6 March 200 2 Dr Sibusiso Sibisi President and Chief Executive Officer and Dr Anthos Yannakou

1. PRESENTATION TO THE PORTFOLIO COMMITTEE FOR TRADE & INDUSTRY AND THE SELECT COMMITTEE FOR ECONOMIC AND FOREIGN AFFAIRS 6 March 2002 Dr Sibusiso Sibisi President and Chief Executive Officer and Dr Anthos Yannakou Executive Vice President: Business Development

2. Our Mandate Constituted as a Science Council by an Act of Parliament: “In the national interest, the CSIR, through directed and multi-disciplinary research and technological innovation, should foster industrial and scientific development, either by itself, or in partnership with public or private sector institutions, to contribute to the improvement of the quality of life of the people in South Africa”.

3. CSIR: Facts & Figures • Annual turnover of over R810 million per annum. • Approaching external funding of 60%. • Staff complement of 2 583 including over 692 post-graduate qualified (PhD/MSc), 1076 graduates and over 422 Technikon-qualified staff. • Eight major operating Business Units, active in fields ranging from aeronautics, bio/chemical technologies, materials, mining, information and communications, clothing and textiles, manufacturing, through to housing, transport, food processing and the environment. • Major laboratories in Pretoria, Johannesburg, Cape Town, Stellenbosch, Port Elizabeth and Durban, with representation in all provinces. • Approximately 150 000 visitors per year, including clients, international visitors, stakeholders, students, scholars and suppliers. • More than 7 000 clients are served each year. • Internationally, we: • have cooperation agreements with major overseas R&D organisations and companies; • have grown our international contract income by over 20% per annum in the last three financial years; • are currently working with 18 African countries.

4. Reporting and Funding Structure Parliament (Shareholder) Minister of Trade and Industry CSIR Board CSIR Executive Management Board DTI/CSIR Bilateral DACST Ventures/Equity Partnerships Contract Income Royalties CSIR Strategic Initiatives & Business Units DTI Core Funding Innovation Fund Innovation Hub AIDC National Imperatives …… Key Projects Competence Building Relevance and Impact

5. The CSIR Board Mr Roger Jardine (Chairman of the Board) Chief Executive Kagiso Media Mr Kymus Ginwala Northern Research & Engineering Corporation Massachusetts, USA Dr Zav Rustomjee Special Advisor to the Minister Dept. of Trade & Industry Prof. Anton Eberhard IIRR Management Programme University of Cape Town Ms Joan Joffe Group Executive Corporate Affairs Vodacom Ms Nobusi Shikwane Chief Executive Officer: B2Bafrica Holdings Dr Dhiro Gihwala Dean: Faculty of Science Peninsula Technikon Ms Anne Letsebe Deputy Director-General & Head ofCabinet Office Office of the Presidency Mr Eugene van As Executive Chairman Sappi Ltd

6. CSIR Parliamentary Grant & External Income • Nominal rands FC=Forecast, B=Budget, P=Plan

7. The CSIR/DTI Bilateral • Purpose The Institutional Framework for Cooperation aims at aligning and enhancing • interaction between the CSIR and DTI in support of national priorities. • Areas of cooperation The CSIR and the DTI have identified and agreed upon a number of medium-term objectives, which will be implemented within the institutional co-operation framework to contribute to the African Renaissance. These objectives are summarized as follows: • Science and technology contributions to the development of industrial technology policy • Raising awareness in industry of the role of technological innovation and knowledge management in improving the competitiveness of the economy • Building national, regional and international alliances and partnerships to strengthen core competences and develop new competences. • Development of SMMEs • Promotion of black economic empowerment • Facilitation of access to technology by women through implementation of theTechnology for Women in Business (TWIB) project

8. DTI/CSIR Institutional Framework for CooperationCSIR/DTI Bilateral Approved Projects

9. DTI Key Performance Areas (outcomes) • Increasing the number and opportunities to grow and expand the SMME sector, • Providing opportunities for the economic empowerment of historically disadvantaged individuals, • Reducing levels of inequality and poverty in South Africa, • Contributing to the competitiveness of SA enterprises, • Contributing to the economic development of Africa and specifically the SADC, • Increasing economic growth and the number of sustainable economic opportunities available to all South Africans; and • Improving the organisational efficiency and efficacy of the DTI.

10. Increasing the Number & Opportunities to Grow & Expand the SMME Sector • Investment in sustainable development integrative thrust (SMMEs and Rural Development), • Involvement in MAC programme, Brain, Technology Stations, • CSIR spin-off companies, e.g. AGRiMAGE (Pty) Ltd (satellite imagery for precision farming); and • Bioincubator and Software incubators as part of Godisa programme.

11. Providing Opportunities for the Economic Empowerment of Historically Disadvantaged Individuals • NHRD through the Department of Labour, Sector Education Training Authorities (SETAs), Integrated Skills Development Programme for small business, Technology for Women in Business, • Links to tertiary education institutes, e.g. Innovation Fund projects with Universities (Medunsa, Transkei, North, Fort Hare, Venda, Vista, Zululand) and Technikons (ML Sultan); and • Hooked on Hemp (Eastern Cape) project: community farmers involved in profitable participation in the cultivation, processing manufacturing and marketing of South African hemp.

12. Reducing Levels of Inequality and Poverty in South Africa • Various projects under poverty alleviation focus of DACST, DEAT and Department of Transport, • Suurbraak, Western Cape: safe drinking available to the community through provision of suitable and sustainable technology appropriate for rural water treatment and the innovative distribution of drinking water; and • Indigenous foods: promotion and commercialisation of South Africa’s indigenous foods through stimulation of sustainable enterprises, to foster job creation and to empower women

13. Contributing to the Competitiveness of South African Enterprises • R225.5m contract income from SA private sector, • Top Technology 100 Award in 2000: President’s Award for Export Achievement; and • Multi-purpose fine chemicals plant available for toll production of trial products for market testing and regulatory approval.

14. Contributing to the Economic Development of Africa and Specifically the SADC • CSIR is involved in at least 18 African countries, including SADC; many projects in environmental, food, ICT and mining sectors, • Projects funded under SADC Regional S&T project, involving, Botswana, Namibia, Lesotho, Tanzania, Malawi, Swaziland, Zimbabwe, Zambia; and • EC funded (INCO-DEV DGXII) research projects: e.g. development of novel drying technique for high quality fruit (CSIR and Mozambique, Uganda, Zambia, Sweden, Spain, Ireland); utilization of cassava, soybeans and palm oil (CSIR and Germany, Denmark, Belgium, Benin, Kenya).

15. Increasing Economic Growth and the Number of Sustainable Economic Opportunities Available to All South Africans • SAFARI 2000: CSIR, University of the Witwatersrand, NASA and University of Virginia study of southern Africa’s ecosystems, air quality and land use to understand the sustainability of the region’s sensitive and pressured ecosystems, • Satour and CSIR joint venture: integrated tourism package on CD (VEZA) to plan tours, package products and market tourism in the country; and • I-port: unique transportation support product to provide a focused, well-researched public transport database.

16. CSIR’s NEPAD Involvement INFRASTRUCTURE – Transportek, Environmentek and Boutek NEPAD are conducting an audit of Africa’s infrastructure, assessing development methodologies, and providing mechanisms for strengthening the African science and technology competence to develop the infrastructural base. PEACE & SECURITY – CSIR Defencetek is leading a process to harness CSIR competences to contribute to Africa’s Peace, Security and Reconstruction processes. MANUFACTURING – With Africa’s recovery heavily resting on value addition and the beneficiation of Africa’s natural resources. CSIR is helping to develop products and services for export, and provide the necessary infrastructural base, including ICT. ICT – CSIR is interacting with all key players responsible for the leadership and management of the NEPAD ICT process including the e-Africa commission.

17. Additional CSIR Contributions to NEPAD • Development and production of an information and decision support Website and accompanying CD. This project is being financed through the DTI/CSIR Institutional Cooperation Framework. The project sponsors are the Director General of the DTI and Professor Wiseman Nkuhlu of the President’s Office, • Contribution to the chapter on Diversification of Exports – R&D Strategies and Interventions, a consolidated input from the CSIR, coordinated by DTI, • Contribution to the infrastructure chapter on the R&D infrastructure in Africa-Proposals to strengthen and enhance R&D capacity in Africa, consolidated inputs from CSIR, as coordinated by DACST; and • Support to the President’s Office on the NEPAD Technical Committee by CSIR.

18. An annual Selection of CSIR African Initiatives, Projects, Contracts • Zimbabwe • SADC Database of Landcover & Natural resources • Cross Border Pollution in SADC • Benin • Increasing the protein and vitamin content of gari using a substrate combination of cassava, soybeans and palm oil • Ethiopia • Management, metrology and testing expertise • Ghana • Strengthening African food processing • Kenya • Increasing the protein and vitamin content of gari using a substrate combination of cassava, soybeans and palm oil • Senegal • Strengthening African food processing • Nigeria • Feasibility study to determine viability of restoring Bar Beach,& develop it as a waterfront & tourism gateway for Nigeria • Swaziland • SADC Database of Landcover & Natural resources • Angola • AGIP EIS for the 3D Seismic Over Block 25 • Tsabong Water Supply • Cuntala Environmental Impact Review • Drilling EIA Block 22 • Panama Block 2/3 Pipeline EIA • Tanzania • SADC Database of Landcover & Natural resources • Overloading management system • Malawi • Assess the access needs of people with various disabilities • Assists in developing safe waste disposal practices in Malawi • SADC Database of Landcover & Natural resources • SADC FSTCU GIS Training • Malawi MOW Axle Load Study • Feasibility Study on the use of concrete roads • Zambia • Cross Border Pollution in SADC • Alleviating Hazardous Locations • Namibia • Developing control measures for Nitrate Hazards in groundwater • NAMDEB Directional Waves – Stage 2 • Elizabeth Bay Monitoring 2000/2002 & Bathymetric Survey 2001 • Namibian Water Policy • Rossing Uranium ACID Importation Process • Shell Kudu Gas EIA • Kudu Seimic Survey EIA • Mauritius • Small and Medium Industrial Development • Lesotho • SADC Database of Landcover & Natural resources • Training in mass, volume & temperature metrology • Baseline & Impact Studies • Waste water management • Environmental risk assessment course • Botswana • Strengthening African food processing • Preparation of Botswana’s First National Communications Report on Climate Change • Developing control measures for Nitrate Hazards in ground water • Cross Border Pollution in SADC • Modification of Whey/Design of affordable nutraceuticals for AIDS • Tsabong Water Supply • Jwaneng to Sekoma Road Rehabilitation • Comparative Transport cost Analysis in Southern Africa • Safety of paved gravel roads • Guidelines on low volume sealed rural roads • Mozambique • Assesses the access needs of people with various disabilities • Basic research on the effects of explosives and mines on targets and to develop countermeasures • Review of Phase 2 Smelter Development (MOZAL) • Strengthening African food processing • World Wide Web Access in Mozambique

19. National Metrology Laboratory of the CSIR Funding received by the NML for the DTI for the execution of the responsibilities of maintaining and developing the National Measuring Standards (NMS) as: • required by the National Measuring Units and Measurement Standards Act, and • according to additional requirements as stated in the Memorandum of Agreement (MOA) between the CSIR and the DTI is specifically used for the maintenance, development and dissemination of the national measurement standards.

20. History of DTI Funding of NML

21. CSIR’s International Work • Rolls-Royce Corporation of Indianapolis has recently designated the CSIR as a preferred centre of excellence for recalculating the life limit of a turbine engine, • The CSIR has been contracted by Boeing Space & Communications to render ground support for Boeing’s Delta IV launches, • The CSIR is participating in two food-related European Commission projects; and • The CSIR’s collaboration with DaimlerChrysler has contributed significantly to further developments in support of the use of natural plant fibres, both locally and abroad.

22. CSIR Involvement in the World Summit on Sustainable Development CSIR has identified the following areas for involvement in WSSD: • Assisting SA National Departments to meet SA obligations (DFA, DEAT, DACST), • Involvement in the scientific components of the Summit, • Showcasing CSIR at the summit; and • Assisting other stakeholders prepare input for the Summit (e.g. SACOB, DANCED).