FOURTEENTH CONGRESS OF THE 
) 
REPUBLIC OF THE PHILIPPINES 
) 
First Regular Session 
1 
SENATE 
S. No. 
Introduced by HONORABLE JUAN MIGUEL F. ZUBlRl 
EXPLANATORY NOTE 
The value of scientific and technological activities (STA) to improve our quality of life 
cannot be underestimated. The spark of genius, creativity, innovation and scientific inquiry when 
encouraged and applied will greatly alleviate problems facing societies especially developing 
ones like the Philippines. The direct beneficial effect has been clearly established such that the 
UNESCO prescribes that Governments invest at least one percent (1 %) of the Gross Domestic 
Product to scientific and technological activities (STA). 
STA includes, among others: Research and Development (R&D), S&T Services (STS) 
and S&T Education and Training (STET). 
UNESCO-prescribed norm on the 5'h year. 
This bill proposes to gradually increase the allocation for STA until it reaches the 
Focus activities are as follows: 
For the first five (5) years, enhancement of agricultural productivity to ensure basic food 
sufficiency and initiate a system towards the production of more elaborately transformed 
products. 3 
For the 6Ih year and onward, one percent (1%) of the GDP shall be allocated solely for 
R&D activities of the government and private sectors and shall aim to attain competency and 
mastery in the production of elaborately manufactured products and processes. 
The bill seeks to arrest the declining allocation to R&D expenditures which is just a tenth 
of the 1% prescribed by the UNESCO. 
The proposed measure mandates the DOST Secretary to identify priorities for Research 
and Development and S & T capability development programs and prepare the corresponding 
budget thereto. Similarly, the appropriations by various departments, bureaus, offices, agencies 
and State Universities and Colleges shall be aligned with the priorities set by the DOST in the 
natural, agricultural, technological and engineering sciences. 
The Special Fund for Research & Development to be created shall be constituted from 
the following sources: 
- Allocation of 1% of GDP for R&D activities 
All unused R&D allocations; 
1 All income derived from R&D 
In view hereof, approval of this bill is earnestly requested. 
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FOURTEENTH CONGRESS OF THE 
) 
REPUBLIC OF THE PHILIPPINES 
) 
First Regular Session 
) 
SENATE 
Introduced by HONORABLE JUAN MIGUEL F. ZUBlRl 
AN ACT 
INCREASING THE YEARLY ALLOCATIONS FOR SCIENTIFIC AND 
TECHNOLOGICAL ACTIVITIES (STA) 
Be it enacted by the Senate and House of Representatives of the Republic of the Philippines in 
Congress Assembled: 
SECTION 1. Title. - This Act shall be known as the "Science and Technology Funding 
Act of 2007". 
SEC. 2. Policy Statement. - In order to sustain economic development and ensure a 
high level of scientific and technological activities (STAs), the State shall endeavor to allocate 
an amount equivalent to the prescribed UNESCO norm of at least 1% of the total Gross 
Domestic Product (GDP) as annual budget for research and development, as approved by the 
Science and Technological Coordinating Council (STCC) created under Administrative Order 
No. 123, as amended by A 0  NO. 125 and A 0  No. 2002, series of 1995. 
SEC. 3. 
Computation of Allocation. - The gross domestic product to be reckoned in 
reaching the annual budget for research and development for a particular calendar year shall be 
the GDP of the immediately preceding year. However, should the country's GDP decrease, the 
annual budget for research and development shall be pegged at the GDP level before the 
decline. 
SEC. 4. Phased Implementation. - The allocation for research and development activities 
shall be gradually increased until it reaches the prescribed norm on the 5'h year which shall 
include both government and private sector activities. The first years shall focus on 
enhancement of agricultural productivity to ensure sufficiency of basic food and services and 
initiate systems towards the production of more elaborately transformed products. For the 6'h 
year onwards, one percent of Gross Domestic Product (GDP) shall be allocated solely for 
research and development (R & D); activities of the government and private sectors and shall 
aim to attain competency and mastery in the production of elaborately 
SEC, 5. Definition of Terms. - For purposes of this Act, Scientific and Technical Activities 
(STAs) shall be defined as all systematic activities which are closely concerned with generation, 
advancement, dissemination, and application of scientific and technical knowledge in all fields of 
Science and Technology. STA include the following: Research and Experimental Development 
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(R&D); Scientific and Technological Services (STS); and Scientific and Technical Education and 
Training (STET). 
a) 
Research and development (R&D) is any systematic and creative work undertaken in 
order to increase the stock of knowledge of man, culture and society, and the use of 
this knowledge to devise new application. 
Scientific and Technological Services (STS) is any activity concerned with scientific 
and experimental development and contributing to the generation, dissemination and 
application of scientific and technical knowledge. 
Scientific and Technical Education and Training (STET) are activities comprising 
higher education and training leading to a university degree, post-graduate and 
further training organized lifelong training for scientist and engineers and specialized 
non-university higher education. 
b) 
c) 
SEC. 6. The Department of Science and Technology (DOST). - The Secretary of the 
Department of Science and Technology in consultation with the STCC shall identify priorities for 
research and development and S&T capability development program which would contribute to 
national development and progress, and to prepare the corresponding budget in pursuant 
thereto. 
SEC. 7. R&D Appropriations. - The Appropriations pertaining to R&D in the natural, 
agricultural, technological and engineering sciences for various departments, bureaus, offices, 
agencies and state universities and college (SUCs) within the National Science Technology 
Plan (NSTP) shall be released upon recommendation of the Secretary of DOST. For this 
purpose, the DOST shall issue the necessary guidelines for the implementation of this provision. 
SEC. 8. Special Fund for R&D. - A  special fund for research and development to be known 
as "R&D" shall be created and constitute from the following sources: 
a) allocation of 1 percent of GDP for R&D activities 
b) all unused R&D allocations; and 
c) all income derived from R&D activities. 
The fund shall be used only for R&D activities of the agencyhstitute. The STC shall develop 
SEC, 9. lmplernenfing Rules and Regulations (IRR). - The STCC shall prepare the 
SEC. 10. Annual Compliance Report. - The Secretary of the Department of Budget and 
Management (DBM) shall make a report of the President's compliance with section 2 of this act 
to Speaker of the House of Representatives and the President of the Senate before any 
proposed annual general appropriation bill shall be taken by both chambers for final 
consideration and approval. 
the appropriate mechanism for the management of the R&D fund. 
implementing rules and regulations of this Act. 
SEC. 11. Effectivity. - This Act shall take effect upon its approval. 
Approved. 
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