in respect of the provision of

the full liability on the Post-retirement Healthcare Benefit. Should

the liability be provided for in line with AC116, trade and other

payables in the balance sheet will increase by R49,5m and the

deficit in the income statement will increase by R49,5m. The annual

financial statements are based on appropriate accounting policies

which have been consistently applied and which are supported

by reasonable and prudent judgements and estimates. The going

concern basis has been adopted in preparing the annual financial

statements.

The Board is also responsible for the NRF’s internal controls. These

are designed to provide reasonable but not absolute assurance

as to the reliability of the annual financial statements and to

adequately safeguard, verify and maintain accountability of assets.

The controls are monitored by NRF management and employees

with the necessary segregation of authority and duties. Processes

exist to monitor internal controls, identify material breakdowns and

implement timely corrective action.

The internal audit function assists members of executive

management to effectively discharge their responsibilities, including

compliance with the PFMA. Internal audits were conducted to

promote economical and efficient management of the organisation’s

resources and the effective performance of its functions.

A materiality and significant framework has been developed for

reporting losses through criminal conduct and irregular, fruitless

and wasteful expenditure, as well as for significant transactions

envisaged as per section 54(2) of the PFMA that require ministerial

approval. Due to the business nature of the entity, the materiality

level has been selected at 0,25% of revenue amounting to

R2 286 535. The framework was finalised after consultation with

external auditors and was formally approved by the NRF Board.

During the year under review the NRF Board endorsed, and applied

the relevant sections of the Code of Corporate Practices and

Conduct as set out in the King II Report. Some of the sections of

the Code of Corporate Practices and Conduct were not addressed

as they are in conflict with the National Research Foundation Act

(Act No 23 of 1998). These sections relate to the Board of Directors

and associated issues. The NRF has developed and implemented an

Employment Equity and Redress Policy. The NRF’s Code of Ethics

commits the organisation to the highest standards of behaviour

and ethics in dealing with all its stakeholders.

The NRF Board has approved a Black Economic Empowerment

(BEE) policy as a framework to be applied by all business units.

The policy requires of staff with the delegated level of authority to

actively advance BEE procurement. The use of BEE suppliers for the

procurement of goods and services was expedited during the year

under review through access to an accredited BEE database.

Audit Committee meetings were held on 14 June 2004, 21 October

2004 and 17 March 2005. The Audit Committee met periodically

with management and the external auditors to review the

financial statements and accounting policies, the effectiveness of

management information and other systems of internal control,

the effectiveness of the internal audit, and to discuss the auditors’

findings and the implementation of corrective action.

The annual financial statements were approved by the Board on

29 June 2005 and are signed on its behalf by:

Prof B Reddy Dr K Mokhele

CHAIRPERSON PRESIDENT

80

The Audit Committee has adopted appropriate formal terms of

reference, which have been confirmed by the NRF Board. The

committee performed its responsibilities as set out in the terms of

reference.

In performing its responsibilities, the Audit Committee has reviewed

the following:

l Effectiveness of the internal control systems;

l Effectiveness of the internal audit function;

l Risk areas of the entity’s operations to be covered in the scope of

the internal and external audits;

l Adequacy, reliability and accuracy of financial information

provided to management and other users of such information;

l Accounting or auditing concerns identified as a result of the

internal or external audits;

l Compliance with legal and regulatory provisions;

l Activities of the internal audit function, including its annual

programme, coordination with the external auditors, the reports

of significant investigations and the responses of management to

specific recommendations;

l Independence and objectivity of the external auditors; and

l The scope and results of the external audit function, its cost-

effectiveness, performance quality, as well as independence and

objectivity of the external auditors.

The Audit Committee was also responsible for:

l Reporting to the NRF Board and the Auditor-General where a

report implicates any member(s) of the accounting authority in

fraud, corruption or gross negligence;

l Communicating any concerns it deems necessary to the NRF

Board and the Auditor-General;

l Confirming the internal auditors’ charter and internal audit plan;

l Encouraging communication between members of the Board,

senior executive management, internal auditors and external

auditors;

l Conducting investigations within its terms of reference;

l Concurring with the appointment and dismissal of the

outsourced internal audit function;

l Approving the internal audit work plan and the associated costs;

l Deciding whether or not an interim report should be subjected

for review by the external auditors; and

l Setting the principles for the recommended use of the external

auditors for non-audit services.

The Audit Committee is satisfied that internal controls and systems

have been put in place and that these controls have functioned

effectively during the period under review. The Audit Committee

considers the NRF’s internal controls and systems appropriate in all

material respects to:

l Reduce the entity’s risks to an acceptable level;

l Meet the business objectives of the entity;

l Ensure the entity’s assets are adequately safeguarded; and

l Ensure that the transactions undertaken are recorded in the

entity’s records.

The Audit Committee has evaluated the annual financial statements

of the NRF for the year ended 31 March 2005 and concluded that

they comply, in all material respects, with the requirements of the

PFMA, 1999 (Act No 1 of 1999), as amended, as well as South

African Statements of Generally Accepted Accounting Practice.

However, the NRF does not comply with AC116 of the South

African Statements of GAAP in respect of the provision of the full

liability on the Post-retirement Healthcare Benefit. Should the

liability be provided in line with AC116, trade and other payables

in the balance sheet will increase by R49,5m and the deficit in the

income statement will increase by R49,5m. Investigations are under

way to find the most appropriate and cost-effective mechanism of

managing this liability and providing the necessary benefits to all

qualifying employees in line with a set of principles approved by

the NRF Board.

The Audit Committee agrees that the adoption of the going

concern premise is appropriate in preparing the annual financial

statements. The Audit Committee has therefore recommended

the adoption of the annual financial statements by the Board of

Directors at their meeting held on 29 June 2005.

Dr JL Job

Chairperson

29 June 2005

81

Report of the Audit Committee

Audit assignmentThe financial statements as set out on pages 84 to 105, for

the year ended 31 March 2005 have been audited in terms of

section 188 of the Constitution of the Republic of South Africa,

1996 (Act No 108 of 1996), read with sections 4 and 20 of the

Public Audit Act, 2004 (Act No 25 of 2004), and section 18 of

the National Research Foundation Act, 1998 (Act No 23 of 1998)

These financial statements, the maintenance of effective control

measures and compliance with relevant laws and regulations are

the responsibility of the accounting authority. My responsibility is

to express an opinion on these financial statements, based on the

audit.

Nature and scopeThe audit was conducted in accordance with Statements of South

African Auditing Standards. Those standards require that I plan and

perform the audit to obtain reasonable assurance that the financial

statements are free of material misstatement.

An audit includes:

l Examining, on a test basis, evidence supporting the amounts and

disclosures in the financial statements;

l Assessing the accounting principles used and significant

estimates made by management; and

l Evaluating the overall financial statement presentation.

Furthermore, an audit includes an examination, on a test basis, of

evidence supporting compliance in all material respects with the

relevant laws and regulations, which came to my attention and are

applicable to financial matters.

The audit was completed in accordance with Auditor-General

Directive No 1 of 2005.

I believe that the audit provides a reasonable basis for my opinion.

QualificationPost-retirement healthcare benefits

Post-retirement medical aid benefits are provided for retirees. The

National Research Foundation (NRF) opted to recognise this post-

retirement medical aid liability as an expense on a straight line

basis over a five year period that commenced in 2002.

An actuarial valuation was performed as at 30 September 2003

82

Report of the Auditor-Generalto Parliament on the financial statements of the National Research Foundation for the year ended 31 March 2005

and the projection indicated that the unfunded liability as at

31 December 2004 is R83,1m (2003/2004: R77,5m). A further

R11,5m liability relates to the incorporation of the National

Zoological Gardens. The total unfunded liability is therefore R94,6m

and for the financial year ended 31 March 2005 an amount

of R38,2m (2003/2004: R35,7m) has been provided. The post-

retirement medical aid liability is therefore understated by an

amount of R56,4m (2003/2004: R28,0m).

Audit opinionIn my opinion, except for the effect on the financial statements of

the matter referred to in the above paragraph, the financial state-

ments fairly present, in all material respects, the financial position

of the National Research Foundation at 31 March 2005 and the

results of its operations and cash flows for the year then ended

in accordance with Statements of Generally Accepted Accounting

Practice, and in the manner required by the Public Finance

Management Act, 1999 (Act No 1 of 1999) (PFMA).

Emphasis of matterWithout further qualifying the audit opinion expressed above,

attention is drawn to the following matter:

Information systems audit

A follow-up audit of the general computer controls and the elec-

tronic funds transfer revealed that the most significant weakness in

this environment was the inadequate segregation of duties, which

allowed the system administrator full access to the systems and

data. This enabled the systems administrator to control an entire

research grant transaction from initiation to transfer of payment

which may result in an unauthorised grant payment. Although a

compensating control in the form of a reconciliation was in place,

this was not done for the entire year.

AppreciationThe assistance rendered by the staff of the National Research

Foundation during the audit is sincerely appreciated.

N Manik

For Auditor-General

Pretoria

25 July 2005

83

Income statement for the year ended 31 March 2005

84

Notes 2005 2004

R’000 R’000

Government grants 3 413 669 378 966

Other income 500 639 353 850

Total income 1 914 308 732 816

Grants and bursaries 1 (591 024) (490 663)

Salaries 1 (168 572) (126 330)

Other expenses (156 204) (119 662)

Net (deficit) funds for the year 1 (1 492) (3 839)

Balance sheet as at 31 March 2005

85

Notes 2005 2004

R’000 R’000

Assets

Non-current assets 224 348 197 439

Property and equipment 4 126 801 125 339

Investment 5 76 558 58 250

Retirement benefit fund deficit 20 895 13 719

Staff loans 6 94 131

Current assets 565 392 554 280

Inventory 7 2 801 1 878

Grants and bursaries paid in advance 105 401 63 763

Trade and other receivables 8 30 100 31 311

Short-term portion of staff loans 6 683 403

Bank balances and cash 9 426 407 456 925

Total Assets 789 740 751 719

Funds and Liabilities

Funds and reserves 243 381 245 083

Income funds 116 579 119 744

General capital fund 4 839 1 903

Deferred income 121 963 123 436

Non-current liabilities 57 961 180 680

Trust funds 10 57 927 180 680

Long-term portion of leases 4 34 –

Current liabilities 488 398 325 956

Accrued grants and bursaries 259 667 204 276

Current portion of leases 4 101 –

Grants and bursaries payable 302 335

Trade and other payables 11 175 568 75 373

Provisions 12 52 760 45 972

Total Funds and Liabilities 789 740 751 719

Statement of changes in funds for the year ended 31 March 2005

86

Accumulated fund

Contingency fund SALT fund

General capital fund

Deferred income Total

R’000* R’000* R’000* R’000 R’000 R’000

Balance as at 31 March 2003

60 138 5 195 58 250 1 903 128 139 253 625

Net deficit for the year (3 839) – – – – (3 839)

Transfer from contingency fund

3 179 (3 179) – – – –

Acquisition of fixed assets (Note 3)

– – – – 12 347 12 347

Allocated to income (Note 3)

– – – – (17 050) (17 050)


59 478 2 016 58 250 1 903 123 436 245 083

Net deficit for the year (1 492) – – – – (1 492)

Funds transferred from NZG

(3 705) – – 2 936 – (769)

Transfer from contingency fund

– (1) – – – (1)

Transfer to SALT fund – – 2 033 – – 2 033

Acquisition of fixed assets (Note 3)

– – – – 14 734 14 734

Allocated to income (Note 3)

– – – – (16 207) (16 207)


54 281 2 015 60 283 4 839 121 963 243 381

* These balances are included under income funds totalling R116,6m (2004: R119,7m).

Cash flow statement for the year ended 31 March 2005

87

Notes 2005 2004

R’000 R’000

Operating activities

Cash receipts from government 414 229 374 263

Cash receipts from other sources 486 791 343 464

Cash paid to grantholders (577 303) (429 052)

Cash paid to suppliers and employees (206 654) (158 272)

Cash generated by operations 19 117 063 130 403

Interest received 15 059 14 384

Interest paid (240) (105)

Funds transferred from NZG (768) –

(Decrease) Increase in trust funds (122 753) 45 730

Net cash from operating activities 8 361 190 412

Investing activities

Increase in investments (18 308) –

Acquisition of property and equipment (20 661) (12 318)

Replacement of property and equipment (171) (1 017)

Additions to property and equipment (14 526) (11 301)

Transferred from NZG (5 964) –

Proceeds from sale of property and equipment 333 457

(Increase) Decrease in staff loans (243) 489

Net cash used in investing activities (38 879) (11 372)

Net (decrease) increase in cash and cash equivalents (30 518) 179 040

Cash and cash equivalents at the beginning of the year 456 925 277 885

Cash and cash equivalents at the end of the year 20 426 407 456 925

Basis of preparationThe annual financial statements are prepared on the historical cost

basis and incorporate the following principal accounting policies,

which have been consistently applied in all material respects unless

stated otherwise. The annual financial statements comply with

Statements of Generally Accepted Accounting Practice and PFMA in

all material respects, except for AC116 in respect of the provision

for the full liability on the Post-retirement Healthcare Benefit as the

NRF does not have the funds required for this purpose (Note 17).

Government grants and contributionsGovernment grants and contributions are recognised in the

income statement in the period to which the grant or contribution

relates. The portion of government grants utilised to acquire non-

depreciable property and equipment is transferred to the general

capital fund. The portion of government grants utilised to acquire

depreciable property and equipment is allocated to income in the

proportions and over the periods in which depreciation on the

property and equipment is charged.

Property and equipment and depreciationProperty and equipment are shown at cost and, where appropriate,

are depreciated on the straight-line basis at rates which are

deemed reasonable for the asset to be written off over its

estimated useful life. Land is stated at cost and provision is made

to recognise any permanent decline in value. All assets costing

R1 000 or less, as well as computer software, are written off when

purchased. Self-constructed property and equipment are stated

at cost, which includes all costs necessarily incurred to bring the

assets to the condition and location essential for their intended

use. Costs, which include salaries and overhead expenses, have been

capitalised as from 1 October 1993. No retrospective adjustments

were made as no reasonable estimates of costs incurred prior to

1 October 1993 could be made.

The depreciation rates are:

Buildings 2% – 4%

Research equipment 2% – 20%

Administrative computer equipment 33%

Office equipment 20%

Office furniture 10%

Motor vehicles 20%

InventoriesInventories are valued on the first-in-first-out basis at the lower of

cost and net realisable value.

Financial instrumentsRecognition

The NRF’s financial assets and financial liabilities are recognised

on the balance sheet when the NRF becomes a party to the

contractual provisions of the instrument. All “regular way”

purchases and sales of financial assets are initially recognised using

trade date accounting.

Measurement

The NRF’s financial statements are initially measured at cost, which

includes transaction costs. Subsequent to initial recognition these

instruments are measured as set out below.

Financial assets

The NRF’s principal financial assets are bank balances and cash,

trade receivables and equity investments. Trade receivables are

stated at their nominal value as reduced by appropriate allowances

for estimated irrecoverable amounts.

Investments, where the NRF is not in a position to exercise

significant influence or joint control, are stated at cost less

impairment losses recognised, where the investment’s carrying

amount exceeds its estimated recoverable amount.

Accounting pol icies for the year ended 31 March 2005

88

Financial liabilities and equity instruments

Financial liabilities and equity instruments are classified according

to the substance of the contractual arrangements entered into.

Significant financial liabilities include trade and other payables.

Fair value considerations

The fair values at which financial instruments are carried at the

balance sheet date have been determined using available market

values. Where market values are not available, fair values have been

calculated by discounting expected future cash flows at prevailing

interest rates. The fair values have been estimated using available

market information and appropriate valuation methodologies, but

are not necessarily indicative of the amounts that the NRF could

realise in the normal course of business.

Foreign currency transactionsTransactions in foreign currencies are accounted for at the rates of

exchange ruling on the date of the transaction. Assets and liabilities

in foreign currencies are accounted for at the rates of exchange

ruling at the balance sheet date. Exchange differences arising from

conversion are recognised in the income statement in the period in

which they occur.

Grants and bursariesGrants and bursaries are recognised in the income statement in the

period to which the commitments relate.

Retirement benefit costsThe cost of providing retirement benefits under the defined

benefit plans is determined by using an accrued benefit valuation

method. Current service cost is recognised as an expense in the

current period. Past service costs, experience adjustments, the

effects of changes in actuarial assumptions, and the effects of plan

amendments in respect of existing employees, are systematically

recognised as an expense or as income over the expected remaining

working lives of those employees. The effects of plan amendments

in respect of retired employees, are measured as the present value

of the effect of the amended benefits and are recognised as an

expense or as income in the period in which the plan amendment

is made.

SegmentsAll segment revenue and expenses are directly attributable to the

segments. Segment assets include all operating assets used by a

segment and consist principally of property and equipment, as well

as current assets. Segment liabilities include all operating liabilities

and consist principally of trade creditors. These assets and liabilities

are all directly attributable to the segments. Segment revenue,

expenses and results include transfers between business segments

and between geographical segments. Such transfers are accounted

for at competitive market prices charged to unaffiliated customers

for similar goods. These transfers are eliminated on consolidation.

TaxationThe NRF is exempt from paying normal taxation.

ProvisionsProvisions are recognised when the following conditions have

been met:

l the NRF has a present legal or constructive obligation to transfer

economic benefits as a result of past events; and

l a reasonable estimate of the obligation can be made.

A present obligation is considered to exist when the NRF has no

realistic alternative but to make the transfer of economic benefits.

The amount recognised as a provision is the best estimate at

the balance sheet date of the expenditure required to settle the

obligation. Only expenditure related to the purpose for which the

provision is raised is charged against the provision.

LeasesLeases are classified as leases whenever the terms of the lease

transfer substantially all the risks and rewards of ownership to the

lessee. All other leases are classified as operating leases.

89

90

2005 2004

R’000 R’000

1. Net (deficit) funds for the year

Income

Government grants (refer Note 3) 413 669 378 966

Contributions 450 651 329 418


Trading income 6 857 –

Other income 28 071 9 872

Total income 914 308 732 816

Expenditure

Audit fees 1 155 877

Regularity auditing 1 123 830

Under-provision previous year 32 47

Books and journals 1 926 1 675

Computer requisites 3 500 3 162

Depreciation (refer Note 4) 18 642 17 380

Buildings 1 657 1 647

Research equipment 10 992 10 847

Administrative computer equipment 3 025 3 223

Office furniture and equipment 1 918 1 012

Motor vehicles 1 050 651

Electricity 6 749 5 246

Fees for services 27 989 20 523

Technical 26 782 20 041

Administrative 1 207 482

Grants and bursaries 591 024 490 663

Interest paid 240 105

(Profit) Loss on foreign exchange transactions (61) 426

Notes to the annualf inancial statements for the year ended 31 March 2005

91

2005 2004

R’000 R’000

Loss on disposal of property and equipment 259 453

Research equipment 267 467

Administrative computer equipment 112 21

Office furniture and equipment 32 2

Motor vehicles (150) (37)

Other assets (2) –

Printing and stationery 5 274 4 948

Purchases 11 248 4 909

Repairs and maintenance 7 806 5 627

Salaries 168 572 126 330

Subsistence and travel 15 016 12 961

Telephone, data lines, faxes and postage 4 192 3 024

Uninet data lines 1 122 1 022

Post-retirement healthcare benefits 6 186 16 459

Other expenditure 45 453 21 154

Salaries and overheads capitalised (492) (289)

Salaries (254) (155)

Accommodation costs, insurance (20) (14)

Computer requisites (3) (2)

Depreciation (37) (29)

Purchases (168) (81)

Telephone, data lines, faxes and postage (10) (8)

Total expenditure 915 800 736 655

Net (deficit) funds for the year (1 492) (3 839)

92

2. Board and Executive members’ remuneration

Salary/Fee Pension Contrib.

Expense Allowance

Other Total 2005

Total 2004

R’000 R’000 R’000 R’000 R’000 R’000

Board membersReddy BD (Chairperson) 27 - - - 27 27Coetzee SF 6 - - - 6 6Cooper WW (Up to October 2003) - - - - - 3Hamilton CA 6 - - 2 8 6Job JL 6 - - 1 7 6Mdaka T 6 - - - 6 6Mokadi CC 6 - - 1 7 6Ngoepe PE 6 - - 4 10 6Nxumalo MM 6 - - - 6 6Radebe BD 6 - - - 6 6Van Zyl J 6 - - - 6 6Vilakazi HW 6 - - - 6 6

87 - - 8 95 90Executive membersMokhele K (President: NRF)* 1 002 68 31 23 1 124 970Charles PA (From October 2004) 189 103 47 - 339 -Damonse BA 412 59 39 1 511 383Drennan R (From October 2004) 239 22 20 - 281 -Jonas JL 438 29 24 - 491 334Kaniki A 374 44 140 5 563 527Labuschagne L (Up to December 2004) 360 36 6 1 403 518Labuschagne W (From April 2004) 412 65 23 - 500 -Lottering E 530 27 26 15 598 550Marcus T 487 52 9 3 551 505Martinez P (Acting December 2003 to March 2004)

- - - - - 139

Nevhutalu PA 549 44 47 15 655 617Nicolson GD (Up to May 2003) - - - - - 76Scharpey-Schafer JF 475 - 134 - 609 589Singh B (From March 2005) 38 4 3 1 46 -Singh R 545 71 1 - 617 620Skeef NSR 436 55 65 1 557 504Skelton PH 412 80 33 - 525 491Thompson PB 604 69 60 10 743 693Von Gruenewaldt G 683 83 92 12 870 760Whitelock PA (Acting November 2003) - - - - - 304

8 185 911 800 87 9 983 8 580Total remuneration 8 272 911 800 95 10 078 8 670

* Mokhele is an ex-officio member of the NRF Board.


93

2005 2004

R’000 R’000

3. Government grants

Government grants received 454 288 374 263

SALT capital allocation (2 033) –

Unspent ring-fenced funds carried forward (40 059) –

Portion of government grants utilised to acquire depreciable property and equipment during the year allocated to deferred income (refer Note 4) (14 734) (12 347)

Portion of deferred income recognised in the income statement 16 207 17 050

Government grants (refer Note 1) 413 669 378 966

4. Property and equipment

CostAccumulatedDepreciation

Carryingamount

R’000 R’000 R’000

2005

Land and buildings 42 122 9 094 33 028

Research equipment 122 012 44 350 77 662

Administrative computer equipment 15 575 10 873 4 702

Office furniture and equipment 13 705 5 569 8 136

Motor vehicles 6 729 3 456 3 273

200 143 73 342 126 801

2004

Land and buildings 41 683 7 438 34 245

Research equipment 114 022 33 624 80 398

Administrative computer equipment 13 235 8 968 4 267

Office furniture and equipment 7 889 3 565 4 324

Motor vehicles 4 308 2 203 2 105

181 137 55 798 125 339

94

4. Property and equipment (continued)

Land andbuildings

Researchequipment

Administrativecomputer

equipment

Office furniture and

equipmentMotor

vehicles Total

R’000 R’000 R’000 R’000 R’000 R’000

Cost

At beginning of the year 41 683 114 022 13 235 7 889 4 308 181 137

Transfers during the year – – 307 4 620 1 844 6 771

Additions during the year (refer Note 3) 439 8 524 3 419 1 544 808 14 734

Disposals during the year

– (534) (1 386) (348) (231) (2 499)

At the end of the year 42 122 122 012 15 575 13 705 6 729 200 143

Accumulated depreciation

At beginning of the year 7 438 33 624 8 968 3 565 2 203 55 798

Transferred during the year

– – 94 344 369 807

Depreciation for the year (refer Note 1) 1 656 10 993 3 025 1 918 1 050 18 642

Disposals during the year

– (267) (1 214) (258) (166) (1 905)

At the end of the year 9 094 44 350 10 873 5 569 3 456 73 342

Carrying amount 33 028 77 662 4 702 8 136 3 273 126 801

Leases

Up to one year – – – 5 96 101

Between 1 and 5 years – – – – 34 34

Total – – – 5 130 135


95

2005 2004

R’000 R’000


Land and buildings

Portion 1 of the farm Scientia No 627, Pretoria, with buildings thereon 7 213 7 183

At cost on 1 October 1990 6 244 6 244

Improvements – 1991 to 2001 1 751 1 751

Write-off – 2000 (1 186) (1 186)

Improvements – 2002 84 84



Improvements – 2005 30 –

Portion 4 of the farm No 996, Blue Downs, Stellenbosch, with buildings thereon 29 796 29 796

At cost on 1 April 1991 39 120 39 120

Improvements – 1992 to 1999 3 123 3 123

Write-off – 2000 (12 447) (12 447)

Portion 6 of the farm Kuilenburg No 96, Sutherland, with buildings thereon 1 603 1 603

At cost on 1 April 1991 2 854 2 854


Write-off – 1995 to 2000 (1 436) (1 436)


Erf 26423, Observatory, Cape Town, with buildings thereon 1 106 1 106

At cost on 1 April 1991 1 964 1 964

Write-off – 2000 (858) (858)

Leasehold premises 38 38


Write-off – 2000 (12) (12)

Erf 252 and 243, Hermanus, with buildings thereon 736 327



Improvements – 2005 409 –

96

2005 2004

R’000 R’000


Stand No 2859, Pretoria, with buildings thereon 1 630 1 630

At cost on 1 December 2002 1 630 1 630

Total land and buildings 42 122 41 683

The land and buildings situated in Pretoria are subject to a pre-emptive right in favour of

the CSIR should the NRF decide to sell the property and will revert back to the CSIR for no

consideration should the NRF be disbanded.

5. Investment

Associate:

SALT Foundation (Pty) Ltd (7 405 355 ordinary shares, 38,33% shareholding) (2004: 7 127 410 ordinary shares, 40,68% shareholding)

60 283 58 250

Unlisted:

Geratech Investments (Pty) Ltd (1 778 ordinary shares, 14% shareholding) 15 000 –

Electric Genetics (Pty) Ltd (512 “A” class ordinary shares, 5,5% shareholding) 1 000 –

Cerdak (Pty) Ltd (bridging loan)

The loan is repayable to the Innovation Fund in equal monthly instalments starting April

2005 at an interest rate of prime plus 1% per annum. In the event of default by Cerdak,

the Innovation Fund shall be entitled to convert the loan into fully paid up shares.

275 –

Shares at cost 76 558 58 250

Directors’ valuation of investment 76 558 58 250

The investment in SALT, even though an associated entity, is stated at cost as it has not

yet been commissioned. Investments other than SALT Foundation (Pty) Ltd are related to

Seed Funding made to previously funded projects in line with the authority provided in the

Innovation Fund Deed of Trust.

6. Staff loans

Total staff loans 777 534

Short-term portion (683) (403)

Long-term portion 94 131

24% (2004: 54%) of the total staff loans consists of interest-bearing loans, at an average

interest rate of 8,7% (2004: 12%). The short-term portion of staff loans is repayable within

the next 12 months, while the long-term portion is repayable within the next 24 months.


97

2005 2004

R’000 R’000

7. Inventory

Consumable stores and maintenance spares 2 801 1 878

8. Trade and other receivables

Trade receivables 12 957 17 073

Prepayments 3 873 1 328

Receiver of Revenue – VAT 246 353

Other receivables 13 024 12 557

Total trade and other receivables 30 100 31 311

The carrying amount of accounts receivable and prepayments is considered to approximate

their fair value.

Financial assets, which potentially subject the NRF to concentrations of credit risk, consist

principally of cash, short-term deposits and trade receivables. The NRF’s cash equivalents and

short-term deposits are placed with high-credit quality financial institutions. Trade receivables

presented in the balance sheet are net of allowances for doubtful receivables, estimated by

management based on prior experience and the current economic environment. Credit risk

with respect to trade receivables is limited due to the large number of customers comprising

the NRF’s customer base and their dispersion across different industries and geographical

areas. Accordingly, the NRF has no significant concentration of credit risk.

The NRF does not have any significant exposure to any individual customer or counterparty.

9. Bank balances and cash

Bank balances and cash comprise cash, funds on call and short-term deposits. The carrying

amount of these assets approximates their fair value.

The NRF has guarantee facilities of R400 000 which is used in favour of the Lesotho Highlands

Development Authority, effective from September 2000. This project was completed during

the 2002/03 financial year and an application to cancel the guarantee was lodged.

98

2005 2004

R’000 R’000

10. Trust funds

Department of Trade and Industry trust fund

Balance at the beginning of the year 12 154 34 164

Contributions received 139 000 134 930


Repaid to the dti – (16 608)

Grants paid (126 115) (136 683)

Expenses paid (3 596) (7 662)

Balance at the end of the year 23 892 12 154

Innovation Fund trust fund

Balance at the beginning of the year 168 526 100 427

Contributions received 62 599 184 450

Grants cancelled – 1 311

Grants repaid – 4 671


Grant debtor – 7 589

Grants paid (192 764) (129 065)

Expenses paid (17 345) (10 598)

Balance at the end of the year 34 035 168 526

Total trust funds 57 927 180 680

11. Trade and other payables

Trade payables 17 673 12 660

Other payables 157 895 62 713

Total trade and other payables 175 568 75 373

The carrying amount of trade and other payables is considered

to approximate their fair value.


99

12. Provisions

Bonusprovision

Retirementbenefit

provisionLeave payprovision Total

R’000 R’000 R’000 R’000

2005

Opening balance 1 599 35 725 8 648 45 972

Charged to income statement – – (831) (831)

Additional provision 806 2 500 4 313 7 619

Closing balance 2 405 38 225 12 130 52 760

2004

Opening balance 1 547 22 385 7 271 31 203

Charged to income statement – – (635) (635)

Additional provision 52 13 340 2 012 15 404

Closing balance 1 599 35 725 8 648 45 972

2005 2004

R’000 R’000

13. Grants and bursary commitments

Grant and bursary commitments for 2005/06 586 534 507 075

14. Contingent liabilities

Litigation claim 2 500 2 500

These outstanding litigation claims relate to two (2) claims by patients who were treated in

1998 for cancer at iThemba LABS, which are being contested by the NRF’s insurers and are

covered by the Professional Indemnity insurance policy.

15. Capital commitments

Approved projects 25 480 5 987

The capital expenditure will be financed from internal funds.

100

16. Uncovered foreign currency monetary items

There were no significant foreign currency transactions not covered

by forward exchange contracts at the end of the year.

17. Retirement benefits

17.1 National Research Foundation Pension Fund

Retirement benefits are provided for employees through the

National Research Foundation Pension and Provident Funds. All

employees contribute to these funds with the exception of:

l Employees who are on fixed-term contracts of a short duration;

and

l The National Zoological Gardens’ employees who are currently

on the National Zoological Garden of South Africa Pension Fund;

the Governments Temporary Employees Pension Fund and the

Associated Institutions Pension Fund.

The NRF has renegotiated the benefit structure for all members of

the inherited NRF Defined Benefits fund to a Defined Contribution

arrangement with effect from 1 December 2004. The deficits of the

then Defined Benefit funds were made good by the NRF through

various cash payments since 1999 amounting to R33,1m with the

balance of R5,8m to be paid in the new financial year.

The fund is administered by Alexander Forbes Consultants and

Actuaries in terms of the Pension Fund Act No 24 of 1956, as

amended. The NRF’s liability to the fund is limited to paying the

employer contributions. Due to the nature of these funds, the

accrued liabilities by definition equate to the total assets.

Employer contributions (which are part of the employees’ total

package) for the year amounted to R13,3m (2004: R12,5m). The

employer contributions are charged against income when incurred.

17.2 National Zoological Gardens Pension Funds

Pensions are provided for employees by means of three separate

pension funds to which contributions are made.

The National Zoological Gardens of South Africa Pension Fund

(NZGSAPF) came into effect from 1 April 1994. Previous and

current service costs are shown in the income statement on an

actuarial basis. Any adjustments on the basis of experience and

additional funding for retired employees are acknowledged in

the income statement as soon as the liability is known. The last

statutory actuarial valuation was done as at 1 October 2002 and

the fund was fully funded.

With regard to employees who opted to remain on the Associated

Institutions Pension Fund (AIPF) and the Temporary Employees

Pension Fund (TEPF), only the employer contributions to the

pension funds are recognised in the income statement.

The total employer contributions for the year amounted to R2,4m

(2004: R2,2m). The employer contributions are charged against

income when incurred.

Negotiations are currently under way to transfer and to convert the

benefit arrangements of the NZG staff to the National Research

Foundation Pension Fund.

17.3 Post-retirement healthcare benefits

Post-retirement healthcare benefits are provided for qualifying

retirees. The entitlement of these benefits is usually based

on the employee remaining in service up to retirement age

and the completion of the minimum service period. The

NRF’s liability (excluding the NZG) in this regard amounts to

R83,1m (2004: R77,5m) based on a valuation undertaken as at

30 September 2003.

The principal actuarial assumptions applied in determination of fair

values include:

NRF excluding the NZG

CPI inflation 5,75% pa

Healthcare cost inflation 7,75% pa

Discount rate 9,75% pa

Normal retirement age 60

Expected average retirement age 58,8

The NZG’s post-employment liabilities in respect of healthcare

benefits to employees and retired employees and their registered

dependants, amount to R11,5m based on a valuation undertaken as

at 31 December 2004. No provision is made for this liability. Upon

transfer of the NZG to the NRF, the DST gave its undertaking to

fund this liability.


101

The principal actuarial assumptions applied in determination of fair

values include:

NZG

CPI inflation 5% pa

Healthcare cost inflation 7% pa

Discount rate 9% pa

Normal retirement age 65

Expected average retirement age 63,6

Included in the deficit for the year is a provision of R2,5m

(2004: R13,3m) in respect of these liabilities.

The NRF has opted to recognise its post-retirement healthcare

liability as an expense on a straight line basis over five (5) years

with effect from the 2002 financial year. The projected increase in

the liability for each year since the valuation at 30 September 2000

was recognised as an expense in total in each year. No provision is

made for the increase in the liability of R49,5m (including R11,5m

for NZG) as the NRF does not have the required funds. Should the

liability be provided, trade and other payables in the balance sheet

will increase by R49,5m and the deficit in the income statement

will increase by R49,5m. The post-retirement healthcare liability

which was not provided for as at 31 March 2005 is R56,4m

(2004: R41,8m).

Investigations are under way to find the most appropriate and cost-

effective mechanism of managing this liability and providing the

necessary benefits to all qualifying employees in line with a set of

principles approved by the NRF Board.

102

18. Interest rate risk

Floatinginterest rate

Non-interestbearing Total

R’000 R’000 R’000

2004

Total financial assets 488 770 122 013 610 783

Total financial liabilities – (460 664) (460 664)

488 770 (338 651) 150 119

2005

Assets

Bank balances and cash 426 407 – 426 407

Trade and other receivables 30 100 – 30 100

Staff loans 183 594 777

Grants and bursaries paid in advance – 105 401 105 401

Shares – 76 558 76 558

Total financial assets 456 690 182 553 639 243

Liabilities

Trade and other payables – (175 568) (175 568)

Grants and bursaries payable – (302) (302)

Accrued grants and bursaries – (259 668) (259 668)

Trust funds – (57 927) (57 927)

Leases (135) – (135)

Total financial liabilities (135) (493 465) (493 600)

456 555 (310 912) 145 643


103

2005 2004

R’000 R’000

19. Reconciliation of net funds for the year to cash generated from operations

Net (deficit) unspent funds for the year (1 492) (3 839)

Adjusted for:

Deferred income (1 473) (4 703)

Interest received (15 060) (14 560)

Depreciation 18 605 17 351

Total depreciation 18 642 17 380

Depreciation capitalised (37) (29)

Interest paid 240 105

Loss on disposal of property and equipment 259 453

Acquisition of share in SALT Foundation (Pty) Ltd 2 033 –

Operating unspent (deficit) funds before working capital changes 3 112 (5 193)

Working capital changes 113 951 135 596

(Increase) decrease in retirement benefit fund deficit (7 175) 2 825

Increase in inventory (923) (32)

(Increase) decrease in grants and bursaries paid in advance (41 638) 55 554

(Increase) decrease in trade and other receivables 1 212 4 174

Increase in accrued grants and bursaries 55 392 5 931

Increase (decrease) in grants and bursaries payable (33) 126

Increase in trade and other payables and provisions 107 116 67 018

Cash generated by operations 117 063 130 403

20. Cash and cash equivalents at the end of the year

Cash and cash equivalents consist of cash on hand and balances with banks and investments

in money market instruments. Cash and cash equivalents included in the cash flow statement

comprise the following balance sheet amounts:

Funds on call and on deposit 272 421 365 161

Bank balances and cash 153 986 91 764

Cash and cash equivalents 426 407 456 925

104

21. Events subsequent to year-end

The Minister of the DST has dissolved the Innovation Fund Trust

effective from 31 March 2005. All Innovation Fund assets reverted

to the DST pending the establishment of a new governance entity

for the Innovation Fund.

The NRF has been deregistered for VAT with effect from

1 April 2005.

22. Financial information by business segment

For management purposes, the NRF is currently organised into the

following segments and these segments are the basis on which the

NRF reports its primary segment information.

Research and Innovation Support and Advancement (RISA)

This segment’s main business is to provide for the promotion

of research and research capacity in all fields of knowledge and

technology. RISA supports the full range of activities in the

innovation chain, from building the knowledge base (by developing

human resources, generating and applying knowledge, and providing

research infrastructure) to technology development, innovation

and eventual commercialisation. The budget and expenditure of

RISA include the South African Environmental Observation Network

(SAEON), which is still being developed to attain status as a

National Research Facility.

iThemba Laboratory for Accelerator Based Sciences

(iThemba LABS)

This National Research Facility provides advanced, viable,

multidisciplinary facilities for training, research and services in the

fields of sub-atomic nuclear science and applied radiation medicine.

South African Astronomical Observatory (SAAO)

This National Research Facility performs fundamental research

in astronomy and astrophysics at a national and international

level. SAAO is the National Research Facility for optical/infrared

astronomy in South Africa. SAAO is also responsible for managing

the operations of the Southern African Large Telescope (SALT).

Hartebeesthoek Radio Astronomy Observatory (HartRAO)

This National Research Facility was established as the national

facility for radio astronomy research in South Africa. Today its

primary function is the support of research and training in radio

astronomy and space geodesy.

South African Institute for Aquatic Biodiversity (SAIAB)

This National Research Facility serves as a research hub for aquatic

biodiversity in southern Africa by housing and developing the

National Fish Collection and associated resource collections as

research tools and sources of aquatic biodiversity data. It also

generates knowledge on aquatic biodiversity through interactive

and collaborative scientific research, and disseminates scientific

knowledge at all levels.

Hermanus Magnetic Observatory (HMO)

This National Research Facility is part of a worldwide network of

magnetic observatories that monitor and model variations of the

Earth’s magnetic field. HMO’s activities also include fundamental

and applied space physics research, and the provision of

geomagnetic field-related services on a commercial basis.

South African Agency for Science and Technology Advancement

(SAASTA)

SAASTA is positioned as an agency in advancing the public

awareness, appreciation and understanding of Science, Engineering

and Technology in South Africa, as well as the integration of science

promotion activities across the NRF.

National Zoological Gardens of South Africa (NZG)

It is a national facility for research in terrestrial biodiversity and

an active participant in terrestrial biodiversity research. The NZG

houses one of the largest animal collections in the world, operates

three breeding centres and covers an area of over 6 000 hectares.


105

22. F

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17 1

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8 95

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7 62

5 3

316

3 55

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8 05

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3 66

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8 96

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15 6

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4 04

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4 47

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2 56

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3 59

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Tota

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578

935

104

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9 10

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9 67

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932

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Num

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180

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271

249

7979

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2321

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332

–1

022

642

AAAS American Association for the Advancement of ScienceACEP African Coelacanth Ecosystem ProgrammeACSI Acquisition Camera and Science ImagerAFREF African Reference FrameAFRODITE African Omnipurpose Detector for Innovative Techniques and

ExperimentsAIDS Acquired immunodeficiency syndromeAISS African Institute of Space SciencesALC African Laser CentreANSP Academy of Natural Sciences, PhiladelphiaAPL Applied Physics LaboratoryARC Agricultural Research CouncilASU Air Servicing UnitBAS British Antarctic SurveyBEE Black Economic EmpowermentBIPP Business and Industry Partnership ProgrammeBRICs Biotechnology Regional Innovation CentresBSc Bachelor of ScienceBTech Bachelor of TechnologyCBSG Conservation Breeding Specialist GroupCCD Charged Couple DeviceCEBAF Continuous Electron Beam Accelerator FacilityCEED Chairs in Entrepreneurship and Enterprise Development CEIRD Centres of Excellence in Industrial Research and DevelopmentCEO Chief Executive OfficerCEOS Committee of Earth Observation SystemsCERN Centre Européenne pour la Recherche NucléaireCHAMP Challenging Mini-satellite PayloadCHE Council for Higher EducationCHIETA Chemical Industries Education and Training Authority CIB Centre for Invasion BiologyCIT Computerised Ionospheric TomographyCODATA Committee on Data for Science and TechnologyCoEs Centres of ExcellenceCoP Communities of PracticeCOSALC Coalition of South African Library ConsortiaCOSPAR Committee on Space ResearchCOTII Council of Trade and Industry InstitutionsCRL Communications Research Laboratory (Japan)CSIR Council for Scientific and Industrial ResearchCSIRO Commonwealth Scientific & Industrial Research OrganisationCUTLASS Cooperative UK Twin Auroral Sounding SystemDACST Department of Arts, Culture, Science and TechnologyDAW Dust Acoustic WaveDEAT Department of Environmental Affairs and TourismDFA Department of Foreign AffairsDGI Directorate Geospatial InformationDIDBase Digital Ionosonde DatabasedIdD Delta Inclination delta DeclinationDITCP Deloitte Innovation Technology Commercialisation ProgrammeDoC Department of CommunicationDoE Department of EducationDOER Deep Ocean Exploration ResearchDPGM Denel Precision Guided MissileDST Department of Science and TechnologyDst Disturbance storm timeDWAF Department of Water Affairs and ForestryEC European CommissionED Executive directorEEASA Environmental Education Association of Southern AfricaEHS Environmental Health and SafetyELTOSA Environmental Long-term Observatories of Southern AfricaEMAN Ecological Monitoring and Assessment NetworkEMDC Education Management and Development CentreEON Environmental Observation Network

EOS Electro Optical SystemsESRS Electron Spin Resonance SpectrometryETU Energy Technology UnitFABI Forestry and Agricultural Biotechnology InstituteFAO Food and Agriculture OrganisationFAP Focus Area ProgrammesFCCC Framework Convention on Climate ChangeFEST Foundation for Education, Science and TechnologyFTE Full-time equivalentGBC Game Breeding CentreGBIF Global Biodiversity Information FacilityGCR Global Change ResearchGEF Global Environment FacilityGEO Group on Earth ObservationGEOSS Global Observation System of SystemsGFZ GeoForschungsZentrumGM General managerGMSA Grants Management and Systems AdministrationGPS Global Positioning System (a constellation of satellites for measuring

precise positions on Earth)HartRAO Hartebeesthoek Radio Astronomy ObservatoryHDI Historically disadvantaged institutionHEI Higher education institutionHESS High-energy stereoscopic system HIV Human immunodeficiency virusHMO Hermanus Magnetic ObservatoryHOIA Hermann Ohlthaver Institute for AeronomyHR Human resourcesHRS High Resolution SpectrographIAU International Astronomical UnionIAEA International Atomic Energy AgencyIBA Ion Beam ApplicationsICE International Chairs in EntrepreneurshipICEFISH International Collaborative Expedition to collect and study Fish

Indigenous to Sub-Antarctic HabitatsICSU International Council for ScienceICT Information and communication technologyICTP International Centre for Theoretical PhysicsIDP Institutional Development ProgrammeIEEE Institute of Electrical and Electronics EngineersIF Innovation FundIFCO Innovation Fund Commercialisation OfficeIFPRI International Food Policy and Research InstituteIGFA International Group of Funding AgenciesIGS International GPS serviceIHDP International Human Dimensions ProgrammeIIG Indian Institute of GeomagnetismIISGEO International Institute for Space Geodesy and Earth ObservationIKS Indigenous knowledge systemsILL Institut Max von Laue – Paul Langevin (France)ILTER International Long-term Environmental ResearchIMAZ Ionospheric Model for the Auroral ZoneINSITE International Science Innovation and Technology ExhibitionINTECOL/ESA International Ecological Society/Ecological Society of AmericaINTERMAGNET International Magnetic Observatory NetworkIPCC Intergovernmental Panel on Climate ChangeIPMO Intellectual Property Management OfficeIPR Intellectual Property RightsIRE Institute of Radio engineering and ElectronicsISI Institute for Scientific InformationISIS International Specimen Information SystemISL International Science LiaisonIT Information technologyITRF International Terrestrial Reference FrameiThemba LABS iThemba Laboratory for Accelerator Based Sciences

106

List of acronyms

IUCN International Union for the Conservation of NatureIVS International IVLBS ServiceJPL Jet Propulsion LaboratorykeV kilo electron VoltsKISC Key international science capacityKMS Knowledge management systemKPAs Key Performance AreasKPI Key Performance IndicatorKPIs Key Performance IndicatorsLEO Low Earth OrbitLINAC Linear AcceleratorLTER Long-term Ecological ResearchMASTT Mathematics and Science Teachers’ TrainingMARST Masters in Applied Radiation Science and TechnologymCi millicurieMCM Marine and Coastal ManagementMD Managing directorMHD MagnetohydrodynamicMoU Memorandum of understandingMRMC Major Radiation Medicine CentreMSc Master of ScienceMTEF Medium-term expenditure frameworkNACI National Advisory Council on InnovationNASA JPL NASA Jet Propulsion LaboratoryNASSP National Astrophysics and Space Science ProgrammeNEPAD New Partnership for Africa’s DevelopmentNGO Non-governmental organisationNIC National Innovation CompetitionNINA Norwegian Institute for Nature Research NISC-SA National Information Services Centre – South AfricaNISL National Information Society Learnership programmeNLC National Laser CentreNo NumberNOAA National Oceanic & Atmospheric AdministrationNRF National Research FoundationNSE Natural Sciences and EngineeringNSF National Science FoundationNSFAS National Student Financial Aid SchemeNSI National System of InnovationNYIC National Youth Innovation CampaignNZG National Zoological Gardenspa per annumPAAZAB Pan African Association of Zoological, Aquarium and Botanical

GardensPAST Palaeoanthropology Scientific TrustPCST-7 7th International Public Communication of Science and Technology

ConferencePFIS Prime Focus Imaging SpectrographPFMA Public Finance Management ActPhD Doctor of PhilosophyPMI Post-mortem IntervalPMS Performance Management SystemPRISA Public Relations Institute of South AfricaPST/IMT Propagation and Solar Technology/Institute for Maritime TechnologyPUB Public Understanding of BiotechnologyPUSET Public Understanding of Science, Engineering and TechnologyPV PhotovoltaicR&D Research and developmentRAS Russian Academy of ScienceRCD Research Capacity DevelopmentRDS Research Development and SupportREDIBA Research Development Initiative for Black Academics RI Research InformationRISA Research and Innovation Support and AdvancementRiT Researchers in Training

ROI Return on investmentRPS Research Promotion and Support S&T Science and TechnologySAAO South African Astronomical ObservatorySAASTA South African Agency for Science and Technology AdvancementSAASTEC Southern African Association of Science and Technology CentresSABI South African Biosystematics InitiativeSABIF South African Biodiversity Information FacilitySADC Southern African Development CommunitySADCO South African Data Centre for OceanographySAEON South African Environmental Observation NetworkSAEOS South African Earth Observation StrategySAIAB South African Institute for Aquatic Biodiversity SAIP South African Institute of PhysicsSAK South African KnowledgebaseSALT Southern African Large TelescopeSANAP South African National Antarctic ProgrammeSANBI South African National Biodiversity InstituteSANCOR South African Network for Coastal and Oceanic ResearchSANRIC South African National Research Information CentresSAPSE South African Post-secondary EducationSARIMA South African Research and Innovation Managers’ AssociationSASCON South African Science Communication NetworkSAUVCA South African Universities Vice-Chancellors’ AssociationSESAME Synchrotron-light for Experimental Science and Applications in the

Middle EastSET Science, Engineering and TechnologySETI Science, Engineering and Technology InstitutionSHARE Southern Hemisphere Auroral Radar ExperimentSITA State Information Technology AgencySKA Square Kilometre ArraySLA Service level agreementSLR2000 Satellite Laser Ranger 2000SLRS Satellite Laser Ranging SystemSMME Small, medium and micro enterprisesSPIDR Space Physics Interactive Data ResourceSSC Separated Sector CyclotronSSH&L Social Sciences, Humanities and LawSTAC Science and Technology Agreements Committee SUF Second Updated ForecastSuperDARN Super Dual Auroral Radar NetworkTAI Technology Achievement IndexTENET Tertiary Education NetworkTFRI Taiwan Forestry Research Institutethe dti Department of Trade and IndustryTHRIP Technology and Human Resources for Industry ProgrammeTIPTOP Technology Innovation Promotion through the Transfer of PeopleU3A University of the 3rd AgeUCT University of Cape TownUKZN University of KwaZulu-NatalULF Ultra low frequencyUN United NationsUPS Uninterrupted power supplyUSAID US Agency for International DevelopmentVLBI Very Long Baseline InterferometryWAZA World Association of Zoos and AquariumsWBRC Wildlife Biological Resource CentreWCED Western Cape Education DepartmentWDC World Data CenterWDIF World Data and Information FrameworkWeatherSA South African Weather ServiceWiR Women in ResearchWRF Wits Rural FacilityYSTAR Yonsei Survey Telescope for Astronomical Research

107

For further information on aspects of this document,

please contact Magdal Pienaar, Manager: Corporate Governance Unit

Tel: +27 12 481-4070 / Fax: +27 12 481-4006

Email: [email protected]

108

Research and Innovation Support Agency (RISA) in Pretoria

Tel: +27 12 481-4000

Fax: +27 12 481-4006

www.nrf.ac.za

Acting MD: Dr Khotso Mokhele

South African Environmental Observation Network (SAEON)

in Pretoria

Tel: +27 12 392-9383

Fax: +27 12 320-7803

www.nrf.ac.za/saeon

Head: Mr Johan Pauw

South African Agency for Science and Technology Advancement

(SAASTA) in Pretoria

Tel: +27 12 392-9300

Fax: +27 12 320-7803

www.saasta.ac.za

ED: Mrs Beverley Damonse

Hartebeesthoek Radio Astronomy Observatory (HartRAO)

near Krugersdorp

Tel: +27 12 326-0742

Fax: +27 12 326-0756

www.hartrao.ac.za

MD: Prof. Justin Jonas

Hermanus Magnetic Observatory (HMO) in Hermanus

Tel: +27 28 312-1196

Fax: +27 28 312-2039

www.hmo.ac.za

Manager: Dr Peter Sutcliffe

iThemba Laboratory for Accelerator Based Sciences

(iThemba LABS) near Somerset West

Tel: +27 21 843-1000

Fax: +27 21 843-3525

www.tlabs.ac.za

MD: Prof Krish Bharuth-Ram

National Zoological Gardens (NZG) of South Africa

in Pretoria

Tel: +27 12 328-3265

Fax: +27 12 323-4540

www.zoo.ac.za

MD: Mr Willie Labuschagne

South African Astronomical Observatory (SAAO)

in Cape Town and at Sutherland

Tel: +27 21 447-0025

Fax: +27 21 447-3639

www.saao.ac.za

MD: Prof Phil Charles

South African Institute for Aquatic Biodiversity (SAIAB)

in Grahamstown

Tel: +27 46 603-5800

Fax: +27 46 622-2403

www.saiab.ru.ac.za

MD: Prof Paul Skelton

Contact information

www.nrf.ac.za

O n e c r i t e r i o n f o r s e e d g e r m i n a t i o n i s f e r t i l e s o i l .

T h e N R F p r e p a r e s t h e g r o u n d w o r k a t l e a r n e r s t a g e

i n t h e h o p e t h a t t h e e x c i t e m e n t o f s c i e n c e

t a k e s r o o t a t a n e a r l y a g e .

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